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With corporate social responsibility, many businesses are actively looking to partner with and sponsor charities. Getting corporate sponsors to donate to your nonprofit or sponsor your next fundraising event might not be the first thing on your to-do list, but it’s well worth the time.
By securing corporate sponsorships, nonprofits can bridge the gap and get closer to their fundraising objectives. These partnerships offer access to new audiences, increased visibility, in-kind donations, and a dedicated volunteer base.
This article will discuss the types, benefits, and steps to find and secure corporate sponsorships.
A corporate sponsorship is when a company provides money and resources to a nonprofit to support its events, programs, and projects.
It acts as a nonprofit and for-profit business partnership that benefits both. The business receives brand exposure, a positive reputation, and some tax benefits, while charities receive financial support and additional resources for their fundraising efforts.
"Don't be afraid to ask people and businesses around you for help. You don't know unless you ask! The mode help you ask for, the better your chances are of getting sponsors." - Gaspard
4 Types of Corporate Sponsorships
Corporate sponsorships include cash donations, pro-bono services, product contributions, cause marketing campaigns, and employee volunteering initiatives.
Here’s a look at the primary types:
1. Financial
Financial sponsorship is when for-profit businesses offer funds to sponsor a specific nonprofit event or program. In exchange for their support, the nonprofit organization spotlights the business by adding its logo and brand name to event materials, such as brochures and posters.
2. In-Kind Donation
An in-kind sponsorship is when a company donates products or services to help with fundraising events.
For instance, a restaurant company offering catering services during a charity sponsorship or gala or a wine company offering a winery tour as an auction item.
3. Media
A company offering support to promote an event falls under media sponsorships.
For instance, a local newspaper could provide a free advertisement for an upcoming community fundraiser. Media sponsorships can be through TV, print, digital, and more.
4. Corporate and Employee Giving
Many for-profit companies have a corporate giving program as part of their corporate social responsibility.
These programs usually involve volunteer programs and employee matching gifts. The former involves financially supporting a nonprofit, where employees volunteer for certain hours. The latter involves doubled employee donations to charity.
Benefits of Corporate Sponsorships
A successful corporate sponsorship benefits both nonprofit organizations and for-profit companies.
Benefits of Corporate Sponsorship for Nonprofits
Increased awareness: By leveraging the sponsor’s network and industry presence, more people learn about the NPO's mission and cause, raising awareness.
Volunteer support: As part of the sponsorship, companies may offer their employees as volunteers to help with a charity event. It will minimize workload and save time spent on searching for volunteers.
More credibility: If a well-known company sponsors the event, potential supporters will feel more confident about the charity and more likely to trust and contribute to its cause.
New donors: Corporate sponsorships can transform a company’s customers, partners, and employees into the nonprofit’s supporters.
Benefits of Corporate Sponsorship for Businesses
Tax reductions: Many companies engage in donations and sponsorships because of the corporate tax breaks available.
Gain new customers: Just as a company’s customers and partners become nonprofit supporters, nonprofit supporters and donors can become the company’s customers.
Employee satisfaction: When a company shows its commitment to social responsibility, employees feel more connected, increasing engagement and retention.
Positive brand reputation: Helping a nonprofit aligns the company with philanthropic causes, allowing it to show that it is more than just a business.
How to Find Corporate Sponsorships: 4 Tips
For corporate sponsors, start locally by using existing connections before expanding outreach. Essential tips include using your network, researching companies with similar views, crafting compelling proposals, and highlighting mutual benefits.
Here are some basic steps to get you started:
1. Leverage Your Board’s Network
Nonprofit board members are well-connected and respected in the community. Many hold full-time positions with corporations and businesses, so your nonprofit's board is a great place to start when looking for corporate sponsorships.
List your board's connections: who they know, where they work, etc., to help you create a list of potential sponsors to target.
2. Contact Local Businesses
Local businesses strive hard to build good street credibility and a positive identity within their community. Their business success depends on how locals perceive them and their overall reputation in the market.
Approaching them is a good idea because they're more likely to offer support in sponsoring an event in their community. It will offer them good promotions and a positive reputation while you receive help to make your event successful.
3. Talk to Family, Friends, and Peers
You can identify potential partners through your connections. Contact your family and friends directly to see if there is a sponsorship opportunity. You may find a mutual connection with a company that frequently supports charitable organizations.
You can even ask your volunteers, supporters, and employees to check in with their connections to find corporate partners.
