You started your own business a few years ago, you’re finally stable and have your process down pat.
Now, you’re ready to try something new. Have you ever considered starting your own corporate foundation? Simply put, this is a business with your company as a sponsor. I know you’re probably thinking, “how can running a non-profit help my for-profit business?” There are 2 key ways that a corporate foundation can help.
If you’re established in your community, starting a business is going to be big news. With each event or donation, your for profit will be given some of the spotlights. According to a recent poll, Millenials are more likely than Gen-Xers and Baby Boomers to do business with a company that is focused on giving back to the community. If you’re one of the many businesses that are eagerly trying to capture and retain part of the millennial demographics, a corporate foundation may be a way to help draw in the right crowds. If your business model isn’t built around giving like Tom’s Shoes, it might be worth considering.
Whenever we bring up good press as a reason to consider a corporate foundation, we often hear business owners tell us that they already give to charity though. While that’s already a great start, the advantage here would be that this way your organization is associated with the action as well as the contributions for the good deeds of the charity. Not only that, but you know 100% where your donation is going. Many larger businesss are well known for paying CEO’s an outrageous salary or using donations to hand out six-figure raises. When it’s your business, you not only get more good press, but you get peace of mind knowing your donation is being used for good.
Your contributions to your own foundation are tax-deductible, and who doesn’t want more deductions? Your company is able to add to the list of deductions the amount that they put toward their foundation, up to 10% of their gross income for the year. Many businesses with foundations simply dedicate a flat 10% every year so that they can maximize their deductions, but some have a set amount or a variable that does not exceed 10%.
Additionally, having a business that you can involve your employees in as well as the community is an excellent morale tool. Many employees prefer working in a company that regularly invests in their community or is actively involved in a cause.
By now, I’m sure you’re ready to start your company foundation, but you might not know where to start. You may also know where to start, but while you’re also in charge of running a successful company, you might just not have the time to do it. Whatever the case may be, BryteBridge has a team of experts dedicated to your foundation’s success. We help you through each process and have set steps to prevent you from getting overwhelmed. The best part is that we offer 3 different options to get your foundation started on any budget.