10 reasons why becoming a B Corp is good for business
The UK is home to the second largest B Corp community in the world. Over 1,700 UK companies are now B Corp certified and that number is rising fast, with 55 brands joining the movement during this April alone.
At The Good Crowd we work with B Corps, and brands who are going through the certification process, every day. This gives us unparalleled insight into how and why becoming a B Corp is good for business.
Here are my top 10 reasons why B Corp certification should be high on your business’s priority list.
It’s the gold standard of impact accreditations.
B Corp is widely recognised as the gold standard of impact accreditations for business. There are others that assess environmental impact, but B Corp is unique in considering the impact of a business on both people and the planet.
While acknowledging that no certification is perfect (and B Corp has come in for some hefty criticism over the last year for its association with controversial brands like Brewdog and Nespresso) B Corp’s rigorous approach remains respected across industries and sectors.
2. It offers a brilliant framework to improve your impact.
Many businesses want to do better but don’t know where to start. The free to use B Impact assessment tool provides a brilliant framework for working out where to focus your efforts to have the biggest impact. By asking the right questions, sharing creative ideas and offering examples of best practice, it will help you to grow your impact your way.
3. It cuts through the noise, demonstrating real commitment.
In a world where accusations of ‘greenwashing’ are levelled daily, gaining an independently verified certification matters. An investment in becoming a B Corp shows your stakeholders that your commitment to doing business in a socially and environmentally responsible way is real, and helps you to stand-out from your competitors
4. Customers want to buy from B Corps.
With more and more consumers consciously choosing brands that align with their values, and for their sustainable and ethical credentials, it’s perhaps no surprise that Certified B Corps tend to outperform their competitors. Figures show B Corps achieved turnover growth of 26% between 2017 & 2020, compared to a national average of 5% (B Lab, 2021).
5. People want to work for B Corps, and are proud to work for B Corps.
An increasing number of employees are looking to work for mission-driven companies which share their values and care about more than just profit. This means becoming a B Corp could help you to attract the talent your business needs to grow.
It could also help you to motivate and retain the right people. Research from Culture Amp indicates that B Corp employees are not only prouder of working for their company than the average employee, they’re also more likely to believe their employer’s commitment to social responsibility is genuine.
6. B Corps are attractive to investors.
Investors have always prized innovation and competitive advantage but, as the responsible investment community grows, investors are also exploring the power of their funds to drive social and environmental progress. This means B Corp status could give you that edge when it comes to attracting investment.
Research from B Lab in 2021 found that the combination of strong business and social and environmental performance makes B Corps attractive to investors. 44% of B Corps seeking investment found that their certification helped with initially attracting their eventual investor.
7. You’ll be joining a network of like-minded businesses driving change for good.
Becoming a B Corp gives you access to a thriving community of progressive businesses aligned with your values. B Corps collaborate, share ideas and work together to find solutions to specific challenges. Being part of this supportive movement can only be good for business.
8. It will help you to define your mission and business values, and to communicate them externally.
The B Corp framework will help you to understand your strengths as a business and where you could do better. Clearly defining your mission, and then articulating where you want to be and how you will get there, is the bedrock of an effective communications strategy.
Brand awareness of B Corp is growing in the UK, with 34% of people now recognising the logo (B Lab 2023). Becoming a B Corp will send a clear message to investors, customers and other stakeholders that you’re a business committed to being a force for good. Crucially it will also require you to be honest and transparent about your progress.
9. You’ll be held accountable for continued impact improvement.
Becoming a B Corp is not a ‘one and done’ project, it’s about continuing to grow your business’s positive impact. B Corps commit to producing an annual impact report and are required to re-certify every three years. Being held accountable, not only by B Corp but also by the stakeholders and customers who have bought into your B Corp commitment, will strengthen your resolve and give you the energy to stay on track and make real progress.
10. And finally, simply put, it’s a hugely positive thing to do.
Yes, the process is long and time-consuming, but the experience is immensely rewarding. At a time when it is easy to feel powerless in the face of global challenges, the B Corp process enables you to take clear, positive action to improve your business’s impact on people and the planet. Brands we work with have found it to be a real morale boost for their team and something that everyone in the business feels very proud of.
My hope is that having read this blog, you’ll be struggling to find a single reason not to become a B Corp. If you would like to talk about how we can help you to get started on your B Corp journey, please get in touch. We’d love to hear from you.