A foundation, often called a private foundation, is a charitable organization that might not qualify as a public charity by governmental standards, according to Investopedia. Thus, this organization type is considered a nonprofit. It is often created through a single primary donation from a business or individual. The the foundation’s own board of trustees or directors manage the funds and programs within the foundation. Instead of funding through periodic donations like a public charity often is, an initial donation usually funds the foundation. In different countries, one can continue to invest in and receive funds from a foundation. Private foundations are only tax-exempt when they meet the requirements