Your company's success is a testament to the support it receives from the community, making giving back a natural next step! However, navigating the landscape of corporate giving can be daunting without a clear roadmap on how much to give, which organizations to support, and what to expect in return - from paperwork to media attention. With a staggering 1.48 million registered tax-exempt nonprofits in the United States as of 2023, it's understandable why business owners feel overwhelmed.
Many companies we assist find themselves in one of two situations: either paralyzed, unsure where to allocate funds, or scattering donations to anyone who asks, lacking a structured plan or means to track impact. While there's no one-size-fits-all rulebook for giving, the absence of rigid guidelines means room for creativity and innovation - the key is to devise a plan and take action.
So the question becomes, where do you start?
Check out this brief guideline to get you started on the path to developing a plan that creates tangible impact, engages employees, builds company culture, and keeps your giving goals (and budget) on track.
Identify Who to Donate to:
In a landscape where countless organizations vie for support, each with its own compelling mission, it's challenging for businesses to sift through every request for funding. With limited time and resources, it becomes essential to prioritize giving efforts strategically, ensuring that contributions align with company values and have a measurable impact on the community.
Personal Connections:
Consider nonprofits that have personally impacted you or your loved ones. Reflect on experiences with organizations like local food pantries or those that provided crucial support during challenging times. Giving to causes you genuinely care about transforms you from a donor to an advocate, amplifying your impact and sense of fulfillment.
Employee Engagement:
Involve your employees in decision-making processes. According to a Glassdoor study, 77% of adults prioritize a company's culture, while 79% value its mission and purpose. Foster collaboration by seeking input from your team. Aligning giving efforts with their interests strengthens company culture, enhances engagement, and boosts job satisfaction.
Industry Alignment:
Explore organizations aligned with your company's industry or value. While diversifying may seem tempting, sticking with familiar areas can yield the greatest impact. Leverage your expertise and resources to support causes within your industry, maximizing the effectiveness of your contribution while making a meaningful difference.
Understand Why You're Donating:
As altruistic as we all want to believe that corporate giving is, the reality is that sometimes giving is done for marketing and branding purposes. That is OK, especially if the money is still going to a good cause at the end of the day. It is, however, important to be realistic about why you are donating so you know what approach to take. If you love the cause and it speaks to your heart, that is enough.
If it is for marketing purposes, you need to review what sort of media and attention you are receiving for your gift – more than that, I would advise you take the time to look at the organization’s past events, see if you know any of their previous donors and ask what they think, look at their following and engagement online, etc. If you are sponsoring an event or charity for marketing – treat it like buying an advertisement. Make sure you know what you are getting and that it is a good use of funds.
Determine What to Donate:
When the word “donate” comes up, most of us think primarily of monetary donations but that is not the only way to give and not always the most gratifying. In fact, according to America’s Charities Snapshot Employee Research, 71% of employees surveyed say it’s imperative or very important to work where culture is supportive of giving and volunteering. Here are a few examples of how you can give without ever opening the checkbook.
Volunteer Hours:
Offer paid time off for employee volunteering - whether it is to one organization for an event or you give all of your employees paid days off to volunteer at their favorite organization. We all know that time is money and nonprofits are almost always strapped for time and help
Volunteer Products and Skills: Are you a great graphic designer or a wizard on QuickBook? Help or teach someone to do it! Do you own a great space to host a fundraising event: Host one! Nonprofits, like businesses, often need the same tools, skills, and resources to excel but often cannot afford them.
Board Membership:
This is especially helpful if you own a successful business that is well known in the community – with your name comes leverage and trust. If you are known to the community and you care about the cause, the Executive Director simply being able to brag that you are on the board to a potential donor can make a huge difference.
Leverage word-of-mouth marketing:
Yep, it applies in the nonprofit sector too. Love what the organization is doing and how they are helping – tell people! Become a brand advocate for them and if you see an opportunity to share their mission, it could gain them new volunteers, new donors, and great publicity.
Create a Plan:
Let me start with telling you how not to give – on a whim. The mistake most companies make with corporate giving, is deciding if they should donate to an organization when they are at the door asking, there is no plan beforehand and that makes saying no very difficult. Your giving strategy should be proactive, not reactive. Just like budgeting, if you do not have a system or a plan you will likely overspend, stray from your set reasons for giving, and most importantly – have no idea where your hard-earned money has gone and if it even made an impact. That is not to say you cannot give occasionally to something unexpected, but build that into the budget plan of your giving strategy so you know how much you can give – I promise you (and everyone handling expenses and paperwork) will be a lot less stressed.
Get Organized & Get Giving:
Lastly, you don’t have to recreate the wheel or create a huge department to start giving! There are some great corporate giving tools that already exist in the marketplace to help you get organized for all levels of business and giving budget, here are a few:
1. HelpLink (FREE TO COMPANIES)- HelpLink enables companies to align their giving efforts with their values and support local causes, facilitating a direct, tangible impact on individuals in need. This free tool allows companies to create a giving plan, set up monthly pledges (including employee matching), and select specific causes, demographics, and geographic areas to support. Pledges are automatically distributed through nonprofits to address individual needs like past due utility bills, work boots, and baby food, with detailed reporting to track impact.
2. Benevity (PRICE BY SIZE AND FEATURES) - Benevity is a corporate giving platform that streamlines charitable activities for businesses, offering tools for workplace giving, volunteering, and grant management. It enhances employee engagement by allowing staff to donate to causes they care about and participate in company-sponsored charitable events. This is a paid platform that tailors its pricing based on company size and desired features.
3. YourCause (PRICE BASED ON SIZE)- YourCause Solutions offers CSR software solutions to businesses, empowering them to efficiently manage and track their philanthropic initiatives, employee volunteering programs, and corporate giving campaigns. With features like workplace giving, matching gift programs, volunteer management, and reporting and analytics, the platform streamlines CSR efforts while promoting social impact and enhancing employee engagement. Pricing is tailored to the size and needs of each organization, with interested businesses able to request a quote directly from the company.
To conclude, corporate giving is a multifaceted journey that requires thoughtful planning, strategic decision-making, and a genuine commitment to making a positive impact. By aligning giving efforts with company values, engaging employees in the process, and leveraging available resources and technology, businesses can create meaningful change in their communities while strengthening their brand and culture.
Remember, every act of generosity, no matter how small, has the power to inspire others and create a ripple effect of kindness and compassion. Together, let's continue to build a better and brighter future for generations to come.
