Is a Private Foundation Best for You?
For many, the answer is "Yes!"
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How will your foundation be funded?

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What is the anticipated initial funding for your private foundation?

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How will your foundation be funded?

Your answer: I plan to conduct fundraising activities to raise money for the foundation
Since you plan to fund your charitable activities through fundraising activities, the better vehicle is the public charity instead of a private
foundation.
Sorry, but Foundation Source does not provide services for public charities. Done

What is the anticipated initial funding for your private foundation?

Your answer: Under $100,000
A donor-advised fund may be a better vehicle for you. The recommended initial funding to start a private
foundation through Foundation Source is $250,000.
Take a look at the "Foundation or DAF?" tab below to understand the differences. Done

What is the anticipated initial funding for your private foundation?

Your answer: Between $100,000 and $250,000
A private foundation through Foundation Source may be right for you, especially if you anticipate additional
funding in the future.
Click here to learn more about setting up a private foundation or click "Done" to continue browsing. Done

What is the anticipated initial funding for your private foundation?

Your answer: $250,000 or more
Foundation Source would be delighted to help you get started, since you plan to initially fund your foundation
with at least $250,000.
Click here to learn more about setting up a private foundation or click "Done" to continue browsing. Done
  1. Overview
  2. Funding
    Source
  3. Foundation
    or DAF?
  4. Who We Serve
  5. More
    Information
  • Consider a private foundation.

    Some folks start a private foundation because they want to help out the people, institutions, and communities they care about. For others, the motivation may start with tax planning after a conversation with a trusted advisor. Whatever the impetus, new donors often are unaware of the full capabilities of this powerful and flexible philanthropic vehicle.

    Private foundations differ significantly from giving as an individual. Here are a few of the unique benefits:

    • Get an immediate tax deduction, but give when you feel like it
    • Create a lasting legacy that links the family name with good works
    • Be taken more seriously as a philanthropist
    • Build a better family and pass on values to younger generations
    • Make tax-deductible grants directly to individuals in need
    • Run charitable programs without setting up a separate nonprofit

    To get the details on these and other benefits of having a private foundation, download a free copy of 10 Advantages of Having a Private Foundation.

  • The source of the funds used to create and sustain a charitable entity often determines the type of organization you can set up.

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    Public Charities normally receive at least a third of their annual support as donations from the general public. This means they rely on ongoing fundraising activities.

    Private Foundations are typically funded by a single individual, family, or business. While private foundations are allowed to conduct very limited fundraising activities, most do not because it is difficult for foundations to raise money from anyone outside the immediate family or business.

    If a significant portion of the funding will be coming from fundraising activities, then consider a public charity. Foundation Source does not provide services for public charities. If you are providing most or all of the funding, consider a private foundation. Foundation Source can help you with that.

  • learn-tab3

    • New Foundations
      We can create a new private foundation, ready for funding, in less than a week. We then provide a full range of services to keep the foundation running efficiently and compliantly.
    • Existing Foundations
      Whether the foundation has been around for a few years or a few generations, our services streamline foundation operations, improve collaboration among foundation members, and provide guidance at key transition points.
    • Corporate Foundations
      Foundation Source helps you realize all the benefits of a corporate foundation without diverting resources from their for-profit business.
    • Wealth Advisors
      Foundation Source helps wealth advisors serve the needs of their philanthropic clients by providing a time-tested, third-party solution for setting up and managing private foundations. You manage the assets; we take care of the rest.
    • Attorneys
      We work with attorneys across the county to provide a time-tested, third-party solution for setting up and managing private foundations on behalf of their clients.
  • If you think a private foundation may be right for you, here are some possible next steps.

    Start a
    Foundation
    Visit our page on Starting a Private Foundation to get more detailed information about our simple process, the benefits of a private foundation, funding and investment options, ways you can give, and tax benefits.

    Manage Your
    Foundation
    Visit the 'Manage Your Foundation' zone to get details about the integrated support services we provide for all foundations.

    Foundation Source is the nation’s largest provider of comprehensive support services for private foundations, bringing unparalleled knowledge and expertise to clients across the country. Our clients supply the funds, the vision, and the philanthropic goals; we take care of everything else.

    Contact us to ask any questions you may have or to get the process started for establishing your private foundation.

Related Resources
  • Comparing Public and Private Charities
    An overview of common nonprofit organizations, including public charities, supporting organizations ...


  • Private Foundation vs. Donor-Advised Fund Comparison Chart
    Information to help you decide which of these two popular charitable vehicles is right for you and ...


  • FAQs About Private Foundations
    Straightforward answers to the 29 questions we’re asked most often about private foundations.


  • Options for Managing a Private Foundation
    Learn about the widely varied options available for managing a private foundation to help you ...


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