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Give Small or Give Big?

The LBZ Foundation was established and began making grants five years ago. Still in the building stage, the foundation endowment is now approximately $3 million.

The grant-making process is influenced by the foundation's recent birth and by the small size of its endowment and staff. These influences are felt most specifically in reference to grant size. In the context of the LBZ Foundation, larger gifts are in the $70,000 to $100, 000 range; smaller gifts fall within a $5,000 to $10,000 range.

LBZ Foundation staff members are experiencing a dilemma in deciding whether to give larger grants to fewer organizations or smaller grants to many organizations. They feel it would be more manageable to make and then monitor fewer (larger) grants each year. Smaller grants, however, could fund several innovative programs or less experienced but worthy organizations.

What policy should foundation staff follow?

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