Maryland Passes Benefit Corporation Legislation

Posted by John on 05.06.2010 at 10:00 am

As a triple bottom-line company and a B Corporation, we’re excited to let you know about recent progress in the social enterprise movement. On April 13, the state of Maryland signed into law a bill designating a new kind of company that creates social benefit and shareholder value.

This is kind of a big deal for Better World Books and companies like ours. Previously, there had not been a legal framework specifically designed for social enterprise – you either had to be a for-profit company, legally beholden to maximizing shareholder value, or a non-profit organization.  Now there is a legal framework for companies that  do well by doing good and who strive to generate both social and shareholder returns.

B Lab (the certifying body for B Corporations) had this to say:

“This was a historic day that recognized the growing movement of entrepreneurs, investors, consumers, employees, and communities that are harnessing the power of business to solve social and environmental problems.  The legislation could not have passed without the concrete example and the leadership of nearly 300 Certified B Corporations that are speaking with collective voice about doing business in a different way.”

Similar legislation is working its way through in several states. You can learn more about this trend on the B-Corporation blog.

3 Comments » | Tagged Company News, Impact, b corporation, Social Enterprise

What in Blazes is a B Corporation?

Posted by King on 11.29.2007 at 10:55 am

You may have heard, Better World Books was recently announced as “B Corporation”.

You may also have heard the fancy business jargon:  “With the certification, Better World Books joins a growing international network of purpose-driven businesses dedicated to setting a new standard for social and environmental performance, creating benefit for all stakeholders, not just shareholders.”

How ironic, a statement that explains how B corporations are different from a standard “C Corporation”, but uses the same confusing business-speak to do so.

Now don’t get me wrong, I have a business degree, and I respect and understand the need for very specific language and multi syllabic nomenclature in order to be effective within the business world;  however, I also understand how corporate vernacular can sound ridiculous to the average human being.

So lets break it down for  a second.  Capitalism itself has a bad reputation to many people.  You hear “Capitalism”, you think “big evil corporation exploiting people”. And  then you hear things like “the best way to make your operation more robust is by improving your economies of scale“, and you think “who actually talks like that?”.  ( I will admit, I occasionally speak like that) But let’s face it, Capitalism itself is powerful.  What if we could harness this power, and use it for good?

Well, that’s what it means to be  B Corporation.  The power of Business, the intention of goodness.  It’s like using a Hybrid cars made out of recycled parts to deliver meals on wheels to hungry people.

Or in our case, it is selling books to promote literacy.

You may have noticed that I used the word “ironic” a couple paragraphs up here.  Being that we are all about literacy, I feel compelled to clear up how this word is often misused.  Many people have said “that is ironic”, when they actually meant to say “that is humorous”, or “that is unfortunate”.  Irony means  achieving a result that is the opposite of your intentions.  The best example is Oedipus, from Greece.  He was given a prophecy that he would someday kill his father and marry is mother.  Clearly, that is not something he would want to happen… so he moved far away.  As a result of his departure, he ended up not even recognizing his parents later in life, and (SPOILER ALERT!! Stop reading if you do not want to know the fate of Oedipus) he ended up in fact killing his father and marrying his mother.  Poor Oedipus.

Now, I could say “how ironic that I warned you of ‘spoiling’” the Oedipus story.  But that would be wrong.  It is not ironic at all, just humorous that I would use a spoiler alert to protect you  from learning the end of a story that has been around for millions of years*, when typically spoiler alerts are only used for new stories.

In Summary:
1. Better World Books is proud to be a B Corporation.
2. B Corportions are awesome.
3. Irony is a powerful literay device if used properly, but with great power comes great responsibility.
4. Times were tough in Ancient Greece

*Hyperbole used for effect.

