One of the company involved in this year program also actually think to be organized as "Benefit Corporation". They are from Italy and as I understood in Italy this is possible (one of the very few countries) and their business idea is strongly socially oriented. I didn't ask myself if this is legally possible - good question. I guess that you would have to discuss it with some legal person and as Rockstart is partially financed from Dutch lottery (which is by definition charity) maybe they will agree (also to be honest many of ppl around Rockstart are already proven entrepreneurs and they dont look for money, they really like idea of helping star-ups and to be involved in this community). So, your main question needs to be discussed.

However, in later stage when you actually need investment to scale it might be more difficult to raise money (from simple reason that investor ask for profit - this is truth). It may need some other means to raise money for your company. There are some social funds (on London stock exchange as I understood) in UK where there is money for such a companies and one of our mentor has company that they look for money in this particular fond.

Between priority 1 and 3 there is little difference. If you are able to make business that has no losses, you might do some profit as well (and reinvest it in your idea again of course).

On Mon, Apr 25, 2016 at 4:55 PM, Luke Kenneth Casson Leighton <lkcl@lkcl.net> wrote:

On Mon, Apr 25, 2016 at 2:52 PM, Hrvoje Lasic <lasich@gmail.com> wrote:
> actually, smart energy kind of have ethical angle but still you are supposed
> to make also profitable business.

my point is: unless you have specifically negotiated with the VCs to
be permitted to go with a non-standard Company Articles of
Incorporation, the priority is, by law, the other way round.

CICs in the UK, and in the USA "Benefit Corporations", have *legally*
within the Articles of Incorporation, the right to prioritise other
matters such as ethical and environmental priorities. actually they
go something like this, in order of LEGALLY-BINDING priority:

PRIORITY 1: do not make a loss
PRIORITY 2: focus on ethical and environmental priorities
PRIORITY 3: make a profit.

as these things directly conflict with "Investor Interests", in the
UK there's actually legal requirements that prevent and prohibit
"Holding Corporations" from owning CICs. however, a CIC "Holding
Company" may own a straight "Corporation" or even a PLC as an asset.

there's quite a lot involved but in essence, CICs and Benefit
Corporations are the right vehicle for eco-conscious business.
standard corporations are basically flat-out lying through their
teeth. when the chips are down, the priority is PROFIT not
ENVIRONMENT or ETHICs.

this is a simple flat-out undeniable fact, one that, sadly, many "eco
incubators" are simply, put, completely ignorant of.

> What Rockstart is good at, it is very
> networked and supportive environment, they have large pool of mentors and
> they really try to help you about making business and implementing lean
> methods in creating business. If you have idea what you would like to find
> out maybe I can try to organize you some meetings around specific ppl.

i think the main question i'd like to establish is whether they
understand the importance of using CICs (or equivalent) for
eco-conscious business. otherwise, being flat-out blunt, they're
basically deceiving absolutely every single company that they've got
an 8% stake in.

l.

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