Running a non-profit means managing everything to serve your community and society well. You also have to participate in raising funds and getting other donations to meet the basic requirements of the non-profit. Although this may sound daunting at times, with a good mindset, everything becomes easy as more people join you to help.
In such scenarios, getting a building donated to your non-profit may seem a reality. Many builders want to help society and give back happiness to their communities. Also, large corporations under the 501c3 wish to fulfill their philanthropic interest for the needy. They also give tax incentives to the property owners. Thus, to get a building donated to your non-profit, you must understand some terms.
We will discuss everything to get your non-profit blessed with a building in this blog. However, it is essential to your interest to approach the builders and what pathway to follow to get them.
Local building donations are the best.
While walking locally, note the best buildings available, which are for donations. You could also search the sites for lease, sale, or rent. The possibility is that the commercial-zoned areas ensure that your charity could legally operate in that space. The next thing would be enquiring about the facilities. Make sure the documents of the property or building are legit. Or, you could go ahead to check with the local realtors if space in a building is available for your non-profit.
What is an outright donation? It is popular because the property deed is directly transferred to the non-profit. It can be a donation of a building by a company or even an individual. Why do they do so? Indeed, outright contributions are best for people who need tax deductions, and by donating their building to a non-profit, it becomes possible.
A bequest happens if the donor met a sudden demise or natural death. In this scenario, the non-profit is named as the beneficiary of the building upon the donor’s demise. You can also follow the quick steps to get a building donated to your non-profit today!
There are scenarios where the donor will agree to sell a building for a non-profit. In the bargain sale, you can get the building at a discounted price, and so, you should look for bargain sales near you. In this, the donor will only pay for capital gains on the “uncharged portion” of the building. This creates a difference in the property’s value, and it is easy for the non-profits to get the building as a donation.
The building can be donated as a charitable gift annuity. In such scenarios, the organization usually pays the donor in small fixed amounts. It is similar to a small yearly income, and some of the annuity is tax-free for the donor. So, undoubtedly it is one of the best options for you to get a building for your non-profit.
CRT- Charitable Remainder Trusts
In CRT, the donor and the organization share the property’s value. As the property owner will sell the property, the proceeds get placed in a trust for the named beneficiaries. In the most general case, the beneficiary is the person (donor) who gets a percentage or share of the income for the rest of their life. It can also be a set term, for instance, 20 years.
There are also building grants for non-profits. Also, based on the size of your charity and non-profit, you get various building grants.
Building grants for non-profits
Organizations, large corporations, and individuals donate land in your area. So, we suggest you check out the empty spaces and know the owner to verify if that’s legit. Or, the easiest way is to contact the state government and explore the current existing land opportunities.
Never forget to research first.
You must do thorough research before starting the “campaign” to get the right building donated to your non-profit. Here are some simple yet critical steps to follow for a smooth hunt!
- Create a detailed and resourceful description of your non-profit’s size and the property you may need to accommodate people.
- Next, make detail and gather knowledge about the costs incurred.
- Calculate how much you may grow in the next five years, as it will give you an overall idea of the total costs, along with the space you need.
- Invite and talk to potential donors for building and ensure the audience knows about your needs and the cause to get a building.
Follow the above tips to get a building donated to your non-profit. After all, it is always a good idea to accommodate people in ample space and make their lives better in all respects.