Making endowment planning a part of your routine
Increasingly, charitable not-for-profit organizations are talking about endowment funds – how to launch them and how to grow them.
Often, donors who are interested in endowing a gift will look to estate gifts and other types of deferred philanthropy. Securing these types of gifts requires a good deal of heavy lifting. The challenge that many organizations face is how to designate resources to endowment campaigns and programs without compromising current fundraising needs – especially when deferred giving will not bear fruit for years.
Organizations driven by annual campaigns often have difficulty shifting gears when it comes to thinking about deferred gifts. The fact is, though, estate and other planned gifts earmarked for endowments will often be more significant than cash gifts made today.
The importance of nurturing an endowment program cannot be underestimated. The hard facts are that many organizations are finding it more difficult every year to raise more money. And as long-time, top supporters age and pass away without endowing their gifts, their philanthropy becomes more difficult to replace. Endowment options allow your leading donors to leave a lasting legacy while providing a permanent revenue stream for your organization.
An organization needs to have patience and foresight to recognize that 10 or 20 years from now and beyond, the work they do today to canvass for those promises of planned gifts will yield very important dividends.