Presentation on B Corporations, their purpose, mission, and bylaws provisions for financial, social, and environmental responsibility. By Jeff Mendelsohn of New Leaf Paper. Learn more about Sustainable Business & Design at: http://sustainablelifemedia.com

1. B Corporations
A New Sector of the
Economy
Jeff Mendelsohn
CEO and Founder
New Leaf Paper

2. Introductions
• New Leaf Paper
– Mission: to be the leading national source for
environmentally responsible, economically sound
paper
– Goal: to inspire -- through our success -- a
fundamental shift toward environmental
responsibility in the paper industry
• Founding B Corporation
– Why: to participate in the creation of a business
community that is committed to the highest
standards of social and environmental responsibility
– We have long waited for an organization to develop
a transparent set of standards and processes
around which such a business community can
develop.

3. What is a
B Corporation?
• A new type of corporation that uses the
power of business to create public
benefit
• B Corporations:
– Meet comprehensive and transparent social
and environmental performance standards
– Legally expand the responsibilities of the
corporation to include stakeholder interests
– Build collective voice through the power of
the unifying B Corporation brand

4. What are the
Benefits
• Differentiate your business
• Maintain mission as you scale or plan
succession
• Gain access to value-added services
(e.g. Salesforce.com)
• Influence the market beyond the
success of your individual company

5. What are the
Standards
• B Ratings System
– Comprehensive Assessment Tool
• Measures impact on consumers, employees, community and
environment
• Transparent and available for free on the web
• Rigorous yet user-friendly – focused on the entrepreneur
– Tools & Best Practices
• Not just an assessment tool – the Survey has guidelines built
in to help you improve your social and environmental
performance
• Management Tool: benchmark and implement continuous
improvement
– B Report
• Comparable across industries to help drive consumer and
investor capital
• Sets a bar: defines what’s good enough
– Version 1.0
• Governed by a 9 person, independent committee
• New version released every 2 years

6. Standards alone are
Insufficient
• Standards and Legal Framework work
together
– Standards provide a measure of performance
– Legal Structure provides accountability
• Change your articles to include stakeholders
– Expands the responsibilities of the corporation to
include the interests of stakeholders
• Functionality
– Gives Permission and Protection for Directors to
consider stakeholders, not just shareholders
– Expands the rights of shareholders to hold company
accountable
• Survives New Management, New Investors, New
Owners: IPO / Acquisition
• Combination of performance and
accountability creates a meaningful
certification

7. Why does this
Matter
• Creating a new sector of the economy
– A new way to do business using the power of capitalism to
address pressing social and environmental issues
– Government and Non-Profit Sector can not address these
issues alone
• Private sector represents 77% of US GDP
– Business must be engaged
• Vision
– Federally recognized corporate structure
– C Corp, S Corp and B Corp
• Tax Incentives
• Procurement Preferences
• Investment Preferences
• B Exchange (public stock market for B Corporations)
– A sector as large as the Non-Profit Sector today