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What is a foundation? A: A foundation is a non-governmental entity that is established as a nonprofit corporation or a charitable trust, with a principal purpose of making grants to unrelated organizations, institutions, or individuals for scientific, educational, cultural, religious, or other charitable purposes.
The primary purpose of both trust-form and corporate-form community. foundations is to provide charitable support to their local communities. They do. this by building endowments with contributions from local residents, and. administering them for the benefit of their communities.