4. Search Online
Once you’ve exhausted your network, search online for a list of companies that donate to nonprofits. These companies will have a reputation for philanthropy and corporate giving programs, making them a great fit.
How to Prepare to Ask for Corporate Sponsorships
Before making your first phone call, sending your first email, or visiting, spend some time developing your high-level corporate sponsorship pitch plan.
Document your full list of potential sponsors
Before you start contacting businesses, create a list of potential sponsors so you know exactly who you’ll be pitching to. This list might include notes about the businesses, contacts who connected you, and research.
You can also use this list to prioritize who to reach out to first, securing a best-fit sooner and saving time pitching potential sponsors who aren’t aligned with the current project or initiative.
Search for connections that exist with the business
Maybe you’ve contacted all the businesses you know in your area, your nonprofit is hosting an event in a new town or city, or you’re just looking to expand your nonprofit’s reach. Whatever the reason, try to find a volunteer in the area to be your local ambassador.
Asking someone who already lives in the area you are targeting will ensure that you can coordinate local partnerships more efficiently.
How to Ask for a Corporate Sponsorship
Once you’ve identified companies you want to partner with, approach them and secure your corporate partnerships. Here are the steps to an effective sponsorship request.
Do an In-depth Search About Your Sponsors
Evaluating each option on the list is essential to picking corporate sponsors who are the right fit for your charitable organization and are more likely to say yes.
Ensure you choose a sponsoring company that aligns with your mission. If the company's values relate to your charity, it will likely offer support.
For instance, if your organization is focused on marine life conservation, you must work with a company that values environmental conservation, sustainability, ocean life, or other related issues. You can lose credibility if you partner with a business whose product line contributes to water pollution.
3 tips for choosing the right company to sponsor your nonprofit
1. Explore the Company’s Objective
Check the company’s website, specifically its About Us page, to learn about its objectives, mission, and vision. Understand what values matter to them and whether they align with yours.
If there is any connection, keep them on the list; otherwise, strike them out or move them at the end. Contacting companies with no common connection will be a waste of time.
2. Check Out Past Giving
Your selected sponsors likely have a history of supporting nonprofit programs and special events. Identify those who have offered help for similar fundraising events you’re planning.
The best way to learn about their past giving is by checking their social media channels and website. Once you find concrete proof of their giving, move them up the list.
3. Determine Their Needs
Since corporate sponsorships are more than just securing your charitable nonprofit needs, learn what you can offer to a company. Find out what they’re looking for and if you can offer benefits that address their needs.
4. Build a Relationship
Before appealing, cultivate a relationship with a prospective sponsor, showing that you’re interested in securing event sponsorship and genuinely want to build a long-term alliance with them.
Have a one-on-one meeting, so company representatives can get to know your leaders personally.
How you can build a solid relationship with potential sponsors:
Invite them to other organized fundraisers: Ask potential sponsors to attend your fundraising events or programs, providing insights on how you’ll use their funds. You can even articulate what brand exposure or product awareness they will achieve if they sponsor your events.
Share Marketing Materials: If you can’t secure an in-person meeting with potential sponsors, share marketing materials related to your cause and mission with them via email or direct mailing.
Set the Right Sponsorship Levels
Set multiple sponsorship levels before you appeal, ensuring that businesses of all sizes can participate.
Sponsorship levels are tiers that businesses can choose from to donate different amounts based on their capacity and level of interest. For instance, you can set three different levels and offer benefits such as:
A major sponsorship level valued at $5,000-$10,000 or more will receive naming rights for the event, listings, announcements, and an award.
A mid-tier sponsorship level valued at $2,000-$5,000 will secure six free tickets, a listing, and a social media announcement.
A low-level sponsorship valued at $500 -$2,000 will get two free tickets and a listing in the program.
Be sure to select and customize the tiers based on the donor's giving history, the benefits you can offer, and the type of event.
If you're hosting a silent auction, consider setting tiers for in-kind donations. The lowest level can include donating 3-6 items, while the highest level could involve offering travel packages, gift baskets, or catering the event.
Create and Promote Your Sponsorship Page
Creating a sponsorship page effectively spreads the word about your organization, your purpose, and how companies can help you make an impact. It enables your nonprofits to give interested businesses a chance to sponsor your nonprofit directly, removing the need for face-to-face meetings.
