UK SMEs are responsible for around 160 million tonnes of greenhouse gases annually, producing nearly half of all non-domestic emissions, but until now have struggled to account for their environmental and social impact.
That is set to change with the launch of etOso, a technology start-up founded to transform sustainability reporting for SMEs – a previously burdensome, expensive and technically complicated task that was daunting for many smaller businesses.
Jessie Broadway at etOso said: “We make it possible for any company, regardless of size, to play their part in solving the UK’s biggest environmental and social problems. By making sustainability reporting simple and affordable, any SME can take this step. It will add huge value to their business and support the effort against climate change and rising inequalities.”
SMEs are the backbone of the economy and there are more than 5.5 million in the UK. While they are small, their impact is significant and in total account for 44% of the UK’s total non-household emissions.
While most of the world’s largest businesses measure and report on their sustainability performance, most smaller businesses don’t. In fact, according to the Global Reporting Initiative (GRI) only 10-15% of companies using its framework are SMEs.
As a result, most smaller businesses do not understand the related risks and opportunities that may affect their long-term performance – from energy consumption to employee engagement.
Reporting using the etOso platform gives organisations from any industry a holistic overview of their impact, positive and negative. Using frameworks such as GRI, SASB and TCFD and reporting regulations such as SECR, Modern Slavery Act and The Companies Act, they’ll understand the key issues for their business and key metrics to measure and report on.
Sustainability ensures we don’t compromise the needs of future generations for our needs today. It helps us walk the delicate tightrope between economic growth, environmental impact and social well-being.
Sustainability is not just about doing good, it’s also a key driver of value creation. A commitment to sustainability can deliver the following benefits for SMEs:
- Cost savings – doing more with less saves money
- Reduced risk – thinking about the factors that affect business in the long-run helps prepare businesses
- Positive brand association – consumers choose brands with values that align with theirs
- Better access to capital – investors want to invest in businesses that are going to win the future and reward those with a commitment to ESG goals
etOso provides the tools and technology to help those new to reporting take their first step. The platformhelps users produce their first sustainability report. It guides them to think holistically about sustainability in their business – preparing themselves for tomorrow.