Even with the economy the way it is, it's still possible to incorporate social causes into your business plan. Some people may view charity as something only large corporations or successful companies can get involved in, however, the sooner you include charity into your business the sooner you can benefit from it.
There are both short and long term benefits that occur when some type of charitable program is incorporated into business operations. These include customer and employee loyalty, competitive differentiation, improved public relations, and an overall perception of social responsibility.
Types of Giving
No matter how small a donation may be, it can still have a significant impact on both the company giving and the community or organization that receives. Incorporating a charitable program as early as possible in the development of a business will make managing the program much easier. Some methods of doing straight financial donations include setting a fixed-rate per unit sold amount or giving a portion of sales or profits over a given period of time.
Rather than making a financial donation, some companies choose to make a product donation instead. These donations can be given to individuals directly, such as giving a blanket to a homeless person for every blanket sold, or indirectly, by supporting a non-profit during a charity auction or fundraiser. In the latter case, you might donate a dozen watches to be incorporated into gift baskets.
Who Do You Give to?
When deciding on a charitable cause to associate with your business, there's a few questions you can ask to determine the cause with the most beneficial effects to both your business and the community in general.
1. Who could benefit most from your service or product?
2. What charitable organization or cause has a similar mission?
3. What organization could promote your new partnership to the maximum amount of people?
After an appropriate organization is determined, you may want to verify their background prior to finalizing your plans or making a donation. The easiest way to do this is by visiting the American Institute of Philanthropy's website, www.charitywatch.org. There, you can determine how your chosen organization is rated by the organization.
While a charitable cause could slightly increase expenditures for a small or starting business, the short term benefits related to public relations, and the long-term benefits connected to the a positive social image will far outweigh any initial costs.
There are both short and long term benefits that occur when some type of charitable program is incorporated into business operations. These include customer and employee loyalty, competitive differentiation, improved public relations, and an overall perception of social responsibility.
Types of Giving
No matter how small a donation may be, it can still have a significant impact on both the company giving and the community or organization that receives. Incorporating a charitable program as early as possible in the development of a business will make managing the program much easier. Some methods of doing straight financial donations include setting a fixed-rate per unit sold amount or giving a portion of sales or profits over a given period of time.
Rather than making a financial donation, some companies choose to make a product donation instead. These donations can be given to individuals directly, such as giving a blanket to a homeless person for every blanket sold, or indirectly, by supporting a non-profit during a charity auction or fundraiser. In the latter case, you might donate a dozen watches to be incorporated into gift baskets.
Who Do You Give to?
When deciding on a charitable cause to associate with your business, there's a few questions you can ask to determine the cause with the most beneficial effects to both your business and the community in general.
1. Who could benefit most from your service or product?
2. What charitable organization or cause has a similar mission?
3. What organization could promote your new partnership to the maximum amount of people?
After an appropriate organization is determined, you may want to verify their background prior to finalizing your plans or making a donation. The easiest way to do this is by visiting the American Institute of Philanthropy's website, www.charitywatch.org. There, you can determine how your chosen organization is rated by the organization.
While a charitable cause could slightly increase expenditures for a small or starting business, the short term benefits related to public relations, and the long-term benefits connected to the a positive social image will far outweigh any initial costs.
About the Author:
Author Mark de Grasse can help you develop your small business. For charitable cause information, view his free articles on small business development.
