Better Business Bureau – BBB
Here’s what most Unternehmen owners don’t realize: The Better Business Bureau receives 220 million website visits annually, yet many entrepreneurs still question whether this century-old organization holds any real power in today’s digital marketplace. Whether you’re considering BBB accreditation or simply want to understand what those letter grades actually mean, this guide cuts through the confusion to give you the facts.
You’ll discover the true cost of BBB membership, decode their mysterious rating system, and learn whether that coveted “A+” rating can actually drive customers to your door. Most importantly, we’ll reveal which businesses truly profitieren from BBB accreditation—and which ones should save their money.
What you’ll learn in this guide:
- The real impact of BBB ratings on customer trust and business growth
- Exact accreditation costs and hidden fees for 2025
- Step-by-step process to get (and maintain) BBB accreditation
- Industry-specific analysis of BBB value
- Alternatives that might work better for your business
What is the Better Business Bureau? {#what-is-bbb}
The Better Business Bureau (BBB) is a private nonprofit organization that operates a business directory and rating system, handles consumer complaints, evaluates charities, offers guidance to businesses and consumers, and alerts the public about deceitful and fraudulent advertising and selling practices.
But here’s the crucial detail most people miss: the BBB isn’t a government agency. Founded in 1912, it’s not a governmental agency, but a network of local BBBs based in the United States and Canada, working together through the Council of Better Business Bureau (CBBB).
The BBB’s Four Core Organizations
The Better Business Bureau consists of four organizations: the BBB Institute for Marketplace Trust, the BBB Wise Giving Alliance, BBB National Programs, and the International Association of Better Business Bureaus (IABBB).
Each of these serves a specific purpose:
- BBB Institute for Marketplace Trust: Research and education
- BBB Wise Giving Alliance: Charity evaluation and monitoring
- BBB National Programs: Industry self-regulation programs
- IABBB: Coordination of local BBB offices
How BBB Actually Works
Each bureau is independently run by its own board of directors and CEO. It handles complaints and Unternehmen accreditation within its geographic area and is primarily funded by membership fees paid by businesses seeking accreditation within its jurisdiction.
This funding model is critical to understand—it means the BBB’s primary revenue comes from the businesses it evaluates, not from consumers or government funding.
How BBB Ratings Work (The Complete Breakdown) {#bbb-ratings-system}
BBB ratings are more complex than most people realize. The nonprofit bureau has developed a rating system for businesses based on a scale of A+ to F. But the algorithm behind these ratings involves 13 different factors.
The 13 Rating Factors Explained
The BBB uses a formula to calculate a business’s BBB rating. The algorithm weighs 13 factors to calculate BBB accreditation standards:
- Business complaint history (both resolved and unresolved)
- Type of business (some industries are inherently riskier)
- Time in business (longer track record generally helps)
- Transparent business practices
- Failure to honor mediation/arbitration
- Licensing and government actions
- Advertising issues
- Pattern of complaints
- Complaint response time
- Size of business relative to complaint volume
- Seriousness of complaints
- Government actions against the business
- Whether the business is BBB accredited
What Each Letter Grade Really Means
- A+: Exceptional track record with minimal complaints
- A/A-: Good business practices with few unresolved issues
- B+/B/B-: Generally positive but may have some complaint patterns
- C+/C/C-: Mixed record with concerning complaint trends
- D+/D/D-: Poor business practices with multiple unresolved complaints
- F: Failing grade indicating serious trust issues
BBB assigns ratings from A+ (highest) to F (lowest). In some cases, BBB will not rate the business (indicated by an NR, or “No Rating”) for reasons that include insufficient information about a business or ongoing review/update of the business’s file.
The Rating Algorithm’s Hidden Bias
Here’s something the BBB doesn’t advertise: The organization awards a BBB seal with a blue checkmark to those companies that have an “enhanced credibility” of at least a B rating. However, accredited businesses often receive better ratings than non-accredited ones with similar complaint records.
