A Word About Private Foundations
We believe The Community Foundation provides an attractive alternative to family or private foundations, and we will be glad to discuss the relative advantages of using The Community Foundation for your client’s philanthropy. But we also realize you may be working with a client whose existing family or private foundation is proving burdensome, and we have solutions for that situation as well.
A Donor Advised Fund at The Community Foundation is a potential vehicle to maintain your client’s philanthropic work and vision while eliminating the governance-related burdens of private foundation administration, such as board meetings, 990-PF filings, responding to inquiries and endless solicitations. Advised Funds give your client the benefit of recommending grants to their favorite charities, causes and/or communities and maximizing the joy of philanthropy. We would be happy to meet with you and your client to discuss how to have the best of both worlds with a Donor Advised Fund at The Community Foundation.
Alternatively, we can work with you and your client if he or she already has an existing private or family foundation. We have clients who successfully leverage both a private family foundation and a Community Foundation donor advised fund, taking full advantage of both. But we recognize that sometimes the motivation for establishing and running a private foundation has changed, or are no longer valid. Or perhaps the administrative burden of the private foundation has shifted and it is out of proportion or interferes with the philanthropic desires of the family. The Community Foundation has within its service portfolio solutions to helping with shift the administrative burden off of your client and into our experienced, efficient hands.
Finally, your client may choose to consider closing his or her private foundation. The logistics of private foundation termination are fairly straightforward, but there are considerations. You may find this article provides a valuable resource to guide the decision-making process. As always, if you have questions, please contact us for assistance.