A fourth generation real estate business was contemplating setting up a family foundation. The process was halted when the development committee realized the family was split between supporting not-for-profit and for-profit ventures. The proposed foundation would not satisfy both.
Relative Solutions’ Direction:
It became clear that some family members felt limited by the community outreach goals of the development committee. They wanted to engage in business operations outside of the real estate business. In essence, not only was a family foundation desired, but a family bank was also needed to assess development projects.
An inter-generational group developed criteria for those requesting funding by the family bank. A specific percentage was set aside to support ventures that met the standards prescribed by the foundation’s allocations committee.