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21 Fast Facts about the Etsy IPO, a Certified B Corporation

21 Fast Facts about the Etsy IPO (Certified B Corp)

 

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1. Etsy sold more than 13 million shares on its first day of trading as a public company (April 16th 2015), raising $267 million with a valuation of $1.8 billion.

2. Etsy was founded in 2005 in Brooklyn, New York.

3. Etsy became a certified B corporation in 2012.

4. Etsy is the 2nd B corp to go public, of 1000+ B corporation. (The first was Rally Software, interview with CTO here).

5. Etsy has over 25M members.

6. Etsy Craft Entrepreneurship Program launched in 2013, to offer classes to help individuals in low-income areas learn how to make and sell crafts on Etsy. It is now in 3 US cities and expanding internationally.

7. Etsy debuted its IPO at $16 a share, and closed it’s first day at $31 a share.

8. Etsy has over 1 million active sellers and 19.8 million active buyers on the site.

9. Originally, Etsy had only one rule for selling, everything posted for sale must be handmade by the seller.

10. In 2013, Etsy dropped the sell-only-handmade rule.

11. Etsy Founder Kalin stepped down twice, once in 2008 (resumed in 2009) and in 2011.

12. Etsy CTO Chad Dickerson became CEO in 2011.

13. As of 2015, Etsy employees about 400 employees.

14. Sales on Etsy topped $1B in 2013.

15. In the 3 years prior to filing IPO (i.e. from 2012-2015), Etsy lost close to $18.4M.

16. The term “Etsy Economy” is defined by CEO Chad Dickerson as “a people-powered economy with person-to-person commerce” that is “the feel of a farmer’s market instead of a supermarket…”

17. Founder Rob Kalin owned less than 1% of Etsy at the time of IPO.

18. Etsy’s updated policies allow sellers to work with manufacturers for mass production.

19. Etsy hosts an annual “Hello Etsy” conference for Etsy sellers and small business owners.

20. Etsy may have to incorporate as a benefit corporation to maintain its B corp status, according to rules set forth by B Lab. (Note here’s the difference between a b corp and a benefit corporation)

21. Etsy’s IPO was the largest IPO ever for a venture-backed, New York-based startup.

 

Etsy I.P.O. Tests Pledge to Balance Social Mission and Profit (New York Times)
Rally Software IPO to benefit nonprofits (Denver Business Journal)

Why Etsy’s IPO Could Silence Haters of the New York Tech Scene (Xconomy)

Etsy Craft Entrepreneurship Expands to 3 New Cities (Etsy News Blog)

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Couchsurfing: Rocky Road from Nonprofit to B Corp & Lessons in Honoring Your Mission and Members

Back in 2011, we wrote about the re-incorporation of Couchsurfing from a nonprofit to a for-profit B corporation.

Couchsurfing Goes From Nonprofit to Certified B Corp

Couchsurfing: Rocky Road from Nonprofit to B corp...In August 2011, the newly-formed company initially raised nearly $8M in venture funding from Omidyar Network and Benchmark Capital before it informed its member base of over 3M users worldwide about its shift.

It wasn’t a smooth transition.

 

The Couch Pulled From Under Its Surfers

Over the course of four years, there has been a impactful decline in engagement along with some major internal restructuring– which at first led to the hiring of new Apple and MTV Alum, Tony Espinoza, as CEO. He would resign 18 months later. Under his watch, it is said that registered users more-than-doubled to 7M, but many of the existing and new users were not actively engaging on the platform. Additionally, reports indicated that October 2013 also saw layoffs of 40% of Couchsurfing staff.

In fact, this Change.org petition was launched on September 15, 2011 protesting the change in legal structure.  Notable excerpts include:

“We represent thousands of Couchsurfing (CS) members, donors and volunteers. We found meaningful work and global connections to each other through our commitment to the ideals of CS as a non-profit organization.

Couchsurfing Intl. was established as a non-profit corporation in April 2003 and registered with the state of New Hampshire as a public charity in 2007. It was dissolved and its assets were acquired by a newly-created for-profit C-Corporation with the name “Better World Through Travel Inc” in Delaware in August 2011. Since its inception, the organization received >US $6,000,000 in member donations and verification fees. Community volunteers freely donated volunteer labor, time and talent which created much of the network’s current value. (12) We find it difficult to believe that the verification income was insufficient to operate a travel website and disagree that these gifts should be sold to investors. We believe that these gifts belong to the community that created them.

