Skip to Main Content

Helping Family Businesses
Prosper Across Generations®

Giving Back

Dear Advisor: We've always tried to "give back" to our community, but in the past, giving has been disorganized and sporadic. I'd like to take a more disciplined approach. Have you any suggestions?


We applaud your desire to contribute to your community. And the "disciplined approach" will help maximize the benefits for the family, for the community and for the business.

An important benefit of giving back is the synergy between the giving and the origins of the monies. Done synergistically, giving back not only "does good," but it strengthens the family's commitment to and enjoyment of the business.

Families who own businesses can give back in at least four ways:

  • Business conduct
  • Business giving to the community
  • Joint family philanthropy
  • Individual charity It's useful to be clear on the purpose and role of each type of giving.
  • Corporate conduct should always be a source of pride for family owners. Ideally company executives and employees take responsibility for corporate conduct, with oversight from the board.
  • Business giving generally consists of gifts to worthy community organizations in fulfillment of the need to be a good corporate citizen or in relation to specific business goals.
  • Family philanthropy hopefully will unite the family behind a common theme, provide family members with worthwhile ways to serve the family, as well as reinforce the mission and identity of the business. (Perhaps both corporate giving and the funding of the family's foundation can be proportionate to business profits each year.)
  • Individual charity allows opportunities to pursue personal interests.

Incorporate into your charitable contributions only those elements that work best for your family and your business.

The Advisor

 

Back

 

Articles purchased or downloaded from Family Business Consulting Group® are designed to provide general information and are not intended to provide specific legal, accounting, tax or other professional advice. Since your individual situation may present special circumstances or complexities not addressed in this article and laws and regulations may change, you should consult your professional advisors for assistance with respect to any matter discussed in this article. Family Business Consulting Group®, its editors and contributors shall have no responsibility for any actions or inactions made in reliance upon information contained in this article. Articles are based on experience on real family businesses. However, names and other identifying characteristics may be changed to protect privacy.

The copyright on this article is held by Family Business Consulting Group®. All rights reserved.
Articles may be available for reprint with permission. To learn more about using articles for your publication, contact editor@thefbcg.com.

8770 W. Bryn Mawr Ave., Ste 1340W, Chicago, IL 60631
P: 773.604.5005 E: info@thefbcg.com 

© 2017 The Family Business Consulting Group, Inc. All Rights Reserved.

close (X)