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The B Corp Handbook, Second Edition
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The B Corp Handbook, Second Edition

How You Can Use Business as a Force for Good

Ryan Honeyman and Tiffany Jana
Berrett-Koehler, 2019
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8

Qualities

  • Applicable
  • Concrete Examples
  • For Beginners

Recommendation

Ryan Honeyman and Tiffany Jana detail the process of becoming a US Certified B Corp, the benefits and obligations of that status – based on corporate social responsibility – and the values and goals of the B Corp movement. They identify policies and practices in five areas – worker, community, environment, customer impact and company governance – that confer B Corp “certification” points. This handbook provides practical guidance, commentary from B Corp leaders, and specific ideas on how to increase your company’s “diversity, equity and inclusion.”

Summary

Any for-profit US business can achieve B Corp certification, which denotes significant efforts in corporate social responsibility.

Although the “B” in B Corp stands for “benefit,” under US law, B Corps and benefit corporations are not identical. Any for-profit business entity can earn B Corp status, regardless of its legal structure or location. B Corps go through a rigorous process of evaluation to determine whether they are exercising corporate social responsibility and acting as a force for good. Becoming a benefit corporation enables a company to ensure its governance will continue to serve a broader range of stakeholders beyond its shareholders alone.

B Corps must show their dedication to serving humanity by improving the environmental and social well-being of all stakeholders. B Corp businesses can be sole proprietorships, LLCs or partnerships; nonprofits are not eligible. Corporations that want to achieve B Corp certification in jurisdictions that offer benefit corporation status must reincorporate as benefit corporations to retain their B Corp status beyond initial certification. A company legally structured...

About the Authors

Ryan Honeyman is a partner/worker-owner at LIFT Economy. He assists companies in becoming B-Corps and making the most of their certification. Dr. Tiffany Jana is founder and CEO of TMI Portfolio, which advances social responsibility, diversity, inclusion and equity in business.

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