Nonprofits of nearly any size can start an Organization Fund at the Community Foundation of Shelby County and there is no time like right now to establish one.
Why should an organization set up a fund?
Facing the ups and downs of the economy can create uncertainty for charities. Just like our personal households, it is a good idea for an organization to set aside resources for a rainy day – a reserve that can help even out fluctuations. A reserve can sustain an organization during a slow economy or after the loss of a stream of support. As of today, 22 organizations and schools have placed all or a portion of their reserves with the Community Foundation in an Organization Fund.
Additional Support/Donor Options
Since an Organization Fund is an invested fund, its assets have the potential to grow over time, however at some risk, giving the charity the opportunity to generate additional income. The Foundation can also take in complex gifts eliminating a nonprofit’s administrative burden. Plus, it offers donors the option to help ensure that an organization will be around in the future to carry out its mission.
Participation in Match Day
The final benefit for creating an Organization Fund at the Foundation is the organization’s possibility to participate in Match Day. Match Day is an event sponsored by the Foundation, which gives participating organizations the ability to receive up to $5,000 in matching funds. The organizations selected to participate must have an Organization Fund at the Foundation, be a 501 (c)(3) charity, and cannot be a governmental agency, such as a school or municipality. Also, the fund must be established by June 25, 2020 with a minimum asset size of $25,000. Last year, this event raised over $377,000 for our local community. The funds raised during the event are not added to the organization’s fund but instead issued to the organization to be used for immediate purposes.
For more information about this type of fund, see Create a Fund for the steps in the process and our Organization Fund Policy.
Contact us today and see how the Foundation can help your organization plan for the future.