Rural Small and Medium Enterprises: Maximising the Value of Benefit Corporation Certification

Abstract

This article examines challenges and opportunities some rural small and medium enterprises (SMEs) face in maximising the value of Certified Benefit Corporation status. Eight case studies provide insights into the disadvantages of becoming, and maintaining, certification, and opportunities for leveraging its full value specific to the unique needs of these types of firms. Triangulation of three repetitions of interviews with owners and employees (n = 22) over two years, publicly available web-based sources (e.g., websites and brochures), and project documents for each case were analysed. No case study could report direct financial gains from their certification. Additionally, they reported limitations to obtaining, and maintaining, the certification, unique to rural SMEs, suggesting larger and urban firms have a competitive advantage in utilising this certification. Instead, they identified hiring and retaining quality employees, a greater sense of purpose and drive, and increased trust with other local businesses as added value. The article concludes with insights for increasing the likelihood of maximising value for other similar firms and opportunities for third-party certifying bodies to better support rural SMEs in maximising the value of this certification.