Using Nonprofits to Build Your Brand Awareness

David Vudragovich · AgentDavidCares.com · Licensed Independent Group Benefits Advisor

Back in 2011 and 2012, someone gave David advice that changed how he built his business. Get involved with the chamber. Volunteer with nonprofits. Show the community you are actually part of it.

He took that seriously. In 2012 alone, he volunteered with somewhere around 20 different nonprofits, everything from United Way to the senior center to the local food pantry. By 2013, that list had narrowed to about six, organizations whose purpose actually aligned with what mattered to him. Eventually it settled at three, in Anderson County, Tennessee, where he showed up consistently enough to become a familiar face, not just another name on a donor list.

The theme nonprofits keep repeating

Most nonprofits approach a local business the same way. We need money. Can you donate? You can write it off.

That last part sounds better than it usually plays out. Only about 10 percent of individual tax returns itemize deductions anymore, down sharply from roughly 31 percent before the 2017 tax law changes. Fewer than 6 percent of households earning under $100,000 itemize at all. For most people, a personal cash donation simply gets absorbed into the standard deduction and provides no additional tax benefit.

There is a better way, and it changed how David gave from that point forward.

The basket that taught the lesson

A nonprofit once asked David to put together a donation basket for their fundraiser, chocolate, gift cards, whatever he wanted to fill it with. David is the first to admit he is not the person for that. Assembling a beautiful gift basket was never going to be his strength.

So he partnered with Angelique, a local florist who also carried an assortment of gift items. He bought what he needed from her, essentially at cost, and the two of them donated the finished basket together. The nonprofit's signage read something like "Donated by Angelique's flower shop and David, your local insurance agent."

The basket went into the event's silent auction, the kind where bidders drop a ticket into a jar next to whatever they want to win. Because the item itself was donated, the nonprofit kept the full proceeds, no cost of goods eating into what they raised.

That signage did three things at once. It put both businesses in front of the nonprofit's entire donor base, people already inclined to trust anyone supporting a cause they care about. It protected David and Angelique's margin, since neither business gave away full retail value. And anyone who bid on the basket and lost still walked away knowing exactly where to buy the real thing.

The same advice, given again this morning

That lesson has not gone stale. This morning, at a Morning Rush networking meeting, David spoke with someone newer to networking, a business owner selling perfumes and oils, who had been putting together small sample bags with a price list tucked inside to hand out around town.

David suggested a different approach. Find a local nonprofit with an upcoming fundraiser or auction event. Donate one of those sample bags instead of handing it out cold. Partner with another small, service-based business willing to help cover the cost, the same way Angelique and David once did. Let the nonprofit's signage carry both names.

The advantage is the same one David learned years ago. Instead of trying to build brand awareness from a standing start, a new business borrows the trust a nonprofit's supporters already have. The message becomes simple. This person is willing to give to a cause we care about. That is worth supporting.

Something worth considering, if you are the business getting asked

Most nonprofits just ask for money. Offering something in return instead, a sponsorship, a donated product, a shared mention at the event, makes a business stand out and feels a lot less like begging on either side.

David tells people regularly that he is not an accountant, but he is happy to hand over the right questions to bring to whoever is. That distinction, between a straight personal donation and a business sponsorship, is worth asking about before the next fundraiser invitation shows up in an inbox.

This article was developed with AI assistance and reflects the experience, voice, and opinions of David Vudragovich.

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FAQ:

Q: Why should a business donate a product instead of just giving cash to a nonprofit?
A: A donated product can go into a silent auction, where the nonprofit keeps the full proceeds since there is no cost of goods involved. It also puts the business's name directly in front of an audience that already supports the cause.

Q: Is a personal cash donation still worth doing for the tax write off?
A: For most individuals, no, since only about 10 percent of tax returns itemize deductions anymore. A business, however, can often structure a sponsorship or in-kind donation as a business expense instead, which works differently than a personal deduction. Anyone considering this should ask their own accountant which approach fits their situation.

Q: How does partnering with another business on a donation help both parties?
A: Splitting the cost of a donated item lets both businesses appear on the nonprofit's signage or materials, extending visibility to a shared audience without either business bearing the full cost alone.

Q: How many nonprofits should a business get involved with?
A: Fewer, chosen well, tends to work better than many chosen quickly. Narrowing down to organizations whose mission genuinely aligns with personal or business values leads to more consistent, meaningful involvement over time.

Q: Does this replace traditional networking?
A: No. It works alongside it. Nonprofit involvement builds trust and visibility in a different way than a networking group does, through shared purpose rather than a structured referral system.

Sources: Tax Policy Center, itemized deduction data.

AgentDavidCares.com does not provide tax advice. Consult your accountant.