There are many reasons as to why the stakeholders in a company might wish to preserve the values, philosophy and purpose of the company they have built together. Many businesses are started and succeed because an opportunity presents in the marketplace for a different approach or attitude. Such businesses succeed because of the stakeholders’ (shareholders, directors, employees, suppliers, customers, local community) adherence to the values which ignited the original vision of the founders.
In today’s socially conscious capitalist environment, preserving the philosophy and purpose of a company for future generations is essential to the success of the legacy of the company. And while there are many strategies and frameworks a business might implement to build programs and policies of social responsibility or enshrine such values and purpose, an alternative legal status for these companies would provide more certainty and clarity.