Benefit Corporation
Benefit Corporation
Benefit corporations are companies that aim to generate a positive impact on society and the environment, in addition to generating profits, meaning that they have put corporate social responsibility at the center of their activities. Benefit corporations can be organized as limited liability companies (LLCs), corporations (Inc.), or cooperatives, and can include a variety of sectors, such as agriculture, retail, financial services, and information technology.
Benefit corporations are guided by a social or environmental mission and incorporate their values into their business activities. Benefit corporations can use their profits to fund charity projects or to implement sustainable practices in their business.
Benefit corporations can be a way for companies to demonstrate their commitment to corporate social responsibility and contribute to a positive impact on society and the environment.
Although very similar, benefit corporations should not be confused with B Corps. While the former is a legal form, the latter are companies certified by B Corporation, an independent non-profit organization.
