What is Foursquare Financial Solutions (“FFS”)?
For its first three years, FFS was a division of the Foursquare Foundation, providing planned and estate giving services for ICFG constituents. Foursquare Financial Solutions is now separately incorporated and listed under the group exemption letter for ICFG to provide ICFG and its constituents a broad range of financial management services.
Why separately incorporate FFS?
Legal counsel and other professionals highly recommend separate corporations (or other legal entities) for distinct activities, such as fiduciary services, government-regulated activities, endowment assets, and ministries who deal with an element of risk to protect the affiliated entities, their boards of directors, and Foursquare churches from liabilities or governmental intrusion.
What services does FFS provide?
FFS provides oversight and management of: (1) all planned and estate giving activity (charitable trusts, gift annuities, estate, trustee, and fiduciary services); (2) the new FFS Loan Fund; (3) Foursquare Retirement Services; (4) Foursquare Insurance Services; (5) Foursquare Foundation; (6) Investment Services; and (7) Central Office-owned income properties.
What is the benefit of having these services consolidated and managed by FFS?
These services were previously provided by ICFG, the Foursquare Foundation, and outsourced third parties and, in some instances, were missing organizational functions. These types of services require highly skilled professionals with training and expertise. By combining these services together under FFS, we gain the economies of scale to provide first-class professional services and provide a perpetual and growing income stream to ICFG to help fund Central Office Administrative costs that are currently covered by the tithe.
Does the existence of FFS require increased operational costs and adversely affect ICFG’s budget?
No. The start-up costs for FFS were underwritten by the Foursquare Foundation. Additionally, all management service contracts were designed to be budgetarily neutral for ICFG. Because of the size of the combined portfolio being managed by FFS and the expected growth with a professionally-run organization, we anticipate a budgetary savings and, ultimately, substantial revenue flowing to ICFG from FFS.
What controls will ICFG have over FFS?
Governance and operational controls have been carefully designed to safeguard ICFG.
How does this compare to ICFG’s relationship with the Foursquare Foundation?
The premise behind the Foursquare Foundation was to create a distinct entity to protect certain assets. While that premise still holds true with FFS, the structure and operational controls designed with FFS did not exist when the Foundation was established. We have learned from that experience. By having the Foundation managed by FFS, we will benefit from a closer connectivity and relationship between ICFG and the Foundation, thus restoring the Foundation, its resources, and ICFG into greater missional alignment.