News & Stories
Understanding Fund Types: How Your Giving Can Make a Lasting Impact
Photo credit: Courtney Kent Photography
Image description: Three young professionals standing on a sidewalk beside a large brick building with tall windows
Community foundations are place-based public charities, dedicated to benefiting people and places within a defined geographic area. At the Grand Traverse Regional Community Foundation, a key component of our work is partnering with donor partners to steward their giving for the benefit of our community. This includes creating different types of funds to support both the giving of the donor partner and the needs of our community.
The variety of fund opportunities can be complex to navigate, so we encourage community members to reach out to us when you’re looking to create a fund or to donate to a specific cause. We’re here to answer any questions you might have and make the process as simple as possible.
Below are the different types of funds here at the Community Foundation with descriptions and examples:
Cause-Based Funds
Cause-based funds support a specific focus area such as universal access, mental health, or early childhood education, but the recipient organizations vary from year to year. Organizations apply for grants that are awarded annually in the fall. Examples of cause-based funds include:
Community Funds
Community Funds are a group of flexible funds that meet local needs that change or emerge over time. These funds are a strategic way to invest broadly in community benefit for the short and the long-term. Examples of Community Funds include:
Donor Advised Funds
Donor advised funds provide a donor partner an opportunity to make a gift to the Community Foundation and have an active role in deciding each year where the grants are awarded. They can be named after the donors or anonymous. Examples of donor-advised funds include:
Named Funds
Named funds can be designated to a specific cause or organization or they can be undesignated to meet community needs across the region. These funds are an accessible way to honor or memorialize a community member or family member. Examples of named funds include:
Organization Funds
Organization funds are created to support one specific nonprofit partner or a specific need at that nonprofit. For example, we have a fund for Cherryland Humane Society’s general operating support and a new fund that goes to Cherryland Humane Society to support their emergency vet clinic. Most of our organization funds support general operating needs at organizations because those are the most flexible, useful resources for a nonprofit partner. Examples of other organization funds include:
Scholarship Funds
Scholarship funds support graduating high school seniors and current students pursuing post-secondary education, including college, trade school, or certificate programs and can be for a variety of specialties. Since we have over 100 scholarships, we have an eligibility quiz that students can take to see what scholarships they qualify for to simplify the process for them. Examples of scholarship funds include:
Being place-based means we are here to serve the needs of this region by partnering with local community members and nonprofit organizations. While our fund types can be complex, we’re here to support your giving and make sure gifts of all sizes have a meaningful impact. Contact us today to learn more.