Terms and Conditions relating to Foundation Accounts
Version 1.3 May 2023
1. Foundation Accounts
1.1. Clauses 30 to 37 are only applicable to Agreements where the SOW includes provision of a Foundation Account
1.2. A Foundation Account is a sub-fund of Good2Give Community Fund (ABN: 75 706 087 297). Funds are pooled under the control of G2G as Trustee of Good2Give Community Fund.
1.3. A Foundation Account is not a separate legal entity. The assets of the Foundation Account will not be separately accounted for in the statutory financial statements of Good2Give Community Fund, however separate management accounts in respect of the assets will be maintained for the purposes of the Account Founder and G2G internal management and identification.
1.4. Assets and liabilities of Good2Give Community Fund are under the control of Good2Give as Trustee for Good2Give Community Fund and are not under your ownership or control.
2. Account Founder
2.1. The Account Founder is named in the SOW.
2.2. The Account Founder and any associate of the Account Founder must not receive direct or indirect benefit from the distribution of grants to any charitable organisation from the Foundation Account.
2.3. If the Account Founder is an individual, they must be over the age of 18 and legally entitled to establish a Foundation Account.
3. Foundation Account Structure
3.1. Foundation Accounts are either held as cash (Cash Foundation Accounts) or are invested (Invested Foundation Accounts).
3.2. The assets of Cash Foundation Accounts are held in a pooled bank account under the control of G2G as Trustee of Good2Give Community Fund.
3.3. The assets of Invested Foundation Accounts are held in a pooled investment account with G2G’s Investment Manager and under the control of G2G as Trustee of Good2Give Community Fund who receives advice from G2G’s Investment Committee.
3.4. At the discretion of G2G or G2G’s Investment Manager a proportion of each Invested Foundation Account may be held in cash to satisfy anticipated Grant Requests.
3.5. Details of G2G’s Investment Manager, Investment Policy and current asset allocation is available on request. G2G reserves the right to change its Investment Manager, Policy, asset allocation or strategy at any time.
3.6. Investment returns are allocated to Invested Foundation Accounts on the last day of every month. The Account Founder acknowledges that investment returns can be positive or negative.
3.7. As an entity exempt from income tax Good2Give Community Fund is eligible to receive a refund of franking credits associated with dividends received. Franking credits in relation to each financial year will be allocated to the Invested Foundation Accounts annually on or before 30 September of the following financial year.
3.8. No interest accrues on balances of Cash Foundation Accounts
3.9. The choice of Account Structure is entirely at the discretion of the Account Founder.
4. Fundraising
4.1. The Account Founder may make donations into the Foundation Account.
4.2. Donations can also be made into the Foundation Account by employees and related body corporates of the Account Founder if the Account Founder is an incorporated entity, and by family members of the Account Founder if the Account Founder is an individual.
4.3. No public solicitation of donations (“Fundraising”) may take place unless the use of Good2Give Community Fund’s Fundraising Licences is expressly mentioned in the SOW.
5. Donations and Grants
5.1. Payment of any Donation to Good2Give Community Fund by a Donor constitutes an absolute transfer and is not returnable to you or the Donor.
5.2. G2G does not in any way guarantee, endorse, warrant, or make any representations regarding the objects, the financial standing, or status of any Charity to which it may make grants or which it may identify in any report or analysis as part of the Services.
5.3. The Account Founder, their authorised representative, or an individual nominated in writing by the Account Founder, may make a Grant Request at any time which specifies the Nominated Charity and the dollar amount.
5.4. G2G will only make grants to Nominated Charities equal to or less than the Available Balance of the Foundation Account which is the balance less any applicable fees or deductions.
5.5. G2G makes distributions to charities twice a month and therefore aims to make grants to Nominated Charities in respect of Grant Requests within 14 days of receiving the request. You acknowledge that large Grant Requests from Invested Foundation Accounts may take longer to process as the funds need to be realised from the investments.
5.6. Good2Give Community Fund is a Public Ancillary Fund which has certain obligations including to the ATO and the ACNC. Where the making of a grant to a Nominated Charity in respect of a Grant Request would breach these obligations, or where G2G has been unable to perform successful validation procedures on the Nominated Charity, G2G as Trustee for Good2Give Community Fund will use its best endeavours to seek an alternate Grant Request from the Account Founder.
5.7. Where an alternate Grant Request is not received from the Account Founder, then G2G will be entitled to make a grant to another Charity in accordance with Good2Give Community Fund’s charitable purposes as it shall in its discretion deem appropriate.
5.8. Donors who make post-tax donations will receive a tax-deductible receipt from Good2Give Community Fund (and not the Nominated Charity) for the amount of their donation.
5.9. You should seek your own tax advice as to whether any donations you may make into the Foundation Account are tax deductible business expenses.
6. Reasonable Expenses
6.1. Reasonable costs of fundraising, which may include G2G’s fees, may be deducted from the Foundation Account.
6.2. Under no circumstances can an Account Founder or a Related Party of an Account Founder be reimbursed from the Foundation Account.
7. Fees
7.1. Fees will be deducted from the Foundation Account unless the SOW specifies that they are to be invoiced to the Account Founder.
8. Foundation Account Closure
8.1. The Account Founder may close their Foundation Account by giving G2G 30 days’ notice.
8.2. In the case of Invested Foundation Accounts G2G will instruct its Investment Manager to liquidate the assets in the Foundation Account and will notify the Account Founder of the final Available Balance after this has occurred.
8.3. G2G may close Foundation Accounts which have received no donations in the past three years or whose Available Balance falls below $500. Prior to doing so it will give 30 days’ notice to the Account Founder who will be given an opportunity to make a donation into their Foundation Account.
8.4. On Account Closure G2G will seek a Grant Request from the Account Founder and the Available Balance must be granted to a Nominated Charity. Under no circumstances can the Available Balance be returned to the Account Founder.