Benefit Limited Liability Companies and Benefit Limited Partnerships

Most of B Lab’s energy has been focused on passing benefit corporation laws. B Lab and its supporters have not yet targeted non-corporate entity types, arguing that the existing LLC and LP laws are more flexible and more clearly allow social purposes. Nevertheless, a few states—including Delaware, Maryland, Oregon, Pennsylvania, and Utah—have decided to include benefit company statutes in their state law. These statutes permit the creation of certain unincorporated social enterprise forms, such as a benefit LLC or benefit LP. Notably in Pennsylvania, a benefit company will have an annual report due that must show how the company met its social purpose or mission. You can see the annual report form for a benefit LLC here. The annual report must not only be filed with the Commonwealth, but also delivered to each owner.

The Social Enterprise Tracker website provides statutory cites for each state.