Sustainability reporting is becoming increasingly important, and not just for large companies. SMEs are increasingly expected to show how sustainable their business is. Even if your company isn’t covered by the EU’s Corporate Sustainability Reporting Directive (CSRD), the pressure from customers, investors, and supply chain partners is growing. Under the latest Omnibus proposals, thousands of medium-sized businesses (250–1,000 employees) may be excluded from CSRD requirements. But that doesn’t stop stakeholders from demanding precise sustainability data. The solution? VSME: the Voluntary Sustainability Reporting Standard for SMEs.
In this blog, you’ll discover 7 practical benefits of VSME reporting. Learn how to use sustainability to work more efficiently, save costs, and make your business more attractive to customers and investors.
VSME is a voluntary ESG reporting standard providing a low-barrier CSRD alternative. It’s designed for companies that aren’t covered by the CSRD but want to be transparent about their sustainability efforts. EFRAG has developed the standard on behalf of the European Commission and is fully aligned with the EU framework. It gives you an easy way to understand and communicate your sustainability performance without complex processes.
Banks, investors, and supply chain partners increasingly ask for ESG information. Even if it’s not a legal requirement (yet). Many companies already noticed this, and demand is only expected to grow. Reporting in line with the VSME standard gives you a strategic advantage.
VSME reporting isn’t just about producing a report. It’s an opportunity to make your business stronger, more sustainable, and more attractive. Companies are increasingly discovering that sustainability reporting can provide valuable insight and strategic advantage.
Whether your goal is to better meet customer expectations, strengthen your competitive position, or run your business smarter and more efficiently, VSME can help. These benefits show why it pays off to start with VSME now.
1. Be prepared to answer ESG questions from your customers
With a VSME report, you can instantly respond to common ESG questions from customers, partners, and supply chain stakeholders. It shows transparency and saves you from manually providing data each time.
2. More opportunities with tenders and investors
Governments and large companies are increasingly demanding sustainability information. A VSME report shows that your company takes sustainability seriously. This increases your chances of winning new contracts and attracting investment.
3. An EU-recognised standard for sustainability reporting
By collecting and reporting ESG data in a structured way now, you’re preparing for possible future regulations and complying with the latest EU guidelines.
VSME is the first officially recognised European sustainability reporting standard that can be used across the EU. This makes it strong, relevant, and future-proof, especially for companies with international operations.
4. Simplify supply chain reporting
For suppliers, VSME is often sufficient to meet the ESG requests from partners in the chain. If you're a non-material supplier and receive a reporting request from a customer, the VSME standard allows you to respond quickly. You can do this without needing complex reports or additional costs. It makes the process more efficient and less time-consuming, saving your company time and money.
5. Save costs through insight and simple reporting
By mapping your sustainability performance, you’ll discover where you can reduce costs, for example, in energy, materials, or logistics. A strong report provides valuable insights that help you operate more efficiently and reduce costs. And because VSME is a voluntary standard, there’s no need for costly external audits. It’s an affordable and accessible way to start with sustainability reporting.
6. Stay ahead of the competition
With VSME, you show that you take sustainability seriously and use it strategically. It positions your business as forward-thinking and purpose-driven. This attracts customers, partners, and talented employees who want to work with businesses with a clear mission. It gives you a head start, especially when many other SMEs haven’t started yet.
7. Build a trustworthy image
Transparency builds trust. By clearly communicating your sustainability efforts through a VSME report, you strengthen your credibility and demonstrate that your business is ready for the future. Customers and stakeholders increasingly value this clarity.
These benefits show that VSME is more than just a sustainability report. It helps SMEs stand out, work smarter with sustainability, and strengthen their social impact. In doing so, you improve your sustainability performance and position your business as future-ready.
Our VSME Reporting Tool is specifically designed to make sustainability reporting simple, practical, and efficient for SMEs. No complex templates or endless questionnaires, just a clear structure and smart features that make the process quick and easy. With just a few clicks, you can create a VSME report that fits your company’s size and sector. Fully compliant with official EU guidelines.
What makes the tool unique?
Whether you need a basic report for supply chain transparency or a detailed report for banks and investors, the tool adapts to your business needs.
Want to see how VSME can benefit your business? Book a demo or explore how our VSME Reporting Tool can help you report quickly and easily, fully compliant with official EU guidelines. Stay transparent, stand out, and build a future-proof business.