VSME – Sustainability Reporting for SMEs
The voluntary VSME standard is designed for small and medium-sized enterprises. We demonstrate how it works. It is both pragmatic and cost-effective.
VSME –
A standard for small and medium-sized enterprises (SMEs)
With the introduction of the Omnibus Regulation, the EU Commission aims to simplify sustainability reporting and consolidate various obligations related to the CSRD, the Supply Chain Due Diligence Act, and other sustainability-related regulations.
Under the VSME standard, small- and medium-sized companies can report on a voluntary basis. Although SMEs are exempt from publishing a sustainability report, doing so on a voluntary basis can be useful as this is increasingly being demanded by suppliers, business partners, banks and investors.
The structure of a VSME report
The VSME Standard (Voluntary Sustainability Reporting Standard for non-listed SMEs) has a multi-level structure and covers various ESG topics. A double materiality analysis (DMA) is not mandatory, but recommended.
The VSME combines two modules that build on each other: the Basic Module (B) and the Comprehensive Module (C).
The Basic Module is the entry level and includes minimum information on:
- Environment (GHG emissions, energy consumption and resource consumption)
- Social issues (health and safety, working conditions)
- Ethics (Compliance, etc.)
The Comprehensive Module has been expanded and is aimed at SMEs that wish to publish additional requirements and information. This additional information is often requested by the supply chain, lenders or investors. The module contains detailed disclosures on:
- Climate footprint and climate risks
- Climate strategy with CO2 reduction targets
- Social KPIs
- Human rights topics
The modular approach to bespoke sustainability reporting makes it easier for SMEs to decide which goals they want to achieve and how detailed their reporting should be. The basic module contains 11 items and serves as an introduction. The extended 'Comprehensive Module' contains a further nine items. The VSME is designed to make reporting as efficient and straightforward as possible.
Based on our practical experience and the current requirements for SMEs, we recommend using both modules.
Information on business practices, strategies and models can be provided in the form of a yes/no checklist, which includes a description of each practice, strategy or measure.
Reporting with carbon-connect
- Easy data collection: We will send you a file with the data points needed for the report.
- Structured implementation: Clear step-by-step instructions, easy to follow without training.
- Personal support: We are there for you and accompany you closely on your way to your sustainability report.
- No time to write the report? No problem, we can support you.
The VSME standard provides small and medium-sized enterprises with an effective and practical solution, protecting them from being overwhelmed by inconsistent and excessive sustainability reporting requests from large customers, lenders and investors. Voluntary reporting demonstrates your proactive approach towards sustainability.
