The idea that business and philanthropy can coexist may seem counterintuitive at first. However, once the concept is explored at a deeper level of thought, it becomes clear that this is indeed true. In fact, going even further than that, it is possible for a mutually beneficial relationship to exist between the two.
The Draw
Business industry experts like David Johnson Cane Bay Partners understand that there is a powerful draw to companies that take part in philanthropic activities. There are many prospective clients who have a vested interest in seeing the companies they are considering, either for investment purposes or patronizing in the future, take part in something other than just business. These are people who not only want to spend money on the things that they need or want to buy but also want to know that a part of that money they spend is going to a good cause.
The truth of the matter is that finding a way to include charitable activities in the operation of your business is a great way to attract new clients. It is true that some of the profits generated by your company will need to be spent on charity if you decide to embark on this endeavor, so that will cost your firm some money. However, when done right, the added traffic from the new customers who have been attracted by your altruism should more than make up for that expense.
The Other Benefits
Your firm’s philanthropic activities can also have other benefits. There are some charitable contributions that can qualify for tax deductions when your company files its taxes during tax season. The qualifying contributions will lower your tax bill, which is a great benefit because it can lower a possible expense. Consequently, charitable business activities can be beneficial for your company not only throughout the year during which they are carried out but, also at the start of the following year, when the taxes for the previous year are filed.
Of course, there are also the benefits to philanthropic causes as well. The great thing about establishing a relationship between business and philanthropy is that both parties benefit greatly from such an arrangement. After all, the causes that are chosen to be beneficiaries will receive many more funds than they would have without the establishment of such a partnership. They can use the money they receive to support some or all of their many worthy and worthwhile goals.
Most importantly, there are so many causes to choose from that any business can find a cause to support that aligns with their company’s culture. It is best for firms to create relationships with charities that they truly believe in. That way, those who run the firm can feel a sense of accomplishment about the partnership and what it can do for all parties involved.
In short, philanthropy in business is more than viable, it is beneficial for participating firms and charities alike. It can help generate more business and support great causes at once.
