When businesses work with charities, they can benefit in several ways. First and foremost, companies can gain a positive image in the community. According to a National Corporate Research Project study, “83% of Americans say they are more likely to do business with a company that supports a charity of their choice.” In addition, businesses can receive tax benefits for their donations. For example, the United States Tax Code allows businesses to deduct the value of their charitable contributions from their taxable income. Finally, companies can benefit from working with charities by receiving discounted rates on goods and services. For example, many companies offer charity discounts for office supplies and advertising.
These benefits make it clear that businesses should consider working with charities to improve their community image, save money on taxes, and get discounts on goods and services. Here are a few approaches on how you can make partnerships with charities can help.
Donations
One of the most obvious ways businesses can help charities is through donations. Companies can donate money, goods, or services to charities. For example, a company might contribute to a charity that provides meals to the homeless. Alternatively, a business could donate goods, such as clothes or toys, to a charitable organization. Finally, companies can also grant services, such as pro bono work or the use of their facilities.
Charity donations are not only ideal for business reputation but also expenses. Donations are tax-deductible, meaning businesses can deduct their donations’ value from their taxable income. This can lead to significant savings for businesses, especially large businesses with high revenues. However, you might have to hire a reliable charity auditor to ensure you take full advantage of the deduction.
Volunteers
Businesses can also help charities by providing volunteers. Employees can volunteer their time to work with a charitable organization on projects or events. For example, employees might help build houses with Habitat for Humanity or walk dogs at a local animal shelter. Volunteer work is an excellent way for businesses to give back to the community and improve their reputation. It is also an opportunity for companies to team-build and fosters teamwork among employees.
Many companies also offer paid days off (PTO) for employees who want to volunteer. This allows businesses to support their employees’ desire to give back while still getting the benefits of volunteering, such as improved morale and increased teamwork.
Volunteerism can also be a great marketing opportunity for businesses. Companies can publicize their volunteer work to improve their image and attract new customers. For example, a business might promote volunteer work on social media or advertising.
Sponsorships
Companies can also help charities by sponsoring their events or programs. This is a great way to get involved with a charity without making a monetary donation. Sponsorships can take many forms, such as providing goods or services, hosting an event, or donating money.
For example, a company might sponsor a charity’s gala by donating products or funding the event.
Local communities will benefit the most from your sponsorship, as it will help support important causes in the area. This can also be a great marketing opportunity for businesses, as they can publicize their sponsorship to improve their image and attract new customers. Sponsoring local businesses and events can help promote your company as a socially responsible organization, which can help build a community reputation. Eventually, neighboring cities will learn about your brand simply because of how much the locals appreciate what you do for them.
Partnerships
Another way businesses can help charities is by forming partnerships. Partnerships are similar to sponsorships but are usually more long-term and involve a higher level of commitment. Collaborations can take many forms, such as joint ventures, co-branding, or cause marketing.
For example, a business might partner with a charity to co-brand a product. They would then sell the product with the business’ and charity’s logos. The proceeds from the sales would be split between the business and charity. This would be an excellent way for the company to support the charity while marketing its brand.
Cause marketing is another type of partnership where businesses and charities team up to promote a cause. For example, a company might sell a product with a portion of the proceeds supporting breast cancer research. This would be an excellent way for the business to support the charity while marketing its product.
Final Thoughts
There are many ways businesses can help charities. The best way to help will depend on the resources and capabilities of the company. However, all companies can find a way to support charitable causes. Donations, sponsorships, partnerships, and volunteerism are great ways businesses give back to the community.
