SYC Brings in New Business

Stefania Palitti had two weeks to help her clients maximize on the recent sale of a business. The call came in mid-December. The business was sold, and the clients, who were regular contributors to various charities, wanted to set up a private foundation with some of the proceeds.

For 25 years Pauline Mazumdar and her husband Dipak were strong supporters of the Art Gallery of Ontario, the Royal Ontario Museum, the University of Toronto, and the Canadian Opera Company. Now they wanted to make that support permanent.

The couple had worked with Palitti, a Private Wealth Consultant with BMO Harris Private Banking, on their estate and trust needs and as the executor of their estate. Now they wanted to expand that relationship to include philanthropic and investment planning.

For months the Mazumdars had tried to set up their own foundation, but felt like they’d “been going around in circles.”

When they consulted Palitti, she thought Supporting Your Community might be a better fit. It offers all the benefits of running a private foundation, but without the administrative burdens. Creating a charitable fund was also a faster and easier way to make a significant donation in time for the year-end deadline. “We were facing a real time crunch,” says Palitti, “but establishing a charitable fund through Supporting Your Community also made more sense from an administrative point of view.” Private foundations tend to require investments of at least $5-million to be cost-effective.

Instead, Palitti introduced her client to the Toronto Community Foundation and within 10 business days The Pauline and Dipak Mazumdar Fund was created. The Mazumdars met their deadline and achieved their charitable goals at the same time.

“Once we realized the Toronto Community Foundation could manage our donations more efficiently, we knew it would be the best way for us to continue supporting these three organizations,” says Pauline.

Palitti’s quick thinking impressed the Mazumdars, who decided to bring a multi-million dollar investment account to the bank as well.