Planning to include charity in your business plan?
When times get tough, it's easy to ignore the possibility of starting a charitable program in both large corporations and small businesses. However, there are many benefits to doing so that warrant consideration, even when the economy slows down.
Advantages for businesses, no matter how small the business may be, are realized immediately and in the future. Some of them include a positive public image, the ability to distinguish a business from competitors, and additional devotion from both consumers and employees.
Ways to Donate
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.
Another option is to make some kind of product donation. Any type of product could be incorporated into a fundraiser for charities and other community organizations such as schools. One of the best examples of a product give-away approach is Toms Shoes. For every pair of shoes sold, the company gives a pair to a child in need. Their entire culture revolves around charity and is embodied in their slogan, Shoes for a Better Tomorrow.
How do you choose a charitable organization?
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. What group of people could get the most out of what I sell?
2. What charitable organization or cause has a similar mission?
3. Will this organization support my business somehow?
As soon as you identify a possible candidate, check them out on a charity watch-dog website at http://www.charitywatch.com. The organization hosting the website rates charities to help people make informed giving decisions.
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.