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Understanding Why Businesses Contribute to Non-Profits
Why Businesses Contribute

Corporations are often portrayed as being heartless
and money-motivated; however, companies really do care, and there is a tremendous amount of philanthropy within corporations. 

Businesses assign certain employees with the responsibility of connecting to the community.  They are looking for opportunities to be in the community and partner with nonprofits, who are the community experts. 

Nonprofits help connect businesses
and their resources to needs, which makes for a meaningful win-win partnership.  Businesses come with the heart of wanting to help, and nonprofits offer the ability to make those connections for them, so that they can have the maximum rewards for their investment. 

Businesses support local charities

for several reasons —

First, it can create partnerships, helping both the non-profit and the business.  It gives the business a charitable image in the community, sending a message that this business has an invested commitment to and concern for its neighbors and cares about a particular local issue. 

“Given public skepticism about the ethics of business…corporations that can demonstrate a significant impact on a social problem will gain more credibility than those that are merely big givers.”  “The Competitive Advantage of Corporate Philanthropy,” by Michael E. Porter and Mark R. Kramer, Harvard Business Review, Dec. 2002

Second, residents are likely to support companies that support the community.  The association with non-profits increases the visibility of the company’s name and logo, reflects a caring, personal touch, and often results in increased loyalty and revenue.  

Third, cash or property donations to a 501(c)(3) charity are tax deductible expenses, reducing a business’s taxable income and lowering their tax bill.  

Fourth, donating locally has a social impact as it strengthens our community, improves the quality of life for many Spokane citizens, and puts more money into the local economy.