An interesting new development on this issue is called a “B-Corp.” It stands for benefit corporation, and basically it is a legal designation when a company or

An interesting new development on this issue is called a “B-Corp.” It stands for benefit corporation, and basically it is a legal designation when a company organizes to have a social mission (things like environmental impact, community involvement, etc.) as part of their fiduciary duty. The result is that a B-Corp can be legally held to its social mission. Relating back to your question, looking for a B-Corp can be helpful for someone looking at the ethics of a business model because a B-Corp is required to have a third party certify that they are actually pursuing their original social mission. If you are evaluating companies in SV, California is one of the states that allow B-Corps, so you should check with the company. Other states (including New York, Maryland, and Virginia) also have allowed B-Corps. Because this idea is so new, it’s hard to say how effective it will be. But hopefully it will be another way to better evaluate a company’s ethics.