Maryland 'becoming the Delaware of benefit corporations'

[madinmaryland]

Not sure where this is leading..

http://baltimore.bizjournals.com/baltimore/stories/2010/10/04/daily18.html

Sean Smeeton wants his Taharka Bros. Ice Cream Co. to be known for more than making a profit.

So when registration opened recently for companies to incorporate in Maryland as “benefit corporations,” the self-described social entrepreneur made sure Taharka Brothers was among the first to apply for that new status.

“From the beginning, I always thought business had the power to solve social problems,” said Smeeton, the company’s president. “That has been our guiding motivation since the beginning, to use business to bring good and social change.” Taharka employs young men between the ages of 18 and 21 in its Hampden ice cream factory and Mt. Washington ice cream shop to help them get their lives back on track.

Maryland became the first state in the nation to allow companies to incorporate as benefit corporations, under a new law that went into effect Oct. 1. Benefit corporations are for-profit entities. But they differ from the traditional for-profit businesses because their charter specifically requires them to benefit the public in some way, in addition to making a profit. That could mean improving communities or helping the environment. For socially minded entrepreneurs, benefit corporation status protects them from shareholder lawsuits for making business decisions that place good works ahead of big profits.

[DireStrike]

1. Yeah seriously. My bet:

The title will become popular, then will be watered down in legislation, providing a free PR boost to companies that use it.

[elleng]

2. You don't live in Maryland, do you?

'Benefit corporations are for-profit entities. But they differ from the traditional for-profit businesses because their charter specifically requires them to benefit the public in some way, in addition to making a profit. That could mean improving communities or helping the environment. For socially minded entrepreneurs, benefit corporation status protects them from shareholder lawsuits for making business decisions that place good works ahead of big profits.'

Its already here, and no watering down possible for those in existence. (Incorporation laws might be changed in the future of course.)

'Registration opened recently for companies to incorporate in Maryland as “benefit corporations,”'

[HopeHoops]

3. You can thank Montgomery County for that - they started the trend.

[Rosie1223]

4. You know what's coming next....

toll booths.


:evilgrin:

[madinmaryland]

5. That's just wonderful! Now LynneSin will be moving to Maryland!!

:scared: