CA Benefit Corporations: Annual Reports, Part 2

The cornerstones of the regulatory scheme for California benefit corporations are: (1) an annual self-evaluation based on an objective third-party standard, and (2) disclosure of that assessment and other key information in an annual report. We explained in earlier posts that there is a list of required information to be included in an annual report, but exactly how these disclosures should be made is not set in Read More

California Benefit Corporations: Sample Annual Reports

Social enterprises are hot: They are springing up around the United States. California has been in the forefront of this exciting new movement of hybrid corporations that combine profit motive with the goal of good works, community consciousness, and sustainability. A benefit corporation organized under California law will be similar, in many respects, to benefit corporations in other jurisdictions, but this state Read More

Transparency for Benefit Corporations

Around the nation, state legislatures are jumping on the bandwagon to authorize a new kind of for-profit corporate model for socially conscious entrepreneurs and consumers: the “benefit corporation.” We mentioned in “Social Enterprises: A Revolution Under the Radar” that California has been a leader in this movement. Each jurisdiction has its own version of this new hybrid format. The Golden State’s statutory scheme Read More