What is a benefit corporation?

A benefit corporation is a for-profit business that has made a legal commitment to more than just making money. It is a business structure, recognized by most U.S. states, that requires companies to consider how their business decisions affect people and the planet, not just their bottom line. In a traditional corporation, shareholders are typically prioritized. A benefit corporation legally requires consideration of employees, customers, community, and the environment in business decisions.

What is the difference between a B Corp and a benefit corporation?

A benefit corporation is a legal business structure, like an LLC or a sole proprietorship, created by filing paperwork with a state. A B Corp is a certification issued by the nonprofit B Lab after a review of a company's social and environmental practices. Benefit Corporations for Good certification is also a third-party certification, similar to B Corp, but built with small businesses in mind. BCFG is one of only four standards recognized by the Oregon Secretary of State and is the only one based in Oregon.

Why did we start Benefit Corporations for Good?

Benefit Corporations for Good was created because small businesses deserve a way to prove what they stand for. Many purpose-driven business owners are already doing right by their people and their community, but need a trusted and recognizable way to show it. BCFG was created as a certification that is meaningful enough to matter while being built for real small businesses, not only large companies with full-time sustainability teams.

Who is certification for?

Certification is for small businesses that care about their employees, their neighborhood, and the wider world they operate in. Certified businesses include law firms, solar companies, marketing agencies, wine bars, and other industries. Applicants do not need to be perfect, but they need to be serious about their commitment. The process includes a 60-question assessment across eight standards, followed by a short interview. For businesses with five or fewer full-time equivalent employees, the fee is $299.

How Does a Benefit Corporation Show Community Engagement?

Benefit Corporation leaders gathering at Happy Hour for Good.

Community Engagement is one of the 8 standards BCFG certification evaluates, and it’s focused on whether a business shows up for its community in ways that go beyond a one time donation.

What this standard evaluates

BCFG looks for real, ongoing investment in community, including:

Team member volunteering
Leadership serving on community nonprofit boards
A dedicated line item in the budget for tracking community contributions
Offering paid volunteer time to staff

Why it matters

A single sponsored event is easy. A budgeted line item for community investment, paid volunteer hours for team members, and board service are harder to fake. They’re what BCFG looks for as evidence that community engagement is a real priority, not a one off.

Where does BCFG fit?

Community Engagement connects the “people” and “profit” sides of BCFG’s Triple Bottom Line, it’s the standard that asks a business to put its profit to work for the people around it.

Whether your community is a city neighborhood or a small town in another state, the same expectation applies: engagement that’s intentional and budgeted, not incidental.

Ready to learn more?

Compare this standard with BCFG’s other 7 on the certification standards overview, or get certified. Members of the BCFG community regularly share how they structured a community giving line item, a useful starting point if you don’t have one yet.