In order to fulfill the documentation requirements to develop and officially form a B-Corp, prospective owners will find that there are many steps to be taken. Aside from setting out to create a B-Corp, there are a few different forms and disclosures that need to be completed.
First, prospective business owners will be asked to complete B Lab’s “Social and Environmental Performance Assessment.” This is a sort of review that B Lab needs to perform in order to understand how the business plans to operate with social and environmental change in mind. It only takes between 60 and 90 minutes to complete and if attention is paid to detail, moving through the assessment can be completed with relative ease. This assessment is a way for B Lab to truly understand how a business plans to operate with change and improvement in mind.
If a business scores a minimum of 80 out of 200 or higher, B Lab will walk the business through the next steps of documentation. This documentation provides B Lab with a little more detail regarding business practices, ideal outcomes, and overall goals that a company may have in mind.
Next is a disclosure questionnaire, which gives businesses an opportunity to communicate any additional sensitive practices performed by the businesses, outstanding fines that a business may have, or potential sanctions that are being held against the company. B Lab holds this information as confidential and promises that this information will not affect the company’s standing in the eyes of B Lab. It is essentially a background check that B Lab enacts as a measure of transparency.
Once these steps are completed, B-Corps are free to go about their business. In some cases, on-site reviews will be conducted to ensure that there is a degree of maintenance in social and environmental performance. In Certified B-Corps, a business must complete the four steps of performance assessment, assessment review, documentation provision, and disclosure questionnaire every two years.
The process may seem rigorous but for business-savvy individuals who have society and the environment in mind, it is really quite simple.