We believe these changes betray the relationship the organization had with its network of volunteers and members, the relationship that shaped Couchsurfing into what it is today, and are concerned that its values will not persist.”

While the petition didn’t garner the 1600+ signatures it proposed, 882 supporters did sign as a show of dissatisfaction.

At Innov8Social, we caught scent of this too. Though very few people post comments to blog posts here, there were two lengthy and thoughtful posts by avid Couchsurfing (CS) aficionados challenging the change in legal structure.

Notably “CS host” said:

“Many people were surprised by this move as CS had always prided itself for being a non-profit organization which wanted to be a charity. For those who had seen how volunteers had been used and abused for years by Couchsurfing, how safety measures such as credit card “verification” have been misrepresented, how management covered up repeated sexual misconduct with volunteers by one of its own or how rarely promises were kept none of this should come as a surprise. Reality could hardly be any further from the offical Couchsurfing claim to “create a better world”….

Most will continue to offer their couch, just not for Couchsurfing International Inc. to resell it to travellers against verification payment or optional premium services, but in one of the other more democratic communities organised as non-profit organisations, such as BeWelcome.org or WarmShowers.”

Equally passionately, “Anonymous” noted:

“Couchsurfing and its ‘team’ or ‘board’ or whatever they have constructed now have never kept a promise, certainly not the one repeated for 5 years that “WE WILL NEVER BE A FOR-PROFIT CORPORATION”. Their skill lies in jettisoning devoted volunteers when they ask serious and professional questions.

Instead CS has taken ‘donations’ under the guise of a charity and published delayed audits that always showed they had made hefty margins and had cash in hand.. till suddenly they show up with a $3.9 MILLION debt.

And yes I am still trying to get some equity for my time invested in a proclaimed ‘charity’ -this is why i am ‘anonymous’.”

This is shaping not only in an incredible story of a social enterprise, but a rich opportunity for tomorrow’s social entrepreneurs.

Lessons in Honoring Your Mission and Members

Just as hindsight is 20/20, the story of Couchsurfing is ripe with lessons that seem so clear today.
1. Honor Your Mission.  This is true especially when you have a broad membership. Here loyal donors, volunteers, couchsurfers, and couchsurfees were rebuffed in their belief of the mission of the nonprofit to connect travelers and hosts in a safe and meaningful way, without profit motive. With the major shift in legal structure, co-founders Casey Fenton, Dan Hoffer, Sebastien Le Tuan, and Leonardo Silveira took a risky bet that their users would stand steadfast even in the face of a major shift in purpose and profit.
The risk didn’t pay off here. Perhaps B corp was new and unknown—such that it didn’t inspire confidence in users in 2011 that the mission of the organization could be pursued meaningfully in a for-profit structure. Perhaps it was a lack of follow through or a case of “greenwashing” — i.e. in using B corp more as a PR move than to honor the initial mission. It is hard to say—but knowing that most co-founders are utterly loyal to their ideas—it seems likely that the heart of the mission was in the right place even with the shift of legal structure—but somehow the intent didn’t survive the transition in a way that made members, volunteers, and donors feel heard and acknowledged.
2. Honor Your Members. With the backlash of members, it is clear that the founders thought they could sidestep informing members and asking them if they would support the new organization. The goodwill created in establishing a global nonprofit seemingly dissolved in the face of the new goal of profit in addition to purpose.
Here, it may have been wise for CS to inform members, or inform power members and rely on them to ambassador the message.
3. Expect Failure, and Adapt.  As we have learned in the “lean” method to startup and social enterprise—startups should expect failure. Here, the founders took a calculated risk (i.e. that members and networks would have no problem with the change) and that turned out not be the case. It was a small failure.
The larger failure came next, when the company couldn’t recognize and adapt to dissent and unhappiness from its target market. Here is where quick assessment and pivots could potentially have steered the company back on course. But, with four years to review, it doesn’t seem that the company was able adopt the ample customer feedback. Perhaps with the restructuring an influx of venture-backed capital, the founders were limited in the actions they could take to right the situation. Or perhaps, what was done was done—and beyond apologizing, the company didn’t know what definitive steps it could take to earn back the trust of its user base.

