How to set up a fund

Our expertise 

advisers1We have extensive experience in advising and guiding donors on how to give strategically and efficiently. Our in-depth knowledge of the community sector allows us to provide insights into societal issues, ensuring our donors make an impact and create lasting change.

How does a Donor Advised Fund work?

Community foundations are pioneers of Donor Advised Funds which provide many of the same benefits to a donor as a private family charitable foundation (including all tax reliefs) but donors are also able to access our grant making expertise, due diligence, monitoring and reporting processes. So how does it work?

  • A donor makes a gift to us (in cash or shares) and chooses whether to set up a flow through (current) fund or a permanent endowed (long term) fund, or a mix of both;
  • We set up a Donor Advised fund in a chosen name. Management fees are agreed up front and there are no hidden charges;
  • Following recent changes in relation to tax relief for charitable donations, the tax relief on that donation accrues directly to the Fund;
  • The donor identifies the cause(s) which they would like to support and our staff will assist in identifying relevant non-profit organisations and projects to support, ensuring that the money goes to the project where it can make most impact;
  • We handle all the administration and issue grants in the name of the fund or anonymously (as the donor chooses);
  • The donor receives agreed feedback and outcome reports so that they learn from their grant-making and we also keep them informed of relevant developments in their field of interest to help inform their philanthropy in the future;
  • The donor can choose to increase or reduce their level of grant-making periodically based on their time and financial demands.

Visit our Types of funds section here, to find out more.

What Are the Benefits of Setting up a Donor Advised Fund? 

  • A donor Advised Fund is tailored to the donor’s needs and is a flexible and convenient way to engage in philanthropy.
  • In handing over legal and administrative responsibility, the donor has the comfort of knowing that we take responsibility for governance, compliance and due diligence in relation to any donation they choose to make.
  • We offer guidance on the art and science of giving effectively. Our expert staff have in-depth knowledge to help develop the right charitable giving strategy, select the right cause or non-profit organisation to support and to ensure that the donor gets feedback on how their donation was used.
  • The donor can avail of our charitable status so that they can give tax efficiently and with immediate effect.
  • The donor can choose to give anonymously if they so wish.
  • A Donor Advised fund is a pathway to planned, engaged and strategic giving.

If you would like to talk with us about setting up a Donor Advised Fund, please contact Niall O’ Sullivan, Fund Development Adviser : 01 874 7354