On April 8, 2025, B Lab Global introduced the first major update to B Corp certification standards in nearly 20 years. This overhaul replaces the old points-based system with mandatory benchmarks across seven core Impact Topics, ensuring businesses demonstrate balanced progress in all areas. Key updates include:

• Mandatory Performance Standards: Companies must meet specific requirements in areas like climate action, human rights, and governance.

• Ongoing Accountability: Certification now requires progress check-ins at 3- and 5-year intervals.

• Alignment with ESG Frameworks: Standards integrate with global regulations like the EU's ESG rules.

• Seven Core Impact Topics:

  • Purpose & Stakeholder Governance

  • Climate Action

  • Human Rights

  • Fair Work

  • Environmental Stewardship & Circularity

  • Justice, Equity, Diversity, & Inclusion (JEDI)

  • Government Affairs & Collective Action

These changes aim to ensure businesses address sustainability comprehensively, rather than excelling in just a few areas. Certification now requires significant planning, legal adjustments, and ongoing improvements to maintain compliance.

Why it matters: B Corp certification signals to consumers, employees, and investors that your business meets rigorous social and environmental standards. With growing demand for transparency, aligning with these standards can enhance trust and open new market opportunities.

Ready to adapt? Start by assessing your current practices, identify gaps, and create a roadmap to meet the new requirements.

Navigating the New B Corp Standards

Major Changes in the New B Corp Standards

The 2025 B Corp Reset introduces a major shift, replacing the flexible 80-point scoring model with a set of mandatory performance standards across key areas [4].

Previously, companies could compensate for weaker areas by excelling in others. Now, a balanced performance across all dimensions is required, fundamentally redefining what it means to be a B Corp [4] [5].

The updated framework consists of two parts: Foundation Requirements and Impact Topic Requirements [4]. To meet these new standards, companies must implement new systems, policies, and data practices. Certification also involves ongoing improvement, with benchmarks set for initial certification, as well as at three-year and five-year intervals [4]. Additionally, the framework aligns with established ESG standards like the Global Reporting Initiative (GRI) and European Sustainability Reporting Standards (ESRS) [4]. At its core, the new structure revolves around seven Core Impact Topics, which outline the areas where companies must demonstrate progress.

7 Core Impact Topics

The revamped standards focus on seven Core Impact Topics, moving away from the points-based system. This ensures that every certified company makes meaningful strides in each area, promoting a well-rounded approach to positive business impact.

• Purpose & Stakeholder Governance
  Companies must engage stakeholders through materiality assessments to identify critical social and environmental impacts [7]. Responsible marketing and communication practices are also required to ensure that public messaging aligns with actual outcomes, avoiding exaggerated claims [7].

• Climate Action
  Businesses are expected to adopt systems such as greenhouse gas accounting and set clear reduction targets to address their environmental impact [4].

• Human Rights
  This topic emphasizes safeguarding fundamental rights throughout operations and supply chains. Companies must establish grievance tracking systems to address and resolve concerns [7].

• Fair Work
  

  Beyond compliance, this area focuses on equitable labor practices, fair pay, and safe working conditions to ensure employees are treated with respect and fairness.

• Environmental Stewardship & Circularity
  

  Companies must adopt practices that improve resource efficiency, reduce waste, and incorporate circular economy principles into operations and product design.

• Justice, Equity, Diversity & Inclusion (JEDI)
  

  Businesses are required to take systematic steps to create inclusive workplaces and address systemic inequalities.

• Government Affairs & Collective Action
  

  This topic evaluates how companies engage in policy and advocacy. Transparency in lobbying activities and alignment with organizational values are key components.

The specific requirements within these areas vary based on a company’s size, sector, and industry. Businesses face anywhere from 20 to 124 individual requirements to achieve certification [6].

Basic Certification Requirements

In addition to the Core Impact Topics, the certification process now includes updated foundational requirements tailored for U.S. businesses. These set the groundwork that companies must meet before addressing the seven Impact Topics.

• Legal Incorporation
  

  U.S. companies must adopt stronger governance practices, ensuring accountability to all stakeholders - not just shareholders. This often involves changes to corporate structure or bylaws.

• Business History and Compliance
  Companies must provide detailed, third-party verifiable documentation. This includes meeting regulatory standards such as EU greenwashing regulations [2].

• Continuous Improvement Mandate
  

  Certification is no longer a one-time achievement. Companies must demonstrate measurable progress at three-year and five-year intervals, ensuring ongoing accountability and investment in impact management systems.

• Documentation and Verification
  

  Extensive evidence is required to prove both current performance and the systems in place for future improvements. This includes formal policies, stakeholder engagement records, and robust data collection procedures.

• B Impact Assessment Update
  The updated assessment platform introduces enhanced disclosure questionnaires and topic-specific requirements, offering a more thorough evaluation of both current performance and future goals [1].

