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Most Small Companies Make Charitable Donations, Survey Finds

By  Caroline Preston
November 20, 2008

Small businesses give generously to charity, with three-quarters of small-business owners in a recent survey saying they donate a percentage of their profits to nonprofit organizations.

On average, small companies contribute 6 percent of their profits to charity, according to the study, which was conducted by American Express.

The survey was based on interviews in August with more than 750 people who lead companies that have fewer than 100 employees.

Companies with the highest revenues were the least generous, with just 69 percent of companies that earn more than $1-million contributing a percentage of their profits to charity.

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Small businesses give generously to charity, with three-quarters of small-business owners in a recent survey saying they donate a percentage of their profits to nonprofit organizations.

On average, small companies contribute 6 percent of their profits to charity, according to the study, which was conducted by American Express.

The survey was based on interviews in August with more than 750 people who lead companies that have fewer than 100 employees.

Companies with the highest revenues were the least generous, with just 69 percent of companies that earn more than $1-million contributing a percentage of their profits to charity.

By contrast, 80 percent of businesses that earned between $250,000 and $1-million gave a share of profits to nonprofit groups, and 77 percent of companies that earned less than $250,000 gave to charity.

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Female business owners tend to give more than men, with 6 percent of women in the survey saying they were inclined to donate more than 10 percent of their profits. Just 1 percent of men said they were inclined to do so.

For more on giving by small businesses, see this survey conducted for The Chronicle, and the accompanying article

We welcome your thoughts and questions about this article. Please email the editors or submit a letter for publication.
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