BUILDING YOUR ENDOWMENT
Endowment Fund Investment and Growth
Like most synagogues and agencies that benefit the community, your organization probably struggles with the ongoing challenge of maintaining adequate operating funds. You want to start an endowment fund to supplement your operating expenses, and maybe even provide for some additional programs, but there never seems to be extra at the end of the year to start a fund.
The reality is that there may never be a day when there will be extra money to start a fund. So the answer is to start small and build the fund over time.
The Jewish Community Foundation is here to help make that happen by working with you through the steps of building an endowment.
First, just imagine this scenario:
The first two years, your organization puts what it can into the fund – a couple of bequests, a portion of the proceeds from a fundraiser, or perhaps some of the money you receive as tribute gifts. At the end of two years, you have managed to build a fund of $20,000. During that time, you took nothing out, and the fund earned some return on investment.
During the third year, you take your first disbursement, but you continue to add at least $10,000 to the fund annually using bequests, tributes and a portion of the proceeds from fundraisers. Each year you do the same – continuing to slowly grow the fund, but taking a disbursement, which increases every year and is a welcome addition to your operating expenses.
Now Consider a More Planned Approach
The staff at the JCF is prepared to work with you to help you create an endowment building plan. We are ready to walk you through the steps of creating a committee, a case statement, and marketing plan (including assistance with choosing the right donors).
We can share with you an understanding of why endowment building will not negatively impact your annual membership monies or campaigns, but will actually be a partner to it.
The JCF is prepared to work with you on how to speak with your members and supporters to give them choices on the type of endowment they would like to create.
Our resources include:
- Gaining board and staff commitment
- Setting goals and developing an action plan
- Donor Development
- Assistance in cultivating, meeting with and soliciting donors
- Consultation with donors’ attorneys, accountants and other professional advisors
- Proposals for charitable gift annuities and charitable trusts
- How to encourage bequests from wills and trusts
- Programs for board members, staff and donors
- Seminars for estate and tax planning professionals
- Financial and Investment Services
- Administration of portfolio
- Quarterly reporting
- Development of policies and guidelines
- Other Resources
- Endowment Book of Life Program
- Ideas for donor recognition
- Assistance with brochures, articles and other marketing material