Nonprofits regularly use the annual reports of other nonprofits to source new prospects. By making a donation, you're signalling that you're a philanthropic company, and philanthropic companies are likely to make donations to other charities. In other words, the number of charitable solicitations you receive will increase – sometimes dramatically. How do you manage the increased number of charity requests?
More specifically, what if small firms gave the same proportion of net income that big firms did? There are many more small businesses than there are large businesses. If we can figure out a way to break through whatever barrier is preventing them from making charitable donations, we can potentially do an awful lot of good.
Corporate philanthropy doesn’t have to be limited to just writing checks. Charities also appreciate donations of time, skills, inventory and capacity. Of these alternative options, the IRS has given “in-kind” donations of inventory a few complicating wrinkles, so we’ll try to smooth those out for you today.
HBR.org recently added a Social Responsibility topic to the website, and it’s a great resource. Especially when it’s conclusions are overly broad or completely wrong. For example, “When Corporate Philanthropy Makes the Recipient Look Bad“, by Yuliya Shymko and Thomas Roulet, concludes that corporate sponsorship can damage the reputation of the causes they support. But really, can corporate philanthropy do harm?
Today we would like to feature Soundtoys, a music software developer based in Burlington, Vermont. 100% of the proceeds from their sales on December 25-26 were donated to the ACLU. For two days, every purchase was a donation. Here's why we think it's awesome.