MULTINATIONALS & LARGE ENTERPRISE BUSINESSES

The B Corp Certification pathway for eligible multinationals and large enterprise businesses.

The Large Enterprise certification pathway is intended for eligible private or public companies with $100M to $999M in annual revenue and with 10 or more subsidiaries operating in multiple countries, as well as companies with $1B or more in annual revenue (other criteria may also apply). Parent companies with more than $5B in annual revenue will also participate in our B Movement Builders program. All companies (parent and subsidiaries) over US$5billion in revenue are subject to additional baseline requirements for certification. All subsidiaries must also follow the Large Enterprise approach, regardless of size.

BASELINE REQUIREMENTS FOR MULTINATIONALS

The baseline requirements for multinational companies with more than $5B in annual revenue are the following — see our PDF guide for more detail:

  1. Reporting An annual, comprehensive impact report transparent to the public using a third party standard (GRI, BIA, etc).

  2. Materiality Assessment A transparent materiality assessment and stakeholder engagement process, conducted on a regular basis (minimum every other year with mechanisms for intermediate updates as appropriate), and used to identify relevant megatrends and material topics to the company, that includes a transparent grievance / complaint mechanism, and that is overseen by the Board of Directors.

  3. Materiality Issue Management Management strategies on the most material issues relevant to the business that are overseen by the Board of Directors, and includes specific, aspirational performance goals, and demonstrated progress towards those goals. Management strategies and performance goals must be made transparent to stakeholders.

  4. Tax & Government Affairs Disclosure A disclosure statement on the company’s tax philosophy / approach and government affairs (lobbying / advocacy) including the company’s overall effective tax rate, that is overseen by the Board of Directors.

  5. Human Rights Policy A specific human rights policy that is overseen by the Board of Directors, and includes EITHER an explicit commitment to key human rights covenants (including the UN Declaration of Human Rights, UN Guiding Principles on Business and Human Rights, and ILO Principles), OR identifies the most salient human rights issues relevant to the business and its overall operations through a human rights risk assessment.

TWO CERTIFICATION APPROACHES

There are two pathways to certification for Large Enterprise businesses: 

Certifying the parent company as a B Corp: The parent company may certify by fulfilling the performance and legal requirements and maintaining full transparency; in this case, the parent company must meet requirements for more than 95% of operations. Through this approach, the business can quickly identify gaps and risks, while publicly sharing their intent to certify. This approach is more resource-intensive for the company and requires less visibility from other parts of the organization; it also reflects higher upfront costs.

Certifying each subsidiary as a B Corp: The second approach requires each subsidiary to meet the B Corp Certification requirements independently. This is relatively resource-light for the parent company, organically builds buy-in and momentum, and makes the process of meeting the legal requirement easier for the subsidiaries. However, this approach may be more expensive over time and may not be possible for centralized businesses.

The following steps will help you get started with either approach:  

  • Step One: Review the Large Enterprise B Corp Certification Guide

  • Step Two: Connect with the B Lab or Sistema B organization in your region.

  • Step Three: Begin the application

    • The Large Enterprise application is intended to collect key preliminary information about your company in order for B Lab to assess your eligibility for B Corp Certification. The application form can be accessed here; you should also reach out to your local B Lab or Sistema B organization for support and guidance. 

The application cost is a non-refundable fee, reflected below in three currencies but charged in the equivalent in your local currency*. Additional costs associated with certification are customized and will be shared after your application is reviewed. 

  • For companies with revenue between ($, €, £) 100M-500M, the application cost is ($, €, £) 2,000.

  • For companies with revenue between ($, €, £) 500M - US$1B, the application cost is ($, €, £) 4,000.

  • For companies with revenue between US$1-4.99B, the application cost is ($, €, £) 8,000.

  • Companies of over US$5B in revenue should contact the B Movement Builder program for more information.

*Please note that as of Jul 1, 2024 B Lab will be updating its pricing for companies on the Large Enterprise certification pathway. Please contact the B Lab affiliate in your region to learn more.

Review of the application will result in a report detailing your business’ eligibility to proceed, a customized engagement pathway, and associated costs and timeline. 

To maintain certification, Certified B Corps must update their B Impact Assessment and verify their updated score every three years. B Lab will not conduct a bringdown certification review outside of the standard recertification schedule in the case of an initial public offering, or any other public offering, private placement of securities, or other transaction.


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