Why a foundation?
A foundation is characterised by the fact that the foundation’s assets are permanently dedicated to a foundation purpose. In contrast to associations or societies, the foundation is not an association of persons, but a “personalised asset”. This makes the foundation “immortal”.
The purpose of a foundation is to fulfil the foundation’s purpose from the income of the foundation’s assets, while the assets themselves remain untouched. In order to ensure the preservation of the foundation’s assets, independent foundations with legal capacity are subject to official foundation supervision. The foundation capital can be strengthened by donations. Both endowments and donations are possible. Endowments increase the foundation’s assets permanently and may not be touched, whereas donations are intended for short-term, purpose-oriented use.