What is a B Corp
A B Corp is a company certified by B Lab for meeting high standards of social and environmental performance, and for legally committing to consider the impact of its decisions on all stakeholders – not just shareholders.
You can break it down into three simple ideas:
1.Clear purpose beyond profit – B Corps commit to a public purpose “to create a material positive impact on society or the environment,” not just financial returns.
2.Legal commitment to all stakeholders – B Corps are legally required to consider the impact of their decisions on workers, communities, customers, suppliers and the environment, not only
shareholders. This model is called stakeholder governance.
3. Accountable and transparent – they are assessed and certified against B Lab’s standards, and must regularly and transparently communicate their impact, helping to fight greenwashing.
B Corps are companies that:
To become a B Corp, a company must meet these three fundamental requirements, demonstrating a commitment to social and environmental impact, legal accountability, and transparency.
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1
Meet High Standards of Social and Environmental Performance
B Corps meet high social and environmental standards if they successfully pass our risk assessment during the B Impact Assessment.
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2
Mission-lock their company
B Corps enter into a legal obligation by adapting their corporate bylaws to be accountable to all stakeholders, not just shareholders – a model known as stakeholder governance.
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3
Embrace transparency
B Corps publish their company profile on our B Corp Directory, transparently showcasing their performance measured against our standards.
The B Impact Assessment (BIA)
The B Impact Assessment (BIA) is B Lab’s online questionnaire that companies use to measure and manage their social and environmental performance across the 7 key impact areas.
It is a management tool, used by tens of thousands of businesses (including all certified B Corps), to understand how their practices affect different stakeholders and to identify where they can improve
Frequently Asked Questions (FAQ)
Questions about what a B Corp is? Check our frequently asked questions to find your answer!
