In Israel, more than in most countries, foreign currency is an integral part of every facet of the country’s daily economic enterprises – private, business, and public sectors, alike.
A recent released study showed that 53% of financial support to Israeli charities came from abroad. Thus, making foreign exchange exchange fees, rates, and processing times of the utmost importance to Israeli charities.
Israeli charities (amutot in Hebrew) rely on donations from overseas – no secret there. Many foreign-based charities choose to create an American based nonprofit, more commonly referred to as a “Friends of” organization so donations can be tax-deductible vis-a-vis the American Federal Government. (In a previous post, I spoke about IRS trends when a “Friends of Organization” is applying for tax-exempt status.)
However, it could be that establishing a “Friends of” organization is not in your charity’s best interest. The following are some considerations that elaborate on: Why not to raise funds through a U.S. registered “Friends of” Organization?
A list of the essential articles I posted to Twitter from February 21– March 6, 2010. This week’s topics include: Nonprofit Strategy & Governance; Social Media; Israel Finance & Economy; Global Finance & Economy; & Potpourri.
In a previous post, I mentioned that a loan and a line of credit serve the same purpose. While that may be true in a broad sense, they actually can be quite different. Hence, the different names. The bank will look at both types of credit the same way, evaluating the amount of credit requested against the amount and type of collateral offered. The customer, however, only cares about one thing, which option is cheaper.