To kick-start your thinking about leadership at the organizations you fund: Start by building trust—To assess leadership well requires an honest dialogue between funder and nonprofit, and building the trusting relationship that facilitates such dialogue takes time. To build trust, be forthright in your communications with nonprofits and clear about your expectations. Make your grant... Read More
As would be expected, a foundation’s specific due diligence program (e.g., staffing, expertise, structure, scope) for both investment due diligence and operational due diligence (ODD) will be impacted significantly by the investment model it currently follows (i.e., investment duties managed by foundation board members, internal investment staff, an outsourced chief investment officer, or a mix... Read More
Recent surveys of Exponent Philanthropy foundation members have revealed that more than 60% provide health insurance options to their full-time staff. Nearly 20% provide health insurance to their part-time staff. See our most recent member survey data. Exponent Philanthropy does not offer a group health insurance policy at this time because state-specific regulations make it... Read More
The content of an agenda is at the chair’s discretion, although all board members should have the privilege of placing items on the agenda for discussion or action. Board agendas should include at least the following: Approval of the previous meeting minutes—Even if you meet only once a year, you must do this approval. Try... Read More
To prevent certain abuses that could stem from allowing a nonprofit to control a for-profit enterprise (e.g., propping up stock prices), private foundations are prohibited from owning more than a small portion of any business enterprise. Specifically, the Internal Revenue Service prohibits a foundation, together with its disqualified persons, from holding more than a 20%... Read More
Private foundations may grant to individuals in four permitted ways, with different recordkeeping and Form 990-PF reporting requirements for each. Grants to individuals for travel, study, or similar purposes via a public charity intermediary, such as a school or university Issuing a grant to an intermediary is the simplest way to award travel fellowships, scholarships,... Read More