Giving More than Money
Mon Jun 16, 2008 at 12:22 pm By Matt
Shortly after the Sichuan earthquake struck, Asia business consultancy Dezan Shira & Associates did what a lot of other businesses did: It gave money to charity.
It also did what a lot of others didn’t.
Executives looked at the company’s core businesses – which include foreign direct investment, legal, tax, accounting and due diligence services, as well as various media publications – and tapped into their expertise to execute socially responsible action.
For instance, the company sent out a briefing to its newsletter recipients about avoiding tax liability for charitable donations.
“Almost as soon as we sent that out to our clients and readers we were receiving questions over tax allowances for charity donations, in all of our offices at Dezan Shira & Associates,” according to Chris Devonshire-Ellis, the firm’s founder and senior partner. “Clients were phoning us up and asking about the issue. So we knew there was a concern.”
The firm advised representative offices not to make charitable donations from their China bank accounts, “as business taxes will be levied on the expense.” Rather, it urged rep offices to make donations via the head office.
It made similarly useful recommendations for wholly foreign-owned enterprises (WFOEs) and joint ventures (JVs).
“That also helped, and encouraged many other people to give who otherwise may not have done,” Mr. Devonshire-Ellis noted.
Dezan Shira didn’t stop with issuing a simple newsletter.
“We also gave pro bono advice to international companies on the issue who needed assistance with the tax perspective – everyone from Standard Chartered Bank to local manufacturers,” Mr. Devonshire-Ellis reported.
Dezan Shira also championed a particular charity – but not only because of the earthquake. According to Mr. Devonshire-Ellis, each year, company partners agree to a budget for charitable causes, and choose specific charities to assist.
This year, Care For Children in China was one, and Dezan Shira was well prepared to contribute beyond giving direct donations when disaster hit.
With close contacts at Care For Children, Dezan Shira was able to assess the charity’s needs quickly and, using its media resources, advised readers how and why to donate.
“We have an update on the damage to orphanages in the region as follows from their China Director, Robert Glover,” Dezan Shira reported quickly on its China Briefing blog. “The quake aftermath poses dangers due to lack of sanitation, clean water and concerns over disease outbreaks as well as major construction work required to repair damaged facilities and replace supplies.”
Later, Mr. Devonshire commented: “We were pretty reactive to the situation, and got our first appeal out – it was obvious it was a serious matter – within those first few hours. That time was key as in our experience in China the sooner things can be mobilized the better when there is a problem.”
The firm also donated US$10,000 to the charity.
“At the end of that week, Care For Children China had raised over USD100,000 and were in Sichuan dispensing medical and other supplies to the orphanages there under their care,” Mr. Devonshire-Ellis noted. “Not all of that came from China Briefing readers, but a large percentage of it would have done and we were able, via the strength of our readership and China client base to raise funds quickly.” China Briefing is a business media publishing company owned by Dezan Shira.
The Sichuan earthquake won’t be the last of China disasters. Dezan Shira provides good examples of how businesses can leverage their strengths to help relief efforts beyond just giving money.
This is the fifth article in our series, “Corporate’s Social Response,” about company contributions toward earthquake relief in China.
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