Endowment - Defined

An endowment fund is a permanent fund established for supporters to direct gifts, knowing that their contribution will be held in perpetuity. Endowment Funds provide distributions annually from the growth and annual earnings to carry on the organization's programs and facilities.  It is the permanency of this fund that makes it so valuable. Only through a growing endowment will your loyal supporters know that your organization's programs and services will be assured for generations to come. 

Basic Concepts

• Most gifts to endowments will be given as a planned gift out of accumulated assets from families rather than from disposable income (cash).
• Organizations must be actively involved in providing them with the opportunity and assistance.
• Families will generally support endowments for those organizations that they have had a meaningful relationship.

Campaign or Ongoing Process

Planned Giving is a development process, not a campaign approach. Significant gifts are developed when organizations create opportunities for loyal supporters to meet their philanthropic objectives through planned gifts. It is the selection of the right giving vehicle that makes the "big" difference.