Setting up a fund

How do I set up a fund?

Setting up your own charitable fund with Tees Valley Community Foundation is a rewarding and exciting way of supporting your local community immediately or over the long term.

A fund can be set up in your name, or your company’s name, and you choose what issues or areas your fund will support. You can also draw on our local knowledge and expertise.

Your fund could support a chosen interest such as young people or you could restrict your fund to a particular area such as Stockton or East Cleveland. We will research grants that meet your criteria.  If you prefer, you could leave it up to us to allocate grants to a range of causes across the Tees Valley at our discretion.

You may make a gift of money or an item of value such as shares, property or other investments, or leave a gift in your will.

You can request that grants are paid out in the name of your fund, or anonymously. We can organise publicity for your fund if desired.

A fund gives you all the benefits of having a charitable trust, without the burden of appointing trustees, handling investments and dealing with the Charity Commision. For companies, it is an ideal way of meeting corporate social responsibilities and demonstrating commitment to the local community. For individuals, it is a chance to give something back to the community and could also be an opportunity to leave a long term legacy for future generations.  You can entrust your charitable giving to us, safe in the knowledge that grants will reach local organisations that can use the money effectively.

Our annual management fees are low and setting up a fund may bring tax advantages. We undertake all the administration of the fund, and we will send you donor statements every six months which will show the movement on your capital investment and the grants that have been made out of your fund.

There are two main options available when setting up a fund:

  • You can set up a named endowment fund, which will be invested, and the income from this investment will be used to make grants year after year. This is a capital fund set up with a minimum pledge of £50,000, which can be made as a one-off gift or built up over several years.

    The very nature of endowment means this type of fund will go on helping your local community in perpetuity. It's like having your own charitable trust, but we undertake all the investment and administration - yet you still choose which causes you wish to support.

  • You can set up a named revenue fund, which means that the money you donate will be used immediately to make grants and will not be invested. If you want to see your charitable donation being put to immediate use in the community and are able to give £20,000 or more per annum, then a named revenue fund is the best option for you. Your donation will be used to address priority needs in the community with you choosing which causes you wish to support.

If you do not wish to establish either a named endowment fund or a named revenue fund, there are other ways you can donate to the Foundation.  You can donate via our Localgiving.com page by clicking on the link below or you can simply donate directly to us at the Foundation.  Your donation will be added into one of our general revenue funds and used for immediate distribution within the community. 

https://localgiving.com/charity/teesvalleyfoundation

If you are a Board of Trustees seeking to revitalise a dormant or ineffective trust fund or are looking for an effective way of carrying on the good work of the trust into future years, the Charity Commission has endorsed releasing funds to a Community Foundation as a viable option. To find out more click on the link below:-

http://www.charitycommission.gov.uk/running-a-charity/managing-your-charity/closing-a-charity/

 

To discuss the options open to you, please contact Hugh McGouran by phone (01642 260860) or 07850 433632, alternatively you can email h.mcgouran@teesvalleyfoundation.org