Directly under the foundation will be two secondary organizational bodies or subsidiaries … for lack of a better term. On one side will be a Private Hedge Fund and on the other, the Parent Incorporation. The parent incorporation which provides the capacity for economic and financial sustainability is the namesake of the Incorporated Model of Sustainable Community Developments.
Ultimately, both of these entities should be wholly owned and overseen by the foundation, though realistically it may take a number of years to establish a full hedge fund wholly owned and operated by the foundation. The funding alone for such a venture is beyond what many corporations will earn throughout their entire existence.
However, given the ability to leverage corporate assets and to create and trade asset backed securities, a successful Incorporated venture should eventually be capable of establishing such a level of financial success.
A percentage of the financial proceeds (currently projected to be approximately seventy to eighty percent of net proceeds) from the Incorporation shall be paid in to the Private Hedge Fund rather than being paid out to shareholders in the form of dividends. The hedge fund account(s) will be established in such a manner so as to provide for the payment of police, fire protection, education, healthcare, utilities and other basic necessities of life within the community development.
Upon economic and financial maturity, these systems can further be utilized to fund research, development and even government itself … though to what extent government should be funded remains subjective and open to some debate. However, given the need to work within the confines and parameters as are currently established by existing governmental bodies, this is not necessarily an immediate concern as funding through taxation practiced in accordance with Generally Accepted Accounting Practices … or GAAP should be sufficient for the current governments already established, recognized and in place.
Let us know what you think please!