1. What are B Corps?
B Corporations are a new type of corporation that use the power of business to solve social and environmental problems. They encourage all companies to compete not only to be the best in the world, but to be the best for the world. B Corps meet rigorous and independent standards of social and environmental performance, accountability, and transparency; their statutes permits directors and officers to consider in their decisions not only shareholders but also non-financial and long-term interests such as employees, suppliers, community, and environment.
The following question redefines the meaning of success in business:
¿What is a company’s purpose in our society?
Part of the answer to this question is how the economic gain becomes part of pursuing a goal other than profit as an end unto itself. Success in business becomes determined not only by the level of turnover or profits, but also by how the business model combines profit with impact on society and environment, in a measurable and scalable way.
2. B Corps Certification
- Meet Performance Requirements
Step 1: Complete the B Impact Assessment (http://b-lab.force.com/bcorp/BCorpRegistration) and earn a reviewed minimum score of 80 out of 200 points to meet the social, environmental, and transparency standards. Next, we will schedule an Assessment Review to verify the information through interviews, supporting documentation, and potentially a visit from our staff.
- Meet Legal Requirement
Step 2: The Company should begin making the necessary changes to include, in a legally binding manner, its commitment to all stakeholders in the corporate decision-making.
The Company should begin making the necessary changes to legally protect directors and officers to consider the interests of all stakeholders, not just shareholders, when making decisions.
- Sign the B Corp Declaration of Interdependence and Term Sheet
Lastly, the Company signs the term sheet, where B Corps’ rights and duties are specified. The Annual certification fees are based on annual sales.
3. Why become a B Corp?
There are two reasons to operate as a company from a shifting paradigm: Conviction and/or Convenience. You can be convinced of becoming a powerful agent of change to improve the quality of life in our communities but also, and beyond personal interests, sustainability is a growing global trend. In the near future, sustainability will no longer be an option but an indispensable condition to operate, that is, to be chosen by employees, investors, suppliers, and clients.
Click here to learn more about the different benefits of being a B Corp
4. Born B or Made B?
B Corps is a way of being, and one can be “Born B” or “Made B.” The important thing is to reflect our in the policies, practices, business model, and statutes.
There are many start-up companies that wish to become B Corps from the very beginning; there are also new companies that naturally respond to the major issues of our time, and other more “traditional” companies that act as positive agents of change follow the path making the necessary changes.
To work in harmony with nature and society is possible and remains a major challenge!