6 Ways Your Company Will Benefit From Better Community Involvement

The power to make a positive impact through community involvement will translate into benefits for your business.

learn more about Austin Mac Nab

By Austin Mac Nab

Opinions expressed by Entrepreneur contributors are their own.

Small business owners and entrepreneurs often have a long list of things to get accomplished, and while there are seemingly not enough hours in a day, making time for community involvement should be a priority.

The power to make a positive impact through community involvement translates to benefits for the business, customers, employees and the community.

Here are some of the impactful benefits which accrue from business community involvement.

1. Creates a positive workplace culture

Ingraining community involvement in company culture creates a happier workplace. Prioritizing volunteerism and social responsibility has a positive impact on employees, improving their morale and increasing job satisfaction. According to research by Boston College, "employees with favorable perceptions of their organization's corporate citizenship tend to experience higher levels of self-efficacy, hope and optimism about work."

Community involvement also improves company culture by helping to build strong teams. A study on volunteerism found that 92% of employees believe volunteer activities through work develop their people and teamwork skills, and 77% believe they strengthen relationships.

In short, giving back to the community increases engagement in an organization, which creates a positive workplace culture.

Related: 5 Easy Ways to Make Philanthropy Part of Your Company Culture

2. Cultivates customer trust

Authentically and consistently showing care for and involvement in the community builds the trust necessary for creating a loyal customer base.

Customers trust businesses that care about the community they serve.

When consumers believe that a business is truly invested in the community, they become more connected to that company. The positive perception fostered by giving back to the community increases customer trust, making it easy for consumers to support a business that is involved in the community over one that is not.

3. Attracts and retains talent

Employees today want to work for a company that gives back to the community. In fact, one survey points to community involvement as a powerful recruiting tool. More than 80% of company respondents in the survey reported that community involvement helps improve the ability to recruit employees and reduce turnover.

There is no question that community involvement helps companies attract and retain millennial and Gen Z employees who now make up nearly half (46%) of the full-time workforce in the U.S. These generational cohorts want the companies they work for to lead the way in giving back to the community.

Related: How Growing Businesses Can Prioritize Community Involvement

4. It helps the community thrive

Thriving communities are hubs for thriving businesses. Giving back to the community helps develop the community which is great for those living there and equally great for businesses located there.

It creates a kind of symbiotic relationship that is beneficial to everyone. By investing time and money in the community, businesses can help address community problems and needs and spur economic growth.

5. It's easy to give back

There are many ways for business owners and entrepreneurs to give back to their communities. It's easy to become involved in the community by volunteering and encouraging employees to volunteer themselves, sponsoring a sports team, organizing food drives, funding a scholarship and partnering with a nonprofit organization.

A great way to identify community involvement projects is to ask employees and customers about community needs and how the company can be most impactful in providing time, resources or money (or all of the above) to help.

Related: The Power of Giving Back: How Community Involvement Can Boost Your Bottom Line

6. Giving back is good business

Entrepreneurs recognize that giving back to the community is good business.

A survey examining the philosophies, attitudes and activities of entrepreneurs related to their communities found that 91% of entrepreneurs are currently engaging their communities outside of their business responsibilities, and 44% say their businesses have grown as a result of engaging their communities. The majority of entrepreneurs surveyed stated that their motivations to engage the community centered around personal values and passion.

The bottom line is that community involvement is the right thing to do. Business owners and entrepreneurs should lead by example, demonstrating a passion and commitment to the well-being of the communities they serve. Amazing benefits will accrue from there.

Austin Mac Nab

Entrepreneur Leadership Network Writer

CEO, Co-Founder and Executive Leader

Mac Nab is CEO, co-founder and executive leader of VizyPay, a West Des Moines, Iowa-based provider of payment technology solutions. Mac Nab is an expert in the payment processing, bank card and retail industries. He's responsible for overseeing the company’s strategy & day-to-day business operations

Related Topics

Editor's Pick

This 61-Year-Old Grandma Who Made $35,000 in the Medical Field Now Earns 7 Figures in Retirement
A 'Quiet Promotion' Will Cost You a Lot — Use This Expert's 4-Step Strategy to Avoid It
3 Red Flags on Your LinkedIn Profile That Scare Clients Away
'Everyone Is Freaking Out.' What's Going On With Silicon Valley Bank? Federal Government Takes Control.
Leadership

How to Detect a Liar in Seconds Using Nonverbal Communication

There are many ways to understand if someone is not honest with you. The following signs do not even require words and are all nonverbal queues.

Business News

Amtrak Introduces 'Night Owl' Prices With Some Routes As Low As $5

The new discounts apply to some rides between Washington D.C. and New York City.

Business Ideas

55 Small Business Ideas To Start Right Now

To start one of these home-based businesses, you don't need a lot of funding -- just energy, passion and the drive to succeed.

Fundraising

Working Remote? These Are the Biggest Dos and Don'ts of Video Conferencing

As more and more businesses go remote, these are ways to be more effective and efficient on conference calls.

Growing a Business

The Best Way to Run a Business Meeting

All too often, meetings run longer than they should and fail to keep attendees engaged. Here's how to run a meeting the right way.

Business Solutions

This Highly Rated App Could Help Business Owners Stay Organized

Get your business in order with this personal organizer app on sale for $60.