![]() |
||
| The Profit in Giving to Non-Profits Editorial Staff |
||
|
By Gwenda Hiett-Clements According to many leading business executives you and your business can definitely profit from giving to non-profit organizations. And it’s not necessarily your financial bottom line that will reap the rewards — it’s the heart line that gets the real payoff. “I think there are two reasons businesses support community non-profits. One is idealistic — it’s just the right thing to do. If you can afford to, if you have more than others do, it makes sense to do that. From the self-interest standpoint, it is good business. If you improve the community, you improve the business climate,” says Laurel Smith of Gravina Smith & Associates, Inc., volunteer chair of this year’s area United Way campaign. The United Way acts as the umbrella organization for 50 local charities. David Lucas, chairman of the Bonita Bay Group, a company locally known for community involvement, says there is no one reason why people give to charity. “People give to charity for a number of reasons — ego, recognition, altruism — it depends on the individual,” he says. “When you have an opportunity to help and that opportunity is intersected by a need ... that equals a responsibility to get involved.” Following that responsibility, business leaders do see tangible benefits. They see the impact community giving can have on the working atmosphere and their employees. Buddy Moss, Publix Super Markets district manager, has seen United Way contributions come back directly to Publix employees. Last year two Publix employees received help when they lost their homes to fire. And, Moss says that employee involvement forms common bonds and brings a feeling of family back to the workplace. “It puts everyone in the store in a mindset of helping the community. And, it’s a lot of fun. When I first started to work at Publix, it was closed on Sunday and employees used to get together for family picnics. This lends itself to that same atmosphere — a group pulling together and having a great time. In the end it results in profits for the store. Employees feel they are part of a team, a family. Also, they saw the direct result of their work going to someone we knew who needed it. It brings it home.” That’s a feeling several local banks know well. So much so, that Bank of America specifically created a position to focus on the bank’s charitable giving — vice president of community relations for Lee and Collier counties. Bethanie Mutter, who holds the position, says her personal benefits are direct. “I collect information for local giving and my recommendations go to the Bank of America Foundation,” Mutter says. “I have a great job because it allows me to get involved with the organizations and I can see where dollars make a difference.” Mutter stresses the importance of employee involvement in charitable decision making. She says that bank employees took a vote on one charity to support to make more of an impact. “By focusing on that one charity, we were able to get the greatest number of people involved in this year’s March of Dimes walk. It’s a lot of fun for them and it has more value if it is something they believe in,” she says. Charles Idelson, CEO and chairman of the board for SunTrust Bank of Southwest Florida, echoes Mutter’s belief that the greatest benefits come with personal involvement. “I was invited to go to [Habitat for Humanity] to help raise a roof on a house and the experience was so great I have been on the board for five years,” he says. “Volunteers can turn their work into a fun project for the whole family. It’s a way to teach your children how important it is to get involved and help other people.” However, getting involved takes time and working people don’t always have extra time to spare. But, Harlan C. Parrish, president and CEO of the Southwest Florida Region of Colonial Bank, doesn’t let that stop his employees. He believes in giving them time during the work week to participate in programs. Employees work with educational programs such as Junior Achievement and they also participate in the United Way Loaned Executive program which sends an employee out on bank time to aid United Way non-profit agencies. “In addition to giving people a good feeling it sends the message that there is more purpose in work than just profits,” Parrish says. Regarding the financial bottom line, leaders agree thatstyle="mso-spacerun: yes"> having employees involved with local service and non-profit organizations to get to know more people can lead to more business. However, they emphasize that you shouldn’t go into giving with the goal of making more money. “We encourage our management to become involved in at least two community activities for personal and professional development. That creates visibility for the company and provides networking in addition to providing personal enrichment,” Parrish says. “Just giving money is important, but it does not include self-development. It is part of our stewardship to give.” Giving is even part of the foundation of some companies. John Pollock, executive vice president of Oswald Trippe & Company, Inc., an employee-owned independent insurance agency, says that when the company was formed, Gary and Gay Trippe determined that being involved in the community would be part of the company’s culture. Each employee’s business plan includes time allocated to community involvement. He says there are benefits from the sales point of view. “It’s an opportunity to meet decision-makers, make contacts on a neutral level because that fits with the company philosophy of building business on relationships. If you boil it down, it’s your work. If you are going to spend time, you might as well make it fun and enjoy it. Getting to know people outside is just part of culture here. And the bonus is it fosters team work, brings us together on a personal level.” Another benefit is positive community perception of the business, explains Steve Shimp, president of Owen-Ames-Kimball. He gets his employees involved by making their work skills available to the community — by building projects for non-profits at cost. The company has focused their efforts in the Dunbar area where they built the Habitat for Humanity warehouse at no fee. “As a company it sends the right message to the customers. We keep our business close to home and people perceive us as a good company,” he says. “There have been times when I am working on a contract for someone and they say, ‘Steve, you know we appreciate what you do.’ That’s rewarding.” Shimp believes if Owen-Ames-Kimball spent the time and money on entertaining — taking clients out for dinner and golf — that they do on community efforts, they would probably have more business. “It just wouldn’t feel as good,” he says. Advice from the Experts The seasoned business leaders have common advice to businesses wanting to initiate a community-giving program. First, get in touch with United Way organizers. “If you can’t do the research yourself, you can contribute to 50 different agencies and the money stays in your area,” says Lucas. And Parrish adds, “I look at giving to the United Way as an insurance policy.. If we have a hurricane and we need the Red Cross, they’ll be there through the support of United Way.” Next, involve your employees in charitable decision making. “I would meet with the employees and see what their concerns are — let them vote, do it the old democratic way — so they can rally around a cause they believe in,” says Parrish. Shimp agrees. “If you focus on your employees then you find they will follow their money with their time.” Finally, make sure that you and your employees are directly participating in the charitable efforts. Participation is the key to any successful program — the profit truly goes to the non-profit and the employee. “All of us should be giving back as corporate citizens, but if small businesses can’t afford the dollar commitment, there are so many organizations looking for volunteers,” Idelson says. “And the more you get involved, the more you want to continue your involvement.” And no matter what you decide to do, whether it is giving money or giving time, make sure you are committed to the project, says Pollock. “The main message is to be involved. If you are getting on a board of directors to increase your business, you’re in it for the wrong reasons. The organizations are understaffed, under budgeted. You have to share your ideas, your expertise. Help with fund raising. You’ll make it a better place and learn to appreciate what people who work in non-profits do because they want to, not because of pay. It’s nice to be around people who like what they do as a labor of love. It makes you say, ‘I should do more myself!’” Gwenda Hiett-Clements is a Sanibel-based freelance writer. | ||