THE RICHARD WEST FREEMAN ENDOWMENT CHALLENGE APPLICATION

GUIDELINES

The purpose of The Richard West Freeman Endowment Challenge (The Challenge) is to create endowment funds for nonprofit organizations serving the Greater New Orleans thirteen-parish region. The Challenge is designed to assist nonprofit organizations in (1) establishing and/or building endowments and (2) educating the nonprofit sector and the donor community on the importance of building financial independence to ensure long-term financial stability. Endowments offer stability by providing a predictable source of income. The entire principal of the endowed fund is invested, yielding annual income. Over time, endowments are likely to increase from reinvested earnings and from additional contributions by donors and the nonprofit organizations.

The Richard West Freeman Endowment Challenge will match one dollar for every two dollars raised by nonprofits. Nonprofits will have the opportunity to select a preference for one of the three matching categories:

  1. The nonprofit raises $10,000.00, The Challenge matches $5,000.00.
  2. The nonprofit raises $20,000.00, The Challenge matches $10,000.00.
  3. The nonprofit raises $30,000.00, The Challenge matches $15,000.00.

To be eligible nonprofit organizations must meet the following requirements:

  1. A nonprofit with a 501(c)(3) public charity status.
  2. In operation for a minimum of five years.
  3. Main headquarters in one of Greater New Orleans’ 13 parishes: Assumption, Jefferson, Lafourche, Orleans, Plaquemines, St. Bernard, St. Charles, St. James, St. John, St. Tammany, Tangipahoa, Terrebonne or Washington.
  4. Presently has no endowment with a market value that exceeds $500,000.
  5. Evidence of previous fund raising success.
  6. An annual independent audit.
  7. A volunteer board.
  8. Board approval to take part in The Challenge and to place funds raised for the Freeman Challenge Endowment at the Greater New Orleans Foundation.

THE RICHARD WEST FREEMAN ENDOWMENT CHALLENGE APPLICATION

Organization Name / Date
Mailing Address / Organization’s Telephone
Proposal Contact Person /Title / Direct Telephone / Fax
Proposal Contact Person’s Email Address / Organization’s Website Address
EIN Number / Founding Date / Program Area

Match Challenge Goal Preferred (select one):

______Goal of $15,000.00 – Raise $10,000.00, The Challenge matches $5,000.00.

______Goal of $30,000.00 – Raise $20,000.00, The Challenge matches $10,000.00.

______Goal of $45,000.00 – Raise $30,000.00, The Challenge matches $15,000.00.

Fundraising Track Record (fiscal year):

Annual Giving2010 ______2009 ______2008 ______

Capital (for non-operating purposes)2010 ______2009 ______2008 ______

Endowment2010 ______2009 ______2008 ______

Bequests (paid) 2010 ______2009 ______2008 ______

Does your organization currently have any funds held as savings, in reserve, or as a formal endowment?

_____Yes _____No

If yes, what is the Market Value of the present endowment: $______

How is the Endowment managed? ____Your Organization

____ Other Source (______)

(Please specify)

______
Signature of Board Chairman/President
______
Print Name (Title) / ______
Signature of Executive Officer
______
Print name (Title)
For Grantmaker Use
Date Received / Proposal Identification Number

Application Form

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Complete the following questions (please do not use more than threepages total):

1)Background (limit to one page) - Describe the work of your agency, addressing each of the following topics.

a)A brief description of the organization’s history and mission.

b)The organization’s growth and major accomplishments.

c)The population that your agency reaches, including geographic location,socio-economic status, race, ethnicity, gender, age and physical or mentalabilities.

2)Challenge Request

a)Which Match Challenge are you requesting?

b)Does your organization currently have any funds held as savings, in reserve, or as a formal endowment? If no, why not?

c)If yes, what is the purpose of these funds? “Reserve” funds or formally endowed?

d)What amount, if any, has your organization raised for permanent endowment purposes in the last three fiscal years?

e)How will having, or adding to an endowment fund affect your organization?

3)Endowment Fund-Raising Plans

a)What key strategies will you use? (Examples: a gala, a walk, an appeal letter, a major donor ask, a foundation grant, etc.)

b)What changes, if any, will be made to the current board makeup or involvement in order to pursue these strategies?

c)What changes, if any, will be made to the current staff responsibilities in order to pursue these strategies?

d)Please attach an outline of organization’s endowment fundraising plan and names of potential fundraising leadership from both Board and staff.

Application Form

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4)FutureEndowmentBuilding

a)If your organization receives The Challenge Grant, what strategies will be used to build the endowment fund?

b)How will the earnings from the endowment be used?

Please include the following with the attached application form:

  1. IRS determination letter
  2. List of present Board Members
  3. List of present staff with number of years employed. If more than 10 employees, only list senior staff and give total number employed.
  4. Most recent Annual Report, if available.
  5. Most recent annual audit and financial statements.

Please note your proposal will be incomplete if all attachments are not included.

How to participate:

  1. Complete the application (including attachments) and email it to: by 5:00 PM, June 25, 2012. Applications must be typed and no faxed applications will be accepted.
  1. If selected: sign letter of agreement, attend endowment training programs and agree to have non-profit’s name included in public announcements of The Challenge.