Purpose Economy: soulbottles belongs to itself

Here you can find out more about the ownership structure at soulbottles.

Why Purpose Economy?

When soulbottles was founded in 2012, the company's purpose was clear from the start: to reduce plastic consumption through bottled mineral water and provide people with access to clean drinking water. But who actually ensures that soulbottles remains true to this social entrepreneurial approach in the future? What if the company is inherited one day and the new owners place less emphasis on social responsibility due to financial interests? We asked ourselves these questions and sought a way to secure soulbottles' purpose in the long term. In doing so, we came across the Purpose Foundation.

The Purpose Foundation

The Purpose Foundation is an international organization that supports companies in remaining permanently independent and purpose-driven. It not only provides advice but also enables them to legally embed a company's independence and values ​​into its ownership structure. This is ensured by transferring a share of the company to the Purpose Foundation. This gives the foundation the right of veto if the company seeks a decision that undermines the realization of its original corporate purpose. In our case, for example, the Purpose Foundation would intervene if we were to change our social entrepreneurial focus.

Furthermore, the Purpose Foundation also has veto power when it comes to decisions such as the distribution or use of profits. Profits may not be paid out to external shareholders, but must always be reinvested in the company's purpose. This ensures that the company remains true to its original purpose and is not tempted to align its activities with profit maximization for shareholders. This makes the Purpose Economy an important concept on the path to a new way of doing business.

The Responsible Ownership Foundation

In German, purpose-driven companies are also referred to as "Unternehmen in Verantwortungseigentum" (responsible ownership companies). While the Purpose Foundation is an international organization, the Stiftung Verantwortungseigentum (Foundation for Responsible Ownership) was also founded in Germany on November 25, 2019, to strengthen the network of responsible ownership companies. soulbottles is a founding member and has been involved from the very beginning. Together, we are calling for better legal frameworks for the implementation of responsible ownership.

Responsible ownership at soulbottles

soulbottles has been self-owned since June 2018 – but what exactly does that mean? While soulbottles was originally owned by founders Paul and Georg, soulproducts GmbH, the company itself, now belongs to the employees and is neither for sale nor inheritable. Marian (a soulbottles veteran) on the move to becoming a purpose-driven company:

To legally represent stewardship, we founded soulmates GbR. A partnership under civil law that allows us to transfer 0.4% of our company's shares to the Purpose Foundation—so that, as mentioned above, it has the right to exercise its veto power when it comes to our strategic direction. 97.6% of the voting rights are held by soulbottles employees.

Self-determination

Are you wondering what it actually means that the company belongs to us, the employees? This means that control over the company is shared among many people, and we collectively decide where it should go in the future. According to our company statutes, control over strategic decisions lies in the hands of the people who have an employment contract with soulproducts GmbH.

Asset retention in the company

What's important to understand about the concept: For us, profits are not an end in themselves, but a means by which we achieve our corporate purpose. All investment decisions are guided by this corporate purpose and are therefore socially and ecologically oriented. For example, with the soulbottle drinking bottle made of stainless steel, steel light, we have not only invested in the development of a sustainably produced outdoor drinking bottle, but also in improving local working conditions .