Nonprofits need funds for current operations. They also need to plan for the future. An Agency Endowment within The Erie Community Foundation helps local charities create a long-term source of predictable income. The Foundation manages the assets and handles administrative aspects of the endowment which can include acceptance of complex gifts, such as securities and real estate.
There are over 100 different nonprofit organizations that have decided to transfer all, or part, of an existing endowment to a designated fund within The Erie Community Foundation. Being a part of a large asset pool helps the nonprofit organization benefit from The Foundation’s investment experience and expertise; often at a reduced cost.
In accordance with FASB 136, all agency endowments are classified as Foundation liabilities. They remain a corresponding asset within the nonprofit organization. This type of fund is not for operating reserves, but for true endowments. Foundation staff can then be available to encourage additional gifts to the endowment.
Donate now to a nonprofit using your credit card or your endowment fund.