On June 30, 2020, British Columbia became the first Canadian jurisdiction to permit corporations to incorporate as benefit companies. The concept of benefit companies or benefit corporations originated in the U.S. A benefit company is a for-profit corporation with a mandate to conduct business for a specific public benefit. The directors of the company must take into account the public benefit when carrying out their duties. You can read more about these corporations and the amendments to the British Columbia Business Corporations Act in our previous newsletter.
Members of our Social Impact Group would be pleased to assist you in considering whether incorporation as a benefit company is right for your social enterprise.