“Earn more to grow more, and grow more to give more.”
Many small businesses are giving generously to needy communities and charitable organizations, to boost their business in market. Now, how exactly does giving lead to getting? Charity is a very intelligent marketing move- people are more likely to buy from a company which acknowledges the ‘have-nots’; generosity makes a fine impression on your customers. By giving money, gifts, providing volunteer hours for special occasions, and organizing events to mark their importance or significance in the society, you are actually publicizing your values and morals. The non-profit organization you are collaborating with, also promotes your company on their websites, their social media, posting your logos everywhere, all of this promoting your business. When you do want to sponsor an event, look for something that aligns with your business to draw greater attention and make a greater impact. For example, if your company sells Eye Glasses, you can organize an eye-checkup camp. By a worthy charitable donation you are showing that your company cares about the society and the people.
Other than this, your company will have a few more benefits. The most immediate benefit would be tax exemptions.
A gift to a qualified charitable organization may entitle you to a charitable contribution deduction against your income tax if you itemize deductions. For example, if you lie in the 30% tax bracket, on a donation of $100, you save $30, that means, the actual cost of the donation is just $70. People with a lower tax bracket save less on the donations. Therefore people with more income can afford to give more, and therefore get a larger reward for giving more as well. Even though most charitable organizations qualify for tax deductions, you should still consider consulting your auditor or financial advisor, on how to increase your charitable givings, while keeping your deductions maximum or minimizing your taxes.
These community activities lead to employees being involved in serving the society through the volunteer opportunities. Having your employees engaged in such activities is a great way to boost their morale, and is fun for the whole business. It gives a chance for your employees to interact with people outside the office, and an opportunity to give back to the society that has helped them to take their business to this level. Also, there is always a better chance to attract candidates who want to work for your company for the idealism that it promotes and working experience it provides.
When you decide to the community, you are building stronger relations with your already existing customers and even attracting new ones. People like to associate themselves with companies that take good care of its customers, and also look out for the problems of the society in general, especially the needy, neglected communities. When your customers see you contributing a share of your profits to good causes, you are rallying their support and promoting your company’s name to expand its existing reach.
You don’t specifically have to create something new for charity, you can always give a part of what you already sell. Find creative ways to involve your customers and your employees.
A man’s true wealth is the good he does for the world.