Couchsurfing in 2015 and Beyond

After the exit of Tony Espinoza, Jen Billock (formerly director of member experience) was tapped for the CEO role. Under her guidance, the site has seen a major re-launch which involved over 30 hours of downtime. Beyond front-end design changes, the re-launch featured improved search functionalities.
Perhaps in a nod to learning from the past, Billock was sure to include robust beta testers in preparation for the relaunch.
Considering the company has raised in excess of $22M in venture funding—there may be a vibrant second life ahead. However, unlike during its initial launch in 2003, it has to contend with neither being a novel concept, nor being the market leader. With rapid growth of companies like Airbnb, peer-to-peer sharing of space as an idea has been validated and perfected to a far greater degree than when CS first introduced the concept.
With innovation, honoring its mission and members, and being ready to pivot—it remains to be seen whether Couchsurfing can adapt and create unique value ahead.

Read More

(Note: Reading the comments for the articles noted is highly recommended. Many are thoughtful notes by former CouchSurfers and provide depth to story and evolution of CS)
Jay Coen Gilbert
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Interview with B Lab Co-Founder Jay Coen Gilbert [AUDIO]

Sometimes to understand a river’s path, it helps to go to its source. As a co-founder of B Lab, Jay Coen Gilbert is one of the original architects of B Lab which has facilitated the B/benefit corporation movement that has been gaining traction across the nation (including legislation passed in 19 states!) and globe.

About B Lab

B Lab is the 501(c)(3) non-profit engine behind the benefit corporation and B corporation certification movement—designed to foster business that serves the community and environment in addition to pursuing profit. Founded in 2006, B Lab took the idea B Labof impact-driven business out of abstraction and thrust into a working reality. One of its first major acts for the organization was drafting the B Impact Assessment—a tool that lets organizations and companies evaluate their impact. Another milestone was the approval of the first B Lab certification in 2007—which has paved the way to today’s 800 certified B corporations spanning 27 countries and 60 industries.

On a personal note, following the B/benefit corporation movement in 2011 was the early subject of Innov8Social’s exploration of social innovation. I had the pleasure of meeting Jay along with fellow co-founder Andrew Kassoy following the passage of AB 361—California’s benefit corporation legislation.

Meet Jay

Talk shop with Jay for a few minutes and you will note that his stance on sustainable business is firmly rooted in pragmatism as Jay Coen Gilbertwell as possibility. His early career as an entrepreneur informs his approach to impact-driven business. Jay co-founded AND 1 an athletic footwear and apparel company which was later sold for $250M.

He has become one of the key spokesperson for the movement—-authoring articles on Huffington Post, Stanford Social Innovation Review, and speaking at TED talks.

By the time most people learn about a movement for change—it usually has already been long in the works—and it is its sheer momentum that draws new supporters.  In talking to Jay, I wanted to learn more about the genesis of the idea that has turned into a movement as well as the path ahead involving adoption. He highlighted a key impetus for B Lab as the golden rule of doing unto others as they would have them do unto you—and applying that to business.

 

Listen to the Interview

 

Additional Reading

Every 500 Years or So by Jay Coen Gilbert [Stanford Social Innovation Review]
Jay Coen Gilbert on Huffington PostJay Coen Gilbert on ForbesJay Coen Gilbert on Sustainable BrandsBenefit Corporation Info CenterDo-Gooder: Jay Coen Gilbert, Co-Founder, B Lab [Social Good Network]
Q&A with Jay Coen Gilbert, Co-Founder of B Lab [Philadelphia Generocity]

DIrk Sampselle
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Interview with Dirk Sampselle, Founder of B Revolution Consulting [AUDIO]

This podcast episode features an interview with Dirk Sampselle, and attorney and founder focusing on supporting social entrepreneurs, impact investors, and nonprofit organizations.