On your page, include information like:
Sponsorship levels and benefits
Details about your nonprofit organization
A case for support that highlights why you need sponsors
Contact information for interested companies to reach out
Once the page is ready, include a link to this page in your donation form. Promote it on social media channels or add the link to your monthly newsletters.
With Zeffy, create a page allowing your nonprofit to secure direct sponsorships and company donations. Your potential sponsors browse and explore different corporate sponsorship levels online and select and pay for the one they see fit.
Come Up With a Sponsorship Package
Corporate sponsorship packages are typically shared with potential sponsors to spark an interest and secure a face-to-face meeting. It is often not possible to contact the company leaders and meet directly with them to discuss your proposal.
In many cases, they may ask you to share your sponsorship details with them before they decide to meet you face-to-face. A sponsorship package is a great way to inform prospective sponsors about upcoming sponsorship opportunities.
While they will be different for each nonprofit, here are the typical components of the sponsorship package:
Nonprofit's mission: Companies have a clear understanding of what causes they want to support. By highlighting your mission, you can immediately draw attention from businesses supporting similar purposes.
Event or campaign details: Be sure to include important details of your event, such as title, date, time, location, and how it aims to help the community.
Target demographics: Break down details of your target demographics, such as age, gender, interests, and more, and share them with your potential sponsors. It will help them to decide how marketing at one of your events will help them reach more of their target audience.
Sponsorship levels and benefits: Provide details about each level and inform them of what each amount offers. Offer them the choice to create a unique sponsorship package that addresses their needs while providing you with the required support.
Deadline: Add a deadline to your sponsorship package to create a sense of urgency and ensure you decide within a specified timeline.
Contact information: Provide contact information in the package to ensure businesses reach out to the right person. As primary contact, it's best to mention your nonprofit's board chairperson, executive director, leader contact name, email, and phone number.
Make a Compelling Sponsorship Proposal
Once you secure a meeting with potential sponsors, create a formal proposal customized according to the business or company you have an appointment with. Present your proposal in a PowerPoint presentation to make it visually appealing and easy to understand.
To create a compelling proposal, focus on the given elements:
Introduce your nonprofit: Present your organization, its mission, programs, and the real-world outcomes it drives. Include case studies, data, and stats to emphasize the difference you’ve made in society, the problems you’ve addressed, and the people you’ve helped.
Explain why you’re the ideal fit: Explain how the corporate partnership will help them. What will working with your nonprofit help the company earn in terms of its goal? Talk about the impact the business will be able to make in the community.
Highlight the fundraising event: Explain the type of fundraiser you’re holding for which you need the corporate sponsorship support. Underline the event's goal, purpose, venue, attendees, and other essential details to help them make an informed decision.
Talk about incentives: Focus on the benefits businesses will secure with nonprofit sponsorships. These could include logo placements, mentions in promotional materials, or opportunities for employee engagement.
If you want to secure funds for a specific project, such as adding a new wing to a school, you can provide the corporate sponsor with naming rights.
Start Reaching Out to Sponsors
Once your proposal is ready, it's time to start connecting with the sponsors. Ensure you tailor your pitch to every potential sponsor and be willing to negotiate.
Best practices to follow when you’re pitching to businesses
Find the right timing: Your request for a corporate sponsorship is vital to secure a positive response. Many large companies mark a specific amount each year for charitable giving; you can learn about this on their company’s website. Be sure to ask when it's time for them to consider a sponsorship.
You will also have to cross-check whether the business has something important ongoing. For instance, accounting firms are busy during the tax season from January to April, so your request will likely go unanswered during this time.
Set clear expectations: Be specific about how the company can contribute to your fundraising efforts through direct financial support, media sponsorship, in-kind donations, or volunteer pro bono assistance. Establish what they will receive for their support of the nonprofit’s activities.
Follow up: Securing corporate sponsorship takes time. Even if you don’t land a sponsor after your first pitch, it doesn't mean you should give up. The timing may be off, or their fundraising priorities may have changed. You should try to reach out again. Be persistent but respectful and ready to make another pitch or request.
Develop a formal agreement: When the corporate sponsor agrees to offer support, finalize it with a formal sponsorship agreement. It should outline your goals, expectations, and other deliverables for your nonprofit and the company.
The agreement must also define the partnership's timeline and include how the nonprofit will recognize the business for its support.
Show Appreciation and Nurture the Relation
Demonstrating sincere gratitude shows your sponsors that you value their support and helps cultivate a relationship with them. You can show your gratitude before, during, and after the event.
