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Benefit Corporation (B Corporation)

The benefit corporation, or B corporation, is a form of legal incorporation in the United States designed to meet the special needs of businesses that are organized primarily for some socially beneficial purpose, with profit as a secondary or incidental objective. The benefit corporation as a form of legal incorporation is distinct from the designation “B Corp” or “Certified B Corp,” which is a private, voluntary certification without any recognition in law. B Corp certification is conferred by B Lab, a nonprofit organization that seeks to facilitate businesses with a social benefit objective.

Origin of Benefit Corporation Statutes

Although business corporations are commonly characterized as having the singular objective of generating profits for shareholding investors, corporate law permits businesses to be founded and operated for the pursuit ...

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