The Numerous Choices Available for Social Entrepreneurs Can Be Overwhelming

Increased choice can create confusion. Barry Schwartz’s 2004 book titled Paradox of Choice: Why Less is More even suggests that the process of making a decision among many choices can actually decrease our enjoyment and confidence in our choice.Viewing social innovation through that unique lens, there seems to be a certain trend emerging. The trend of more. Today there are new legal structures, new business models, additional sustainability certifications, and more choices than ever before when it comes to effectuating change and measuring impact.The space that is emerging, while exciting and motivating, can seem overwhelming to both the consumer as well as the entrepreneur. The increased choice creates opportunities for experienced guides who can use and make sense of growing data to guide social entrepreneurs through the space.

B Revolution, a Consultancy for the B Corporation Movement

That’s why it was fascinating to come across new initiatives such B Revolution, seeking to address the potential problem of increased choice in social innovation. Founded by Dirk Sampselle in 2011, B Revolution serves growth companies, nonprofits, as well as individual and early-stage entrepreneurs. The consultancy assists its clients in projects such as designing an impact strategy, identifying investment sources, and taking a holistic look at legal and business needs in evaluating structuring options.

B Revolution has launched a few initiatives related to the impact space, including:

  • ezBcorp – a new B Revolution initiative that combines Legal Zoom type automation with benefit corporation legal structure to create an online platform for social entrepreneurs to explore benefit corporation options as well as incorporate as one.
  • B Revolution Consulting – consulting service for entrepreneurs, impact investors, companies, and nonprofits traversing the impact space.
  • B Revolution Capital – pairing mission-driven entrepreneurs seeking $50K-$1M in funding with impact investors seeking new avenues of creating impact-aligned investments.

Interestingly, B Revolution Consulting is itself structured as a California benefit corporation subsidiary of B Revolution, Inc., a B Corporation-certified Maryland benefit corporation.

Meet Dirk

DIrk SampselleDirk Sampselle grew up in Maryland and completed his undergraduate education at the University of Florida, where he also created a 501(c)(3) nonprofit organization called “Citizens for Social Justice.”

His path to finding new ways to create meaningful change in society and business drew him to become involved in the benefit corporation movement early on and he has co-authored several white papers for B Lab on the subject. He recently graduated from Pepperdine University with dual degrees in business and law.

Listen to the Interview

 

Learn More

You can read Dirk’s white papers on benefit corporations here:
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Webinar Recap: Ashoka Workshop on Hybrid Legal Structures by Morrison & Foerster, Jones Day, and Adler & Colvin

On Tuesday, January 29th 2013 Ashoka Legal brought together a few top law firms specializing in social enterprise law and hybrid structures. The session was created to be an open discussion and training on some of latest trends, tools, and resources for setting up nonprofits, for-profits, hybrids, and new corporate structures.
Hybrid Structures Webinar: Nonprofits, For-profits, and New Corporate Forms
The event, held at the Morrison & Foerster offices in San Francisco, was live-streamed online. The presenters’ list included:

Watch the Webinar

For social innovation attorneys, law students, and social entrepreneurs seeking to research legal entity options, formation, and restructuring—this webinar is an excellent tool to begin unpacking the many options available. And, the experience is made more meaningful as it is guided by attorneys at the forefront of the social enterprise legal space.
If you missed the the live webinar or live session, Morrison & Foerster is making the archived webinar available for viewing until April 2013.

Legal Structures

The speakers spoke in detail about legal structures that have been covered on Innov8Social, weaving in practical experience, policy history, and examples into their assessment of how each structure may benefit a social enterprise or non-profit.
Legal structures for social enterprise law covered in the webinar
Hybrid legal structures
  • For-profit subsidiary of a nonprofit
  • Nonprofit under control of for-profit
  • Sibling relationship of for-profit and nonprofit
  • Independent, but aligned entities
Other tools that can create value, and enable entities to remain mission-driven 
  • Licensing
  • Trademark
  • Integrated reporting: to integrate social, environmental impact alongside financials
Ryan Martens
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Interview on Rally for Impact with Ryan Martens, Founder and CTO of Rally Software

Meet Ryan

Ryan MartensWith the start of a new year comes new opportunities to connect, engage, and explore. One such opportunity was an interview on Rally for Impact, a fascinating arm  of the for-profit social enterprise Rally Software. Innov8Social spoke with Rally Software’s Founder and CTO Ryan Martens about his vision for empowering engineers to turn their attention to many of the world’s most pressing problems.
In addition to his work at the helm of Rally for Impact, Ryan also served as Mentor in Residence for the Unreasonable Institute in 2011 and continues to serve as a Mentor.

Rally Software and Rally for Impact

Rally Software has adopted a 1/1/1 model similar to Salesforce, where 1% of the company’s founding equity is put toward the Entrepreneurs Foundation, 1% of employee’s time is used for volunteer projects, and 1% of equity financing to endow the efforts of citizen engineers.
Scroll to end of the post for an informative introduction video to learn about what the organization does, its goals, and an account of a citizen engineer. When asking Ryan about Rally’s decision to become a B Corporation he said that he certified as as a B Corporation because he sees it as a promising hybrid model between a non-profit and for-profit entity.

Read the Interview

Interview on Rally for Impact with Ryan Martens, Founder and Chief Technology Officer of Rally Software

Q1 | Innov8Social: How did you first get involved with Rally for Impact?  How long has it been around?

A1 | Ryan Martens, Rally for Impact: The idea has been percolating for 10 years. We officially launched it in October 2012.

Q2 | Innov8Social: What problem/pain point is Rally for Impact addressing?

A2 | Ryan: I feel strongly that business is the only force on the planet large enough and pervasive enough to change our broken global systems. With Rally for Impact, we are stepping up to say that business must lead the way in solving social problems. We can embed our social enterprises within the wrapper of business and be successful at both by bringing the learnings from one into the other.

My vision is to bring citizen engineers and social entrepreneurs together to help scale their efforts, as well as to inspire businesses to create sustainable and equitable solutions that span the globe.

Together, citizen engineers and social entrepreneurs can be the giant lever to fix the global systems that create clean water, clean air, rich soil, biodiversity and happiness as a natural by-product of everyday work.

I do not believe you can make one singular giant leap to become a social impact enterprise, but rather, incremental progress. You need the support of the business to value the work and thus create an environment where citizen engineers are empowered to explore not just feasible and effective solutions, but highly desirable and sustainable solutions. We need to build the right things that help us make the world better with every use..

Q3 | Innov8SocialThe site emphasizes the presence of citizen engineers—how did you first think of this broad category? Who are the most typical ‘citizen engineers’ you have come across?

A3 | Ryan: I did not coin the term Citizen Engineer; Dave Douglas and Greg Papadopoulos actually did in their book: Citizen Engineer. There really is no “typical story” – the profile is someone who identifies a social problem and then works to solve it. Much of comes from finding an unfortunate opportunity that they are compelled to wrestle with and attempt to solve. We have great examples on the Rally For Impact site that include business, technical and grassroots organizing stories: http://www.rallydev.com/community/rallyforimpact/stories.

Q4 | Innov8Social: What is the primary purpose of Rally for Impact?

A4 | Ryan: Our mission to mobilize citizen engineers to solve the world’s toughest problems is based in part on my interactions with Dave Douglas, co-author of the book Citizen Engineer. Dave and Greg define citizen engineers as “the connection point between science and society—between pure knowledge and how it is used. Citizen engineers are techno-responsible, environmentally responsible, economically responsible, socially responsible participants in the engineering community.”

To mobilize citizen engineers to do this, we need to leverage:

  • design thinking to produce highly desirable solutions that scale quickly
  • agile thinking to bring the power of small teams to large problems
  • lean startup to simultaneously solve for feasibility and effectiveness
  • open source licenses to disseminate learnings and solutions freely across the planet
  • sociology and biology to design sustainable solutions that work with nature
Between Dave’s book, the Stanford d.school, Eric Ries, Steve Blank and what we know about scaling Agile, we now have a recipe for mobilizing citizen engineers. Our job at Rally For Impact is to work collaboratively with our employees, business and social partners and most importantly, our customers, to leverage these methods to educate, enable and mobilize these citizen engineers across the planet. We have the science and technology, now we just need citizen engineers to apply them in uniquely local and global ways.

We believe business can be the force that helps us create sustainable systems for billions of humans to live on this planet in a just, equitable and restorative fashion. It is why we are here as a company.

