Breaking down the B Corp Basics
Posted onWhat happens to your favorite, socially responsible ice cream maker when a multinational corporation sets its sights on acquiring it? That is exactly what happened in the case of Ben & Jerry’s, and they had no legal options but to sell to the highest bidder — even if that company’s values didn’t align with their social mission.
So, how do socially responsible businesses hold themselves responsible to their stakeholders when corporate structures put shareholders and financial profit first? Enter Benefit Corporations and Certified B Corporations.
By providing legal structures that increase transparency, accountability, and performance, Benefit Corporations and B Corps are changing the way we do business.
Certified B Corporation vs. Benefit Corporation
There are two ways for companies to participate in the B Corp movement: Certified B Corporations are 3rd party certified by non profit B Lab and Benefit Corporation is a legal status administered by the state. “B Corp” generally refers to either of these types of organizations.
