Donor Designated Fund (DDF)
What is it? A Fund to support a particular need or issue that has been identified in the community. It can be established by an organization or a group of individuals.
Options for the following:
1. An established organization. Organizations including nonprofits that already have their 501(c)3 may be able to significantly reduce their overhead costs, while adhering to best practices by partnering with CTCF through a DDF. Economies of scale are achieved in areas such as processing donations and invoices, filing IRS returns and mailing acknowledgment letters to donors.
2. A group of individuals. If a group of individuals has identified a need in the community, they may want to consider a DDF with CTCF rather than establishing their own 501(c)3. To review the options of a new 501(c)3 versus partnering with CTCF as a Fiscal Sponsor, click here.
How can my organization establish a DDF?
First, CTCF Board approval is required for a DDF, so information about your mission, programs, budget and advisory committee will need to be submitted.
Second, you will need to complete our Fund Agreement. The Fund Agreement outlines the parameters of your Fund, and areas such as the following are addressed:
- What will you name the Fund?
- Who will be the 2 primary advisors for the Fund?
- Are there any restrictions on how or when the Fund can be accessed?
- Does you want the Fund to be invested?
To review a copy of the Fund Agreement or for more information, call or email.