Curious about companies that not only profit but also make a positive impact? Join us to discover the world of B Corporations, where sustainability isn’t a buzzword but a way of life.
Together, let’s decode the world of ethical choices and explore how businesses are reshaping the future. Ready for a journey that aligns values with purchases?
What is a B Corp Certified Company?
B Corp Certification is a sustainability certification given to companies that meet rigorous standards of social and environmental performance, accountability, and transparency.
Certified B Corporations, or B Corps, commit to balancing profit and purpose, considering the impact of their decisions on workers, customers, suppliers, communities, and the environment.
Why is it Called B Corp?
The “B” stands for “Benefit for all,” emphasizing a commitment to creating a positive impact beyond just financial gains. B Corps redefine success in business, striving to contribute to a more sustainable and equitable global economy.
Heads Up
Keep an eye out for ‘Benefit Corporations’, which share similar values but have a distinct legal structure. The term ‘B Corp’ refers to a third-party certification, while ‘Benefit Corporation’ signifies an actual legal business structure.
Who Owns B Corp Certification?
B Corp Certification is provided by B Lab, a non-profit organization that verifies and certifies companies based on their social and environmental performance. It is an independent, third-party certification that evaluates a company’s overall impact, considering its entire business footprint.
Extra Info: As stated by B Lab there are currently over 6000 Certified B Corporations in more than 80 countries and over 150 industries.
Is B Corp greenwashing?
No, B Corp Certification is not Greenwashing.
The certification is designed to provide a rigorous and comprehensive assessment of a company’s impact on various stakeholders and the environment.
However please note that, like any system, it is not foolproof! While B Corp Certification represents a commitment to positive impact, consumers and stakeholders need to remain vigilant and scrutinize a company’s actual practices.
Key Considerations:
- Transparency: B Corps are expected to uphold high standards of transparency. Companies that truly embrace sustainability should readily share detailed information about their practices and impacts.
- Ongoing Evaluation: B Corp Certification is not a one-time achievement. Companies must undergo a recertification process every three years, promoting continuous improvement and accountability.
- Community Feedback: The B Corp assessment process includes input from a company’s employees, customers, and community. This multi-stakeholder approach helps validate a company’s commitment to positive change.
- Holistic Impact: Greenwashing often involves focusing on a single aspect of sustainability while neglecting other critical areas. B Corps are evaluated comprehensively, considering their overall impact on people, the planet, and profit.
While B Corp Certification is a valuable tool, consumers should use it alongside other information and tools to make informed decisions about a company’s commitment to sustainability.
What are the advantages and disadvantages of B Corps?
Advantages
- Triple Focus: B Corps think about people, the planet, and profit. This helps them succeed financially while also doing good for society and the environment.
- Certification Respect: Being a B Corp means meeting high standards for social and environmental performance. People recognize and respect the certification.
- Always Checking: B Corps regularly check their performance and get recertified every three years. This keeps them accountable and encourages them to get even better.
- Attracting Great People: B Corps with a good reputation attract consumers and employees who care about making a positive impact. It helps companies find talented and purpose-driven workers.
Disadvantages
- Costs and Effort: Getting and staying B Corp certified can be expensive and time-consuming. Small businesses may find it especially hard, needing to spend between $1,000 and $50,000 annually on the certification process.
- Complex Stuff: The B Corp assessment is detailed and can be confusing. It might be hard for companies, especially those in different industries, to understand and meet all the criteria.
- Risk of Pretending: Even though B Corps are checked, there’s still a risk of pretending to do good things. Some people claim that companies use B Corp Certification to look good without making real changes.
- Not Everyone Knows: While B Corp Certification is getting more popular, not everyone knows about it yet. This means that some businesses might not see an immediate benefit in the market.
Knowing these good and not-so-good parts helps companies decide if becoming a B Corp is right for them.
How do I get my B Corporation certified?
Becoming a Certified B Corporation: A Step-by-Step Guide
To achieve B Corp certification, a company must follow a detailed process that involves meeting specific criteria and undergoing evaluations. Here are the key steps:
General Requirements
- B Impact Assessment (BIA): Complete the free and confidential BIA, aiming for a score of 80 or above. Multinational corporations have additional baseline requirements.
- Legal Commitment: Make a legal commitment by adjusting corporate governance to be accountable to all stakeholders. Achieve benefit corporation status if applicable in your jurisdiction.
- Transparency: Exhibit transparency by allowing information about your performance, measured against B Lab’s standards, to be publicly available on your B Corp profile.
Certification Process
- Registration: Register for the BIA and use the Legal Requirement Tool to integrate stakeholder consideration into your governance structure.
- Risk Review: Complete the Risk Review and meet baseline requirements for multinational corporations if applicable.
- Data Gathering: Gather supporting documentation and data to record your answers.
- BIA Online: Take the BIA online, saving and returning to it at any time.
- Company Profile: Establish a company profile and start the Disclosure Questionnaire. Learn your baseline score; if below 80 points, prioritize improvement areas.
- Assessment Submission: If over the 80-point benchmark, submit your BIA for review.
- Evaluation Queue: Wait for your evaluation as an analyst reviews your eligibility.
- Evaluation Phase: An analyst from B Lab Global reviews your company structure, any controversial industries, and your BIA answers.
- Verification Queue: Provide information about your employees and suppliers.
- Verification: Have a review call with an analyst, go through your verification report, and provide documentation.
- Certification Agreement: If you meet the verified 80-point threshold, sign the B Corp Agreement.
- Launch: Publish your public profile in the B Corp Directory, including your company’s score and impact report. Celebrate and share your B Corp status.
- Recertification Planning: Prepare for recertification every three years, using the BIA and certification process for continuous improvement.
While the process is comprehensive and may seem long, it serves as a valuable tool for companies committed to sustainable and ethical practices. Visit B Corporation Certification for more information and guides tailored to different company sizes.
Popular Brands and B-Corp
Curious about which well-known brands are B Corp certified? Here are a few:
- Nestle: Surprisingly, Nestle is a B Corp. It has embraced sustainable practices in its various divisions, contributing to its certification. More about Nestle’s B Corp status
- Patagonia: Known for its commitment to environmental activism, Patagonia proudly holds B Corp certification. Learn about Patagonia’s B Corp journey
- Nespresso: Coffee lovers can rejoice, as Nespresso is also a certified B Corp. The company is committed to long-term positive change. Explore Nespresso’s B Corp commitment
- Ben and Jerry’s: This beloved ice cream brand is not only famous for its tasty treats but also for being a certified B Corp. Discover Ben and Jerry’s B Corp journey
To explore more B Corp-certified companies, you can use the B Corp Directory. This directory provides insights into the scores, performance in each category, and the overall commitment of companies to social and environmental responsibility.
Conclusion
Congratulations on completing your B Corp crash course! Now armed with knowledge, it’s time to be a conscious consumer. Every purchase is a vote – support businesses that prioritize people and the planet.
Together, let’s shape a world where businesses thrive, and the environment flourishes. Your choices matter – make them count!
