Local bank is self described as B corporation. I was told it’s good for the neighborhood and “better” than traditional banks. Looking for a simple explanation that is not Wikipedia. Thank you.
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Historically, U.S. corporate law has not been structured or tailored to address the situation of for-profit companies that wish to pursue a social or environmental mission. While corporations generally have the ability to pursue a broad range of activities, corporate decision-making is usually justified in terms of creating long-term shareholder value.
By contrast, **benefit corporations** expand the fiduciary duty of directors to require them to consider non-financial stakeholders as well as the interests of shareholders. This gives directors and officers of mission-driven businesses the legal protection to pursue an additional mission and consider additional stakeholders.
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