BECOMING A B CORP COMPANY
HOW TO CREATE A BUSINESS THAT BALANCES PROFIT WITH PURPOSE
Alistair Frost, the founder of Pentire, heads up just one of a growing number of businesses committed to making a positive, impactful difference, not only in the way they operate, but as a means of contributing meaningfully on a wider scale. One important way of doing this is to join a global movement advocating economic systems change. This is a community of Certified B Corporations (B Corps for short)*, an initiative created by B Lab, a non-profit organisation founded in Pennsylvania 15 years ago (Pentire is currently working towards B Corp certification).
COMMIT TO CHANGE
‘Certified B Corporations meet the highest standards of verified social and environmental performance,’ explains Chris Turner, Executive Director at B Lab UK, which launched in 2015. ‘Crucially, this is about a better way of doing business successfully. It’s harnessing the power of business as a force for good.’
The aim is to create an inclusive, equitable and regenerative economic system that creates benefits for all stakeholders – such as workers, suppliers and customers, along with the community and the environment – not just shareholders. By using profit and growth in an intelligent and sustainable way, there is a valuable opportunity to reduce inequality and poverty levels, strengthen communities and the environment, and create more valued jobs.
ACHIEVE THE BENCHMARKS
To attain B Corp certification, businesses must complete the rigorous B Impact Assessment (BIA). It’s the only certification method that measures a company’s total social and environmental performance, so organisations must meet the highest standards of verified performance in these areas – along with transparency and legal accountability to balance profit and purpose. The BIA is free and confidential.
‘There are roughly 300 questions to answer depending on a company’s size, industry and location,’ explains Chris. ‘Once a business is scoring over 80 points, its application can then be submitted and verified. The process serves a valuable purpose in highlighting areas which need to be improved. Indeed, many of the companies that do attain certification, will still go back regularly to improve and build on their original score.’
B Corps are legally required to consider the impact their business decisions will make to stakeholders at every level, and are required to recertify every three years. There is also a complaints procedure should a company not be following the principles and objectives.
PROMOTE THE BENEFITS
‘In terms of balancing profit with purpose, increasingly we find that organisations don’t ask why they should do something this way – it’s more about how,’ points out Chris. ‘So many great organisations are doing it really well, and we regularly hold B Corp events for our community to share stories, learn about best practice and feel inspired.
‘B Corps are building credibility and trust among customers and the community, and not least promoting a culture that attracts good people,’ he continues. ‘Employees want to be part of something that is exciting, valuable and can bring real change.’
To find out more, visit bcorporation.uk
The one lesson I ’ve learnt...
❝ THE WORRIES OF CREATING A BUSINESS ARE COUNTERACTED BY GREAT FEEDBACK AND KNOWING WE’RE DOING SOMETHING WE BELIEVE IN❞