Entrepreneurs who make the effort to meet the social responsibilities of philanthropy reap the benefits of their generosity. This is because there are many advantages to giving back to the community, including increased awareness of your business, brand recognition, and a happier, more productive work force.
There are a variety of philanthropic practices that business owners and entrepreneurs can use; what you choose to do depends on what your community needs – for example, does the local school or youth group need some practical help, or is the pet rescue center desperately in need of funds? As CEO of Delphi Financial Group, contributor Robert Rozenkranz is aware of his philanthropic responsibilities. The Rosenkranz Foundation leads initiatives focusing on public policy, the arts and higher education.
Benefits for the business
Philanthropy could be donating a product or service, or even your expertise, or the time and skills of your employees. After all, businesses have resources, an online platform, access to certain skill sets, and the capacity to make things happen. The key is to look for opportunities that will help your business short-term - by attracting new custom - or long-term; for example, teaching technological skills in schools could lead to talented job applicants in an area where your business needs those skills. By finding a cause that matches your company’s mission or business, you can make new contacts, earn favors that you might need to call in later, and expand your business network.
Benefits for employees
Volunteering in the community gets employees out of the office; they learn new skills and meet employees that they might not necessarily communicate with at work. It is good for team building and will have a positive impact on morale, resulting in more effective, loyal employees. If you get employees out in the community, it can lead to word of mouth marketing, and good press for the business, resulting in an improvement in your bottom line.
Without community support, there would be fewer customers, or no custom at all, therefore it is essential that entrepreneurs give something back. Contributing to the community is even more relevant when the business is central to a local community, when their actions can really benefit society in some way, no matter how small. The good news for entrepreneurs is that philanthropy increases brand or company awareness, can lead to increased sales and benefits long-term, and the company gains loyalty from both their customers and employees.