B Corporations, or B Corps, are for-profit companies dedicated to social responsibility and certified as such by the nonprofit organization B Lab. To receive B Corporation certification, a business must meet comprehensive and transparent social and environmental performance standards established by B Lab. Un-like traditional businesses with a social component, it is the mission of a B Corporation to be socially responsible. As Tina Rosenberg reported in the New York Times, “The idea is that while any company can claim to be a good corporate citizen, a B Corp can prove it—something valuable for consumers and investors.”

The term “B Corporation” is similar to but distinct from the term “benefit corporation,” which refers to a legal status of incorporation available in certain U.S. states. Like B Corps, benefit corporations are committed to solving social and environmental problems. To become a benefit corporation, a company must meet the standards established by a particular state. A company may therefore be both a B Corp and a benefit corporation.