On Thursday South Carolina joined a growing number of states that have enacted Benefit Corporation legislation. South Carolina is the second state in the South to have passed such a forward thinking law.
A benefit corporation is a new class of corporation that voluntarily meets higher standards of corporate purpose, accountability, and transparency.
As one of the only Benefit Corporations currently operating in South Carolina Natural Investments Advisor and President of Charleston based Money With A Mission Greg Garvan stated: “This is a proud day for South Carolina. We are now on the cutting edge of social enterprise business. For 20 years we’ve helped individuals connect their values and their financial life – now businesses have the ability to bring that same intentionality to their legal structure”
State Senator Vincent Sheheen, who was a major proponent of the legislation stated: “A corporation shouldn’t have to be a non-profit to do good works. Natural Investments has been a certified B-Corporation since 2007 and recently was ranked as “Best for the planet” in their annual report. (http://www.bcorporation.net/naturalinvestments)
The B Corp’s legal structure can help businesses do just that if they choose.”
Senator Sheheen wrote a widely read editorial about Benefit Corporations which can be read here (http://www.fitsnews.com/2012/04/16/sheheen-b-corps-would-improve-sc-economy/)
More about Benefit Corporations:
Benefit Corporations: 1) have a corporate purpose to create a material positive impact on society and the environment; 2) are required to consider the impact of their decisions not only on shareholders but also on workers, community, and the environment; and 3) are required to make available to the public an annual benefit report that assesses their overall social and environmental performance against a third party standard.