"The new standards establish a stronger, more transparent foundation for all businesses committed to building an inclusive, equitable, and regenerative global economy."

• B Lab [6]

These changes may require significant investment in impact management systems, but they also position companies for long-term success and competitive advantage [4].

How to Align Your Business with the New Standards

Meeting the new B Corp standards isn’t just about ticking boxes - it requires a fundamental shift in how your business operates, governs, and measures success. With mandatory requirements spanning all seven Impact Topics, companies need a well-thought-out plan to align with these expectations.

The process starts with a Foundational Assessment and Scoping review. This step helps evaluate your eligibility, map out legal pathways, and assess risks [4]. It’s essentially a deep dive into your current standing, pinpointing the specific areas where adjustments are needed. From there, you’ll need to create a detailed project plan outlining actionable steps, timelines, and responsibilities to bridge any gaps [4]. A crucial part of this journey is refining your governance structure to ensure stakeholder interests are considered in every decision [8].

Governance and Stakeholder Engagement

Governance plays a pivotal role in meeting B Corp standards. The Purpose and Stakeholder Governance Impact Topic challenges companies to rethink decision-making processes to prioritize all stakeholders - customers, employees, suppliers, communities, the environment, and shareholders alike. For U.S.-based businesses, this means legally amending corporate bylaws or articles of incorporation to formalize this commitment [8]. These changes ensure that stakeholder interests remain a priority, even in tough times. A lesson from history? In 2017, Etsy lost its B Corp status due to a lack of formal stakeholder input [8].

As businesses grow, their systems for engaging stakeholders must expand, too. Larger companies are expected to have robust policies, conduct regular engagement, and actively incorporate stakeholder feedback into decisions. They’re also required to publicly share the outcomes of these engagements [8]. Smaller organizations, while given some flexibility, still need documented practices and accessible grievance procedures [7].

At the board level, sustainability oversight is essential. This can involve integrating sustainability metrics into executive performance targets or forming dedicated committees. Such measures ensure that sustainability remains a priority at the highest levels of decision-making [8][7].

Once governance is aligned, the next step is tackling operational changes across the key impact areas.

Changes Needed for Core Impact Areas

The seven Core Impact Topics demand specific operational adjustments:

• Climate Action: Implement systems to track greenhouse gas emissions and set firm reduction targets [4].

• Human Rights and Fair Work: Establish grievance tracking systems to address issues across operations and supply chains [7].

• Justice, Equity, Diversity & Inclusion (JEDI): Develop structured approaches to build inclusive workplaces and equitable practices. Tracking and reporting progress ensures these efforts are integrated into decision-making.

• Government Affairs & Collective Action: Maintain transparency in advocacy efforts and align them with sustainability goals. For companies selling products in the EU, compliance with the Empowering Consumers for the Green Transition (ECGT) directive is required by September 2026 [2].

Resource Efficiency and Waste Reduction

Environmental responsibility under the new standards focuses on measurable progress in reducing waste and improving resource efficiency. Businesses that perform waste audits often achieve an average waste reduction of 42%, while formal policies can boost waste diversion rates by 9% [9].

Start by conducting waste audits to set reduction goals. Embrace circular economy principles, shifting away from linear models to maximize resource value. For example, Urban Outfitters has successfully repurposed items into new products, contributing to its $2.1 billion revenue in 2021 [10].

Composting is another impactful strategy. By composting just 1 ton of food scraps, businesses can avoid 1 ton of CO₂ emissions. With up to 95% of food waste being compostable, establishing composting systems can make a big difference [9].

Employee training and involvement are key to success. Well-designed training programs can increase recycling rates by 156%, while shared waste bins can reduce waste by 17% [9]. Teaching employees the 5 Rs - Refuse, Reduce, Reuse, Repurpose, and Recycle - helps foster a workplace culture centered on sustainability [10].

Tools to Check Your Certification Readiness

Preparing for B Corp certification under the updated standards requires a combination of key assessment tools and expert guidance. These resources go beyond operational adjustments, helping you identify areas for improvement and ensure you're fully prepared for certification.

B Impact Assessment and Council Fire's Consulting Services

The B Impact Assessment (BIA) is the primary tool for evaluating your company's certification readiness. Used by over 150,000 businesses, the BIA measures impact across five main categories: governance, workers, community, environment, and customers. To achieve certification, businesses must earn a verified minimum score of 80 points [12].

The updated BIA now integrates the seven new Impact Topics and aligns with major reporting frameworks, offering clarity on what the revised standards require [1]. However, completing the assessment can be time-intensive - startups and small-to-medium businesses often spend around 100 hours on it [13].

