{"id":414,"date":"2024-11-07T11:56:05","date_gmt":"2024-11-07T11:56:05","guid":{"rendered":"http:\/\/bizconsult-bg.com\/?page_id=414"},"modified":"2024-11-07T12:05:31","modified_gmt":"2024-11-07T12:05:31","slug":"non-financial-reporting-esg-regulations","status":"publish","type":"page","link":"http:\/\/bizconsult-bg.com\/?page_id=414","title":{"rendered":"Non-Financial Reporting (ESG Regulations)"},"content":{"rendered":"<p><strong>Non-Financial Reporting (ESG Regulations) \u2013 A Key to Sustainable Development and Responsible Governance<\/strong><\/p>\n<p>In recent years, the world has witnessed a growing interest in sustainable development and responsible governance, leading to the creation of new standards for transparency and accountability in business. At the core of these changes are ESG regulations (Environmental, Social, and Governance standards), which aim to ensure that companies disclose and manage their environmental, social, and governance impacts.<\/p>\n<p>The need for non-financial reporting stems from the increasing expectations of society, investors, and regulators for businesses to openly present their commitments and results regarding sustainable development. The introduction of mandatory ESG standards in the European Union and other parts of the world is designed to improve corporate transparency and accountability while promoting sustainable business practices, which are critically important for the long-term success and resilience of businesses in the modern economy.<\/p>\n<p>Let\u2019s address some important questions on this topic:<\/p>\n<p><strong>What is Non-Financial Reporting?<\/strong><\/p>\n<p>Non-financial reporting, also known as ESG (Environmental, Social, and Governance) reporting, is the process of disclosing information on the environmental, social, and governance aspects of a company&#8217;s activities. This type of reporting aims to provide transparency and measurable indicators of the business&#8217;s impact on sustainable development, including how organizations manage their environmental and social responsibilities and their ethical practices in governance.<\/p>\n<p><strong>Why is Non-Financial Reporting Important?<\/strong><\/p>\n<p>Non-financial reporting is essential for building trust between businesses and their stakeholders \u2013 customers, partners, investors, and regulatory bodies. It contributes to enhancing reputation, increasing competitiveness, and facilitating access to financing. By reporting on their ESG indicators, companies demonstrate their commitment to sustainable development and transparency, which is crucial in today\u2019s economic environment.<\/p>\n<p><strong>Scope of Non-Financial Reporting<\/strong><\/p>\n<p>Non-financial reporting covers three main aspects that shape the ESG concept:<\/p>\n<ul>\n<li><strong>Environmental Issues:<\/strong> Policies and results related to environmental protection, such as reducing carbon emissions, energy efficiency, waste management, and sustainable use of natural resources.<\/li>\n<li><strong>Social Issues:<\/strong> Information on the company\u2019s policies focused on human resource management, employee safety and health, equality and anti-discrimination measures, as well as support for community initiatives and corporate social responsibility programs.<\/li>\n<li><strong>Governance Issues:<\/strong> Includes good governance practices, ethical policies, anti-corruption measures, human rights protection, and responsible corporate governance.<\/li>\n<\/ul>\n<p><strong>Regulatory Framework for Non-Financial Reporting in Bulgaria and the EU<\/strong><\/p>\n<p>The obligation for non-financial reporting is established under EU Directive 2022\/2464, which has been incorporated into Bulgarian legislation through amendments to the Accounting Act. This framework introduces phased requirements for different types of enterprises (by reporting period):<\/p>\n<ul>\n<li><strong>From 2024<\/strong> \u2013 Large public-interest enterprises with over 500 employees are required to prepare and publish non-financial declarations. This category includes public companies, financial institutions, and other socially significant enterprises.<\/li>\n<li><strong>From 2025<\/strong> \u2013 All large enterprises, regardless of the number of employees, as well as parent companies of large groups, will be required to prepare non-financial reports, covering large private enterprises as well.<\/li>\n<li><strong>From 2026<\/strong> \u2013 Small and medium-sized enterprises (SMEs) that are securities issuers (i.e., publicly traded companies) will also be required to prepare non-financial reports. This requirement covers companies that may not be large in operational scale but have significant public impact.