How do I create a new Donor Advised Fund (DAF) for my client (the Donor)?
If you are ready to begin please visit our onboarding application process.
Before completing the application process, the following steps are provided as guidance:
1. Philanthropic fact find.
- What purposes interest the donor? Examples such as animals, children, healthcare, environment.
- Are there any charities the donor would like to give grants to?
- How frequent does the donor wish to make grants? This can be annually (could be on the Donor’s birthday or other significant date), biannually, quarterly, monthly or ad hoc.
2. Are there any Additional Grant Representatives?
- A Donor can choose whether to have one or two members of family be part of their charity foundation and have the capacity to make Grants.
- Additional Grant Recommenders are able to request a Grant to be made, however it will need authorisation from the Donor before the Grant is made.
3. Are there any Additional Grant Representatives?
- What are Additional Grant Representatives?
- A Donor can choose whether to have one or two members of family to be part of their charity foundation and have the capacity to make Grants from.
- Additional Grant Recommenders are able to request a Grant to be made, however it will need authorisation from the Donor before the Grant is made.
4. Successor of the DAF
- This can be a family member of the Donor, including one of the Additional Grant Recommenders, or the Donor can choose to have the assets of the Charitable Foundation transferred to a UK registered charity. If the latter, please ensure the Charity name and number is completed in the application form.
- What happens if the Donor chooses not to have a successor?
- In this instance it will be down to the TCF Trustees to decide on what happens with the DAF and the charity/ies which receives Grants, in line with the Donor’s philanthropic objectives.
- What happens if there’s more than one Successor?
- The Donor can choose to have up to 4 Successors, the Donor will state which order they want the Successors to each have their own 3 year cycle of managing the DAF, they can miss their turn if they wish. When there’s one Successor left they must say if they wish to add another Successor or for the DAF to be managed by the TCF Trustees to carry out the wishes of the Donor.
- There will be an Additional Successor form to complete for each Successor.
- The Donor can choose to have up to 4 Successors, the Donor will state which order they want the Successors to each have their own 3 year cycle of managing the DAF, they can miss their turn if they wish. When there’s one Successor left they must say if they wish to add another Successor or for the DAF to be managed by the TCF Trustees to carry out the wishes of the Donor.
- What happens if the Donor chooses not to have a successor?
Upon submission TCF will send the completed application form to the Donor and Additional Grant Representatives via our electronic signature system for them to check the application form and sign. On return of all signatures this will be forwarded onto the Trustees for sign off.
Please visit our onboarding application process, complete your firm details and select the custodian where the DAF is to be held.
- Individual DAFs – The adviser completes the Donor details and answers the question of whether the DAF has a joint Donor, if so completes their details.
- Corporate DAFs – The adviser completes the details of the company setting up the DAF and ensures there is at least one named person managing the DAF.
