Family Foundations:
A Resource List

The term "family foundation" does not have any legal meaning, but the Council on Foundations defines a family foundation as one in which the donor or the donor's relatives play a significant role in governing and/or managing the foundation.

This reading list contains selected citations to works from the Foundation Center's bibliographic database, Catalog of Nonprofit Literature, on the topic of family foundations. For a complete bibliography on this topic, including materials from earlier years, use Catalog of Nonprofit Literature, entering the subject headings "family foundations", "foundations — management", or "foundations — establishment and termination" in the subject search field box. You may also search by the name of a specific foundation.

Starting a Foundation

Beggs, Sara. How to Start a Private Foundation. Washington, DC: Association of Small Foundations, 2005. 17 p.

Instructions regarding legal structure, tax-exemption, state registration, and other technical issues related to U.S. law.

Edie, John. First Steps in Starting a Foundation. 5th ed. Washington, DC: Council on Foundations, 2001.

Written for the non-lawyer, the donor, and the person seeking advice on establishing a foundation. Edie discusses in detail the numerous types of organizations that are all generally labeled as foundations by the public, and the requirements for establishing, and regulations governing, each type.

Esposito, Virginia (ed.) Splendid Legacy: The Guide to Creating Your Family Foundation. Washington, DC: National Center for Family Philanthropy. 2002. vii, 258 p.

The book is composed of contributions by various specialists on topics ranging from start-up to grantmaking, and is illustrated throughout with examples and lessons from those involved with family philanthropies. Some of the issues discussed include founder's vision, values and ethics; legal concerns; how to fund the foundation; governance; use of consultants; investments; establishing grantmaking priorities; and public relations.

Management and Governance

Born, Jason (ed.) Investment Issues for Family Funds. Washington, DC: National Center for Family Philanthropy. 1999. xi, 169 p.

Published as volume 2 of the "National Center Journal". Chapters are "Considering the Question of Perpetuity"; "Developing a Spending Policy"; "Funding a Foundation"; "Avoiding Conflicts of Interest and Self-Dealing"; "Training the Next Generation"; "Understanding Trustee Responsibilities and Duties"; "Developing and Overseeing an Investment Strategy"; "Selecting and Working with Investment Advisors"; "Thinking About Mission-Related Investing". Includes bibliographic references and glossary of investment terms.

Buhl, Alice C.; Healey, Judith K. Family Foundation Retreat Guide. Washington, DC: Council on Foundations, 2006.

Comprehensive guide for family foundations considering their first board retreat or looking for ways to have more effective retreats. Explains how to structure a retreat and how to find a good facilitator. Includes bibliographic references.

Edie, John A. Family Foundations and the Law: What You Need to Know. 3rd ed. Washington, DC: Council on Foundations. 2002. vii, 80 p.

Identifies legal issues of concern for members of family foundations and provides "user-friendly" explanations. Some of the topics explained are rules about charitable deductions, excise taxes, self-dealing, minimum payouts, international grantmaking, and the 990-PF. This volume is not intended to discuss every type of legal problem a family foundation could face but rather focuses on those rules that are unique to private foundations and the process of grantmaking from the perspective of family philanthropy.

Gast, Elaine. Built on Principle: A Guide to Family Foundation Stewardship. Washington, DC: Council on Foundations, 2006. xiii, 211 p.

Gast presents nine stewardship principles and practices to guide foundation leaders, whether they are staff or trustees. The tenets relate to governance, ethics, accountability, and family legacy. Sample documents and forms, worksheets, and checklists are included throughout.

Freeman, Douglas; Hausner, Lee. A Founder's Guide to the Family Foundation: How to Use, Enjoy and Govern Your Family Foundation. 2nd ed. Washington, DC: Council on Foundations, 2005. x, 39 p.

A basic primer that includes discussions of foundation governance, grantmaking, the role of family members, transferring leadership, and terminating the foundation. Appendices include sample grant application forms and a bibliography.

McCoy, Jerry J. and Kathryn W. Miree. Family Foundation Handbook. Chicago, IL: CCH Incorporated, annual.

A handbook for financial and legal advisors to family philanthropies, but also provides information and guidance of interest to laypeople. Covers basic legal and fiscal matters such as tax benefits, types of foundations, supporting organizations, the steps to creating a foundation, the role of charitable trusts, structure and governance of the philanthropy, operating restrictions, grantmaking, administration, and special issues. Provides numerous worksheets, forms, and tables, as well as IRS statutes and Treasury Department regulations.

Grantmaking

Best Practices in Grants Management: A Project of the Grants Managers Network. Washington, DC: Council on Foundations, 2001.

A manual designed to assist grantmakers in the entire spectrum of the grants process ranging from pre-grant activities, approvals and notifications, through grant monitoring. Sample letters and forms for each stage are provided. Includes glossary, bibliographic references, and an index.

Foote, Joseph; Knowles, Louis L. Family Foundation Library: Grantmaking. Washington, DC: Council on Foundations, 1997. x, 131 p. (Family Foundation Library series).

Provides case studies of the grantmaking programs of several family foundations. Discusses choosing a grantmaking style, building an effective grantmaking capability, assessing and evaluating grants, developing relationships with other grantmakers, and family relationships when working as philanthropists. Includes samples of letters and forms used by grantmakers, as well as a glossary and index.

Intergenerational Issues

Gersick, Kelin E. Generations of Giving: Leadership and Continuity in Family Foundations. Lanham, MD: Lexington Books, 2004. xix, 283 p.

Published in collaboration with the National Center for Family Philanthropy, the volume provides a research study of 30 family foundations. The case histories look especially at the formative years, and how family members became involved in leadership--and transitions--over the life of the philanthropy.

Goldberg, Alison; Pittelman, Karen. Creating Change Through Family Philanthropy: the Next Generation. Brooklyn, NY: Soft Skull Press, 2006. xv, 168 p.

The authors conducted interviews with young people across the U.S. on the topic of their families' philanthropy. The resulting book is a primer explaining how the younger generation can participate in personal philanthropy with their families. The book explains how a foundation works and how young people can get involved with decision-making. Throughout, it is presumed that the next generation will seek to improve the management of the foundation, so many worksheets and checklists are provided.

In addition to print resources, you may want to browse the following Web sites for more information about family foundations.

• Association of Small
• Council on Foundations
• The National Center for Family Philanthropy