We posted this question in our online Member Discussion Community, where members are always welcome to ask questions, share successes, and respond to fellow members. Here are the responses: Response 1 We provide scholarships to high school students and struggle with the same issue. Our approaches have evolved over the years. Eligibility for our scholarship... Read More
Yes, but there are special requirements for both the grantor and grantee foundation. The following is from our publication Legal Essentials for Private Foundations: “Your foundation may wish to make grants to another private foundation or an organization controlled by your foundation for a charitable purpose. Such a grant will count as a qualifying distribution... Read More
A foundation can provide a loan to a grantee—see our publication Leveraging Your Assets With Loans and Other Program Related Investments. Your position on the board does constitute a conflict of interest—in that it may be difficult for you to be impartial in voting on whether to award the loan—but conflicts of interest can be... Read More
Yes, but it is important to have in place a signed grant agreement with language that outlines what would happen if the grant is misused or not used according to plan. From the Chronicle of Philanthropy: Private foundations have a legal obligation to try to recover money that they believe has been misused, and publicly... Read More
Here are some great resources to get you started—helping you think about what you need, scan the landscape of options, and take advantage of available member discounts. Technology Tools for Foundation Boards Software Solutions for Grantmaking Grant Tracking: Designing a System That Fits Your Foundation Going Paperless in a Small Foundation Office Idealware’s guide to... Read More
To avoid self-dealing, include the value of the laptop as part of the trustee’s compensation (and report it for tax purposes). The foundation may even “gross up” the trustee’s compensation to account for the income taxes the trustee would have to pay. If the laptop were used for foundation business 40 hours per week, you... Read More