Summary:
- Building an endowment can help organizations weather financial storms and ensure long-term sustainability. An endowment is a pool of invested funds that generates income to support an organization's mission.
- Key steps to building an endowment include setting clear goals, developing an investment strategy, and cultivating major donors. Endowments should be managed carefully to balance growth and spending needs.
- Endowments provide a reliable source of funding and allow organizations to focus on their core work rather than constantly fundraising. They can help organizations weather economic downturns and plan for the future.