How Does It Work?

Non-endowed Funds


Sometimes called agency flex funds, can be used when and how you see fit. They remain secure, under our stewardship, until you need them.

  • Allow full access to the balance of the original gift and all future earnings.
  • Provide investment expertise and secure returns.
  • Provide a way to accumulate funds for a capital campaign.
  • Provide a way for donors to give complex gifts such as stocks, life insurance or property.
  • Increase investment yield as your agency funds are pooled with ours to provide maximum return and lower fees.




Agency Endowment Funds


Permanent investments, which we manage on behalf of your organization. The distribution of funds are made from the earnings, without touching the original contribution—or principal.

  • Protect your organization’s endowed monies for future needs.
  • Provide annual income, depending on market performance.
  • Demonstrate to your donors a commitment to long-range financial planning.
  • Provide a way for donors to give complex gifts such as stocks, life insurance or property.
  • Increase investment yield, as your endowment is pooled with our other funds to provide maximum return and lower fees.




What happens once you choose the fund?


  1. Your board determines how much to invest.
  2. Funds established with a minimum gift of $25,000.
  3. Our staff helps you complete a fund agreement.
  4. We set up a fund in the name of your nonprofit.
  5. The fund remains as an asset on your nonprofit's books.
  6. Your nonprofit has 24/7 online access to financial statements.
  7. Your nonprofit can add to the fund at any time.
  8. We handle al administrative details including investment management.
  9. Earnings are distributed to your organization annually as grants, supporting your programs forever.




Why would a nonprofit open an agency fund?


Participation in Our Professionally Managed Investment Program — The investment program combines the assets of permanent charitable funds for investment. Each individual fund benefits from the strength of a large pooled portfolio. The result is high quality, diversified investment management with reasonable costs.

Increase Long-Term Viability and Stability — Endowments provide your non-profit organization with a steady income stream to offset operations, fund new and innovative programs, offer tuition assistance and support other mission-critical activities.

Attract Donors — An endowment communicates that your organization will be around for a long time, which offers a further incentive for prospective donors.

Save Time and Resources — Deepen your non-profit's focus on its core mission, as you require less time for administration and management of your endowments. We structure in ways to easily grow and add to your fund.

Build Skills and Contacts — We work with many professionals that can assist your group and your donors in establishing complex gift transactions. We work with your board members and professional advisors to assess goals and develop strategies. We occasionally provide educational opportunities, including endowment-building seminars, grant-writing workshops and wealth-management presentations.




Are we ready for an agency fund?


The advantages of creating and maintaining an endowment are particularly compelling during periods of economic uncertainty. Every dollar earned from endowment investment is one less that you need to raise. Is your organization ready for an endowment?

Consider some of the key financial and organizational indicators that influence success in our endowment programs:

Leadership — In our experience, non-profits that are able to adapt to changing needs over time gain the most from endowments. Strong and experienced management, successful transitions of leadership, and an active and diverse board are other leading indicators for success.

Financial Responsibility — Groups that enjoy financial stability, fiscal accountability, a broad base of support, and a sound spending policy are able to maximize the benefits of an endowment program.

Fund Development Capacity — To develop successful endowment funds, groups should have sufficient staff and volunteers to carry projects through to completion, as well as the potential to raise matching funds and a strong commitment to long-term fundraising strategies.




How do we get started?


To establish an Agency Fund, we ask that you contact KCF's CEO, or your organization's legal counsel. A discussion with your board, professional advisors, and or directors and KCF will facilitate review and establishment of an agreement. Upon KCF Board approval, your non-profit organization and KCF will sign a mutually acceptable governing contract, known as a fund agreement, and a separate acknowledgement statement. You will then transfer a minimum of $10,000 to KCF, which we administer under the terms of the fund agreement.

Typically, distributions from Agency Funds are made annually. An endowment partner may elect to reinvest all or part of their annual distribution back into the fund. Reinvested distributions to the fund balance are not available for distribution in future years.

Already have an Agency Fund? For more information and questions regarding your organization's fund, please contact Kol Medina, President & CEO of KCF by email at kcf@kitsapfoundation.org or phone 360.698.3622.





Simply put, an agency fund is a fund that Kitsap Community Foundation manages on behalf of your organization that will permanently support your organization. When you establish an agency fund with us, your nonprofit receives a return on its cash reserves, while creating a permanent stream of revenue for your agency. Participating in this Agency Fund provides efficient and effective stewardship of an organization's endowment. 

The advantages of creating and maintaining an endowment are particularly compelling during periods of economic uncertainty. Every dollar earned from endowment investment is one less that you need to raise. We can also help you manage non-endowed funds.

What Is An Agency Fund?

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Physical: 

9657 Levin Rd

Suite 220

Silverdale, WA 98383

Mailing:

PO Box 3670

Silverdale, WA 98383

 

Due to COVID-19, our physical office is not currently open. We are still accepting phone calls from 8am - 4pm, Monday - Friday.

If you need to drop something off at the office, please call
(360) 698-3622 to coordinate.

(360) 698-3622

Tax ID Number: 94-3205217

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