Starting a new corporation or business is exciting, however, it also requires a lot of decision-making. One such decision is how to register the corporation, and what certifications are necessary. B Corp Certification can be a great option for corporations focusing on the greater good. Learn more below.
B Corp Certification is given to corporations that have good social and environmental performance. These certifications are given by the non-profit, B Lab. B Lab measures corporations’ performance in these areas against standards in the B Impact Assessment. As part of the assessment, corporations can change their methods to improve performance in both the social and environmental sectors. Corporations must then maintain these changes and show improvement to retain their certification.
B Corp Certification has five key conditions that define it. These conditions are:
Business owners or corporation directors must consider the impact of the business on all shareholders.
Corporations must publish a public report of social and environmental performance. Additionally, the report must be assessed by a neutral third party and meet a certain standard.
Corporations are required to maintain a minimum score on the B Impact Assessment. Furthermore, they must re-certify every 24 months.
Any business or corporation can gain B Corp Certification, no matter what industry or where they are located.
Certification fees vary based on the corporation's revenue and can change each year.
While any business or corporation can obtain B Corp Certification, the certification has different categories. The categories are:
Before applying for B Corp Certification, businesses or corporations can see how they rank. The B Lab Impact Online Assessment takes 30 minutes and gives a snapshot of the corporation’s impact. This includes a basic summary of what you are doing well, and what needs improvement. Furthermore, B Lab offers access to improvement tools, case studies, and best practice guides for a variety of industries. These resources can help you improve your corporation’s social and environmental impact to gain certification.
In the modern era, consumers care about how businesses and corporations treat the planet and their employees. B Corp Certification shows that your corporation is meeting a certain standard in these areas. Through this, you gain trust, improve your public image, and gain a competitive advantage. The credibility your corporation gains through this certification improves as consumers can see that you are making an effort, and can easily review any changes you make through public records.
Additionally, having the B Lab Certification keeps your mission intact even as times and standards change. This, in turn, ensures your corporation is ahead of the competition and focused on what consumers care about; people and the planet.
Getting your corporation or business a B Corp Certification is well worth it. After all, it can help you to retain employees, generate more profit, and make a lasting impact. Furthermore, implementing environmental and social best practices ensures future business sustainability.