Are you making changes by founding a foundation? You are then starting your own!
Korea separates between juridical foundation and corporation. Simply put, corporation is founded by person while juridical foundation is established by an asset with purpose. Huge difference exists between these two. Corporation use fundraising to raise money for purpose-driven business and operations management. Whereas juridical foundation use the initially contributed property and financial profits generated from it to execute purpose business and operations management.
According to Foundation Center’s 2014 research in the U.S., the number of foundations reaches 86,192 and 54 trillion dollar was donated with 715 trillion dollar asset. Foundations are simply classified into four categories: independent, operating, corporate, and community. Find out more information on Foundation Center homepage to better understand the structure of the foundation in the U.S.
The biggest foundation is “Bill and Melinda Gates Foundation” which is strategically solving social issues such as health, poverty and such with 37.2 trillion-dollar asset. The foundation, which started with fortune Bill Gates made through Microsoft, was established in 1996 with a mission, “Every life has equal value”. In 2000, as Melinda Gates takes part in, it saw both quantitative and qualitative growth. In 2001, the launching of the department for eradication of poverty and illness led the foundation’s active participation in global development activities, which contributed a lot to the medical community. In 2006, with Warren Buffett’s donation, it further widened its sphere of activity.
While Bill Gates took the lead in the foundation’s change in the 90’s, Mark Zuckerberg, the founder of Facebook, is attracting public attention by establishing similar foundation but with different approach. He sold stocks worth of 13 hundred million dollar to support establishing a philanthropic foundation fund. Zuckerberg liquidated stocks to raise a fund for a philanthropic foundation, ‘Chan Zuckerberg Initiative’. Before he passes away, he plans to donate 99% of the Facebook share to this foundation, which will mostly be invested in basic science research.
Since the U.S. has more advanced donation culture than in Korea, it is highly expected that you first study the U.S. foundations and benchmark the upsides of US foundations.
TIP, TIP, TIP that helps you find information!
If you received the result that you are ‘foundation founder’, how about you obtain the information provided by other foundations and gain insights that you can adopt to your own foundation management?
If you are curious about donation and foundation not only in the U.S. but in the whole world, take a look into the Foundation Center. It stores vast range of information from fundraising information for NPO to the 90,000 U.S. domestic foundations’ information. The head office is in New York. You will get more specific and useful information when you visit in person.
Bill and Melinda Gates Foundation
Bill & Melinda Gates Foundation is working hard to extend the scope of beneficiaries of health and medical treatment, to eradicate poverty, to widen the education opportunity in the U.S., and to increase the accessibility to information. This foundation, run by 37.2 trillion dollars asset, has been complimented by its strategic approach by those who have visited or worked with them. There should be a tons of lessons learned from the strategic approach that the foundation chose to implement.
Ford Foundation is operated with the second biggest asset in the U.S., with about 12 trillion dollar. Henry Ford, the founder of the Ford Motor Company, Edsel Ford, and two executives established the Ford Foundation in 1936 with the mission of public welfare. At present, the head office is located in New York and various programs are conducted under the leadership of Darren Walker. Especially, there are lots to learn from their programs for local community and diversity.