Named Fund with or without capital
Engaging to one or more good causes.
Would you like to get involved (alone, as a couple or family, or with a community) in supporting one or more good causes close to your heart?
Whether it has a capital or not, a named Fund can always be an interesting way to get involved. This is a flexible option because you yourself set out the objectives to be reached, the duration of the Fund, the scope of its activities (in Belgium and/or abroad), how support is given (e.g. through a call for projects, a prize, or support for a field of research) and the way in which it is managed.
Over many years the King Baudouin Foundation has acquired wide experience in the creation and management of Funds. Synergy across different Funds that share similar objectives is created in order to increase the impact of the Funds’ activities.
A named Fund has, in principle, an unlimited lifespan, which guarantees its structural engagement, continuity and sustainability. However, you may prefer to opt for a Fund with limited duration, in which case every available means is committed to achieve the Fund’s objectives during the time-span agreed.
How it works
The King Baudouin Foundation looks after the administrative management, checks that the project is making an impact, monitors its correct functioning and provides it with the necessary awareness. A Management Committee takes the strategic decisions for the fund and determines how the Fund’s assets shall be used. This Committee comprises at least three members, including the founder(s) or his/her/their representative(s).
The financing of a named Fund depends, above all, on the duration envisaged for the Fund’s activities.
- A Fund with capital, which aims at continuity: in this case, you constitute a capital of a minimum of 75,000 euros or you transfer annual contributions in your role as founder. Each year, 3% of the Fund’s financial assets are allocated to conducting the Fund’s activities, the objective being to preserve the capital so as to act sustainably. The King Baudouin Foundation is authorised to deduct each year 0.7% of the Fund’s capital to finance its own activities.
- A Fund without capital, with limited duration: the resources gathered can be used immediately to achieve the Fund’s objectives. An annual budget is established to develop or support third-party projects. The Fund thus operates as a sort of incubator, which enables new initiatives to be tried out. The King Baudouin Foundation is authorised to deduct each year 5% of the donations received by the Fund to finance its own activities. This amount is degressive for amounts above 100,000 euros of cumulated donations: 3% between 100,000 and 500,000 euros, 1% between 500,000 and 1 mio euros, and 0.5% for amounts above 1 mio euros.
The financial resources attributed to the Fund will be managed in function of the method you choose, with or without the help of a financial advisor and under the control of the King Baudouin Foundation’s Finance Committee.
Funds can be endowed by bequest or by donation made via the King Baudouin Foundation’s bank account IBAN: BE10 0000 0000 0404 – BIC: BPOTBEB1. The Foundation benefits from reduced tax rates for donations and inheritances, in function of the different regions in Belgium. A tax certificate is issued by the Foundation for all donations transferred to it of 40 euros or more.