What is the Better Business Bureau Or (BBB)?

What is the Better Business Bureau?

The Better Business Bureau (BBB) ​​is a private organization established in 1912 with operations in Canada and the United States. Its goal is to help consumers by publishing reports on corporate reliability, reducing fraudulent business activities, educating companies and businesses on rights and responsibilities, providing information about charities, and resolving disputes.

Since the Better Business Bureau (BBB) is a private organization, it has no supervisory power over the company. Companies must register and pay for membership; however, consumer and charity reports are not limited to member companies. In addition to registration, the company must also agree to resolve disputes in order to maintain or require membership.

DEFINITION “Better Business Bureau – BBB”

The Better Business Bureau (BBB) ​​is a private, non-profit organization. That receives consumer complaints and evaluates business performance. Which is reliability based on a number of criteria.

The Better Business Bureau (BBB) is committed to promoting ethical business practices by ensuring that buyers and sellers can operate under a common understanding of trust. By encouraging best practices from the consumer and business side and by setting appropriate market standards, the BBB provides training materials related to general and specific desirable business practices. Firms that adhere to sanctioned guidelines can achieve BBB approved status.

Better Business Bureau BBB plays a pivotal role

In order to do its best, Better Business Bureau BBB plays a pivotal role. It is an agency that frequently reports consumer complaints. If you are evaluating the most ethical company in its treatment of customers, then one or two unsubstantiated complaints may not be considered sufficient evidence to condemn the company. However, this information may be helpful if a large number of complaints about the company’s business practices are recorded.

For those who wish to make charitable donations, the Better Business Bureau is also very successful. The organization lists charities that tend to spend the most money on charities and have a record of financial responsibility. Choosing a charity from this list may mean that a person has donated his money wisely.

BBB Better Business Bureau providing dispute resolution service

The organization was not very successful in resolving disputes. Unless the company wants to maintain a good reputation in the agency, no company has to submit a dispute resolution plan. Disputes involving improper handling of large sums of money can be better resolved in civil courts. However, when a consumer observes a company engaging in fraudulent advertising activities, the best measure that the consumer may take is to fill out the “Better Business Bureau” report, which only takes a few minutes on the Internet. The agency did report to the Federal Trade Commission in the United States, and the Federal Trade Commission may take action, or at least investigate a large number of reports.

Better Business Bureau has produced a set of videos

Since 1995, the Better Business Bureau has produced a set of videos covering many topics, such as information about car repairs, identity theft, and parenting. These videos are distributing to public libraries, where interested consumers can check out or watch them. This kind of education is invaluable to consumers.

Although not all organizations’ intentions have been realized, organizations are useful resources for businesses and consumers. Local representatives tend to be inclusive. Consultation with an agent can help people provide information when considering establishing a new business or purchasing any unfamiliar products or services.

BREAKING DOWN “Better Business Bureau – BBB”

Consumers can file a business complaint. If they feel, they have not been treated fairly. Historically, the Better Business Bureau BBB has successfully resolved 70% of its complaints. The organization serves to create a more trusting relationship between business and consumers.

Factors Determining BBB Ratings

Although the BBB used only satisfactory or unsatisfactory ratings for a business. It initiated the A + to F rating system in 2009. Some companies for which the Better Business Bureau BBB has insufficient information may receive the designation “NR” or no rating. Among the main factors the Better Business Bureau BBB considers when evaluating a business is the volume of complaints about it.  It responds promptly and appropriately to complaints and how the complaints flow. The BBB is also considering whether the company offers products or services that are deemed legitimate and how long the business has been running. This requires transparency in the disclosure of ownership and location information.

Factors that negatively affect ratings include non-compliance with arbitration awards or intermediary settlements agreed by the BBB. It also lowers ratings for businesses that are not properly licensed or subject to government disciplinary action. Further negative concerns relate to dishonest advertising or misuse of the Better Business Bureau BBB name or logo.

BBB accreditation

A business that has been in business for at least a year can apply for BBB membership. That also known as accreditation. It also has to pay annual fees. Which depending on its size that can range from hundreds to thousands of dollars per year as of 2015. BBB also charges additional fees for membership forms. And allows the BBB logo to used on websites.

Prior to 2010, the Better Business Bureau BBB assigned additional rating points and limited A + rating to paying members. But after receiving widespread criticism of these practices, it lifted those restrictions on its rating criteria.