BBB Accreditation: Process, Costs & Requirements {#accreditation-process}
Real BBB Accreditation Costs for 2025
The BBB doesn’t publish their fee structure publicly, but here’s what businesses actually pay:
In 2025, you can expect the annual membership cost for a business with more than 10 employees to be $965 (or $85.42 a month), according to my research.
The fee structure breaks down roughly like this:
- Micro businesses (1-5 employees): $300-500 annually
- Small businesses (6-25 employees): $500-800 annually
- Medium businesses (26-100 employees): $800-1,500 annually
- Large businesses (100+ employees): $1,500-4,000+ annually
The 8 BBB Standards for Trust
BBB Accreditation Standards are built on the BBB Standards for Trust, eight principles that summarize important elements of creating and maintaining trust in business:
- Build Trust: Establish and maintain positive track record
- Advertise Honestly: Truthful and transparent advertising
- Tell the Truth: Honest representation of products/services
- Be Transparent: Clear disclosure of material facts
- Honor Promises: Fulfill all commitments and contracts
- Be Responsive: Address customer concerns promptly
- Safeguard Privacy: Protect customer information
- Embody Integrity: Maintain high ethical standards
BBB Accreditation Requirements
To qualify for BBB accreditation, businesses must:
Be actively selling products or services for at least six months prior to application or have previously operated a similar business with an eligible business performance track record.
Additional requirements include:
- Proper business licensing in your jurisdiction
- Physical business address (no P.O. boxes)
- Clear contact information and business details
- Agreement to BBB dispute resolution process
- Payment of annual accreditation fees
- Commitment to maintain BBB standards
The Accreditation Process Step-by-Step
- Initial Application: Complete online form with business details
- Documentation Submission: Provide licenses, banking info, complaint records
- BBB Review: 2-4 week evaluation process
- Site Verification: Some businesses receive on-site visits
- Decision: Approval, denial, or request for additional information
- Ongoing Monitoring: Annual reviews and complaint handling
Is BBB Accreditation Worth It? Industry Analysis {#worth-it-analysis}
The value of BBB accreditation varies dramatically by industry and target demographic. Research has shown that 80% of consumers would trust a BBB-accredited business over a non-accredited one with an A+ rating.
Industries Where BBB Accreditation Provides Strong Value
Home Services & Contractors Home Services & Contractors (roofing, HVAC, plumbing, electrical work): Homeowners love checking BBB before hiring someone. For these businesses, BBB accreditation can be a significant competitive advantage.
Auto Repair & Dealerships Auto Repair & Dealerships: Since trust is everything, a BBB seal can make customers feel more comfortable.
Financial & Legal Services Financial & Legal Services: Accountants, tax preparers, and lawyers often benefit from BBB accreditation to build credibility.
Senior Care Services Businesses serving elderly populations find particular value in BBB accreditation, as this demographic frequently checks BBB ratings.
Industries Where BBB May Not Be Worth It
Tech Startups & Software Companies Younger, tech-savvy audiences rarely check BBB ratings before making purchasing decisions.
E-commerce & Online Retail Customers typically rely more on Amazon reviews, Google reviews, and social media feedback.
Creative Services & Agencies Portfolio and client testimonials carry more weight than BBB ratings in creative industries.
The Generational Divide
I believe the only people who still think the BBB means something are the older generation. And business owners seem to pursue BBB accreditation mainly so they can slap a logo seal on their site.
This observation reflects a broader trend: BBB relevance correlates strongly with customer age demographics.
BBB vs Modern Alternatives {#bbb-alternatives}
Google Reviews: The New King of Trust
Today, people seek third-party proof in the form of Google Reviews, Facebook Reviews, and reviews on sites like TripAdvisor, Yelp, AngiesList, etc. Real, honest reviews from other real people. That’s what matters.
