A newly passed legislation in Alabama recognizes benefit corporations as an entity type. A benefit corporation is a for profit entity that aims to benefit both its shareholders as well as the general public in some way. In short, benefit corporations are traditional corporations with modified obligations that commit them to higher standards of purpose, accountability, and transparency. The primary purpose of a benefit corporation is to generate profit along with benefiting the public in some way.
Form your business with the Alabama Secretary of State’s Office (there is a $200 filing fee)
> Visit sos.alabama.gov/business-entities
> Determine the registered agent
> Complete a Domestic Corporation Form
The name of a benefit corporation must contain the words “benefit corporation”, the abbreviation “B.C.” or the designation “BC”, and may not use the word “incorporated or an abbreviation thereof
The certificate of Incorporation must include a statement that the corporation is subject to the benefit corporation chapter of the corporation law