What is B Corporation?
In today’s world, businesses are not only judged by their profits, but also by their impact on society and the environment. B Corporations, also known as B Corps, strive to help with that impact. B Corps are businesses that meet rigorous standards of social and environmental performance, accountability, and transparency.
B Corps are a relatively new type of business, having only been established in 2007. Since then, they have grown rapidly and can now be found in more than 70 countries around the world. B Corps are certified by a third-party organization called B Lab, which evaluates the company’s impact on its workers, customers, community, and the environment.
To become a B Corp, a company must complete the B Impact Assessment, which evaluates the company’s performance in five key areas: governance, workers, community, environment, and customers. The assessment is rigorous and includes questions about the company’s policies, practices, and impact.
Companies that score at least 80 out of 200 points on the assessment are eligible to become a B Corp. However, becoming a B Corp is not just about getting certified. It is a commitment to using business as a force for good and making a positive impact on society and the environment.
B Corps come in all shapes and sizes, from small startups to large corporations. Some well-known B Corps include Patagonia, Ben & Jerry’s, and the BDC. These companies are committed to using their business to create positive social and environmental impact, and they are held accountable by the B Corp certification process.
B Corps are part of a growing movement of businesses that are redefining success. Instead of just focusing on profits, they are also focused on creating positive social and environmental impact. This shift in focus is driven by the recognition that businesses have a responsibility to use their resources for the greater good.
The benefits of being a B Corp are numerous. For one, B Corps are part of a community of like-minded businesses that are committed to making a positive impact on society and the environment. This community provides support, resources, and networking opportunities that can help businesses grow and thrive.
B Corps also show a commitment to consumers who are increasingly looking for businesses that are socially and environmentally responsible. Selecting a B Corp is a relatively simple way to ensure that you have selected a company who is purpose driven rather than profits driven. B Corps also tend to attract and retain talented employees who are motivated by the company’s mission and values.
Another benefit of being a B Corp is access to financing. B Corps are eligible for a variety of financing options, including loans, grants, and equity investments. This is because investors and lenders recognize the value of businesses that are committed to social and environmental impact.
As consumers and investors become increasingly focused on social and environmental impact, B Corps are poised to play a critical role in shaping the future of business.