Corporate philanthropy is essential for companies today. There are a lot of physical benefits to helping others, including reduced stress and feeling better about oneself. It produces endorphins that make you feel great. It benefits your company as well.
Cane Bay Partners VI, LLLP, consulting company for other businesses in financial matters, always sees benefits to its own company as well as an improvement in communities when it gives. Corporate giving benefits your company as well. Here are some tangible benefits of philanthropy in business.
1. Your Employees Feel Connected
When your employees work together on a volunteer project, they get to know each other in a relaxed way outside of the office. It fosters friendships and provides your staff members with a connection to the community. The office atmosphere improves when all of you help others together.
2. Your Employees Are Happier
Your employees will have the pleasure of helping others. It makes you happy when you volunteer and you’re more satisfied with your life. It’s also an excellent way for your workers to build life skills and practice being a leader, all of which help them in their jobs as well. When your employees are happier, your work environment improves.
3. Your Company Has An Improved Image
Give back and people in your community appreciate what you’re doing. They’re more likely to buy from you rather than one of your competitors and become loyal customers. Corporate philanthropy improves your brand.
It will also be easier for you to hire future employees, especially millennial staff if you are known as a company that gives back. This socially-conscious generation is more likely to find work with a company whose values align with theirs.
4. Your Community Thrives
Your business can contribute to a community in a number of ways. You can donate funds to local nonprofits or clean up a neighborhood. You can commit to hiring locally. Or donate time and money to a business education program where high school students can find part-time work with your company. This funnels money back into the community, meaning locals have more money to spend. Everyone benefits. Those high school students you take on may come back after graduation and work for you.
5. You Get Tax Benefits
If your business is a corporation, you can get a sizable tax write-off for the money you contribute to nonprofit organizations. A corporation can write off up to 25 percent of its income, so long as it is a cash donation and that corporation contributed to a charity registered with the IRS as a 501(c)(3) nonprofit entity.
Your corporation’s donations qualify so long as your company doesn’t receive a benefit as a result, and the money isn’t earmarked for a particular person. Keep in mind that you won’t be able to write off personal expenses or the value of any time or services that you donated.
When your business or corporation gives to the community you help others, but more importantly, you get a wealth of benefits in return.