Private Funding / Businesses

One way to raise funds is to seek corporate donations. Companies may give money to charity to demonstrate that they are caring corporate citizens, because shoppers are more likely to buy from a company that is associated with a good cause. This practice of corporate giving is called “strategic philanthropy.” You may also hear it called
cause-related marketing or community partnering.

Businesses may assist you through corporate giving programs, corporate marketing or community relations programs, or corporate foundations.

However, be sure to check with your agency or organization’s rules before pursuing fundraising relationships with businesses.

Strategic philanthropy can have several benefits. It…

• Directs funds to your organization.
  
• Raises awareness of the donating company, spreading its name throughout the community.
  
• Creates a positive image for the company.
  
• Improves the company’s relationships with its customers, vendors, community, and other stakeholders, increasing their loyalty to the company.
  
• Supports the company’s strategic business goals.
  
• Increases the morale, performance, and productivity of the company’s employees.
  
• Reduces turnover at the company.

 

Donation Types

Before you ask for a donation, think like a business person. What will the company receive in return for its investment? Favorable publicity? Name recognition? Inroads to the Hispanic market? Find out which kinds of projects, in which areas, the business usually funds. For example, companies often like to partner with nonprofits on events.

You may ask companies to donate any of these things:

• Money: A business could donate a lump sum, or give you a percentage of sales. You can ask for money for general support or to conduct strategic planning, a feasibility study, or more.
• Services: A public relations company could publicize your services for free—or a spa could donate a gift certificate for your charity auction.
• Property: A computer company could give you equipment—or a toy store could offer free toys to parents who attend your seminar on child support. A store also may give you coupons or products for a discount and let you resell them at a higher price.
• Space: A store may let you set up a table in its store and ask for donations, or hold educational seminars for noncustodial parents there for free. Businesses can donate meeting space and meals or cover travel expenses for conferences that bring together child support enforcement staff to generate new ideas and new ways of serving clients.
• Time: A nearby office could offer people to help with filing or other volunteer needs.

As you evaluate companies who might donate, consider asking them to partner or collaborate with you rather than make a one-time gift. You may be able to do more good with the funding if you can expect it on a regular basis, because you can sustain a project long term. Long-term funding also enables you to focus on your work, not on fundraising.

Your donor will benefit as well, because over time its name will become intertwined in its customers’ minds with good deeds, and with a commitment to social change.