How NCCF agency funds help nonprofits build stability
Nonprofits in North Carolina rarely operate with certainty. Many are constantly balancing rising costs and shifting and unpredictable funding streams. In that environment, building long-term stability can help organizations determine which services continue and endure.
An agency fund with the North Carolina Community Foundation is one way organizations build that stability. These funds are permanent endowments established by nonprofits. The principal is invested for long-term growth, and a portion of the earnings is distributed each year to support the organization’s mission. NCCF manages the investments, administration and reporting, allowing nonprofits to focus on their work while building a predictable funding stream over time.
Endowments are most often created with legacy gifts left to an organization, and more than 300 nonprofits across North Carolina have agency funds at NCCF.
Keeping a nightly safety net operating
Greenville Community Shelter operates as an emergency overnight shelter for individuals experiencing homelessness, providing meals and a place to sleep before residents leave each morning. That constant turnover creates ongoing financial pressure, especially for a shelter that relies primarily on donations.
“Our costs continue to increase every day. More people, more space, rising prices,” said Executive Director Charles Young, noting the shelter’s agency fund with NCCF helps provide more long-term financial stability. “We find ourselves needing money all the time, and this helps us fill gaps as they come up.”
Young pointed to rising food costs as one example, noting the shelter serves breakfast daily.
“There have been years where donations were down very badly, and we were searching for funds just to make payroll,” Young said. “Knowing we’re going to get a little something each year helps.”
Planning beyond the year-to-year cycle
The North Carolina Center for Nonprofits is a statewide membership organization serving more than 1,200 nonprofits across North Carolina. It supports nonprofits navigating funding uncertainty.
The Center uses its agency fund with NCCF as part of its long-term financial planning and organizational sustainability.
“The North Carolina Community Foundation really understands nonprofits and communities across the state,” said Tracy Careyette, the Center’s chief financial and operations officer. “The reason we chose NCCF was both because of its strong investment pool and the opportunity to work with another statewide association where we can both continue to expand our reach across North Carolina.”
Day to day, she added, the fund is simple to manage. “The Portal that NCCF offers is very user-friendly. It’s one place I can go to get all the information that I need,” Careyette said.
She encourages nonprofits to have a conversation with NCCF to better understand endowments and other giving vehicles.
“You can have an endowment and not have it interfere with your annual fundraising efforts,” Careyette said. “Don’t let that deter you from considering that as an option.”
Turning stability into community impact
The Ashe County Arts Council uses its agency fund to support the Jane Lonon Legacy Fund Grant. The grant funds local arts projects, including school-based arts education, community theater and visiting artist projects.
“The endowment is very hands off for us, which is really appreciated when you’re trying to do mission, programming-driven work,” said Joni Ray, Ashe County Arts Council’s executive director. “You don’t have to spend extra time worrying about the fund. It’s been so seamless.”
That flexibility mattered after Hurricane Helene disrupted scheduled activities across the region. Even with that, the council was still able to expand grant support later in the year, funding projects such as youth theater residencies and community arts workshops. “We were actually able to offer more grant money than we had in the past,” Ray said.
Building permanence for future generations
For Kids First, Inc., a child advocacy center serving northeastern North Carolina, their agency fund represents continuity for a mission built around children who have experienced abuse and neglect.
“I believe the North Carolina Community Foundation is the best place for any nonprofit to establish an endowment,” said Executive Director Rhonda Morris. “It’s just a common-sense move.”
“It’s our rainy-day fund,” Morris said. “An endowment is a legacy for this organization. It means Kids First can continue long after current staff and leadership have moved on.”
Across these organizations, the details differ, but the pattern is consistent. Agency funds at NCCF do not replace fundraising or mission work. Instead, they provide a steady layer of support that helps organizations stay open, programs continue, and services remain in place even when funding is uncertain, helping ensure missions endure over time.