Entrepreneurs are one of the most impactful groups of people involving themselves in philanthropic work. In a report released by the Fidelity Charitable Gift Fund and Ernst & Young, it was revealed that 89 percent of CEOs and founders donate to charitable causes personally or through their company. Moreover, 70 percent of the group surveyed also admitted to giving their free time to charities and nonprofit organizations.
For entrepreneurs, getting involved with philanthropies means more than a tax write off. No matter how big or small a business is, all entrepreneurs can benefit from philanthropy. The following are the top benefits that entrepreneurs and businesses gain from philanthropy.
Boost Employee Morale
By business and entrepreneurs taking interests in their communities, it can have a positive effect on employee morale. Good morale is a critical component in the success of a business, and by giving back to the community, it can improve employees’ view of leaders in the business. In a 2016 study conducted by Deloitte, millennials are more than twice as likely to rate their workplace culture more positive if the company participated in volunteer activities.
Build A Bigger Network
To have a successful business, it is essential to have a network of people who you can go to when you need help. The people behind philanthropic organizations are often influential individuals who hold value in a community. By volunteering your company’s time and efforts, you can create a mutual trust with organizations leaders, thus increasing your chance for new opportunities and connections.
Increased Marketing Potential
When your company donates money or time to charities out in your community, it raises brand awareness. The business, as well as the team, can become a friendly face in the community rather than just a name. Picking events or charities that reflect a businesses’ mission and values helps to ensure future and current clients that you care. For example, if you are a company that is in the real estate and housing industry, focus on causes surrounding homelessness or affordable housing.
From boosting employee morale to creating a more extensive network to increasing marketing, participating in philanthropy can benefit the community and your business. Make philanthropy a core part of your business model to reap more benefits than just one.