Why a California B (Benefit) Corporation?
A B-Corp, also known as a Benefit Corporation, is a for-profit
corporation which is dedicated to be a benefit to
society, not just to customers, employees and owners.
This designation allows its executives and board to put its
beneficial mission ahead of the goal of maximizing profit.
You can find us listed on the
PeopleCount's societal benefit is to enable people to effectively
govern themselves, as stated in our mission.
A handful of states have created this corporation status. For more
information on California's, see
applicable law (search for "benefit").
In 2013, when PeopleCount has a track record of
societal benefit, we'll seek B-Corp certification, such as from
See also their pages about
What's a B-Corp
You can also read these articles about Benefit Corporations in
L.A. Times and
PeopleCount incorporated as a Benefit Corporation for several reasons.
- Greater company control. A non-profit is controlled by
the board, which usually includes large donors. The board can
re-interpret the mission and steer away from the vision. Being a
B-Corporation helps ensure PeopleCount stays in the control of its
founder and fulfills both its mission and its vision.
- Greater ability to resist partisan influence. By retaining
control, the board can better ensure that PeopleCount stays true to its
mission and isn't taken over by partisan interests.
- Greater access to capital, should we need it to fulfill the
vision. After a few months of networking
and seeking start-up partners, it became clear that potential
donors are consumed with the election. In contrast,
investors and their capital are abundant here in Silicon Valley.
- More familiar regulations. The board has more
familiarity with how corporations are structured and regulated,
Incorporating as a for-profit entity was faster and easier.