International Gift Administration

How It Works
What We'll Do
Advantages

Accepting International gifts

We've developed a process with the University Development Office (UDO) and Alumni and Development Services (ADS) for receiving gifts overseas that is very similar to the process for receiving gifts domestically. In countries where our registration and tax status allow it, we'll have the ability to receive gifts from a local donor that you’ve identified to support in-country activities.

The gift agreement is signed by the local donor and the local Harvard Global affiliate, with the funds flowing through our registered entity in the relevant country. In many countries, all funds must remain in country, in which case we can also provide employment services or office administration services to support your activities.

strategy & cooperation

Once you notify us of a possible gift, we’ll work closely with University stakeholders and your department and School to ensure that we develop the best possible strategy that benefits your School under the country’s local tax rules. The gift agreement is signed by the local Harvard Global affiliate and the local donor you’ve identified and vetted. We’ll then receive the gift through our respective overseas bank account to fund and support your planned activities in that country. For legal reasons, we maintain ownership and control of the gift, but you direct its use.

Program & donor benefits

Our service is a win-win for your program and for your local donor. Our registration status abroad provides a vehicle for you to access donors that the University may not be able to partner with otherwise, and donors benefit from in-country tax exemptions and deductions while giving back to their communities. Our affiliation with Harvard University ensures that the gifts we receive are held to the same standards as those received by the University.

As cash flow between countries is often restricted, and funding research activities from the U.S. can be difficult, the ability to provide a local source of funding reduces the currency risk and conversion loss, especially for large programs.

Frequently Asked Questions

Where Is This Service Offered?

We'll be able to provide this service in countries where we’ve registered a legal entity and received country-specific approvals to receive gifts. Currently, those countries include Hong Kong, India, South Africa, Tunisia, and the U.K.

In order to receive an overseas gift, the associated department or School must have a program supported by our office administration service in the selected country.

Can the Funds Be Repatriated to the U.S. for Research Done in the U.S.?

In most cases, the funds must stay in and be used in the country where they are received. We'll advise on what is permissible for each gift according to the laws of the country, the gift’s terms, and our registration and tax status in the country.

What Gift Amounts Can HG Receive?

We'll be able to accept current-use gifts ranging from $25,000 to $5 million. Exceptions to this range may be approved by your School’s senior leadership and by the Senior Director of International Advancement at the UDO.

How Much Does It Cost?

The cost to receive gifts will be rolled into in the service fee to operate your program overseas. All costs, including our service fee, are outlined in detail in our service agreement with you.

What Does the Service Fee Cover?

Our service fee covers our administrative expenses, including:

Ongoing gift management
Donor tax documentation
Legal establishment and registrations
Permits and licensing
Legal counsel
Ordinary insurance
Tax services
Safety and security assessment for potential office location
Lease negotiation for selected office or lab space
IT configuration and coordination
Dedicated employee support from our Associate Director of International HR
Pre-assignment tax briefing (for U.S. expatriates and some third-country nationals)
Payroll setup and processing
Currency conversion
Payment of bank fees
Accounting
Annual audits
Financial reporting
Compliance tracking
Ongoing oversight of the office

What Will My Department Have to Do?

You’ll perform the tasks that you would normally perform for domestic gifts plus a few additional approvals. Just as with most domestic gifts, the School is responsible for coordinating with the PI and applicable University stakeholders.

Initial responsibilities:

Designate two primary contacts from your School (e.g. Fundraising Dean), either of whom must approve all School decisions regarding overseas fundraising.
Sign a formal service agreement with us to enter into an operational partnership in country.
The PI and a major gifts officer from your School identify and court a prospective donor.
Notify UDO, your School, and us that a pledge is forthcoming. We’ll begin developing a tax strategy for receipt of the gift.
The School Development Office prepares a gift agreement, which we then vet with ADS and may seek local counsel review.
The School designated official approves the gift agreement in writing.

Once the gift agreement is signed by the donor, by the recording secretary, and by us or our Harvard Global entity in the respective country, ADS assigns a fund number and works with us to record the pledge in Advance.

Ongoing responsibilities:

Direct and approve all use of the funds for your in-country activities.
Report back to your School, ADS, and the donor on the use of funds.

Once finalized, you'll also be able to review the overseas gift process in detail.

How Much Lead Time Is Required?

Each gift is unique. We’ll advise you on expected timelines at the outset and continue to update you throughout the process. It’s important to plan early. Your timeline should factor in School and UDO approvals and also be flexible enough to account for administrative delays, which are common when operating internationally.

The following criteria influence your overall time frame:

Country where your gift will be received and used
Our legal presence or ability to accept gifts in the selected country
The donor’s time frame
Whether you have an existing service agreement and project with us or require a new project scope and service agreement

In countries where we’re registered or already have the ability to accept gifts, these activities can take two to four months. In countries where we’re not registered or do not have the ability to accept gifts, these activities can take 12 to 18 months. See Where We Operate for the complete list of countries where we have ongoing operations and operations in development.

How Does the HG Approval Process Compare to Harvard University’s?

The two processes are very similar, and the gift agreement is vetted and approved by ADS, a School-specific delegate, and Harvard Global prior to signing with the donor. Our gift agreements adhere to the Harvard University gift policy as well as any additional School-specific protocols and policies. The gift, however, is made to Harvard Global or to our local Harvard Global entity in the respective country, not to Harvard University.

Three notable exceptions to the Harvard University policy are:

The governing law for a Harvard Global gift is the law of the country in which the gift is received. Because we operate local subsidiaries, our affiliated entities are governed by the local law.
Harvard Global or the local Harvard Global entity legally owns and controls the gift.
The gift will be assessed on all expenses except the typical excluded categories (e.g. financial aid). Our fee will also be removed from the gift assessment calculation.