What are my options for giving to charity?
There are many ways to give, each beneficial to society. Once you've decided to give, there are a number of good online publications to help guide your decisions.

So You Want to Give - A publication that helps potential donors explore their giving options, produced by the staff of the New Ventures in Philanthropy project of the Forum of Regional Associations of Grantmakers.

Minnesota Toolkit for Giving: A New Resource for Donors and Advisors - The Minnesota Council on Foundations (MCF) launched the Minnesota Toolkit for Giving, designed as a resource for individuals who want to learn more about charitable giving, and ways their donations can achieve their philanthropic goals. Through an interactive website, people can explore their giving options and obtain information on how to select a professional advisor.

Chris Farrell's Sound Money Guide to Sharing the Wealth - Published by Minnesota Public Radio, this booklet provides easy to read background on charitable giving and describes various options for donors ranging from cash donations to charitable remainder trusts. It also contains a very helpful resource section that directs the reader to a wide range of additional information. The website offers a variety of resources for giving.

How do I start a foundation?
Starting a foundation involves complex legal structures, therefore, it is essential to consult with legal counsel who specializes in this area.

For an online overview of the organizational and legal issues you'll need to take into account, as well as the benefits of a foundation, Starting a Private Foundation, from the Forum of Regional Associations of Grantmakers, can be very helpful.

For more in-depth information, the Council on Foundations publishes a detailed guide, First Steps in Starting a Foundation. To purchase, visit the Council's website, www.cof.org, or call 301/645-7303.

How do I develop grantmaking programs?
Once you have determined a primary funding area, there are a variety of resources to help you develop a grantmaking program. Following is an exploration of three important areas to consider: learning how to add value to your funding area, developing appropriate grantmaking processes to be most effective, and cultivating a grantmaking style.

Adding Value to Your Funding Area
As Mark Kramer and Michael Porter state in "Philanthropy's New Agenda: Creating Value," the first priority of effective philanthropy is to add value.

You must be in touch with your field of choice, which can be done in a number of formal and informal ways. Some grantmaking organizations bring practitioners and other experts on to their boards of trustees, hire some onto their staff, hire experts to review certain groups of application, or have auxiliary advisory boards. Alliance members stay in touch with their fields through Alliance programming they attend or initiate, and via direct exchange with other members who fund similar areas.

Effective grantmakers build in assessment as an ongoing process from the beginning. There are different approaches in funding direct service vs. public policy. Read a Foundation News & Commentary article on the subject.

General operating support is appropriate for some initiatives and project support in other cases:

Above all, you can be most effective if you can keep focused while assessing your work on an ongoing basis. The staff of the Conservation Company writes about staying focused in a series of articles on the subject.

Operating Procedures
With new grant programs you have the opportunity to start fresh with procedures. You can use a common application form to make the process easier for applicants. Funders of medical research sometimes accept the National Institutes of Health's application form.

Methods for getting applications in the door range from sending a 'request for proposals' (RFP) to a pre-selected group of organizations or individuals, to publicizing your interests widely via the Foundation Center. If appropriate, you can set up a web page yourself or through the Foundation Center's Foundation Folders program.

The first rule about developing grants management procedures is indeed the Golden Rule: do for others what you would have them do for you. The Grants Managers' Network can help you develop systems and processes that will be effective and efficient for you, as well as being kind to all applicants and grantees.

Grantmaking Style
The most intangible element of developing a grantmaking program is the element of style. Style comes from personal style, organizational style, the nature of the field you are funding. A style appropriate to funding senior medical researchers is not right for people who are the volunteer leadership of grass roots community-based organizations.

One important element of style that needs to be addressed directly is the issue of risk. How risky your funding is again relies on the grantmaking style developing, but heavily relies on the nature of the field. Does your field need some start-up organizations? These can be less certain investments, but may be necessary.

What is the time frame of the issues you are funding? Example: A foundation funding environmental issues and one funding AIDS research decided to spend all of their assets in just ten years because of the nature of the areas they funded -- the dollar invested in those fields today could prevent a much greater loss in the future.

Identifying best practice in the field is an art and a never-ending task. Here is how some grantmakers look for best practices.

Where can I find resources for new grantmakers?
We have a section on our Web site devoted to beginning to give for those individuals considering starting a foundation or new to grantmaking. The resources in this section will provide you with a wealth of knowledge as a new grantmaker.

The Alliance offers workshops for people new to the field of grantmaking. See the Calendar of Events section of our Web site for available training opportunities.

Also, from the Council on Foundations, with the National Center for Family Philanthropy, is the four-volume Family Foundation Library. Contrary to its name, this is not only for family foundations. The fourth book in the series, on grantmaking, is useful for new grantmakers of all types. Order from the Council on Foundations.

In addition, the Council on Foundations' bimonthly publication Foundation News and Commentary is essential for the latest issues affecting the field. Current and past issues are available online.

Partial text reprinted with permission from the Forum of Regional Associations of Grantmakers.

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