Business-Charity Partnership: Opportunity or Risk? - From a Charity Perspective

Last week, we mentioned the prevailing CR/ Sustainability business model an opportunity for charity to build potential partnerships with corporate. From a charity perspective, what are the opportunities and risks?

There are 2 significant advantages to successfully partner with business- 1) to raise fund and 2) profile.

Partnerships with corporate can worth a great deal. First, given the lack of funding in most charities, it is seen as a driving need for raising fund. Second, it leverages the benefits of cause-related marketing. That is, to increase the ability to promote the charity’s cause through tapping the financial resources from business. Take us as an example, we will have more resources to invest on marketing of our “Rafi.ki Tribe” Programme with more business partnerships.

However, experience tells us that setting up partnerships with corporate is not easy. We spot 2 risks- 1) incompatible objectives and 2) unequal power relations.

Charities have strong brand name and core values. It has been difficult to align our aims, values and work to business. When comes to negotiating fair deals with commercial partners, charities often comply with the proposals put forward by corporate. An invisible unequal power relation exists in the establishment of business-charity partnerships. Bargaining and decision making power are often overridden by the side with rich resources.

These risks reflect a number of challenges for charities to set up partnerships with business, including:

• Which commercial partners to choose?
• How to protect our values and brand names?
• How to maintain a sustainable partnership?

We are launching a ‘Rafi.ki Tribes’ programme, which is about providing the technology, expertise and network of schools to help other organisations working with educators and/or young people to establish or enhance their online initiatives. We are actively looking for support from corporate, governmental bodies and other non-profit organisations, but at the same time encountering a lot of difficulties in search for partnerships.

Have your charities ever faced any challenges in setting up partnerships with business? Post your comment and share with others.

Next, we will dig deep into the above questions and move to the discussion on how to establish an effective charity-business partnership.


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