Why give through SCF

An alternative to setting up a private foundation or PPF

Using the Sydney Community Foundation structure offers an attractive alternative to the expense and administrative burden of setting up and maintaining a private foundation or Private Prescribed Fund (PPF). The need to establish a Board of Directors and a Constitution is no longer there. Policy development and procedural administration and the associated cost overhead are already in place. Investment management and custodial services are already contracted. A sub-fund with Sydney Community Foundation can be set up in a day rather than requiring months.

Setting up a philanthropic fund with the Sydney Community Foundation is a simple and cost effective alternative. No minimum start-up funds are required for a named fund within the Foundation as long as the donor intends to build it to a minimum of $50,000 over five years. There are no set up costs and 100% of the donation goes to projects after a small administrative fee (usually 1.5%pa).

Through the Board, volunteers and staff, you can access years of experience of working in the not-for-profit sector. By working with the trustee, you can access the foundation's extensive knowledge of the local community and its needs. You also have the choice to be closely involved with the work of your sub-fund or maintain an arms-length relationship.

Private foundations often experience problems with succession. A foundation established by a previous generation often struggles with how to engage the next generation in philanthropy. A community foundation, such as Sydney Community Foundation, can offer assistance in bridging the gap. Donors can be assured that funds continue to be managed responsibly and used in accordance with the philanthropic intentions of the original founders.

A donor-advised sub-fund with Sydney Community Foundation offers a very viable, cost effective and efficient alternative to a private foundation. The sub-fund can be established in your name, the name of a family member, your company or organisation or after the cause that your sub-fund is intended to support. This may be a specific project, a general theme, a geographical area within Sydney or a combination of all three. Alternatively, you may choose to remain completely anonymous.

There are no legal fees attached to setting up a donor-advised sub-fund. The Foundation handles grant applications, disbursements and receipts; in fact all administrative and financial details. The advantage is that this professional stewardship and the expertise and application of local knowledge in grant-making is available without the demanding overhead cost.