A Foundation is a legal entity that can engage in business, trade, buy and sell property, enter into contracts, open bank accounts and hold assets in the Foundation’s name.
A Foundation is created by a founder who generally makes the initial gift to the Foundation. A Foundation Council then runs the Foundation, several people acting as Trustees, who carry out the requirements of the Foundation according to the Foundation Charter and Law.
Foundations can be instrumental in achieving confidentiality and can be set up for specific purposes whereby a group of people can be beneficiaries without a specific person or a particular family being named.
What are Foundations used for?
• Asset protection or estate planning for family or business purposes
• As a holding entity (Business Foundations)
• For increased confidentiality and discretion
• To be able to legally separate assets from personal holdings
• For philanthropic reasons for the benefit of social and charitable groups