The Foundations

Recipients must always be non-profit entities. The Foundation does not engage in business nor lend to others to do so. It is not enough to lack a profit motive; the project must be severe and serve to help people. The Foundation aims to reach where financial institutions cannot. Loans are never made to cover deficits, as this would create dependencies and oblige the project’s sustainment. The Foundation does not promote but helps finance what others promote.

The Foundation should only finance part of the project: Those who promote or present it must take the initial risk. Prudence advises not to invest more than one-third, and promoters should risk a similar amount. Publicity is avoided, as well as marketing or social or commercial recognition.

Following these principles, the following operating criteria are observed when reviewing applications:

1. First Contact
The Foundation does not advertise its assistance or take the initiative to offer it. The Foundation is a last-resort entity; those who approach it must have exhausted other sources of financing and be unable to obtain it from banking entities. The responsible party for the project must be dealt with directly, without intermediaries, to avoid hindering the process. The goal is to help people. We must identify their problems and possible solutions. If the diagnosis and approach are good, everything else is secondary.

2. Grants

Before granting aid, the beneficiary must present a coherent and viable action plan. The interested party can count on the Foundation’s technical assistance. When granting aid, the total economic amount must be specified in advance to prevent the beneficiary from extending the aid beyond the initial amount. The grant requires the backing, even if more moral than economic, of some institution with proven solvency. The Foundation will not assume financing alone: contributions of own resources are required, in amounts appropriate to the beneficiary’s capacity, and sometimes from other financiers. Beneficiaries cannot demand that their identity be confidential. This requirement is reserved for fund donors.

3. Implementation of Aid

The Foundation prefers to give repayable aid. Non-repayable contributions are exceptional because this could lead to financing non-viable projects. Financing is always flexible and adapts to the beneficiary’s needs. Once aid is approved, an execution schedule is agreed upon. It will generally be short and never more than ten years. If grace periods are required, the beneficiary must commit to making repayments during those periods, even if symbolic.

4. Denials

Delaying a request is worse than an outright no. Making the petitioner wait can create false expectations and frustrations.

Automatic denial will be given to:

– Any request that cannot be approved within a short timeframe. – Any project that violates legal or moral norms (labor abuses, tax evasion, money laundering, exploitation of children or women, etc.). – Any controversial and political topic. – Any topic that needs to be publishable or sufficiently transparent. – Any request from those who have demonstrated a lack of commitment. – Requests from those who refuse to risk their resources, thus leaving all economic risk to the Foundation. – Requests for funding commercial projects or business developments. – Any benefactor who takes a belligerent attitude, demanding the grant as if it were a right. Finally, two considerations:

Every rejected request report must be documented in case further study is needed or if the petitioner reapplies. Additional information or letters that could generate false expectations should not be requested when a project is likely to be rejected.