Generosity is an essential factor in business and goes a long way in impacting its growth.
Personally, I feel like making money just to make myself happy feels a little bit empty. I know you may be thinking how is that possible?
Allow me to explain, Have you ever wanted a big-ticket item, whether it’s a car or some type of Apple product or something for your home? So you figure out how much money you need to buy the item and you begin saving or you put it on credit and then eventually you are able to buy the item.
At first, it is so cool and you are so excited. But then over time, the item becomes old or it’s not what you thought it was. Some people can even develop buyer’s remorse almost immediately.
Now the item sits covered in dust somewhere, or perhaps every time you use it you grumble a little bit that you spent that kind of money on something you don’t really love.
In case you got on credit, every time you make a payment to that card a sting of frustration runs through you that you are still paying for something you don’t really like anymore.
We have all done this, found ourselves preoccupied with an object that we feel we need to be happy or a little bit more content or even an item that will make us feel successful then once we get it we find that the feeling didn’t last or didn’t happen at all.
This is exactly what I am talking about. I have found in my life that the money I have spent on creating greater impact has been vastly more fulfilling than buying the latest gadget or most recent fashion trend.
I believe that this is true in our personal lives as well as our businesses therefore I want to create a family culture of generosity as well as create a business mission and vision that incorporates generosity as well and this is why I created The 5 Factors of Generosity Framework.
This coupled with my Financial Steadiness Pathway Framework gives businesses the correct focus for the stage of business they are in plus the ability to be generous in such a way that supports where they are at and doesn’t comprise the health of the business.
THE 5 FACTORS OF GENEROSITY
So what are the 5 Factors of Generosity and how can an entrepreneur incorporate them into their business.
To highlight them I showcase how generosity is determined in these 3 categories which are Who, How and What.
WHO
The World
You don’t need to watch the news for very long to realize that there are people all over the world that need help. Naturally, some of these issues are going to hit closer to home for you or break your heart a little bit more than others. When it comes to giving to create an impact in the world it is really about funneling your funds into the places that pull at your heartstrings the most.
And when you looking to give in regard to social issues around the world, partnering with those who have been doing the work for an extensive period of time will help you contribute with ease and specificity.
Your Community
This can be your country, state, province, county, region, or town specifically. It could even be on your own block or your neighbor next door.
Basically, it is whatever community means to you geographically.
This is a chance for you to positively impact a cause or an issue that happens close to home and actually see the results in front of your own eyes for instance a family that really needs help or a specific community issue like refugees or homelessness.
Whatever it is, this is something that you can actually touch and feel that you can actually drive a positive impact into, and just like making a contribution to the world, partnering with those already offering support in the community will make it easier for you to be of help to a cause.
In case you fail to cite partners, get creative and start up something on your own.
Your Clients
This might seem weird to be generous to your clients or customers because giving huge discounts can actually cut into your revenue however that’s not exactly what I mean.
Let me tell you all a quic story, my husband and I moved into a new community and so we have been trying out new restaurants and on this particular occasion, we go to a barbecue place nearby.
My husband orders the turkey barbecue and after I could hear the person in the back which I believed was the chef saying they were out of turkey.
Immediately, the server gets back to us to inform us about the turkey situation and my husband decided to request chicken which was 50 cents more than turkey which costs $8.
Unfortunately despite a change in the order, we are informed that we cannot get chicken because they were not able to charge only 50 cents considering we had already paid $8 for the turkey.
After so much back and forth, my husband decided to ask for a refund since we would not get the chicken.
In my opinion, this is a scenario where generosity should have been put to play considering we had already paid the larger part of the bill and I am not suggesting that you should give discounts every now and then.
I am implying that you should be able to gauge where it is necessary because it is in such small scenarios that you can showcase generosity to your clients.
This story is very similar to the Bob Farrell story which is shared in the majority of customer service trainings.
As a service-based entrepreneur, it is vital to note that generosity means going the extra mile for your clients and exceeding their expectations.
Your Employees
Nothing serves your clients or customers better than happy employees.
We know that employees or contractors who feel heard, are paid well, and are generally looked at in a holistic way rather than just a robot who’s there to complete a task will always create a bigger return on investment than those who you have a transactional relationship.
So taking care of your people means that they’re going to take care of you.
This does not imply that you pay them higher than what you can provide, this means to pay them a livable wage, couple it with benefits that are helpful to people, and treat the holistic people.
Generosity to your employees in simple things like paying them while they volunteer or allowing flexibility in their schedule can create great employee loyalty and this tremendously affects your business in terms of returns.
You and Your Family
It might seem weird to talk about being generous to yourself but I’m not skimping here. If you are not paying yourself your company is not healthy.
You are not stabilized and you are cutting corners. This is one of the marks of a healthy business. As a business owner you are putting up all the risk of owning your company and you should receive a reward.
Often times your family is sacrificing something as well to help you build your business. They should naturally receive the benefit of your profits as well so treat yourself and look at yourself like your best employee.
So how can you actually be generous as a business owner? This is the how part of the 5 Generosity Factors.
HOW
Offer a percentage of your profit
A great thing about giving a percentage of your profit is that if you don’t have any, you’re not giving anything. If you have a bad month or you’re in the red you are not tied to a certain number to be giving.
It is really based on how well your business is doing.
Putting it as an expense on your budget
This can be an amount you plan to give to an organization or to employee benefits. It does not necessarily need to be included in your business however it has to be a lined item in your business.
Using dividends from an investment
So in this particular case, you’re just making the investment, and then whenever you get the dividends back, yo, u’re just going ahead and giving that out.
Dedicating an entire income stream
This is not something I would recommend right from the beginning because some businesses may make this work and others may not.
This is not something that’s going to create a healthy business so this is when you’re further along in business.
Buying assets, setting up foundations, or creating grants or scholarships
These are more legacy ideas and can comfortably be set up when your business is more stable.
This way you can channel a percentage of your profits to a cause and not tear down the business.
Now that we have gone through the who and how what can you give?
WHAT
Your money
This is what I have been highlighting as it relates to business and it is such a valuable resource as it can help others acquire other things
Your time
You, your employees, and also your clients can offer to volunteer. This is a great way to get your hands dirty and meet new people allowing you to get to actually make a physical impact on the thing that you want to the next thing is your expertise.
Your expertise
How can you give back to your community, world, family, and clients? How can you give your expertise to other people?
Your platform
Oftentimes when we create a business so do our connections. We end up networking with people and friends and through these interactions, you can give those who need a leg up audience via your platforms like social media.
Your legacy
This is often tied to money however this is what you are leaving behind. Are you leaving behind a culture of volunteerism for your employees or community?
Are you encouraging and inspiring others to do the same thing? Does your legacy motivate others to act accordingly?
The above showcase that no matter what stage you are in business, you can practice generosity therefore start today, practice generosity, and watch how it offers transformation.
Quotes
- “When you take care of your people, they will take care of you.”
- “Nothing serves your clients and customers better than happy employees.
- “If you are not paying yourself your company is not healthy.”
Resources
Give Em’ the Pickle by Bob Farrell
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