Forever Support for Your Favorite Organizations
2020 taught all of us many lessons, including the importance of planning for the unimaginable. This was certainly the case for the non-profits in our community, many of which relied on their endowments to relieve some of their revenue challenges. Endowments are permanent funds where the principal is invested with the intention that the income from that invested principal will be distributed annually to one or more non-profits. Many organizations are creating new endowments so they can have support if they face future adversities. Supporting these endowments can be done with a gift directly to the organizations’ existing fund at Community Foundation and is a great way to ensure your favorite organization’s stability and vitality.
The Community Foundation of Lorain County manages over 100 endowment funds for various non-profits serving Lorain County. Our goal for these endowments is to invest money provided to us by the organization and then distribute a portion of earned income back to them annually. This helps organizations have “forever funding” now and into the future. Giving to endowments is especially attractive to donors interested in sustaining and supporting a favorite non-profit organization beyond a single fiscal year. An endowed gift will continue to grow and have a lasting impact in our community…forever.
Another way to support local non-profits is to create a Designated Fund at Community Foundation. Establishing a Designated Fund provides a wonderful way to give back to one or more specific organizations that matter to you. Many of our existing Designated Funds support more than one organization, while other donors have created more than one Designated Fund to address specific organizational needs. For instance, a program fund is created and a building maintenance fund, each designed to support the same organization. These types of Funds can be established to recognize your family, as well as in honor or memory of a loved one. The Community Foundation can facilitate various gift types, including cash, stock, real estate, and other complex gifts, to help you create these funds.
At the end of January, we held our Power of Endowment event for local non-profits. We shared how endowments can be used to earn ongoing income for operating expenses and other needs without relying solely on new contributions. We also announced that September 16th will be our second annual Connect to a Cause event. This 12-hour crowdfunding event will focus on assisting local non-profits in growing their endowments while also allowing them to raise funding for supporting their immediate needs.
If you are affiliated with a non-profit that would like to participate in Connect to a Cause, or if you would like to explore how you can create or add to an existing non-profit endowment, please give me a call.