Many of the business owners I meet have really good intentions. They want to do a lot of really great things for their families, for their communities, for their country. By having those intentions, what sometimes happens is that they start using their business to give away products, give away services and their accounting of giving away these things is not of the highest standard and at the end of the month, at the end of the year, they sometimes wonder, “You know, I’m not making any profits, what is really happening here? I feel good in my business, I feel good doing my business but you know that financial progress doesn’t seem to be happening for me.”
It is very important that you start looking at everything exiting your business as a product or a service delivered that has value that needs to be paid for. If you are interested in providing that type of community support, getting involved with charities; also clearly signify which one of the charities you’re picking or what good deeds you want to do. Verify it, Quantify it and it is important that you make that separation so that you can make the business work like a business and generate profits and you’re only allowed, and set that up very early on; to take a certain percentage of your profits and put it towards charity. What this does for you as well is that; yes you are able to do great things, but it also allows you to take a careful look at the business to make sure that the business is actually generating profits and it puts the responsibility on this business as well to generate profits of the significant level so that you can take a decent portion of that put it towards charities of your choosing.
Keep in mind, Business is Business and Charity is Charity, when you end up mixing them up it usually causes significant problems for your company. I know that you may be looking at the larger companies that do have Corporate Social Responsibility programs where they get heavily involved into the community; but please remember, all of that is budgeted and unless you take a lead from that and start budgeting for yourself; what profits you need to generate, what portion you can afford put to charity, you may find yourself in a situation of working really hard, maybe even enjoying it, but then being without those profits. So keep an eye on that and don’t turn your business into a charity.
Original Source: http://www.vishnudoerga.com/business-vs-charity