Advantages of Google Reviews over BBB:
- Free to use and manage
- Appears in Google search results
- Higher user engagement
- Real customer photos and experiences
- Immediate visibility
Platform-Specific Review Systems
Yelp: Dominant for restaurants and local services Angie’s List (now Angi): Strong in home services TripAdvisor: Tourism and hospitality Trustpilot: E-commerce and online services Facebook Reviews: Broad appeal across demographics
Professional Certifications and Industry Associations
Many industries have more relevant trust indicators:
- Contractors: State licensing boards, manufacturer certifications
- Gesundheitswesen: Professional medical boards, hospital affiliations
- Finanzen: SEC registrations, industry associations
- Technologie: Security certifications, platform partnerships
How to Check BBB Ratings and File Complaints {#check-ratings}
Checking BBB Business Profiles
From the BBB’s home page, you have a few options to find what you’re looking for. You can search for a specific business by name or browse different businesses by category and location.
Step-by-step process:
- Visit BBB.org
- Use search function with business name or browse by category
- Review business profile including rating, complaint history, and accreditation status
- Check complaint patterns and resolution rates
Filing a BBB Complaint
The BBB complaint process is straightforward:
- Gather Documentation: Contracts, receipts, correspondence
- File Online: Complete complaint form at BBB.org
- BBB Forwards: Complaint sent to business within 2 business days
- Business Response: Company has 14 days to respond
- Auflösung: BBB facilitates communication between parties
Important limitation: The BBB is a total worthless scam. They are supposed to be the gold standard for basic consumer protection but they don’t do anything more than make money off of businesses. Some consumers report frustration with the complaint resolution process.
BBB Controversies and Limitations {#controversies}
The Pay-to-Play Criticism
The BBB’s business model creates inherent conflicts of interest. The BBB markets accreditation to consumers as a sign of trust, but in reality, it’s a transactional relationship: Pay the fee → Agree to vague “Standards” → Get the badge and often better ratings
The 2010 ABC 20/20 Investigation
ABC’s 20/20 exposed this in 2010 by getting a fake terrorist group accredited. This investigation revealed significant flaws in the BBB’s vetting process and raised questions about the organization’s credibility.
Google Doesn’t Use BBB Ratings for Rankings
Google’s Danny Sullivan was crystal clear in his response to another X (formerly Twitter) claim that Google uses BBB ratings to determine whether a site should rank. “No, we don’t use BBB ratings as a ranking factor,” he tweeted.
This means BBB accreditation won’t directly help your website rank higher in search results.
Mixed Consumer Reviews
Recently had an issue with being charged for Shudder after cancelling a subscription. After trying customer service and tweeting them about 20 times, I decided why not try Better Business bureau. I actually got all my money back, which I had almost just accepted as lost.
However, other consumers report different experiences: BBB, Another waste of space. Is this the new normal procedure nowadays? Yeah just ignore/do not respond, to everyone’s genuine complaints.
Common BBB Myths Debunked {#myths-debunked}
Myth 1: “BBB is a Government Agency”
Realität: The Better Business Bureau (BBB) is a private organization that provides the public with information on businesses and charities. It has no governmental authority or enforcement power.
Myth 2: “BBB Accreditation Guarantees Quality”
Realität: BBB accreditation does not mean that the business’s products or services have been evaluated or endorsed by BBB, or that BBB has made a determination as to the business’s product quality or competency in performing services.
Myth 3: “BBB Ratings Are Based on Customer Reviews”
Realität: The BBB determines a rating from information it gathers from public data sources as well as the business itself, though it doesn’t take customer reviews into account.
Myth 4: “You Need BBB Accreditation to Get Listed”
Realität: Beyond those accredited companies, 6.2 million businesses have profiles at BBB.org, which receives 220 million website visits annually. Non-accredited businesses still appear in BBB directories.
Myth 5: “BBB Membership Helps SEO Rankings”
Realität: Multiple Google representatives have confirmed that BBB ratings are not a ranking factor in search algorithms.
BBB Success Stories and Failures {#case-studies}
Success Story: Cornerstone Billing Services
The idea that BBB included website hosting and management in the membership was appealing to me. Cornerstone Billing Services has grown quite a bit in four years, and so my time is limited. I appreciate the assistance in keeping the website going and up-to-date.