For businesses in the U.S. and Canada, there’s a $150 submission fee, with annual certification fees ranging from $1,000 to $50,000 depending on revenue [13]. Once certified, companies gain access to free resources from B Lab, including improvement reports, best practice guides, and case studies [12].

For tailored support, Council Fire provides sustainability consulting to help businesses align with B Corp standards. A pioneer in the B Corp movement, Council Fire achieved an impressive B Impact Score of 110.5 in 2010 - far above the average score of 50.9 for most businesses [14]. Their expertise includes stakeholder engagement and managing environmental impacts.

"B Corp certification is to business what Fair Trade certification is to coffee...demonstrating that they meet the highest standards of social and environmental performance, transparency, and accountability." – Council Fire [11]

Council Fire focuses on delivering measurable social, environmental, and economic benefits, using detailed data analysis to identify and address performance gaps [11].

Data Analysis for Gap Identification

The updated B Impact platform is a comprehensive tool for measuring performance and tracking progress over time [16]. Certification requirements vary depending on factors like company size, sector, and location, with businesses needing to meet between 20 and 124 sub-requirements [16]. The platform allows you to indicate whether each sub-requirement is met or needs improvement.

Start with a gap analysis by comparing your company's policies, systems, and performance against the mandatory requirements. Use the platform’s benchmarking features to identify strengths and areas for improvement [4][12]. Then, review the updated standards to pinpoint specific adjustments needed [16]. Based on this analysis, create a project plan with clear actions, timelines, and responsibilities to address each gap [4].

For additional support, consider B Leaders training programs, which start at $500 per person and can cost between $20,000 and $30,000 for training entire teams [13]. These programs help participants understand B Corp tools, processes, and terminology, ensuring everyone is aligned during the certification process.

Business Benefits of Meeting the New Standards

The updated B Corp standards offer more than just compliance - they provide real advantages for businesses looking to grow sustainably. Companies that align with these standards can strengthen relationships with customers, employees, and investors who increasingly value purpose-driven practices. These benefits pave the way for gains in consumer trust, attracting top talent, and appealing to investors.

Competitive Benefits of Certified B Corps

Adopting the new B Corp standards gives businesses an edge in today’s market. Consumers are actively choosing brands that demonstrate clear social and environmental commitments. Recent data shows that 81% of consumers (including 57% of Millennials and Gen Z, and 31% of Baby Boomers) prioritize buying from brands that align with their values [18]. Additionally, 80% of consumers are willing to pay a premium for sustainable products [18]. Certification acts as a trust signal, especially for younger audiences - 90% of Gen Z consumers believe companies must act on social and environmental issues, and 75% will research whether those claims are genuine [18].

"Millennials, Gen-Z, and the generations that follow them are becoming more and more loyal to companies that not only talk about social good but act on it. They extend trust towards purpose-driven brands."
– Charlie Youakim, CEO of Sezzle [18]

B Corp certification also helps attract top talent. With 68% of job seekers preferring companies that prioritize ESG (Environmental, Social, and Governance) factors [19], certification signals a commitment to meaningful work, making it easier to draw in high-performing employees [17].

Beyond hiring, certification can unlock business growth within the B Corp network. Certified companies often collaborate with other B Corps, creating natural partnerships and sales opportunities [17]. Additionally, B Lab organizes marketing campaigns that amplify visibility for certified businesses - helping them reach wider audiences without extra marketing costs [17].

For investors, B Corp certification is a credible marker of sustainability. It’s based on third-party verification, making it stand out to those wary of superficial ESG claims [1]. Aligning with established frameworks like GRI, CDP, and SBTi also helps businesses stay ahead of evolving reporting requirements [1].

Challenges and Opportunities by Impact Topic

Each of the seven core Impact Topics - Purpose & Stakeholder Governance, Climate Action, Human Rights, Fair Work, Environmental Stewardship & Circularity, Justice, Equity, Diversity & Inclusion, and Government Affairs & Collective Action - presents unique challenges and opportunities [20]. Addressing these areas often requires thoughtful planning and operational changes, but they also guide businesses toward measurable improvements and long-term impact.

Building Sustainability into Core Business Planning

Meeting B Corp standards isn’t a one-and-done effort - it requires embedding sustainability into your business strategy. Multi-year roadmaps are essential, allowing companies to phase in changes and investments over time [2].

Take Alpine Investors as an example. In 2019, they achieved an initial B Corp score of 90, surpassing the minimum requirement of 80. By 2023, they had improved their score by 15%, reaching 103.1. Their governance score doubled (from 8.7 to 17.4), and their customer impact score rose by 42% (from 18.9 to 27) [19].

