Community involvement isn't good just for the community -- it's good for your business.

From decorating for the annual chamber of commerce newcomers' breakfast to stirring chili at an elementary school fund-raiser, a solid community outreach plan can take your business from the shadows to the spotlight. It's a sure-fire way to meet contacts and the cheapest source of advertising available.

"Doing something good really does pay off tenfold," explains Geonelli Coratolo, director of small-business policy for the U.S. Chamber of Commerce in Washington, D.C. "If you're a small business and you aren't doing some community outreach, you're ignoring a large part of your marketing plan."

Working with community groups can help small businesses compensate for their lack of advertising dollars, says Mr. Coratolo. "You have to realize that you don't have the huge amounts of money being spent by corporations on advertising," he says. "Being involved in community activities is the best way to spread the word about your business without the big advertising budget."

A former restaurateur, Mr. Coratolo knows the value of being involved in the neighborhood mix. When a school came to him for a good price on sausage to sell at high-school sporting events, he decided to donate the meat instead.

"I simply asked them to announce where the sausage came from over the loudspeaker at the football games," he says. "The group actually put a sign out for me outside the concession area. It ended up drawing me lots of business. People who had never been into our place came in and ate and thanked us for our support."

His simple donation proved to be an advertising bonanza. At the end of football season, boosters hosted a banquet without having to sell tickets, thanks to revenue from sausage sales. Guess who was invited and received special recognition during the banquet? Mr. Coratolo.

"The sausage cost about $50 a week," he says. "I couldn't have bought an ad in the local paper for that price, and I never would have gotten the response."

Local business people can make two types of community and/or charitable contributions, says Mark LeBlanc, president of Small Business Success, a consulting group based in La Jolla, Calif., and author of "Growing Your Business!" (Milt Adams, 2000). In the first case, you expect to receive something in return for your donation, whether it's press coverage, exposure to potential clientele or eventual sales. In the second, your contribution is simple generosity made with little thought to receiving a return. While a balance of both is good for business, he suggests initially focusing your efforts on the first category.

"Both are positive, but you need to know which one you're making," says Mr. LeBlanc.

Promote Yourself Tastefully

To get the most from your contributions of time or money, you must be willing to step into the limelight -- or at least put your business there. At times, you may need to tactfully wave your hands over your head and attract the limelight.

"A lot of times, people want to take a back seat, but that's not what an entrepreneur should do," says Mr. Coratolo. "Promote yourself and the cause in a tasteful way. You don't want to look like you're doing it for the sole purpose of gaining notoriety."

Mary Pankiewicz, owner of Clutter-Free and Organized, an organizing business in Morristown, Tenn., would have preferred to keep a low profile when she started her company five years ago. But she accepted the need to promote herself and now is featured regularly on local television stations and in area newspapers for her community involvement.

"I started with the local senior citizens center," she says. "I offered to help them get rid of their clutter in celebration of National Clean Off Your Desk Day. The director was thrilled and agreed to let the newspaper take before and after pictures."

Ms. Pankiewicz describes her community involvement as a "win-win situation for everyone." For instance, the senior center received her services free and both she and the center received free publicity.

Most of Ms. Pankiewicz's business comes from Knoxville, about 60 miles from her home. Consequently, she's involved in chamber of commerce activities in several different towns. For these and other groups, she calls program planners and offers to conduct mini-seminars during upcoming meetings. Her programs have proven so successful that they've become another source of income.

"When I started, all the programs I did were free," she says. "Now, I make about one-third of my income doing seminars."

What You Can Gain

Involvement in community organizations can generate more than just customers, says David Steinberg, president and CEO of InPhonic Inc., a Washington, D.C.-based customized wireless communication firm. By becoming active in his local chapter of the Young Presidents' Organization (YPO), a group for presidents and CEOs of companies, Mr. Steinberg found an investor and trusted adviser for his company.

"A well-known nationally successful executive was speaking at a local Young Presidents' conference," says Mr. Steinberg. "After his speech, I asked if I could speak to him for a minute. He said sure, so I told him about our plans here. He was very excited and invited me to meet with him in New York."

Mr. Steinberg expected the meeting to be just a courtesy, but the executive was truly interested in his venture, and the two spent the day talking about possible options. Since then, the executive has invested in the company, provided invaluable advice and introduced Mr. Steinberg to executives who became customers.

Mr. Steinberg notes that for their businesses to benefit, entrepreneurs need to do more than just pay dues to local organizations. "Never join just to say you're a member," he says. "Get involved and work with the organization. You've got to like the people and want to attend the meetings."

Ms. Pankiewicz agrees that joining yields nothing, while involvement means business.

"I drove to a breakfast at 7 a.m. this week thinking, 'why am I doing this?' When I got there, the CEO of a local hospital stopped me to set up some billable hours for his staff. You can't just join. You have to show up and participate."

Guidelines to Involvement

To make your involvement meaningful, be careful not to commit to too many causes. Your schedule no doubt is full already. "In reality, there's never enough time to do everything you want to do, but if you're starting a business, this should be a priority," Mr. Steinberg says. He's able to stay active in his chosen groups by participating in just a few.

Choosing to help with causes you care about also will help you stay active. Ms. Pankiewicz has always had special compassion for senior citizens, and she frequently donates services to organizations serving the elderly.

Remember, though, that this is a business decision. Your company's services should be related in some way to the groups you select. For instance, a business-to-business service would find customers where business owners congregate, like the chamber of commerce.

"This is a marketing effort," says Ms. Pankiewicz. "You have to be active where your market is. If you're marketing a product to families with children, you have to go where families are."

Besides meeting potential customers or investors, community outreach can help you learn how others manage, gain a circle of advisers and network.

"Some organizations frown on members trying to find customers within the organization," Mr. Steinberg says. "It still happens indirectly. In every company I've started, I've picked up a number of customers from organizations I belong to."

Finding organizations that would welcome your involvement isn't difficult. You can locate nonprofit organizations, schools, churches, colleges and other groups that need volunteer help by driving through your community, reviewing the phone book or reading the local paper. Community festivals, museums and other prominent groups always need volunteers.

Or you could join a professional organization that's active in your area. Your municipality likely has a chamber of commerce or local chapters of national industry or functional groups. You could join or start a local chapter of business groups affiliated with gender or ethnic backgrounds.

Also be careful when choosing your level of involvement within an organization, says Mr. LeBlanc. He advises volunteering for committees that are tied to your business specialty. He joined a state trade association in 1983 when he owned a design and printing company and signed up for its newsletter committee. He became the newsletter's editor and quickly gained business from members who received and were impressed by the publication.

By serving on several committees, Ms. Pankiewicz has been able to meet more people. If you don't need to meet a lot of people, but would like to know a few people well, you could volunteer for a project that puts you in close contact with other volunteers for more time.

The ultimate involvement in community organizations is taking a leadership role. You may have to advance through a hierarchy to earn a top position, particularly in such organizations as the chamber of commerce. Many other groups desperately need leaders and will move a willing soul to the head table fairly quickly.

-- Ms. Williams is a free-lance writer in Morristown, Tenn.

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