Path to B Corp Certification for Canadian Companies

1. B Corp Certification Joyce Sou Jessica Friesen

2. 1. Overview of B Lab & Vision 2. Why certify as a B Corporation 3. How to Get Started Agenda

3. B Lab is serving a global movement of People Using Business as a Force for Good So that one day all companies compete to be Best for the World And society enjoys a shared and durable prosperity.

4. The Global Movement Canada

6. Evolution of Business

7. People are Demanding Better

8. Poll: How interested are you in B Corp Certification? • I’m doing it • Interested, but something is standing in the way • I’m curious, but need to be convinced • I’m a skeptic • N/A

9. B Corporations The B Corporation certification is to business what Fair Trade is to coffee and LEED is to green buildings.

10. 1. Social & Environmental Performance 2. Transparency 3. Accountability Companies using business as a force for good. They meet verified higher levels of: “B Corp certification further signals to our stakeholders (coworkers, customers, suppliers, and community) that our values are truly at the core of our business.” What is a B Corporation?

11. Environment 100% green energy Workers 50% full time employee participate in external professional development Community 1% of sales donated to environmental NGOs

12. Governance • Transparency • Ownership Workers • Job Growth • Compensation & Benefits • Employment Practices • Work Environment • Employee Ownership Community • Suppliers • Local • Diversity • Charity / Volunteerism Environment • Energy Use • Facilities • Supply Chain • Manufacturing + Impact Business Models • Direct Impact Products /Services • Targeting Underserved Communities • High Impact Supply Chain Areas of Assessment

13. B Corp Community = Good Company to Keep

14. 16

15. + 150 CAD B Corps 48% 26% 6% 1% 7% 2% 4% 6%

16. Benchmark performance Attract and Engage Talent Save Money and Access Services Partner with Peers B Corp Certification helps companies: Show Leadership Differentiate from Pretenders Generate Press Attract Investors

17. Why are you interested in becoming a B Corp? • Maintain Mission • Differentiate from Pretenders • Benchmark and Improve Performance • Attract and Engage Talent • Other Poll:

18. Maintain Mission Adopting the B Corp legal standards: • Bakes the values of the company into its legal DNA • Gives protection and permission to consider non-financial stakeholders (community, employees, suppliers, environment) • Ensures that mission can survive over time

19. Differentiate from Pretenders

20. Jennifer McKaig “The biggest surprise to me was realizing that our employees deeply cared about the things the B Impact Assessment measured.” Benchmark & Improve Performance

21. “87% believe that success of business should be measured in terms of more than just its financial performance ” “Employees who are satisfied in their jobs because they believe in what they are doing have 16% better overall performance and 125% less burnout than their peers.” “Almost two-thirds of millennials said they would rather make $40,000 a year at a job they love than $100,000 a year at a job they think is boring.” • B Corp certification provides a platform to engage current staff and give employees more meaning in their work Attract & Engage Talent

22. Partner with Peers: The B Hive

23. Collaboration

24. • For-Profit Companies of Any Size • Any Industry / Geography • Customized assessment based on industry, size, geography • Any Legal Structure (sole proprietors, LLP’s, Corporations, etc.)* • Companies over 1 year old – special Pending B Corp program for start-ups** Who Can Become a B Corp? ** For more on Pending B Corp, visit: http://www.bcorporation.net/become-a-b- corp/how-to-become-a-b-corp

25. Meet Performance Requirement Complete the B Impact Assessment and earn a reviewed minimum score of 80 out of 200 points Meet Legal Requirement Determine the path for your corporate structure Make it Official Sign the Declaration of Interdependence, pay certification fees and and put a profile up on bcorporation.net To learn more, visit: www.bcorporation.net/become-a-b-corp/how- to-become-a-b-corp How Does a Company Certify?

26. Step 1: Do the Assessment Timeline: 1.5 – 3 hours ❑ Create a B Impact Assessment Login ❑ Take a first pass of assessment ❑ Review initial score ❑ See how you stack up compared to 20,000 + that have taken the assessment

27. Step 1: Do the Assessment • Visit www.bimpactassessment.net to get started

28. Step 1: Do the Assessment

29. Step 1: Do the Assessment • Take a first pass – estimates are great at this stage

30. • Take a first pass – estimates are great at this stage Step 1: Do the Assessment

32. • Use ‘Revisit This’ and make sure to save your work Step 1: Do the Assessment

34. Step 2: Documentation & Review call ❑ Submit Assessment for Review (90% complete) ❑ Submit Documentation (as required) ❑ B Lab Staff will Schedule 90 minute call ❑ Review Assessment, refine score

35. Step 3: Follow up ❑ Update assessment (if necessary) ❑ Upload outstanding documentation ❑ Finalize score with B Lab staff

36. Step 3a: Fine Tune & Continuous Improvement ❑ If your score is below 80, use this opportunity to fine tune your plan to improve your score and deepen impacts ❑ Celebrate success! Each action you take is moving you down the path toward becoming a better company! ❑ Develop a timeline for certification & share with your team

37. Best Practice Guides Step 3a: Fine Tune & Continuous Improvement

38. Step 3a: Fine Tune & Continuous Improvement

39. Adopting the B Corp legal standards: • Bakes the values of the company into its legal DNA • Gives protection and permission to consider non-financial stakeholders (community, employees, suppliers, environment) • Ensures that mission can survive over time Meet Legal Requirement

40. • A legal entity that has protection and permission to consider its impact on all stakeholders, not just shareholders. • Most benefit corporations are required to create annual reports on their positive impact. • B Lab is an advocate behind the legislation Benefit Corporation

41. Legal RequirementsTerm Sheet & Certification Fees ❑ Sign B Lab Term Sheet ▪ Certification term is 2-years ▪ Participate in on-site review if randomly selected (10% of Certified B Corps randomly selected each year) ▪ Annual certification fees based on the tiered structure Company Revenue Fee $0 - $499,999 $500 $500,000 - $1,999,999 $1,000 $2,000,000 - $4,999,999 $1,500 $5,000,000 - $9,999,999 $2,500 $10,000,000 - $19,999,999 $5,000 $20,000,000 - $49,999,999 $10,000 $50,000,000 - $99,999,999 $15,000 $100,000,000 - $999,999,999 $25,000 $1B+ $50,000+ Make it Official

42. Poll: What is your next step? •Start or complete the B Impact Assessment •Meet the legal requirement •Improve my score to be over 80 •Complete documentation •Engage my team internally

43. Join us. Redefine success in business. Help create the new economy. Build a better business. Compete to be not only the best in the world, but the best for the world.

44. Resources ▪ B Corp Press: http://www.bcorporation.net/news-media ▪ How to become a B Corp: http://www.bcorporation.net/become-a-b-corp/how-to-become-a-b-corp ▪ Legal Requirements: http://www.bcorporation.net/become-a-b-corp/why-become-a-b-corp/protect- your-mission ▪ FAQ for Investors & Directors: http://www.bcorporation. net/sites/all/themes/adaptivetheme/bcorp/pdfs/faqs_investors_and_directors4.pdf ▪ Pending B Corp Certification for Start Ups: http://www.bcorporation.net/become-a-b-corp/how-to- become-a-b-corp/steps-start-ups ▪ B Impact Assessment: http://bimpactassessment.net/ ▪ Case Studies: http://bimpactassessment.net/case-studies ▪ Certification Fees; https://www.bcorporation.net/become-a-b-corp/how-to-become-a-b-corp/make-it- official