The Who, How, What and Why of Corporate Community Investment in Canada
A summary of findings from the Canada Survey of Business Contributions to Community
IssueBusiness support of not-for-profit organizations
Based on a survey of 1,500 businesses, this fact sheet highlights select findings regarding the corporate community investment practices of all responding businesses as well as a breakout of 93 larger corporations (revenues over $25 million). The survey found that 76% of all businesses provided funding to not-for-profit organizations. Almost all large corporations (97%) did so. The broader business community gave a slightly larger percentage of their pre-tax profits (1.25%) than large corporations (1%).
The fact sheet highlights the finding that companies provide funding “for both altruistic and business-related reasons”. One-half of all responding businesses were motivated to give because they believe in “helping to build strong communities to create conditions for business success”. Similarly, 48% “were motivated to give because it fit their company’s traditions and values, and 45% donated because it is a good thing to do, irrespective of the financial returns for the company”. Large corporations were even more likely to contribute to create conditions for business success (72%), and the same number cited the motivation of helping the “company’s reputation and relationship within the community”.
In addition to providing cash donations, some businesses also sponsored not-for-profit organizations, donated goods, products, or services, and supported for employee volunteering or fundraising programs. In terms of all business sponsorships, the survey found that “arts and culture organizations received the most lucrative sponsorships, with a median value of $39,500”.