Action

Rally for Impact is seeking to build its base of social innovation-minded engineers. If you are interested you can take this pictorial citizen engineer survey.

 

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Infographic: 2012 Sees Doubling of States that Passed Benefit Corporation Legislation

It seems like just yesterday there were  6 states that had passed benefit corporation legislation. That was over a year ago. In that time, B Lab and B Corp have successfully supported the passage of benefit corporation legislation in 12 states.Here’s an infographic from the B Corporation website that shows a map of the states that have passed benefit legislation, and states that are working on it. You can also view the B Corporation 2012 Annual Report, but note that it doesn’t reflect states that recently passed legislation.The Annual Report notes that over 500 companies have been certified as B corps, and the community is growing. (Note: B Corp is different from benefit corporation—though both distinctions indicate a commitment to creating a positive impact on society and the environment.)

http://www.bcorporation.net/what-are-b-corps/legislation

The 12 states that have passed benefit corporation legislation are:

  1. Maryland passed SB690/HB1009 in April 2010.
  2. Vermont passed S.263 in May 2010.
  3. Virginia passed HB2358 in March 2011.
  4. New Jersey passed S2170 in March 2011.
  5. Hawaii passed SB298 in July 2011.
  6. California passed AB361 in October 2011.
  7. New York passed A4692-a and S79-a in December 2011.
  8. Louisiana passed HB1178 in May 2012.
  9. South Carolina passed HB4766 in June 2012.
  10. Massachusetts passed H4352 in July 2012.
  11. Illinois passed SB2897 in August 2012.
  12. Pennsylvania passed HB1616 in October 2012.
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(B)enefit Corporation West Coast Forum Connects Sustainable Business with Academia in SF

(B)enefit Corporation West Coast Forum

On April 27, 2012 San Francisco University and B Lab hosted the (B)enefit Corporations West Coast Forum. It was a day of seminars, talks, and networking intended to connect academia with social entrepreneurs, and to provide an overview of the benefit corporation movement.

One of the interesting panel discussions featured three social entrepreneurs who actively pursue triple bottom line results in their companies. It was moderated by San Francisco-based B Lab Director of Business Development, Dermot Hikisch.

Here is a rundown of the speakers and a few of their key points.

Mike Hannigan, President of Give Something Back

Give Something Back (GSB) is the largest business to business office supplier in California, and has been running for around 20 years. What makes the business socially entrepreneurial is that the company pays competitive wages, but invests 100% of its profits to community non-profits.

Hannigan reiterated that the community was the key stakeholder in his company, which is a registered B corporation. (Note: a point of confusion is b corporation v. benefit corporation. They aren’t the same thing! Learn about the differences here). He noted that when the company was launched two decades ago, it represented a new and novel way of doing businesses, but that he is noticing more and more new companies being started with social mission in mind.

Benefit corporation symposium 3He also underscored the concept that his business has been successful because, at its core, it has a strong business model and can beat out its competition. In fulfilling the company’s vision to support the community and environment, employees receive competitive wages and full health benefits.

Hannigan outlined the democratic process the company engages in to decide on where to redistribute profits within the community. GSB polls their 10,000+ customers and clients to decide on the causes and organizations to support.

Kirsten Saenz Tobey, Founder and CEO of Revolution Foods

If the audience wasn’t already wowed by the history, and operations of Give Something Back—Kirsten Saenz Toby’s story about how and why she started Revolution Foods surely inspired the room.

Tobey started the company six years ago after to change the way kids eat at school and with the vision of fundamentally changing the relationship between food and kids.

She outlined her company’s founding value with simplicity: food should be real. Tobey and her team found ways to replace processed foods (with numerous additives and preservatives, high salt content, and too many grams of sugar) with healthy, nourishing alternatives. And they found ways to mass produce and deliver these healthy meals to local schools on a daily basis.

Tobey also spoke about honoring and respecting the workforce, and shared that in addition to providing full health benefits, her business model makes each employee part-owner of the company.

As they say, the proof is in the pudding, or in this case maybe in the fruit and yogurt parfait. The company has grown fast, very fast. Revolution Foods has gone from preparing and delivering 500 meals per day in 2006 to 120,000 meals per day in 2011. And, it is expanding to eight different regions across the country.


