Beginning Jan. 1, Indiana businesses will be able to choose to register with the Indiana Secretary of State’s office as a benefit corporation.
When businesses register as a benefit corporation, it enables the corporation to put its social mission of giving back alongside profit-seeking considerations. Benefit corporations expand the obligation of boards, requiring them to consider environmental and social factors, as well as the financial interest of shareholders. This gives directors and officers the legal protection to pursue a mission and consider the impact of their business toward the public good.
On Monday, Secretary of State Connie Lawson and myself joined a few businesses that registered.
Over the past two years, I’ve had numerous discussions with business owners about providing tools to allow businesses to better emphasize social responsibility alongside profit. This legislation is a great step toward retaining and attracting creative entrepreneurs and job creators to Indiana.
Businesses interested in converting or incorporating as a benefit corporation can find the forms online here. To make the switch or register a new business as a benefit corporation, the forms can be completed and mailed along with a filing fee to the secretary of state’s office at 302 W. Washington St., Room E-018, Indianapolis, IN 46204. Forms may also be submitted directly.
State Representative Casey Cox