Getting Started with Foundation Source – For Attorneys

Helping You Serve Your Philanthropic Clients

Virtually all high-net-worth individuals have a commitment to philanthropy. More than ever, they are allocating significant portions of their assets to charitable giving. For many, a private foundation is the best vehicle to meet their philanthropic goals.

Unfortunately, misconceptions persist that private foundations are difficult and time- consuming to create, are complicated and expensive to run, need to be staffed, and require huge endowments to make them worthwhile. While these concerns may have been valid 20 years ago, they no longer have any merit.

Today’s private foundations can be easy, efficient, and affordable thanks to outsourced support services from Foundation Source. That’s why attorneys across the country, from solo practitioners having limited experience with private foundations to large firms with entire departments devoted to exempt organizations, choose to work with us.

Whether your clients are just starting a private foundation, or have had one for years, their philanthropy can be more effective, efficient, and enjoyable when they have a team of foundation experts to support their day-to-day foundation operations.

The Benefits of Our Services for Your Clients and You

With Foundation Source, your clients get a “virtual staff” of experts to help them explore every capability of their private foundations without hassles or paperwork. And because we monitor every transaction and perform due diligence before making grants or other disbursements on behalf of foundation clients, you can rest assured that we help them stay compliant. Additionally, we monitor our clients’ annual minimum payout requirement in real time to help ensure that they aren’t penalized for under-distributions.

Here’s a closer look at what we provide:

Foundation Creation

In many cases, you will set up your client’s private foundation. If so, we’re happy to lend our expertise as needed. Alternatively, if you would like us to establish the foundation, we could provide a Delaware nonstock corporation complete with bylaws and other policies. Whatever your choice, we can work with you to ensure that you’re involved in as much of the process as you’d like. For instance, at your option, you could review our standard startup documents and policies, join our client interview for completing Form 1023 (the application for IRS recognition as a tax-exempt organization) and/ or review that form before it’s filed. Our Form 1023 interview is based upon an exclusive questionnaire that distills our years of experience completing more than 2,000 successful 1023 applications. It is designed to get to the heart of potential concerns, so you can address them before they’re uncovered by an IRS reviewing agent. Our 1023 applications typically glide through the IRS review process without a hitch, with a relatively fast turnaround.

Comprehensive Support

Once the foundation has been established, we provide everything your client needs to keep it running smoothly and compliantly. Our services include philanthropic advising, an online platform to transact their philanthropy, and complete back-o ice support, including transaction processing, tax preparation and filing, and financial and regulatory reporting.

Peace of Mind

Our daily involvement enables us to spot potential issues before they become problems, and refer your clients back to you for advice and counsel. Likewise, we would recommend that your clients consult you for traditional legal services, such as amending governing documents and negotiating agreements.

Specialized Knowledge

Our broad philanthropic expertise and practical understanding of foundations can help guide you when making recommendations to your clients.

In short, we make foundations simple and worry-free for you and your clients.