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What is a B Corp? Everything You Need to Know
In the world of business, it has often been believed that you must make a choice between making money and doing good. However, this notion is just not true. You don't have to sacrifice your financial success to align your business with your values.You might be wondering how this could work for your business. That's where B Corps come into play. Let's delve deeper into what B Corps are and how they can benefit your company.
What is a Certified B Corporation?
A Certified B Corporation is a for-profit business that voluntarily meets the highest standards for social and environmental performance. These standards are intentionally set at a high level to recognise leading companies. To obtain certification, a company must fulfil stringent requirements, including conducting a comprehensive assessment of its impacts as a business.
The assessment is run and verified by B Lab, a nonprofit organisation responsible for the B Corp certification. Additionally, companies must disclose any controversial operations to B Lab and commit to transparently and publicly disclosing their performance.Unlike traditional corporations that prioritise financial profitability, B Corps take a holistic approach by considering the triple bottom line (People, Planet and Profit), aiming to address social and environmental issues through the power of business.
Want to know if your business is B Corp Ready? Try out B Corp Readiness checker here.
The B Corp Definition
B Corps are a relatively new concept, with the first companies receiving certification in 2007 (since then, the UK now has over 1200 B Corps). But, there's often confusion about what they truly represent. Here's the definition provided by B Lab, the nonprofit organisation behind B Corps:"Certified B Corporations are businesses that meet the highest standards of verified social and environmental performance, public transparency, and legal accountability to balance profit and purpose. B Corps are accelerating a global culture shift to redefine success in business and build a more inclusive and sustainable economy."An analogy commonly used is that B Corp Certification is to business what Fair Trade certification is to coffee or USDA Organic certification is to milk.In essence, B Corps are companies that undergo a rigorous certification process to enhance their social and environmental performance.
Unlike other businesses that perhaps claim to be socially responsible, B Corps are committed to using their business as a force for good. They willingly subject their practices to independent verification and make their results transparent. You can view the score of any B Corp on the B Corp directory. You can view Futureproof's B Corp page here.
How do you become a B Corp?
Companies pursuing this certification complete the B Impact Assessment (BIA) and undergo a rigorous certification process. The BIA currently looks at five areas of your company; Governance, Workers, Community, Environment, and Customers. However, that ends in 2026. From then on, you will need to meet minimum requirements across 7 areas:
- Purpose & Stakeholder Engagement
- Fair Work
- JEDI (Justice, Equity, Diversity & Inclusion)
- Human Rights
- Climate Action
- Environmental Stewardship
- Government Affairs & Collective Action
Learn more about the new B Corp here. Throughout the assessment, you get asked what you do and don't do across the business. Policies, processes, training and you have in place across ESG (Environment, Social and Governance). You'll be asked to show evidence, give examples and talk through what you have in place to the B Lab auditors.
Purpose & Stakeholder Engagement
- Companies are assessed on how clearly their mission aligns with long-term positive impact.
- Active engagement with stakeholders, transparent reporting, and shared value creation are central.
- Businesses are encouraged to embed purpose into decision-making and strategy.
- Fair wages, safe working conditions, and strong employee rights are prioritised.
- Policies should support worker wellbeing, career development, and work–life balance.
- Inclusive employment practices and protections for vulnerable workers are emphasised.
JEDI (Justice, Equity, Diversity & Inclusion)
- Businesses are evaluated on their commitment to building equitable and inclusive workplaces.
- Representation across leadership and staff, inclusive hiring, and anti-discrimination policies are key.
- Organisations are expected to drive justice and equity both internally and within their communities.
- Companies must respect and uphold human rights across all operations and supply chains.
- Risk management, due diligence processes, and grievance mechanisms are considered.
- Transparency and accountability in addressing human rights issues are essential.
- Businesses are measured on their efforts to reduce greenhouse gas emissions and achieve net-zero goals.
- Climate strategies should include mitigation, adaptation, and resilience planning.
- Engagement in science-based targets and climate disclosures is encouraged.
- Companies are evaluated on their management of natural resources and ecological impact.
- Actions include waste reduction, circular design, biodiversity protection, and responsible sourcing.
- Environmental performance is tracked across products, facilities, and supply chains.
Government Affairs & Collective Action
- Businesses are assessed on their role in advocating for systemic change.
- Transparent lobbying, ethical political engagement, and participation in collective action are expected.
- Companies should collaborate with peers and policymakers to advance social and environmental goals.
Each of these questions and areas is assigned a point weighting. To certify as a B Corp, you'll then need to achieve 80+ points (out of a possible 200). Once companies certified, they need to continue operating as a B Corp and then re-certify 3 years later. Within this timeframe the assessment often updates, which is why B Lab expect you to be continuing to improve all year around, not just at the 3 year mark.
Should we become a B Corp?
The B Corp Certification process really digs into your company's impact on all stakeholders. By focusing on stakeholders rather than shareholders, B Corps acknowledge the need to take responsibility for their impacts while generating profits. They understand that it's not enough to prioritise financial gain while exploiting people and harming the environment. B Corps make a firm commitment to consider all these stakeholders, ensuring that the purpose of their business extends beyond mere profit-making. They strive to create positive social and environmental change through their operations.As with anything, the choice is always yours.
But from our viewpoint, being a B Corp means you have the opportunity to merge financial success with positive social and environmental impact. By becoming part of the B Corp movement, you can play a role in reshaping the definition of business success and contribute to building a more inclusive and sustainable economy. Here's some of the businesses we've helped become B Corp Certified.
Wondering what do I need to know about the new B Corp?
Don't worry we have you covered, you can find all you need to know about the new B Corp certification here.
Want to see if you're even eligible to become a B Corp?
Take our B Corp business readiness checker here.
How Futureproof Can Help
At Futureproof, we simplify the entire B Corp journey, we help our clients get B Corp certified with as little as 1 hour of work per week:
- Free B Corp workshops (with real examples and questionable jokes)
- A platform that gives you a roadmap, templates, and automation
- Expert support for B Corp certification and recertification
👉 Want to prepare for B Corp changes without burning out your team?
Join a free session or let’s chat. No pressure, just good advice.
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