Corporate giving programs and/or corporate foundations are the vehicles by which companies make charitable contributions to non-profit organizations. Corporate foundations are created and funded by companies as separate legal entities, controlled by boards of directors, which are usually comprised of company employees, typically at the senior management level. These corporate foundations are funded in a variety of ways including: establishing private foundations with endowments, making periodic contributions from profits, or combining both methods to provide a foundation's resources. Some companies operate corporate giving programs, which are separate from corporate foundations in that they are under the full control of the company and are not required by law to follow the same IRS regulations. Many corporations maintain both a foundation and a corporate giving program, which affords them greater flexibility in their grant making.

Most corporations have established guidelines describing the types of organizations to which they will provide funding. In addition, corporations typically outline those organizations that do not qualify for funding. And while a grant-seeker will want to check the guidelines of each corporation, generally corporations or corporate foundations do not fund religious or sectarian programs for religious purposes, political organizations or campaigns, or organizations that limit membership based on race, religion, color, creed, sex, age or national origin.

Additional Information
In addition to direct giving programs, there are several other ways corporations make contributions to the community. Many companies offer in-kind or product donations to qualifying non-profit organizations. These donations can range from office supplies to computer hardware to company merchandise. Matching gift programs are another component of the corporate giving program. Matching gift program eligibility requirements vary from company to company but all are designed to support the programs that employees and retirees of the company support. And finally, corporations often have organized volunteer programs for their employees as part of the overall corporate giving program. These programs are an excellent resource for non-profits in need of human capital.

Corporations have a long history of contributing to communities throughout the United States and in many cases, the world. From cash contributions to matching gifts to employee volunteerism, corporate foundations and giving programs play an important role in the vitality of our communities.