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Seven reasons businesses contribute to charity

Contributing towards charities can have an immediate and beneficial impact on any business. Discover the reasons why so many companies are taking this route to expand their reach.

Have you always wondered why big businesses sponsor or have partnerships with local and international charities? It is not just a pat on the back for their egos. There are various reasons why charitable contributions can have a positive effect on business growth and development. This article will explore 7 reasons why businesses contribute to charity and how you can do so too.


Sponsoring or hosting charitable causes and event is great free publicity for any growing or established business. Instead of handing out flyers or putting up posters, simply donating to a good cause or putting on a fund raising event can boost your businesses reputation tenfold. Your companies name will be spoken about and your name will be linked to positive causes. Word of mouth is a key aspect in getting businesses known and respected, and there is no better way to be spoken about by costumers than being charitable and giving.

Customer Support

Gaining costumer support and respect is important for any business. In a time when the public sector is frowned upon from certain circles, being a caring and thoughtful business can have even the most cynical of Marxist’s giving you a second thought. A great way of doing this is having a business model that directly links your company to charity. For example, My Favourite Voucher Codes donates 20% of their profit every month to a different charity. This is a great way to gain costumer support in a crowded market.

Staff Satisfaction

Keeping employees happy and motivated is a priority in any business and having your company linked to a charity is a great way to keep everyone on board and engaged. Having pride in your work is something we all strive for and for an employee to know that their hard work and determination will not only be rewarding through competitive wages but through donations to charity will only motivate them further. A recent Forbes article highlighted that charitable giving can boost office moral and provide better teamwork in the long run.

Tax Deductions

Do not worry this isn’t tax evasion or tax avoidance, this is all legal and outlined in Government Legislation. Any limited company in the UK can pay less corporate tax when they give to charity. Whether you contribute through money, equipment, property, land, employees and / or sponsorship payments, your company can reduce the amount of tax you pay. This may seem like it could have a negative impact on your business but be assured that when the public know that buying from you will have a positive impact on their communities you will be in their good books, for sure.

Social Media

With the business world moving gradually online, having a strong social media perception and presence is key. Many companies can live or die through their social media pages and sites. One bad services or mistake can be passed around the web like wild fire, however, the same goes for positive news too. Once people know that your company is contributing towards charity you will only receive positive benefits through mentions and sharing. The impact of this new found publicity cannot be over looked.

Niche Markets

Having your business linked to specific causes can gain you overwhelming support from other supporters and contributors towards those charities. Do not over estimate the impact this can have on your business, especially if you are a new or growing organisation. This will not only have an impact within this ‘community’ but your goodwill will be rewarded through positive remarks made to family members, work colleagues, friends, and so on.


All of the above have one thing in common: profit. Positive publicity through word of mouth or online will only help your business grow and expand. Contributing towards charity is not just to help the less fortunate, but it is to help you too. Reap the rewards from helping good causes and watch your business grow into the company of your dreams.

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