Picture of Patrick Hutchinson

Patrick Hutchinson

Introduction

At tKW Capital, we believe in creating sustainable, long-term value that aligns with kingdom principles. We understand the unique challenges non-profits face in securing consistent funding while fulfilling their mission. This white paper outlines how partnering with tKW Capital can provide non-profits with a revolutionary approach to fundraising through Donor Advised Funds (DAFs), enabling them to achieve greater financial stability and impact.

The Challenge for Non-Profits

Non-profits traditionally rely on donations, grants, and seasonal fundraising efforts. These methods often lead to unpredictable cash flows, creating challenges in budget planning and program execution. Additionally, the time and resources spent on fundraising activities can divert attention from the non-profit’s core mission.

Our Solution: Impact Investing through DAFs

What is a Donor Advised Fund (DAF)?

Our investment strategy focuses on acquiring well-established, cash-flowing businesses. These businesses A Donor Advised Fund is a philanthropic vehicle that allows donors to make charitable contributions, receive immediate tax benefits, and recommend grants from the fund over time. By leveraging DAFs, non-profits can engage their donors in impact investing, which combines financial returns with social and kingdom impact.provide a reliable income stream and possess strong growth potential. Here’s how our investment structure benefits our investors:

How tKW Capital’s DAF Works
  1. One-Time Donation
    • Non-profits assist us in reaching out to their donors for a one-time donation into a DAF managed by tKW Capital.
  2. Impact Investment
    • The DAF makes an impact investment into tKW Capital’s fund, which focuses on creating jobs and promoting kingdom principles in growing businesses.
  3. Preferred Interest Returns
    • Non-profits receive an 8% preferred interest return through the DAF.
  4. Distribution of Cash Flows
    • Non-profits and preferred investors receive 75% of available cash flows until the entire donation is returned.
    • Thereafter, non-profits receive 50% of the available cash flows indefinitely.

Benefits to Non-Profits

  1. Predictable Monthly Cash Flows
    Partnering with tKW Capital provides non-profits with predictable monthly cash flows, reducing reliance on seasonal fundraising and allowing for better financial planning throughout the year.
  2. Reduced Fundraising Efforts
    By engaging donors in a one-time donation that generates ongoing returns, non-profits can significantly reduce the time and effort spent on continuous fundraising activities. This allows them to focus more on their mission and program delivery.
  3. Sustainable Long-Term Funding
    The perpetual distribution of available cash flows ensures non-profits have a sustainable source of funding. This long-term financial stability enables them to plan and execute their initiatives with confidence.
  4. Enhanced Donor Engagement
    Donors are increasingly interested in making a social impact with their contributions. Through a DAF, donors can see their funds not only support the non-profit’s mission but also drive positive change in the broader economy by creating jobs and promoting kingdom values.

Why tKW Capital?

  1. Proven Track Record
    tKW Capital has a proven track record of raising, funding, growing, and selling organizations across various sectors. Our expertise in business growth and investment ensures that the funds entrusted to us are managed effectively and yield substantial returns.
  2. Kingdom-Driven Approach
    Our investments are guided by kingdom principles, ensuring that the businesses we grow are aligned with values that resonate with our non-profit partners and their donors.
  3. Transparent and Accountable
    We maintain the highest standards of transparency and accountability, providing regular updates and detailed reports to our partners. This ensures that non-profits and their donors can trust in the integrity of their investment.

Conclusion

By partnering with tKW Capital, non-profits can transform their fundraising strategy, securing sustainable, predictable funding while furthering their mission. Our innovative use of Donor Advised Funds for impact investing offers a unique opportunity for non-profits to engage their donors in a meaningful and impactful way. Together, we can create jobs, promote kingdom principles, and drive lasting positive change in the communities we serve.

For more information on how to partner with tKW Capital, visit kingdomwaycapital.com or contact us directly.

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We invite you to join us in our mission to create a lasting impact through strategic investments. Together, we can transform lives, uplift communities, and build a brighter future.