Patagonia's Founder Just Gave Away His $3 Billion Company

One percent of all sales is donated to environmental groups. The company's founder, Yvon Chouinard, is going places. He will transfer his company's ownership to a special trust and a non profit organization.

The decision was made to preserve the company's independence and ensure that all of its profits are used to combat climate change and protect undeveloped land around the globe.

The Chouinard family will no longer own the company.

A sense of purpose is important to unleash your company's full potential. Just ask the person you're talking to.

Going Against the Norms

In the business world, Chouinard is a bit of an odd man out. He wrote Let My People Go Surfing: The Education of a Reluctant Businessman in the past.

I've been a businessman for a long time. It's hard for me to say those words when someone admits to being an alcoholic.

He hopes his latest move will inspire other business moguls who are criticized for their lack of action.

A new form of capitalism that doesn't end up with a few rich people and a bunch of poor people will hopefully be influenced by this. The maximum amount of money will be given to people who are saving the planet.

What amount of money is he giving? The Holdfast Collective will use the funds from the 98 percent of Patagonia shares given to it by the Chouinards. They are one of the most generous families around.

Most billionaires give a tiny fraction of their net worth away each year, but this family is a way outlier.

He hopes his last act with Patagonia leaves a lasting legacy of protecting the planet.

I did not want to be a business person. I don't have to be around because the company is going to do the right thing for the next 50 years.

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