Publication Date
8-13-2010
Document Type
Article
Organizational Units
Sturm College of Law
Keywords
Financial systems, Financial meltdown, Corporate form, Models of business, Business models
Abstract
The recent meltdown of the world’s financial systems presents a unique opportunity to examine the very nature of the corporate form and to consider whether other models of business operation are needed. This article explains the idea of “social businesses” – profit-making, but not profit-maximizing entities that operate to further social good instead of exclusively generating returns for their shareholders. The article then explores the current legal regime for both profit and non-profit businesses under United States law, and suggests there is no ideal business structure currently available under which to operate a social business. In light of the increasing recognition that corporations can and should do more than profit-maximize, the article suggests a need for more flexibility to laws governing business entities.
Publication Statement
Copyright held by the authors. User is responsible for all copyright compliance.
Originally published as Celia R. Taylor, Carpe Crisis: Capitalizing on the Breakdown of Capitalism to Consider the Creation of Social Businesses, 54 N.Y.L. Sch. L. Rev. 743 (2009-2010).
Recommended Citation
Celia R. Taylor, Carpe Crisis: Capitalizing on the Breakdown of Capitalism to Consider the Creation of Social Businesses, 54 N.Y.L. Sch. L. Rev. 743 (2009-2010).