<\/li>\n<\/ul>\n<p>This regulatory framework requires companies to submit annual sustainability declarations, including information on the environmental, social, and governance aspects of their activities, with external verification required for public-interest companies.<\/p>\n<p><strong>How Can We Help You?<\/strong><\/p>\n<p><strong>WE OFFER COMPLETE SUPPORT IN SUSTAINABLE BUSINESS DEVELOPMENT AND ESG REGULATIONS (NEW)<\/strong><\/p>\n<p>Bizconsult Advisor provides comprehensive services for compliance with ESG standards, including developing and implementing policies aligned with best international practices, preparing non-financial declarations, and monitoring achieved results. Our team of experts is here to help you adapt to new regulations, enhance the transparency and accountability of your business, and strategically position it before stakeholders.<\/p>\n<p>The Bizconsult Advisor team combines experienced professionals with over 20 years in management consulting and young specialists in finance and information systems, with expertise in environmental protection, corporate governance, social responsibility, and advanced technology. Our consultants support your business in the transition to sustainable development and ESG compliance. Comprising academic experts, industry leaders, and seasoned consultants, the Bizconsult Advisor team will assist you in adapting to new regulations, achieving transparency and trust, and strengthening your market position.<\/p>\n<p><strong>Our Services Include:<\/strong><\/p>\n<ul>\n<li><strong>Consulting on ESG Standards Implementation<\/strong> \u2013 We assist enterprises in developing and auditing systems that align with ESG requirements, fostering sustainability and enhancing reputational positioning among investors and partners.<\/li>\n<li><strong>Preparation of Annual Non-Financial Statements<\/strong> \u2013 In line with the current requirements of the Accounting Act and European directives, non-financial reporting obligations are phased in for different types of enterprises, as above.<\/li>\n<li><strong>Development of Sustainable Management Policies<\/strong> \u2013 We assist in identifying and implementing measures related to environmental preservation, social responsibility, and ethical standards.<\/li>\n<li><strong>Audit and Monitoring of Sustainable Practices<\/strong> \u2013 We ensure your business complies with current standards and laws for non-financial reporting, which is key to transparency and accountability toward society and stakeholders.<\/li>\n<\/ul>\n<p><strong>Our Clients Include:<\/strong><\/p>\n<ul>\n<li>Government Agencies<\/li>\n<li>State-Owned Enterprises<\/li>\n<li>Large Enterprises<\/li>\n<li>Small and Medium Enterprises<\/li>\n<li>Non-Profit Sector<\/li>\n<\/ul>\n<p><strong>Specialized Expertise In:<\/strong><\/p>\n<ul>\n<li>Transport<\/li>\n<li>Environmental Management<\/li>\n<li>Corporate Governance, including ISO management systems<\/li>\n<li>Social Services<\/li>\n<li>Financial and Accounting Services<\/li>\n<li>Project Management<\/li>\n<li>Information Systems Implementation \u2013 Comprehensive project management on behalf of the client, acting as an intermediary between the client and contractor, from project definition and operational execution to result validation.<\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>Non-Financial Reporting (ESG Regulations) \u2013 A Key to Sustainable Development and Responsible Governance In recent years, the world has witnessed a growing interest in sustainable development and responsible governance, leading to the creation of new standards for transparency and accountability in business. At the core of these changes are ESG regulations (Environmental, Social, and Governance [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"parent":45,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"footnotes":""},"class_list":["post-414","page","type-page","status-publish","hentry"],"_links":{"self":[{"href":"http:\/\/bizconsult-bg.com\/index.php?rest_route=\/wp\/v2\/pages\/414","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/bizconsult-bg.com\/index.php?rest_route=\/wp\/v2\/pages"}],"about":[{"href":"http:\/\/bizconsult-bg.com\/index.php?rest_route=\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"http:\/\/bizconsult-bg.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/bizconsult-bg.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=414"}],"version-history":[{"count":2,"href":"http:\/\/bizconsult-bg.com\/index.php?rest_route=\/wp\/v2\/pages\/414\/revisions"}],"predecessor-version":[{"id":423,"href":"http:\/\/bizconsult-bg.com\/index.php?rest_route=\/wp\/v2\/pages\/414\/revisions\/423"}],"up":[{"embeddable":true,"href":"http:\/\/bizconsult-bg.com\/index.php?rest_route=\/wp\/v2\/pages\/45"}],"wp:attachment":[{"href":"http:\/\/bizconsult-bg.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=414"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}