Endowment (én-dou’ment) n.
An asset donated to a nonprofit organization that is invested and produces perpetual income.
In 2010, TRCF’s 20th anniversary, the Foundation established a modest operating endowment from the proceeds of its 20th Anniversary Celebration and Champions of Change Awards event.
Through the years ahead, TRCF will add to the corpus of this endowment, as the Foundation’s finances permit.
An operating endowment is particularly important in today’s nonprofit world, since only a small percentage of grantmakers provide grants for general operating support. The TRCF operating endowment will help to relieve some of the pressure of annual fundraising from the staff, freeing a portion of their time and energies to further the social justice and change mission of the Foundation. This endowment will also strengthen the Foundation’s economic position and serve as a hedge against inflation and a resource to address unforeseen emergencies or economic downturns.
As with the TRCF Grantmaking Endowment, only the yearly interest from the operating endowment will be used for annual operations, while the principal remains invested in perpetuity. Any unused interest will be re-invested in the endowment to increase the principal.
We welcome the tax-deductible contributions of our friends and supporters to this small, but growing endowment fund.