Private Foundations
Private foundations make grants based on charitable endowments. The endowment funds come from one or a small handful of sources -- an individual, a family or a corporation. Because of their endowments, they are focused primarily on grantmaking and generally do not raise funds or seek public financial support the way public charities (like community foundations) must.
“Private foundation” is the umbrella term that includes corporate, independent, family, and operating foundations. As of 2011, there were 73,764 private foundations in the United States (Foundation Center, 2011).
In 2011, private foundations held more than $604 billion in assets and gave away more than $45 billion (Foundation Center, 2011).
Below is everything on our site for private foundations. Due to the large number of resources on our website, we highly recommend you use the site navigation or the search feature to find what you are looking for.
Providing Relief in Times of Disaster - Grants to New Charities
Legal Compliance Guidance
Ideally, grantmakers will work with an existing charity or other well-established organization to provide disaster relief. But in the months after a disaster, it is not uncommon to see new charities cropping up in efforts to meet the immense and diverse needs of the affected communities. The…
Grants to Government
Legal Compliance Guidance
The private foundation executive director was concerned. Members of her board were going to make grants to promote public housing and economic development but none of the groups involved were the typical 501(c)(3)s to which the foundation normally made grants. One possibility seemed to be making a…
Providing Relief in Times of Disaster
For many foundation managers, meeting community, regional, or even global needs is a primary aspect of everyday business. But when disaster strikes, foundations may find the need to quickly provide relief while accurately navigating a new set of grantmaking rules. These guidelines outline the basic…
Re-Grants by International Intermediaries That Are Not Public Charities
Legal Compliance Guidance
In international grantmaking, private foundations often make grants to organizations (“Initial Grantees”) that, in turn, re-grant those funds to other non-public charity organizations or individuals (“Secondary Grantees”).
Legal issues arise when a private foundation makes a grant to an Initial…
Funding Charitable Work in Sanctioned Countries
Legal Compliance Guidance
Since the terrorism attacks on September 11, 2001, grantmakers and other charitable organizations have become quite familiar with the work of the U.S. Treasury Department's Office of Foreign Assets Control (OFAC) in the area of anti-terrorism concerns. OFAC has been one of the key U.S. government…
Grantmaking in an Age of Terrorism: Compliance Strategies
Legal Compliance Guidance
Since the November 7, 2002 publication by the United States Department of the Treasury of its “Anti-Terrorist Financing Guidelines: Voluntary Best Practices for U.S.-based Charities,”1 grantmakers have grappled with the problem of how to comply with their legal obligations under Executive…
Handbook on Counter-Terrorism Measures: What US Nonprofits and Grantmakers Need to Know
Legal Compliance Guidance
A plain-language guide to Executive Order 13224, the Patriot Act, embargoes and sanctions, IRS rules, Treasury Department voluntary guidelines, and USAID requirements.
Legal Framework for Global Philanthropy: Barriers and Opportunities
Legal Compliance Guidance
Prepared by the International Center for Not-for-Profit Law, this report provides a summary of the legal constraints in global grantmaking and draws on illustrative examples from the U.S., Europe, and other regions. It also outlines potential options to address these barriers.
NGOsource
External Resource
NGOsource improves the efficiency of international grantmaking and aims to achieve a significant increase in cross-border philanthropy by centralizing, streamlining, and standardizing the equivalency determination process for U.S. grantmakers. NGOsource is a project of TechSoup and was started with…
Election Year Politics: What Foundations Need to Know
Legal Compliance Guidance
The election season, particularly in presidential election years, brings with it both opportunities and challenges for private foundations and public charities. Grantmakers can use this opportunity to increase civic involvement, provide nonpartisan information about candidates and educate…
Rules of Advocacy & Lobbying: Private Foundations
Legal Compliance Guidance
The rules of advocacy and lobbying for private foundations differ somewhat from community and public foundations.
As a private foundation, the law allows the following:
Advocacy
Lobbying
Funding Lobbying
Advocacy
Yes, private foundations may engage in advocacy activities as described under…
Foundations for Civic Impact: Advocacy and Civic Engagement Toolkit for Private Foundations
Toolkit
This toolkit is designed for private foundations that want to support grantee involvement in civic and policy activities to increase organizational capacity and impact. While its primary focus is on the grantmaking activity of foundations, the toolkit also addresses rules and guidance for policy…
Board Member Sabbaticals: A Good Idea?
Fundamentals
Sabbaticals are not too uncommon in the nonprofit world for foundation executives or senior management. It can be a useful time to reflect on past accomplishments, revitalize, and gain renewed inspiration for future work. Sabbaticals for board members likewise can have similar positive effects but…
Sample Conflict of Interest Policies from Council Members
Sample Document
Sample conflict of interest policies from the Community Foundation of Switzerland County and Triangle Community Foundation.
Conflicts of Interest and Form 1023
Legal Compliance Guidance
Ordinarily, established private foundations and public charity grantmakers would ignore the IRS's revision of Form 1023, Application for Recognition of Exemption from Federal Income Tax. After all, these groups have already received their determination letters. But the revised Form 1023 and the…
Conflicts of Interest: Dealing with Foundation Investments
Legal Compliance Guidance
This article focuses on conflicts of interest around foundation investments. May foundation board members (or other closely affiliated individuals or businesses) manage foundation investments? May they be paid for this service? What factors should foundation managers consider before they select an…