Corporate foundations help the company develop a community investment and involvement strategy that furthers the company's social vision and its business interests.
Corporate foundations provide stability and flexibility in corporate giving.
The corporation is able to insulate its giving levels from the business cycle by making larger contributions in years when earnings are higher and smaller contributions when earnings are lower. Corporate foundations can be used to boost employee morale and loyalty by establishing a corporate matching gift program through which it matches employee gifts to qualified non-profit organizations. A corporate foundation is subject to the same regulations as other private foundations The assets of the corporate foundation are derived from the assets or profits of its parent corporation or individuals closely associated with the corporation. Corporate foundations usually focus on communities where the company has operations and on research and education in fields related to the company's business. Corporate foundations are usually managed by top corporate officials, including the CEO, CFO, Director of Community Affairs, or Director of Marketing.