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Better World Books Announced as “B Corporation”

Posted by admin on 11.19.2007 at 11:41 am

BETTER WORLD BOOKS BECOMES A FOUNDING B CORPORATION

Online bookseller promotes literacy worldwide while benefiting its partners, employees and the environment

FOR IMMEDIATE RELEASE November 6, 2007

Berwyn, PA — B Lab today announced it has certified online bookseller Better World Books, a leading online seller of new and used books, as a Founding B Corporation™. With the certification, Better World Books joins a growing international network of purpose-driven businesses dedicated to setting a new standard for social and environmental performance, creating benefit for all stakeholders, not just shareholders.

To become certified B Corporations, businesses must meet comprehensive and transparent social and environmental performance standards and amend their corporate governing documents to incorporate the interests of employees, community and the environment.

“Being a successful business and having a social impact are not mutually exclusive,” said Better World Books President and CEO David Murphy. “Through our retail website, BetterWorld.com, customers can find the books they want, enjoy free, carbon-neutral shipping, and help fund literacy with each purchase.”

Based in Mishawaka, Indiana, Better World Books was established in 2003 by three Notre Dame graduates with a simple, yet transformative idea – run a book donation drive, collect as many titles as possible, then sell those books to fund a reading program at a local community center. Entrepreneurs at heart, Better World Books’ founders quickly grew their idea into an online retail presence which integrates social impact into the core of its business model.

By sourcing and reselling used books in a way no major book seller had ever before tried, Better World tapped into a burgeoning new consumer market with a desire and passion for social responsibility. In just four years, Better World Books has raised more than $2.3 million dollars for global literacy programs, while growing quickly from 3 to 130 employees.

“Better World Books is a unique Social Enterprise—a triple bottom line business where creating a nursing library in Somaliland, supporting employees with profit sharing and equity ownership opportunities, and shipping book orders climate neutral are not simply by-products of doing business—it is the business,” said Murphy.

BetterWorld.com carries over two million new and used titles. The company acquires its inventory of used books from two primary sources: a Campus Collection Program organizes regular books drives for world literacy at more than 1200 colleges and universities; and a Library Discards and Donations Program provides more than 800 local libraries a needed outlet for redistributing donated books they can no longer keep or shelve.

“Better World Books is strong and growing business that beats the competition on price and values,” said B Lab co-founder Bart Houlahan. “Not only does Better World Books help customers save money, they also put their money where their heart is by funding vitally important literacy programs around the world.”

Through its partnerships with well established and widely respected organizations working on four continents: Room to Read, Books for Africa, Worldfund, and the National Center for Family Literacy, Better World Books capitalizes on the intrinsic value of books to support literacy initiatives. Support is not limited to dollars, however. Better World Books also works with its partners to ship books to classrooms and libraries where they are needed most. In collaboration with Books for Africa, for instance, Better World Books has delivered more than 550,000 textbooks to resource-starved colleges and universities throughout the African continent.

B Lab helps companies like Better World Books set the new corporate standard for social and environmental performance. Since its founding in 1972, B Lab has certified over thirty companies with a collective market presence of $380 million, all leaders within the green, local living economies, employee-ownership, fair trade, organic, and sustainable business movements and from the food, apparel, home, financial services, building, action sports, technology, business services, telecom, restaurant, marketing, and retail industries.

About B Lab B Lab, a 501(c)(3) non profit organization, supports B Corporations by: certifying B Corporations who achieve a minimum score on the B Ratings System; disseminating a legal framework to institutionalize stakeholder interests within existing corporate law; promoting B Corporations through a unifying brand; and helping B Corporations access mission-aligned capital markets.

Founding B Corporations to date, with a collective market presence of about $350 million, include: A-1 Builders, Blueprint Research & Design, Inc., BBMG, Benchmark Asset Management, BeOn, Better World Telecom, Better World Books, Blueprint Research & Design, Comet Skateboards, Culinary Collective, egg, Give Something Back, Good Capital, Green Harvest Technologies, Indigenous Designs, King Arthur Flour, Lateral Line Fishing Gear and Apparel, Learning & Vision Partners, Mal Warwick Associates, Matiz Espana, Method Products, Inc., Moka Joe Coffee, New Leaf Paper, Pura Vida Coffee, Seventh Generation, Uncommon Goods, Untours, Village Books, White Dog Caf

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