Corporate Community Impact Resources for Business Owners Rob

Corporate & Community Impact Resources for Business Owners Rob Mac. Pherson, CAP, VP of Development & Strategy Sarah Weaver, JD, Senior Gift Planning Advisor March 1, 2019

Overview • Trends and Benefits • CSR Strategies • Charitable Tools • Succession Planning

Corporate Social Responsibility (CSR) “Movement aimed at encouraging companies to be aware of the impact of their business on the rest of society – including their own stakeholders and the environment. ” “A business approach that contributes to sustainable development by delivering economic, social and environmental benefits for all stakeholders. ”

CSR Approaches Differ Widely by Company • • • Human rights Corporate governance Environmental impact Employee culture & working conditions Health & safety Charitable engagement Community outreach Economic return & profit sharing Others

Extremes & Everything In Between – It’s All Good!

TRENDS & BENEFITS OF CSR

Great Expectations A 2017 Cone Communications Study on CSR found: • 70% of Americans believe companies have an obligation to take actions to improve issues that may not be relevant to their everyday business • 87% of Americans would purchase a product because that company stood up for or advocated for an issue that they care about • 76% of Americans would refuse to purchase a company’s product or services upon learning that it supported an issue contrary to their beliefs

Great Expectations

Talent Attraction & Retention Millennials now make up the largest segment of the workforce

Business Benefits • • • Improved Public Image Increased Media Coverage Boosted Employee Engagement Satisfied & Engaged Customers Increased Innovation & Creativity Cost Savings Brand Differentiation & Competitive Advantage Long-Term Thinking Attraction & Retention of Investors

Impact Investing Impact investing combines financial returns with social returns According to a recent survey from the Global Impact Investing Network, the estimated value of the impact investing sector doubled from $114 billion in assets under management in 2017 to $228 billion in 2018

CSR STRATEGI ES

CSR Strategies • Values, Interests, Purpose, Mission, Promise • Stakeholders • Employee Engagement • Customer & Client Engagement and Awareness • Industry & Competitor Awareness • Pledge 1%

CHARITABL E TOOLS FOR BUSINESS OWNERS

Corporate Foundations

Corporate Advised Funds Donor. Advised Funds for Business Entities

Employee Matching Funds Doubles the incentive for employees to give!

Employee Scholarship Funds Must Not Look Like an Employee Benefit!

Social Impact Investment Opportunities

BUSINESS SUCCESSION PLANNING

Gifts of Closely-Held Business Interests JP Morgan Chase surveyed 817 small- and middle-market businesses: One quarter said they are either planning or considering a full or partial ownership transfer within two years

Timing & Process PRE-AGREEMENT & PRE-SALE The process: • Donate • Liquidate • Grant

Tax Savings & Avoidance Charitable Income Tax Deduction AND Capital Gains Avoidance

QUESTIONS ?

Thank You! Rob Mac. Pherson, CAP Vice President of Development & Strategy Rob. M@CICF. org Sarah Weaver, JD Senior Gift Planning Advisor Sarah. W@CICF. org