9 Advantages of Benefit Corporations
What are the advantages of being a Benefit Corporation? Read what 9 thought leaders say about becoming a business that makes a difference while making a profit.
There are many advantages to becoming a Benefit Corporation, including doing good for people and the planet. While there is no requirement to be certified to do good for the planet, being a Benefit Corporation could provide perks that you may not have ever had access to on your own.
So what are some of these perks? Below, nine thought leaders give their insights about what they see as the advantages of being a Benefit Corporation.
It's a Credible Move
The best advantage of becoming a Benefit Corporation is being held accountable. When you become a part of another organization based on principles to make the world a better place, you have a responsibility to uphold it. To say you want to help the planet or your community is one thing but to take real steps to do so by becoming a Benefit Corporation, your audience will see that as a credible move and hold you to higher standards.
-Carey Wilbur, Charter Capital
Positive SEO Benefits
By no means is this a “number one” benefit of becoming a Benefit Corporation, but a value added side benefit is the positive SEO implications for your business website. Years ago, a client of ours became a Benefit Corporation and subsequently received lots of high value links back to their website. These links came as a result of promoting their corporation status. Press releases landed them in articles about Benefit Corporations. Websites devoted to promoting Benefit Corporations listed them in directories. What I learned is that if you promote your status in a unique way, then media publishers may be interested in featuring your business.
-Brett Farmiloe, Pursue the Passion
It Sends an Automatic Message to Your Community
The number one advantage of becoming a Benefit Corporation is the message that you send that you truly care about your community. As business owners, we have a responsibility to also be mindful and engaged with our communities.
-Leeanne Gardner, Unbridle It
A Commitment of How You Run Your Business
The biggest advantage of becoming a Benefit Corporation is in the commitment of how you will run your business. It is the spirit and heart of philosophically believing that purpose driven is fundamentally better for everyone: the employees, the customers, the vendors and the community.
-Nicole Spracale, Coaching & Consulting
Social and Environmental Good
Benefit Corporations can use the market to solve social and environmental problems. The advantage of becoming a Benefit Corporation is running a business that must be accountable and transparent to use their business model for good.
-Candi Luciano, Y Scouts
It Balances Financial and Nonfinancial Interests
Benefit Corporations afford legal protection to companies that prioritize social and environmental values over shareholder returns. In other words, Benefit Corporation status allows directors and officers to balance financial and nonfinancial interests when making business decisions.
-David Meltzer, East Insurance Group LLC
Exposure to Private Investment Funding
Gain corporation classification will render your business as an organization with improved legal security, visibility and openness about its purpose which is more appealing for investors. Profit companies may therefore speed up due to diligence for clients, as they generate a comprehensive gain study that explains their strategic efforts aimed at achieving public benefit.
-Lesley Reynolds, Harley Street Skin
It Makes Company Culture Feel More Natural
If a company is on its way to becoming a Benefit Corporation, it’s likely that improving their Triple Bottom Line is already noticeable within company culture. However, putting the final stamp of approval as a Benefit Corporation will launch a business’s initiative to include purpose-driven activities within team events. It also will feel more natural if a company is channeling their vision through the practices of being a Benefit Corporation, rather than choosing a random activity that employees cannot relate to. Along with the benefits to company culture, becoming a Benefit Corporation will naturally recruit prospective hires that share the same vision and values as your business.
-Thylan Le, Markitors
It Builds a Community of Like Minded People
One of the advantages of becoming a Benefit Corporation that very few people talk about is the near instant creation of goodwill. Assuming you operate in a market that values the larger social picture, status as a Benefit Corporation will resonate with them; which has both the effects of helping you earn more revenue and profit, as well as building a community of like minded people. Nobody can relate to a regular corporate entity, but Benefit Corporations feel more friendly and accessible.
-Michael Alexis, Teambuilding
~benefitcorporationsforgood.com~