For this business, BBB accreditation provided valuable additional services beyond just the rating.
Mixed Results: Online Business Perspective
Late last week, I got word from the Better Business Bureau that I am now officially accredited by them. I paid them about $600 and had them go over my business to make sure I’m legitimate. It took a couple of weeks, but it is now done. The question, though, is WHY did I bother?
This business owner’s experience highlights the uncertainty many feel about BBB value in the digital age.
Industry-Specific Value
Through the years, I’ve used BBB’s services, especially when my business was smaller. You can get business cards and all different kinds of marketing materials. I even used their program for invoicing when I first started.
Some businesses find value in BBB’s additional services beyond just the accreditation.
Future of BBB in Digital Age {#future-outlook}
The Trust Signal Evolution
A 2021 study by Baymard Institute reported that “the Better Business Bureau seal ranked closely behind the Norton seal as those that instilled the most confidence in online shoppers.”
Despite criticism, BBB accreditation still carries weight with certain consumer segments.
Adapting to Digital Expectations
The BBB faces significant challenges:
- Competing with real-time review platforms
- Relevance among younger consumers
- Transparency concerns about pay-for-accreditation model
- Need for faster complaint resolution
Potential Future Developments
The BBB may need to evolve by:
- Integrating with modern review platforms
- Improving transparency in their rating algorithms
- Offering more digital-native business tools
- Reducing reliance on membership fees
FAQ: Your Top BBB Questions Answered {#faq-section}
How much does BBB accreditation cost?
In 2025, you can expect the annual membership cost for a business with more than 10 employees to be $965 (or $85.42 a month). Costs vary based on business size, ranging from $300 for micro-businesses to $4,000+ for large enterprises.
Is BBB accreditation worth it for small businesses?
YES, if: Your industry relies heavily on trust (home services, auto, finance, legal, senior care). The BBB badge could help you win more customers. MAYBE NOT, if: Your customers don’t rely on BBB ratings, and you already have strong online reviews elsewhere.
How long does BBB accreditation take?
The typical BBB accreditation process takes 2-4 weeks from application submission to decision, assuming all required documentation is provided promptly.
Can BBB accreditation be revoked?
Yes, BBB can revoke accreditation for non-payment of fees, failure to maintain standards, unresolved complaint patterns, or violation of BBB policies.
Do I need to be BBB accredited to have a BBB rating?
No, the BBB assigns ratings to both accredited and non-accredited businesses based on available information about the company.
How does BBB handle complaints?
BBB forwards complaints to businesses and facilitates communication between parties, but has no enforcement power. The process is mediation-based, not arbitration.
Is BBB membership tax deductible?
Yes, BBB membership fees are generally tax-deductible as a business expense, but consult your accountant for specific tax advice.
What happens if I don’t respond to BBB complaints?
Failure to respond to BBB complaints can negatively impact your BBB rating and may result in loss of accreditation if you’re a member.
Can BBB remove negative reviews?
BBB doesn’t host customer reviews in the traditional sense. They handle complaints through their mediation process, but don’t remove legitimate complaint records.
How often are BBB ratings updated?
BBB ratings are updated continuously as new information becomes available, including complaint filings, resolutions, and other relevant business data.
Bottom Line: Should You Get BBB Accredited?
The answer depends entirely on your business type and customer demographics. Great customer service, a solid reputation, and strong online reviews matter far more than any certification.
Get BBB accredited if:
- You serve older demographics who still check BBB ratings
- You’re in home services, auto repair, or financial services
- Your competitors are accredited and you need to level the playing field
- You can easily afford the annual fees without straining your budget
Skip BBB accreditation if:
- Your customers primarily use Google, Yelp, or industry-specific platforms
- You serve younger, tech-savvy demographics
- You’re a startup with limited marketing budget
- You already have strong online review profiles
The BBB isn’t dead, but it’s no longer the dominant trust signal it once was. Focus first on delivering excellent customer service and building strong online reviews. BBB accreditation can be a nice addition, but it shouldn’t be your primary trust-building strategy in 2025.