Better Business Bureau

Better Business Bureau

Founded	1912
Focus	Consumer Protection
Area served	United States, Canada
Website	www.bbb.org

The Better Business Bureau (BBB), founded in 1912, is a network of local BBB organizations based in the United States and Canada, which work together through the Council of Better Business Bureaus (CBBB). The BBB goal is to foster a fair and effective marketplace, so that buyers and sellers can trust each other ("Start With Trust"). Many BBB services can be accessed online, at any time, through the principal BBB website at www.bbb.org.

BBBs gather and report information on business reliability, alert the public to frauds against consumers and businesses, provide information on ethical business practices, and act as mutually trusted intermediaries between consumers and businesses to resolve disputes. News media frequently turn to the CBBB and local BBBs as expert sources of news about scams and consumer issues.

BBB core services include:

• Business Reliability Reports
• Fraud Prevention
• Complaints and Dispute Resolution
• Truth-in-Advertising
• Consumer and Business Education
• Wise Giving Charity Reports
• Charity Accountability and Effectiveness Education

BBB Accredited Businesses make a commitment to conduct their business affairs with reliability and integrity, in accordance with BBB Standards and guidelines.

BBB History

"Medical quackery and the promotions of nostrums and worthless drugs were among the most prominent abuses which led to the establishment of formal self-regulation in business and, in turn, to the creation of the NBBB."

BBB's inception has been credited to the court case initiated by the government against a number of firms, including the Coca-Cola Company, in 1906, after the Pure Food and Drug Act had been become law. The trial found the legal charges to be unfounded, and as a result Samuel Candler Dobbs, sales manager of Coca-Cola and later its president, took up the cause of truth in advertising.

In 1909, Dobbs became president of the Associated Advertising Clubs of America, now the American Advertising Federation (AAF), and began to make speeches on the subject. In 1911, he was involved in the adoption of the “Ten Commandments of Advertising", one of the first codes of advertising developed by groups of advertising firms and individual businesses. Similar organizations in succeeding decades, such as the National Better Business Commission, Inc. of the Associated Advertising Clubs of the World (1921), and the National Association of Better Business Bureaus, Inc. (1933) merged to become the Association of Better Business Bureaus, Inc in 1946. In 1970, the Council of Better Business Bureaus (CBBB) was established.

The Better Business Bureau name and torch logo are federally registered trademarks. Only BBB Accredited Businesses that have met the BBB's Standards for Trust and that have also agreed to participate in a BBB-approved dispute resolution program - along with official BBB entities - are allowed to display the BBB logo in any way. BBB logo use by BBB Accredited Businesses is restricted to certain purposes, such as printed materials for local use. BBB Accredited Businesses must undergo a website review and join the BBBOnline Accredited Business Sealprogram in order to display the BBBOnLine seal in a website.

BBB Structure

Companies that are invited to join the BBB as Accredited Businesses must meet the BBB Standards for Trust and maintain all requirements of BBB Accreditation, including payment of annual dues. Businesses that agree to the BBB dispute resolution procedures may identify themselves as Accredited. If Accredited Businesses fail to meet the BBB's Standards, their accreditation will be revoked.

Local BBBs are independently governed by their own boards of directors, but must meet international BBB requirements, which are monitored and enforced by the CBBB on a continuous basis. The CBBB is governed by leaders of local BBBs, as well as by senior executives from major American corporatons, and community leaders such as academics and legal experts.

Each BBB entity is run separately. Businesses that move from one BBB jurisdiction to another will need to re-apply for BBB Accreditation in the new BBB location.

Dispute Resolution Procedures: BBB dispute resolution procedures are established by the Council of the Better Business Bureaus, and implemented by local BBBs. Usually, disputes can be resolved through mediation; when appropriate, low or no-cost arbitration may also be offered and provided through the BBB. The BBB acts as a neutral party when providing dispute resolution services.

Complaints about the practice of professions like medicine, law and accounting are usually not handled by the BBB and are referred to associations regulating those professions.