"Earning B Corp certification was never about checking a box - it was about pushing ourselves to do better. In the following years, we will challenge our teams, companies, and our industry to evolve. We're excited to continue raising the bar and be a force for good in the world."
– Dorothy Walter, CFO and Partner, Alpine Investors [19]

To ensure success, businesses need robust data tracking systems. Start early by monitoring greenhouse gas emissions, waste, water use, employee demographics, and wage data [4]. These systems not only simplify certification reviews but also help identify areas for improvement. Since the new standards require ongoing progress [3], businesses can use this process to drive innovation and operational efficiency.

Consider aligning advocacy efforts with your business goals under the Government Affairs & Collective Action requirements [2]. This might involve joining industry coalitions, supporting relevant legislation, or participating in collaborative initiatives. Such strategies not only advance impact goals but also build valuable partnerships.

Treating B Corp standards as a continuous improvement journey rather than a one-time goal can lead to new market opportunities, better operational performance, and stronger relationships with stakeholders - creating long-term value that extends far beyond the certification itself.

Conclusion: Preparing for Future B Corp Certification

The updated B Corp standards mark a major shift in B Lab's nearly two-decade history, impacting close to 10,000 companies across 100 countries and 160 industries [3][20]. These changes reshape how businesses define their impact and maintain a competitive edge.

Getting ready for certification isn't a quick fix - it’s a strategic, long-term effort that prioritizes measurable results. Start with a foundational assessment to see where your business stands against the seven core Impact Topics [4]. This step highlights gaps between your current practices and the new standards, whether you're aiming for your first certification or working to maintain your existing one [21]. From there, you can develop targeted strategies that drive meaningful, lasting improvements.

Achieving success under the new standards requires detailed, multi-year plans and reliable data systems to track progress. These tools not only support your initial certification but also the continuous improvement needed to meet the evolving requirements [2][4][3].

"This is not simply an update of our standards: it is a complete reworking of the concept of business impact, designed to meet the challenges of our time. B Lab's new standards will be a guide for leadership on social and environmental issues at a time when it is needed most."

• Clay Brown, Head of Standards, Certification & Product Delivery at B Lab Global [22]

For businesses looking to streamline their certification process, partnering with experts like Council Fire can make a big difference. As an early leader in the B Corp movement - with an impressive B Impact Score of 110.5 compared to the median of 50.9 - and one of fewer than 300 businesses committed to 1% for the Planet [11][15][23], Council Fire offers proven strategies to help companies create meaningful social, environmental, and economic value [24].

Beyond certification, aligning with B Corp standards offers benefits that extend well into the future. Businesses that adapt now will be better prepared for regulatory demands, including stricter EU compliance requirements [2]. They’ll also join a growing movement that’s driving systemic change, sparking collaboration, and unlocking new market opportunities [1].

Incorporating these standards into your business strategy isn’t just about meeting requirements - it’s about turning them into opportunities for growth. The new framework emphasizes ongoing improvement, making this a journey of continuous progress rather than a one-time milestone [3]. With careful planning and expert support, companies can leverage these changes to deliver value for all stakeholders while contributing to a more inclusive and regenerative global economy [6].

FAQs

What steps should my business take to meet the updated 2025 B Corp standards?

To align with the updated 2025 B Corp standards, the first step is to thoroughly review the new requirements and determine how they relate to your business. These updated standards put a strong focus on stakeholder governance, more rigorous impact evaluations, and consistent accountability.

Make it a priority to weave stakeholder interests into your decision-making processes and ensure your operations reflect the updated guidelines. You’ll also need to submit revised performance data via the B Impact Assessment and prepare for formal progress reviews at the three- and five-year intervals.

Start early by assessing your current practices to pinpoint areas for improvement and implement necessary changes. By integrating sustainability into your core operations and involving your team in the process, you’ll set your business up for success under these new standards.

How do the new B Corp standards align with existing ESG frameworks, and what do they mean for businesses?

The revised B Corp standards aim to align more closely with established ESG frameworks by setting tougher environmental and social performance criteria, requiring specific improvement actions, and standardizing reporting practices. These updates are intended to help businesses more seamlessly incorporate B Corp certification into their overall sustainability strategies.

For companies, this means stepping up accountability and implementing more detailed impact tracking. Adapting operations to meet these new benchmarks can boost both transparency and trustworthiness. In essence, the changes push businesses toward a more organized and meaningful approach to corporate responsibility.

What are the key benefits and challenges of achieving B Corp certification under the updated standards?

Achieving B Corp certification under the updated standards can deliver meaningful advantages for your business. It boosts trust, highlights your commitment to social and environmental responsibility, and appeals to customers and employees who prioritize shared values. These factors can enhance your brand and position your company as a leader in sustainability within the market.

That said, the updated standards also bring some real challenges. Meeting stricter impact criteria might require major changes to how your business operates. Plus, maintaining certification demands ongoing transparency and involves a recertification process every three years, which can take both time and resources. Tackling these updates with a well-thought-out plan can make the process smoother and more manageable.