It is always a good policy to have a grant agreement with grant recipients—not for when the grant goes well but, rather, for when it does not. With a grant agreement in place, it is easier to monitor a grant for performance according to the application, to see if anticipated outcomes are achieved, and to... Read More
Although travel costs may prohibit international site visits, many alternatives exist that make due diligence and grant tracking affordable and effective. Intermediary organizations, which are U.S.-based public charities with contacts abroad, focus on providing domestic donors with photos, videos, and electronic reports that keep them in the know from across the globe. Peer funders also... Read More
A well-written annual report shares your work, encourages others to set up foundations or increase their giving, helps suitable applicants find you, and helps the public and lawmakers learn about the foundation—and see that it is a responsible and accountable organization. Annual reports often include: Year and name of the foundation A brief history of... Read More
Discretionary grantmaking is the practice of allowing board members and, in some cases, committee members, family members, or staff to direct a portion of grantmaking dollars to organizations of their choice. Foundations use discretionary grants in a variety of ways and for many reasons. Read considerations when creating a discretionary grantmaking policy >> Read additional... Read More
A mission statement is a short, written declaration about why you are engaging in philanthropy or, if your giving structure is a foundation, why the foundation exists. Mission statements are powerful because they are heartfelt, simple, and easily communicated. A mission can help you: Make the best use of your resources by focusing grants and activity on... Read More
There are numerous ways to determine the endowment spending rate for a nonprofit. Most nonprofits are familiar with less complex approaches that include spending income, assigning a prespecified percentage of the beginning market value, simply deciding on a spending rate, and using the Internal Revenue Service minimum required payout of 5% for certain private foundations.... Read More