National Advertising Division of the CBBB (NAD): The NAD reviews national advertising for truthfulness and accuracy, and fosters public confidence in advertising accuracy. Its policies and procedures are established by the National Advertising Review Council (NARC). The Children's Advertising Review Unit (CARU) of this BBB entity reviews advertising directed to children. Its activities include the Children's Food and Beverage Advertising Initiative, a voluntary self-regulation program undertaken in cooperation with major corporations. The Initiative is designed to shift the mix of advertising messaging to children to encourage healthier dietary choices and healthy lifestyles.

Wise Giving Alliance: The BBB's Wise Giving Alliance reviews and reports on national charities, using the 20 BBB Wise Giving Alliance Standards for Charity Accountability. Detailed national charity reports may be found on the BBB website at www.bbb.org/charity. Many local BBBs also review charities in their regions and publish detailed charity reports on their local websites.

Consumer and business education

BBB Website Resources

BBB websites offer video content, online resources, and educational tools for consumers. Each local BBB offers a unique assortment of educational resources, tailored to meet the needs of its community. Local BBB websites can easily be found through the national splash page, located at www.bbb.org.

BBB public education resources include the financial literacy website, www.bbbmoneynow.org, a BBB channel on YouTube, news alerts featured on individual BBB websites, and BBB videos. Many BBB videos in the "BBB Video Series" are produced on its behalf by Platypus Productions, Inc., based on the list of inquiries and complaints compiled by the BBB each year.

The BBB works closely with regulatory branches of government, law enforcement agencies, and journalists at both the national and the local level, to promote consumer protection and to encourage public recognition of best practices in business and charity operations.

Charity review

The BBB reviews local and national charities, through local BBBs and the BBB Wise Giving Alliance. Their goal is to help donors make good decisions about charitable giving and to foster the public's trust in philanthropy. The BBB Wise Giving Alliance (WGA) is a nonprofit charity accountability organization which formed in 2001 through the merging of the National Charities Information Bureau and the Council of Better Business Bureaus Foundation. The WGA released updated BBB Wise Giving Standards for Charity Accountability in 2003, and currently publishes reports on well over 1,000 national U.S. charities. The Metro New York BBB has a listing of over 830 local New York charities that can be accessed through its website at www.newyork.bbb.org, as well as a charity effectiveness website resouce located at www.newyork.bbb.org/charityeffectiveness. Many other local BBBs also review charities and publish reports on them, which can be viewed through the charity search utility at www.bbb.org.

Criticisms

The Better Business Bureau has its critics - which may be natural, since it is an organization that promotes transparency in business practices. Because BBBs are primarily supported by dues from BBB Accredited Businesses, some have questioned BBB impartiality when handling disputes and complaints against businesses. On occasion, BBBs have been accused of unduly protecting their Accredited Businesses.

Even so, BBBs are required to maintain neutrality and impartiality in their operations, and local BBBs are monitored for compliance by other BBBs and by the CBBB. BBBs routinely reject applications for Accreditation and revoke BBB privileges when businesses violate the BBB Standards for Trust. Local BBBs gather information about business reliability and report complaints that fall within the BBB's purview in the "Reliability Report" section of its website, which can be located through the national splash page at www.bbb.org. This is supposed to be done in a fair and even-handed manner.

Like all nonprofits, the BBB falls within the power of the government agencies that regulate such organizations. Any consumer may express an opinion about the BBB to enforcement authorities. However, if a consumer or business has fairness concerns about a local BBB, it is usually quicker and more effective to direct a complaint to the Council of Better Business Bureaaus. The CBBB will then investigate promptly and determine what actions need to be taken to resolve the problem.

Former Logos

• Former BBB logo
  Former BBB logo

External links

• Better Business Bureau official website
• BBBOnLine official website
• BBB Wise Giving Alliance
• National Advertising Division
• [1] Better Business Bureau of Greater MD
• Metro NY BBB charity effectiveness resource
• BBB Video Series
• [2] "The Bad Business Bureau" is a web page criticizing the BBB, maintained by www.ripoffreport.com, an entity not affiliated with the BBB.