B Corp and the Business of Doing Better

More and more restaurants are joining the B Corp club, but do consumers really know what it is, let alone change their behaviour because of it? Of course it’s cynical to tie it all back to the bottom line, and some operators may, nobly, be motivated by altruism alone, but we also see real commercial upsides, and not in the most obvious places.

First off, for those who don’t know, B Corp is a point-based certification for companies that meet high social and environmental standards. Founded in 2006 in the US, it now has over 9,000 certified companies including 2,000 in the UK: Hawksmoor, Blacklock, Caravan, Big Mamma Group, and Pizza Pilgrims amongst them. In 2024, the hospitality sector saw a 15% increase in B Corp certification. It’s still a relatively small pool, but momentum is building.

The system works via a structured assessment covering governance, workers, community, environment, and customers. To qualify, companies need a to meet a minimum overall score and must re-certify every three years. That process forces businesses to measure their impact, set goals, and demonstrate progress across everything from pay and benefits to waste reduction and supply chain transparency. They have equity-based pricing whereby small companies pay a fraction of what large corporations pay.

So, with all that effort, is it worth it? While consumer awareness is growing - around half of UK consumers have heard of B Corp and about a third have a reasonable understanding - I remain sceptical about whether it meaningfully drives spend or loyalty. Where I do see it making a tangible difference is among employees. The hospitality workforce is notably young, and young people are far more engaged with environmental and social concerns - it is, after all, their children and grandchildren who will suffer most from the potential fallout of the climate crisis. Countless studies affirm this; Deloitte found that 70% of Gen Z and Millennials consider environmental credentials important when choosing where to work, a finding echoed in B Corp’s own research where young people showed higher awareness and understanding of what they do. In a sector where labour is a constant challenge, anything that helps retain and motivate staff is worth paying attention to. Moreover, when the certification journey is participatory - with internal champions for different areas, regular feedback and meaningful follow-through (volunteering days off, charitable initiatives, sustainable sourcing, mentoring etc.), it builds a sense of purpose. Employees feel more invested and valued, and are therefore more likely to stay.

Beyond teams, B Corp certification can also tip the scales with landlords and investors. Increasingly, landlords face ESG reporting requirements of their own, and a certified tenant can help meet those goals. From an investment perspective, B Lab UK’s research shows that 70% of certified companies seeking equity finance meet or exceed their fundraising targets, compared to just over half of non-certified peers. That shouldn’t be too surprising. On one level, B Corp certification signals strong governance. On another, these companies are self-selecting - forward-thinking, values-led, and with proven initiative, always striving to do better. The kind of businesses investors like to back.

Of course, no system is flawless. B Corp has faced criticism for its complexity, for being largely self-reported, and for allowing companies to offset weaker performance in one area by overachieving in another. From 2026, the model will evolve, introducing stricter minimum requirements and third-party verification across key areas like climate, equity, and governance. Certification will become harder, but more credible. That follows a number of high-profile controversies - BrewDog losing its status after employee complaints, and backlash against Nestlé-owned Nespresso’s inclusion. The learning to operators is to only do it if you mean it: consumers hate hypocrisy and this is not a simple box ticking exercise.

Despite its imperfections, B Corp certification is a meaningful framework for turning brand values into measurable actions and embedding them internally. It is a mechanism for culture-building that runs deeper than marketing or mission statements. For operators who are serious about building responsible, resilient businesses that hold onto great staff, the case is compelling. At the end of the day, every guest experience is delivered by a person, and when people believe in what they’re part of, everything works better.