The primary purpose of financial statements is to communicate the financial health of the grantee. A non-accountant should be able to understand a well- written statement. The balance sheet, a statement of position, views a grantee on a specific date. The income statement, a statement of activity, looks at a year’s operating activity. The statement... Read More
You can make a difference before and after disasters in a variety of ways: Grants for relief—These grants can meet critical needs in the aftermath of disasters. Victims may need rescue, food, shelter, or clothing just to survive. This phase requires intensive activity but usually ends quickly—within a few days. Grants for recovery—Such grants can... Read More
The past 10 years have been exciting ones for the Hill-Snowdon Foundation and the Snowdon family. For 40 years prior, we acted as a typical family foundation, coming together once a year to nominally approve grants recommended by family members. We funded some wonderful organizations reflecting the varied interests of the family, but you would... Read More
With just a bit of time and effort to review nonprofits’ financials, you will get to know organizations better and choose those best equipped to create the changes you seek. Terms to know Assets represent what the nonprofit owns—Current assets are the sum of all assets that could be converted to cash in less than... 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
Most foundation files of any significance should be kept a minimum of 3 years. That can add up to a lot of paper! Here are filing and storage tips: Give some thought to and take time setting up your filing system. Ultimately, you’ll waste less time and save yourself a lot of space. A good... Read More