Address them in your opening speech by highlighting the support they offered to make the event possible.
Give them a shoutout on social media. You can tag their company page and acknowledge their help with a post.
Share a gift basket or experiences like music lessons, woodworking classes, and more.
Top 5 Companies with Excellent Corporate Sponsorship Programs
Many corporations understand the value of giving back to communities through sponsorships. These top 5 companies stand out for their strong corporate sponsorship programs that support several nonprofits, driving social impact while increasing brand goodwill.
Wells Fargo is an American multinational financial brand that has collaborated with a wide range of nonprofit organizations supporting the needs of underprivileged communities. Some of the causes the Wells Fargo company and foundation support are:
Housing affordability
Small business growth
Sustainability
Championing quality and equity
While it prefers to fund projects and programs, it has limited sponsorship for fundraising events. You must apply 90 days before the event to be considered. Sponsorship will be given to nonprofits supporting their primary focus areas.
Bank of America has supported several nonprofits, improving financial lives and uplifting communities. It focuses on workforce development and education, basic needs like housing and food, and community development.
The financial institution offers an extensive program of sports and arts sponsorships to maintain healthy, vibrant communities. These include underwriting art events, exhibitions, and performances that demand private funding.
Bank of America sports sponsorship investments include Major League Basketball, the Chicago Marathon, and the ROVAL 400.
PepsiCo foundation is focused on creating innovative and sustainable solutions to address and bridge the gap to three critical socio-economic concerns:
Nutritious food
Safe water
Economic opportunity
While they don't take unsolicited proposals for charitable funding, groups can request product donations and sponsorships online from local Pepsi distributors. You can secure in-kind donations from its many famous brands: Quaker, Gatorade, Frito-Lay, and Tropicana.
State Farm Insurance is a group of mutual insurance companies headquartered in Bloomington, Illinois.
Being a large national corporation with local affiliates, the company enables organizations of any kind, not just 501(c)(3), to apply directly for sponsorships for marketing or events. However, you may have to use three months in advance.
The company supports education, safety, and community development ventures across the US.
Trader Joe's is an American chain of grocery stores that primarily offers in-kind donations for community events. Whether you're looking for support for a silent auction or have organized a community fair, Trader Joe's is the place to secure food and beverage donations.
Each store has a designated donation coordinator who manages community contributions. All donation requests must be made with your local Trader Joe's coordinator.
The grocery chain contributes to only 501(c)(3) charitable organizations with a current and valid tax ID number. The brand limits its donations to one per year per tax-exempt charitable nonprofit.
Wrapping Up
Successful corporate sponsorships maximize your mission's impact and support your fundraising's success. More than just bringing in donations, sponsorships offer public recognition, exposure, and credibility.
Take time to choose the right corporate partners and create attractive sponsorship levels to maximize the benefits of your partnership.
With Zeffy, create customized fundraising pages and donation forms to make it easy for sponsors to complete the sponsorship payments online. Add different sponsorship amounts to the form and add the form link to your sponsorship package.
SWLYF created a Zeffy ticketing page for their Margarita Bingo event, which included different sponsorship levels. The funds raised support SWLYF's educational programs for local high school youth at no cost to schools or participants.
Thanks to Zeffy’s 100% free comprehensive platform, SWLYF has raised over $28,000 so far, making significant progress toward its fundraising goals. SWLYF has also saved $1,400 in platform fees by using Zeffy's free service.
A sponsorship is when a business offers monetary support or resources to a nonprofit that, in turn, provides public recognition or advertising. On the other hand, a donation is when a company offers aid to a cause without expecting anything in exchange.
An example of corporate sponsorship is when a company offers a sizeable donation to the nonprofit's annual fundraising gala in exchange for including its logo or brand name on the event materials. As your nonprofit receives funds, the company gets exposure and awareness.
According to the National Council of Nonprofits, corporate sponsorship payments fall under taxable and non-taxable charitable contributions. To ensure that your tax-exempt charitable nonprofits don't have to pay taxes on your sponsorship payments, refrain from the following:
Include a full-page advertisement written by the company promoting its services and products in your marketing materials.
Offer the sponsor more than token services or other privileges in return for its sponsorship payment.
Accept payment from the sponsor based on the attendance level of the nonprofit's event.
Provide sponsors with certain advertising opportunities in regularly scheduled publications at no charge.
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