If you own a business, then you should definitely think about contributing to charitable organizations. And though it might seem like charity has nothing to do with business, it is not the case in reality. A business can benefit greatly from giving away to charitable causes every now and then. In this post, we are discussing five ways a business can benefit from donating to the needy.
Boost Employee Morale
The biggest benefit of conducting donation activities is that it can boost the morale of the employees. When the workers at your office see that the business constantly engages in helping the needy, then they will start respecting you’re the value your business stands for. And if you involve them in the donation activities, then it will boost their morale even more. Just ensure that you only deal with charity organizations that have a good reputation. Now, such donations are easy to make and do not take much of your time since there is no complicated process to it. In fact, you can drop off donations at your local Goodwill store today.
Save On Taxes
Donations come with a set of financial benefits, mainly tax advantages. Whether the donations are in the form of money, items, or time, a business can easily claim a tax deduction for such charities. However, there are some strict rules regarding such donations that need to be followed to claim tax deductions. So, talk with your accountant, find out what those rules are and ensure that you do follow it completely.
Fulfill Social Responsibility
Many companies will have its own set of corporate social responsibilities that it seeks to fulfill. In fact, it can even be a part of the company’s mission. While such social responsibility activities typically involve things like minimizing wastage, protecting the environment, and so on, you can also involve charities also as part of the company’s corporate responsibility towards the community. And as far as possible, you can try to link the donations to the niche of your business.
Marketing And Publicity
Another huge benefit of donating is that it can provide your business some free marketing and publicity. For example, if you donate most of your outdated computers to an orphanage, it can be covered in local news channels. This will give your business a good image in front of the public, ensuring that your business is able to develop a positive brand image pretty fast.
The purpose your business is to make a profit. And charity can also be a good tool to increase sales and boost your profits. According to a few recent market studies about 85% of customers held a favorable view of a company that engages in charitable activities. Plus, such people are also more likely to buy your product over your competitors who may not have done any big charitable activity. So, make sure that you not only donate to charities on a regular basis but also ensure that people know about it.