Patagonia founder Yvon Chouinard, who turned his passion for rock climbing into one of the world's most successful sportswear brands, is giving his all to the company to save the planet.
His decision marks a new example in environmental corporate leadership. "At the moment, Toka is our sole shareholder," the company announced. "ALL profits, in perpetuity, will go towards our mission to save our planet."
Chouinard, 83, worked with his wife and two children as well as teams of company lawyers to create a structure that will allow Patagonia to continue operating as a profitable company, with proceeds going to for Environment.
Chouinard's family donated 2% of all shares and all decision-making authority to a trust (large grouping of business interests), which will oversee the company's mission and values. Every year, the money that Patagonia earns after reinvesting in the business will be distributed to the non-profit organization to help with the environmental crisis.
Chouinard and Patagonia have long been leaders in environmental activism and employee benefits. Patagonia was one of the earliest companies to become a b-Corp, a certification that a business is meeting high standards of performance, accountability and transparency, employee benefits, and more. Recently. it changed its mission to state, "We're in business to save our planet."
Patagonia has undertaken a number of environmental initiatives of various natures, including the declaration of the Vjosa River as a National Park.
Experts have said that the Chouinard family is at the top in terms of charity and philanthropy. "This family is all the more extraordinary when you consider that most billionaires give away only a small fraction of their net worth each year," David Callahan, founder of the website Inside Philanthropy, told the New York Times.
