WE'RE A BENEFIT CORPORATION!
What does this mean and what are the differences with respect to the B Corp certification? Here are the answers to your questions.
Another step forwardOn 19 September 2019, Davines became a Benefit Corporation. It is a change in the company by-laws that certifies the values that have always been embraced by the Company also at a legal level and that led to the B Corp certification in 2016.
“Davines also becomes a Benefit Corporation whose general purpose is pursuing - in addition to the business goals that are typical of companies - common benefit objectives and operating in a sustainable and transparent way towards people, communities, land and environment, assets and
cultural and social activities, entities and associations, as well as other stakeholders”.
Excerpt from the Davines By-laws
What does being a Benefit Corporation mean?
A Benefit Corporation is a legal form that redefines its purposes in its by-laws.
- STANDARD COMPANY: Its purpose is doing business distributing profits and dividends among shareholders.
- B CORP: Instead, B Corporations choose to distribute the value they create not only among shareholders, but also among all stakeholders: employees, suppliers, the local community where the company operates, the environment.
- BENEFIT CORPORATION: When a company decides to become a Benefit Corporation, it reinforces in its by-laws the commitment to operate not only for profit, but also for the benefit of the Planet and the community.
Our commitment for the future
It is necessary to underline that even if Davines has become a Benefit Corporation, it remains a B Corp. The change in the by-laws is meant to bind us further not only in the present, but also in the future to keep our commitment for the benefit of the people, the community and the planet.
"The passage to Benefit Corporation is the natural continuation of the journey started in 2016 with the B Corp certification. Davines supports the B Corp movement and acknowledges the principle of interdependence and of a “stakeholder driven” business, ideological pillars of a new way of doing business that is increasingly urgent for today’s world. The change into Benefit Corporation will make the final goal of doing business even more evident for Davines". - Davide Bollati, President - Davines
Changing the paradigm
The concept of Benefit Corporation was born within the B Corp movement because many entrepreneurs felt the need to have their commitment not only audited by a private body (B Lab), but also acknowledged and protected at a public level. The Benefit Corporation legal form was therefore introduced in the United States in 2010 for the first time. Since then 35 US states have decided to include it in their legislation and the concept is spreading in other countries worldwide. Italy was the first country outside the United States to introduce this legal form in January 2016.
"We are happy to learn that Davines SPA has become a Benefit Corporation in Italy and Davines North America a Benefit Corporation in Delaware. In the last ten years, we have realised that the “trinity” of the B Corp certification, B Impact Assessment and legal recognition of Benefit Corporation can be a powerful drive to build a responsible and successful business. Davines shows to be a strong ally for those companies that want to contribute to rescuing the planet and to do good to those people who call the planet their home. The legal status will make Davines a brighter pole star for other companies that want to do the right thing."
Vincent Stanley - Head of Philosophy, Patagonia
B Corp e Benefit Corporation
- Can a business be a B Corp without being a Benefit Corporation? Yes, it can because Italy and the United States are the only countries where the legal form of Benefit Corporation is present.
- Can a business be a Benefit Corporation without being a B Corp? Yes, it is possible because in those countries where the legal form of Benefit Corporation is present, it is possible to change the company’s by-laws without
having a B Corp certification.
- Can a business be both a B Corp and a Benefit Corporation? Surely, this is Davines’ case. In all the countries where the Benefit Corporation legal form is present, once the B Corp certification has been obtained, companies who seek recertification are required to become Benefit Corporations also.
B Corp, measuring our positive impact
There are many differences between Benefit Corporation and B Corp. The main one is that to become a B Corp the company needs to complete a B Impact Assessment, a quantitative procedure that analyses every aspect of the business activity and measures with an exact score the impact on several areas of interest, such as the Environment or Governance. Only businesses that score above 80 points out of 200 can be B Corp and they need to be recertified every three years.
Benefit Corporation, a profound and lasting vocation
Benefit Corporations are not required to undergo certification because the by-laws expresses the profound and lasting commitment of the company; it is its quality. While being a B Corp is subject to a quantitative measurement that can change every year (a company
could lose the B Corp certification if it no longer meets the recertification requirements), being a Benefit Corporation expresses a vocation lasting over time, thus not subject to changes.
A unique global path
Davines has decided to take this global path, therefore Davines SPA has changed its by-laws to Benefit Corporation, and Davines North America too has therefore become a Benefit Corporation. All other branches that do not have the same legal form are invited to amend their by-laws accordingly. The B Corp certification remains valid for the entire Davines Group, thus for all the branches as well as the other Comfort Zone and Skin Regimen brands.