Central Carolina Community Foundation

Private Foundation Alternatives

Some clients may want to create a vehicle that allows them to have long term involvement with their charitable assets. The Community Foundation welcomes the opportunity to consult with you and your clients who may be considering a private foundation.

Community Foundation staff will candidly discuss the advantages and disadvantages of setting up a private foundation. The disadvantages - costs, ongoing administrative burdens, quarterly tax payments, mandatory payout rates and reduced tax benefits - encourage many individuals and families to search for an alternative. Establishing a named fund at Central Carolina Community Foundation often meets the needs of donors more efficiently and effectively. 

Private Foundations vs. Community Foundations

Establishing a fund with the Community Foundation has some distinct advantages over a private foundation. The Community Foundation knows that when you are talking with each client that you are discussing a very serious subject - money. Your client's money determines how they live, how they support their family, how they will retire, how they are taxed and how they share with others.  Click here for a comparison.

Transferring a Private Foundation

Even if a client has already established a private foundation, they may want to explore the option of transferring their private foundation to a donor-advised fund at the Community Foundation. Through transferring the assets of a private foundation to Central Carolina Community Foundation, clients often enjoy charitable giving that is easier, more flexible and more effective while ensuring the client's mission, name and pattern of charitable giving are maintained in perpetuity.

Services to a Private Foundation

The Community Foundation can also provide administrative assistance to donors who have established and wish to maintain private foundations. We work closely with the trustees of private foundations to customize services that meet their needs through a contractual arrangement that is negotiated according to the level of services requested.