Natural Philanthropists Inquiry Launched at National Forum Conference

5th June 2009 

The IFB, in conjunction with the Community Foundation Network, today launched a report into family business philanthropy and social responsibility. 

The study, completed by Beth Breeze from Kent University, reveals the essential contribution that UK family businesses are making to local communities. As companies facing the recession look to make budget cuts, this report highlights a number of reasons why charitable giving by family firms may prove to be more resilient. 

The presence of family values in the workplace, the commitment to stewardship through the generations and the prioritisation of long term business objectives, should enable philanthropy and social responsibility to be sustained in this sector and family businesses to remain local heroes. 

The report identifies six distinctive features of family businesses that shape and encourage their socially responsible activities: 

Family business model The high overlap between the stakeholders - the family, the employees and the community - enables socially responsible behaviour to be effective. 

Passion Family businesses don’t always need a business case for philanthropy; it’s the family name above the door and their reputation that gives the motivation. 

Localised nature Most family businesses recognise that their success is enabled by the support of the community in which they are located, creating a desire to give back. 

Stewardship model Family businesses are built to be passed on to the next generation; beyond the necessity of making short term profits they are building an enduring legacy. 

Pursuit of non-monetary goals Social, environmental and sustainability considerations are given credence alongside financial performance.  

Inter-generational transfer of values Philanthropy can be used to transfer family values to the next generation.

To download the report please click here