A (Fairly) Simple Explanation of Our B Corp Certification
Since our founding in 2010, social impact has been our top priority, and our unwavering goal has been to turn the coffee industry on its head and raise the bar for fair participation by farmers in the regions of origin.
B Lab has been helping us on this mission for years. B Lab measures the positive impact that companies have on their immediate environment. If a company meets the standards set out in the comprehensive B Impact Assessment, it is entitled to carry the B Corp™ certification.
Coffee Circle is an officially Certified B Corporation™ since May 2016. In this article, we explain exactly how this works (and how we’re currently performing).
B Corp™? B Lab? B Impact Assessment? B Corp™ Certificate?
A Certified B Corporation™ (or B Corp™ for short) is a company that meets high, verified standards of social and environmental responsibility, as well as transparency. In addition to commercial success, a B Corp™ is committed to creating positive value for all stakeholders and those affected – including employees, society and the environment.
B Corp™ certification is awarded by the independent, non-profit organisation B Lab. Since its foundation in 2006, B Lab has been dedicated to supporting such Certified B Corporations™.
With the free and confidential B Impact Assessment, B Lab has created a questionnaire that enables companies to take responsibility for their own actions and assess their impact across a total of five different categories: Governance, Workers, Community, Environment and Customers.
The result of the B Impact Assessment is the B Impact Score, on a scale of 1–200. Any company that achieves at least 80 points in the B Impact Assessment and makes a legal commitment to incorporate the protection of people and the environment into its decision-making can be certified as a B Corp™. Transparency is a key component: the assessment results are made publicly available on the B Lab website in a public B Corp™ profile. Recertification takes place every three years to ensure continuous improvement. This is partly because companies change, and partly because B Lab is constantly refining the assessment. In the future, for example, the scoring system will be phased out, whilst the standards companies must meet to retain their certification will be raised.
Is B Corp™ a product certification like Fairtrade?
No. Fairtrade certifies individual products and sets minimum standards across the supply chain – that is, from harvest to supermarket shelves. Fairtrade seeks to assess the social and environmental standards of products, which then allows organisations to display the Fairtrade certification on their products if they comply with these standards. There is no assessment of the companies themselves.
B Corp™ certification, on the other hand, applies to the entire company. The B Impact Assessment evaluates not only individual products, but the entire business model and operational processes, from working conditions to environmental performance.
A company can therefore stock Fairtrade products but fail to achieve B Corp™ certification. And equally, a company can achieve B Corp™ certification without selling products that meet Fairtrade standards. Especially as there are standards that go far beyond the usual certifications such as Fairtrade or the Rainforest Alliance.
At Coffee Circle, for example, we have deliberately chosen not to adhere to the Fairtrade criteria – we explain why in a separate article.
The B Impact Assessment
We answered 289 questions in our latest Impact Assessment in order to renew our B Corp™ certification, which has been active since 2016. The questions are divided into an initial questionnaire and a further five categories, for each of which there are individual, detailed scores in addition to the overall B Impact Score.
The Five Assessment Categories in Detail
We were recognised as "Best for the World: Community" in 2017, 2018, 2021 and 2022. This is an award presented to all Certified B Corporations™ that have achieved the highest possible score across the five different assessment categories.
Coffee Circle’s B Impact Score
We have now completed the B Impact Assessment three times: in 2016, 2019 and, most recently, in 2022.
Coffee Circle’s current overall B Impact Score stands at 106.8 points.
…and is that a good thing?
By way of comparison: the average score for companies that complete the free B Impact Assessment is around 50.9 points. The threshold for B Corp™ certification is at least 80 points. With our score of 106.8 points, we are therefore well above the average for both certified and non-certified companies.
At the same time, however, we also know that there is always room for improvement. The assessments not only serve as evidence for B Corp™ certification, but are also a valuable tool for self-reflection. They highlight where we stand today and raise awareness of the areas in which we can continue to develop. Even if the specific score is phased out in future, this principle will continue to apply – and perhaps even more strongly. This is because the questionnaires are continually being refined, with higher standards and additional evidence required to be submitted. In this way, the process remains an important catalyst for greater transparency, continuous improvement and sustainable action.
How did Coffee Circle achieve such a high score?
We received the most points in the Community category. This is the section of the assessment where our donation-based impact model really comes into its own. For every kilo of coffee you buy, we invest € 1 through the Coffee Circle Foundation e.V. in social projects in the regions from which we source our coffee in accordance with direct trade principles.
Through these projects, we implement measures – based on specifically defined criteria – that sustainably improve the living conditions of local people. We focus primarily on the key areas of education, hygiene and sustainable coffee cultivation.
Through coffee sales and additional donations, we have already raised over € 4.5 million, 100 % of which has gone towards our projects.
In 2023, we expanded our project activities and invested in existing projects run by other organisations. Through this support for coffee producers and local communities in the coffee-growing regions, we have backed these six projects.
We also performed very well in the Governance category, thanks to the exceptional commitment mentioned earlier. This section assesses the extent to which a company’s business model is deliberately designed to achieve positive outcomes for its stakeholders, such as employees, the community, the environment and customers. Bringing about change in coffee-growing regions – for the people in local communities – has always been Coffee Circle’s driving force. We are delighted that this commitment is so clearly reflected in our official B Impact Score and B Lab’s detailed assessment.
Our Current Projects
