Whistleblower or antifraud policy regulations now apply to foundations and nonprofits by virtue of the Sarbanes–Oxley Act of 2002. Although the act does not specifically require nonprofits (including private foundations) to develop a written internal policy or procedure, board members and employees must be sure to follow the new law. The new law states there... Read More
In its report On the Money, Grantmakers for Effective Organizations describes several financial challenges faced by nonprofits: Restrictions on funding—Despite the importance of infrastructure to nonprofits’ success, grantmakers overwhelmingly prefer to support the direct delivery of programs and services. The result is an underinvestment in the infrastructure nonprofits need to sustain and grow, such as... Read More
Essentially, a program related investment (PRI) is a loan or investment that counts toward a foundation’s 5% distribution requirement. Rather than funds permanently leaving the corpus of the foundation, the funds go out, do good, and come back to be used again. One relatively easy way to make PRIs is to invest in community development... Read More
Here are ideas for foundations—new or well-established—looking to expand program areas or grantseeker pools: Distribute your mission and guidelines on your website or at local nonprofit events. Talk with other foundations that have similar program interests. They sometimes can refer grantees to you. Ask if your regional association of grantmakers publishes a directory of funders.... Read More
Foundations interested in getting rid of all (or some) of their file cabinets and much of the paper that fills them have many options. There are some simple ways to cut back on paper—and many benefits. It’s not all or nothing, of course. Some offices aim to go completely paperless by receiving and distributing information... Read More
A start-up is, simply put, an organization that is relatively new. Typical characteristics of a start-up include a strong commitment to the organization’s mission and to delivering services, a vision driven by the organization’s founder, an informal management infrastructure, a small and homogenous board with many members often performing day-to-day tasks for the organization, and... Read More