faq

Non-Cash Donations
1. What is Dechomai Foundation and why was it established?
Dechomai Foundation, Inc. is a national public charity headquartered in Atlanta, Georgia whose
focus is on accepting and granting the donation of non-cash assets to charities, whether the
charity is Dechomai or some other organization. The Foundation was established by
professionals with extensive experience in both the non-profit and the for-profit arenas and
whose collective vision is to dramatically increase charitable donations throughout the US by
making it easier for other charities to accept assets that have traditionally been difficult to
receive and liquidate.

2. How is Dechomai Foundation operated?
Dechomai Foundation, Inc. is governed by a Board of Directors. All day-to-day managerial,
administrative and operational functions are provided by Charitable Solutions, LLC an Atlanta,
Georgia-based limited liability company.

3. How does Dechomai Foundation make it easier for other charities to accept non-cash
assets?
Dechomai Foundation allows other charities to outsource the expertise needed and the
potential risks inherent in accepting many non-cash assets. The Foundation will, after approval
from its Board of Directors, accept the donation of the non-cash asset, provide administrative
services for holding and then liquidate the non-cash asset, and finally grant the net proceeds of
the sale of the non-cash asset to the originating charity upon Board approval.

4. Who is Dechomai Foundation’s target market?
Although the Foundation does not intend to actively solicit donations from individuals,
Dechomai will work with anyone who wishes to donate a non-cash asset to any recognized US
charity. The primary “market” for Dechomai’s services, however, will be other charitable
organizations from which the non-cash donation will originate. These referring charities –
whether due to lack of time, capacity, expertise or to avoid liability – will refer the donor to
Dechomai Foundation which will in turn accept, administer and liquidate the non-cash donation
and then grant out the net proceeds.

5. What is the relationship between the referring charity, the donor and Dechomai
Foundation?
The referring charity will be kept up-to-date on the donation process on a regular basis by
Dechomai Foundation if so desired. The donor, however, will be making the donation to
Dechomai Foundation and NOT the originating charity. Therefore all official communications
will be between the donor and Dechomai Foundation. The donor and his or her
representatives should be comfortable with and perform the appropriate due diligence on
Dechomai Foundation, Inc. The donor may recommend that the net proceeds from the
liquidation of the non-cash donation be made to the referring charity or other charities. That
grant, just as is the case with the acceptance of the non-cash donation, is subject to approval
by Dechomai’s Board of Directors.

6. Who sends out the written confirmation for a donation - the referring charity or Dechomai
Foundation?
All official communication pertaining to the specific non-cash donation will come from
Dechomai Foundation, Inc.

7. What types of assets are accepted as donations to Dechomai Foundation?

Real Estate – Commercial, Residential, Net leased property, Limited partnerships and
limited liability companies, Mortgages, Operating partnership units
Non-Publicly Traded Stock – Restricted stock (Section 144 and 145), Closely-held stock
(also known as "Privately-Held"), S-Corp stock
Other Non-cash Assets – Limited partnerships and limited liability corporations,
Installment notes and other miscellaneous assets
Personal property – cars, planes and boats are generally not accepted and art,
collectibles and antiques are considered on a case-by-case basis

8. What is the minimum size needed to make a non-cash donation worth referring to
Dechomai Foundation?
$100,000 or higher; the minimum charitable fee is $10,000

9. What are the fees and expenses involved in accepting and administering a donation?
Dechomai Foundation will charge a small percentage fee for these services bases on a sliding
scale of 1-3 percent based on the size and complexity of the asset. An initial audit is performed
at no charge to determine the complexity, estimated time and estimated fee involved in
accepting and administering the non-cash donation (up to three hours).

10. What is the process for selling a non-cash donation?
A liquidation plan is developed for each non-cash asset. A large, national network of private
and institutional investors has been developed to mitigate some of the market's inefficiency for
illiquid, non-cash assets. Dechomai may also hire a broker to market the property.

11. How long does it take to accept, administer and then grant out the typical donation?
As one might suspect, there really is no “typical” non-cash donation. From gift acceptance to
granting the net proceeds can take anywhere from a couple of weeks to a few years, depending
on the complexity and marketability of each non-cash donation.

12. Who should be involved in the donation process?
A donor should involve everyone that donor typically consults on tax and estate planning
issues. Neither Dechomai Foundation nor its administrative service providers nor any of its
other affiliates provide tax or legal advice.

Charitable Gift Annuities

1. Describe how a Dechomai charitable gift annuity works step-by-step.
After the donor contacts Dechomai, he/she will be provided with a sample gift illustration. We
then will provide a disclosure letter, fee schedule and gift annuity agreement. The donor
transfers the assets to fund the gift annuity and executes the agreement. Dechomai makes the
contractual payments as long as the donor lives and then places the residuum into a donor
advised fund. The donor must leave instructions for the ultimate grant so that Dechomai may
then approve a final distribution of 100% of the proceeds as a donor advised distribution.

2. How are the funds invested?
Dechomai uses exchange-traded and index funds to keep fees as low as possible and
rebalances the portfolio once each year.

3. What are the minimums?
Dechomai has a minimum gift annuity of $25,000.

4. What assets can be used to fund gift annuities?
Typically, cash or marketable securities are the funding assets, however, we may also consider
various forms of non-cash assets on a case-by-case basis.

Charitable Remainder Trusts

1. Describe how a Dechomai charitable remainder trust works step-by-step.
After the donor contacts Dechomai, he/she will be provided with a sample gift illustration. We
then will provide a disclosure letter and fee schedule. The donor’s attorney must create the
trust naming Dechomai is trustee. The donor then transfers the assets to the trust. Dechomai
is responsible for the trust investment management and administration for the entire term.
When the trust terminates, the remainder will be transferred to a donor advised fund. The
donor must leave instructions for the ultimate grant so that Dechomai may then approve a final
distribution of 100% of the proceeds as a donor advised distribution.

2. How are the funds invested?
Dechomai uses exchange-traded and index funds to keep fees as low as possible and
rebalances the portfolio at least once each year.

3. What are the minimums?
Dechomai has a minimum charitable trust size of $100,000.

4. What assets can be used to fund charitable trusts?
Typically, cash or marketable securities are the funding assets, however, we may also consider
various forms of non-cash assets on a case-by-case basis.