Revolution Foods certified as a b corporation (not the same as a benefit corporation) in 2011. Tobey spoke about the certification process, saying that it was valuable in outlining a roadmap for how her company wanted to grow, expand, and operate. She mentioned that as a social entrepreneur, she has often found it her role to educate potential investors about what b corporations are and what the triple bottom line entails.

In answering an audience question about the future of Revolution Foods, she didn’t rule out an exit strategy such as an intial public offering (IPO) or acquisition by a larger company.

Vincent Siciliano, President and CEO of New Resource Bank

Turning to a banking state of mind, the third panelist Vincent Siciliano of New Resource Bank opened his presentation by asking if we knew where our money “spends the night.” He spoke about his company’s goal of ensuring that every dollar of depositor’s funding is invested in building a sustainable community.

Founded in 2006, New Resource Bank has aimed to bring new resources and create new opportunities for sustainable business. Siciliano mentioned that the bank became a certified B Corporation in 2010.

He expanded on the ways his bank evaluates impact for its stakeholders, mentioning a client sustainability assessment that identifies learners, achievers, leaders, and champions in sustainability. New Resource Bank actively practices slow banking because it does not consciously seek an exit strategy, but instead focuses on long term growth and reach, franchising, and creating lasting economic impact in communities.

Answering questions from the audience, Siciliano mentioned foundations as an emerging source of funding social entrepreneurs, in addition to VC funding and crowd sourced funding. For example, Kellogg Foundation became an equity investor in Revolution Foods.

When asked about the academic community’s role in the (b)enefit corporation movement, Siciliano reiterated the need for impact metrics to support data-driven decision-making.

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Forbes Recognizes Social Innovators in its ‘Impact 30’ List

Forbes releases a number of enticing lists each year. Popular among them are Forbes 400 (the 400 wealthiest Americans), World’s Billionaires, Celebrity 100, and the Most Powerful People list.  Intriguing individuals, scintillating celebrities, and powerful leaders top the lists, which tabulate based on money, power, and influence.Social innovation, outlier or game-changer? A seeming outlier in this assessment is social innovation—which looks at impact, social accountability, social entrepreneurship, and social change. Well, with the release of their newest list, it looks like Forbes may see social innovation as far more than an outlier standing in the distance.

forbes.com

With ‘Impact 30‘–the first list of it’s kind ever published by Forbes’ in its 94-year history, one may even say that the publication sees social innovators as center field disrupters, team-players, and game-changers.

A look at the team behind Forbes’ Impact 30

Forbes worked with social innovation luminaries such as Ashoka’s Bill Drayton, Nonprofit Finance Fund’s Antony Bugg-Levine, MIT Poverty Action Lab, and ImpactAssets’ Jed Emerson to identify innovators leading the way or forging the path in health, innovative education, impact investment, clean energy, sustainable food production, and social innovation policy.

30 social innovators changing the world, a preview

The list features 30 individuals/groups engaged in social entrepreneurship. Here are a few of the organizations represented in the list.
You can find the full list here.
New B-eginnings
The list represents new beginnings. For Forbes, it marks a beginning of recognizing the emerging field of social innovation alongside traditional sectors of business, finance, and celebrity. For social innovators, the list is a beginning, serving as an introduction and handshake (or high-five) to new consumers, new financiers, and new forms of publicity.
And for policy, legal structure, and business organization supporting and encouraging social innovation, the list not only features the founders of B Lab (Jay Coen Gilbert, Bart Houlahan and Andrew Kassoy) but also recognizes a number of companies that have adopted the “B corporation” certification and have pioneered triple bottom line accounting methods (i.e. GIIRS).
Here are the B corps that were recognized in Forbes’ Impact 30 list:
social innovation

Rapping in B– The B Corp Rap By FMYI

You’ve read articles, blogs, and social media updates. You’ve watched interviews with policy makers, legal advisors, and social entrepreneurs. But maybe you want more.

You want a little funk, rhythm, and rhyme to explore the B corporation concept further.
Well, FMYI (for my innovation) has come up with an amusing solution. The company that specialized in creating internal collaboration platforms for companies, has a thing or two to share about what being a B corporation means to them.Enjoy :)