A more thorough explanation:

A public benefit corporation is a type of corporation that is created to generate social and public good while operating in a responsible and sustainable manner. There are two types of public benefit corporations: governmental and private.

Governmental public benefit corporations are created by the government and provide free or subsidized services or benefits for the public. Examples of these corporations include transit systems, public libraries, and hospitals. These corporations are created to benefit the public and provide services that are necessary for the community.

Private public benefit corporations are created by private, for-profit entities and corporations. These corporations balance stakeholders’ pecuniary interests, the interests of those who are involved and affected by the corporation (such as employees and customers), as well as the advancement of their intended public benefit goal. The purpose of the corporation and the public benefit(s) intended must usually be stated in the company’s formation documents. Furthermore, public benefit corporations are required to undergo auditing and assessments, and report their progress on delivering their public benefit purpose. Some well-known examples of privately-held PBCs include clothing brand Patagonia, ice cream manufacturer Ben & Jerry’s, and crowd-funding website Kickstarter.

These corporations are created to benefit society and the environment while still making a profit. They are held accountable for their actions and must report on their progress towards their public benefit goals. These corporations are becoming more popular as consumers are becoming more aware of the impact that corporations have on society and the environment.