What is B Corp Certification?
- Certified B Corporations are social enterprises verified by B Lab, a global non-profit organisation, on their social and environmental performance, public transparency, and legal accountability.
- A private certification that is distinct from the legal designation as a Benefit corporation.
- B Corporations demonstrate a shift from traditionally shareholder-centred corporations to a stakeholder-centred ones.
How does a company achieve B Corp Certification?
To be granted and to maintain certification, companies must receive a minimum score from an online assessment of social and environmental performance, integrate B Corp commitments to stakeholders into company governing documents, and pay an annual fee based on annual sales.
How can B Corp help achieve targets and build brand image?
- Opportunities for small businesses to prove that they are genuine, authentic advocates of stakeholder benefits
- Building Relationships: B Corp Certified companies form a community of business leaders sharing similar beliefs who can connect online or in person at events, and build client and vendor relationships
- Attracting Talent: Helps attract and engage mission-aligned talent
- Improve Impact: Helps the company set goals for improvement, create more positive social and environmental impact, and track performance over time
- The combination of third-party validation, public transparency, and legal accountability help in building trust and value
Interesting facts Regarding BCorp
- The first generation of B Corporations was certified in 2007, and the number of firms earning certification has grown exponentially ever since. As of April 2020 there are over 3,300 certified B Corporations across 150 industries in 71 countries
- Companies must re-certify every three years to retain B Corporation status.
- Although any company, regardless of its size, legal structure, or industry, can become a B Corporation, currently most B Corporations are privately-held small and medium-sized businesses.
- Depending on a company’s industry, geographic location, and number of employees, the online assessment adjusts the weightings of the question categories to increase its relevance.