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#corporate-law
Added: 2 months ago

Can a business advertise a charitable donation in its marketing campaign?

Is it legal to give away some percentage of one's business profit (a sole proprietorship's profit in this case) to the community directly e.g. food bank, as a form of corporate social responsibility; and to also include… (Read more)


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Samuel Michaels

Founder & Lawyer, SM Legal


In general, it is not illegal for a corporation to donate a portion of it's profits to charity, so long as it has retained sufficient funds to meet its debt and liability obligations.


In terms of advertising, any advertising of the charitable donation should be clear, concise and accurate. There is some risk of liability for false advertising if there are inaccuracies in how the charitable donation scheme is presented or marketed.


Answered: 2 months ago