The UK will host COP26, the 26th UN Climate Change Conference in Glasgow, from October 31st to November 12th 2021.
Heads of state, climate experts, and campaigners will meet to hopefully agree on coordinated action to tackle climate change.
Small businesses can be an influential driver of change for a more sustainable future. They have a significant impact within their local communities, on their supply chain and partner network.
Sustainability in business, however, is not just good for the planet and the people. Sustainable and ethical working practices support the long-term viability of a company and save money in the process.
Five reasons why committing to climate action is good for business
It is increasingly accepted that we can no longer continue without change. In order to limit global warming to 1.5°C and avoid the catastrophic impacts of climate change, it is time to rethink how our businesses operate.
Committing to climate action contributes to a system that benefits climate, nature, and people – and it is good for business.
Here are five reasons why it is good to commit to change:
- Your business gains a competitive advantage
- You manage the business risks associated with climate change
- Improved efficiencies reduce costs
- You will have enhanced access to capital and affordable insurance
- Taking action grows awareness about your business and brand
Introducing the SME Climate Hub
The SME Climate Hub supports SME leaders to future-proof their business. Businesses pledge to halve their greenhouse gas emissions before 2030 and to reach net-zero emissions before 2050. The hub offers valuable resources and tools to help all SMEs take concrete steps towards climate action across multiple pathways.
Taking action on climate change is good for business. Consumers and businesses are increasingly conscious of their choices and prefer to buy and work with brands that share their values.
Conscious businesses will be able to better manage business risk while obtaining a competitive advantage, by staying ahead of the curve in the new net-zero climate economy.
The tools and resources provided support SMEs to:
- measure emissions
- develop a climate strategy
- reduce the emissions of the business and its value chain
- integrate complementary carbon-offset projects
Start by measuring your impact
The first step to improving your businesses impact on the environment is to know your impact and to measure it. Only by figuring out what needs to change, can businesses start to make a change.
We need to understand where our emissions are coming from and how bad they are. We need companies to discover and report on their emissions.
The Emission Possible Guide by the WWF offers a good starting point for businesses interested in measuring their impact.
The emissions directly related to your company include elements like office electricity and heating or employee transport and business travel.
To get an accurate representation of your emissions, we recommend using dedicated reporting tools. You can review this document by the WWF which includes a list of reporting tools for all businesses and individual sectors like the Climate Hero Carbon Calculator, the Farm Carbon Cutting Toolkit for Agriculture and the Creative Green Tools by Julie’s Bicycle for the Creative Industries.
The B Corp Impact Assessment is a comprehensive tool to measure and manage a company’s social and environmental impact. The assessment considers the impact on workers, community, environment, and customers. Businesses interested in putting sustainability at the heart of their mission should aspire to become a B Corp.
Financial sustainability and business strategy
A business cannot positively impact the environment without a financially solid business model and business practices. Financial sustainability and business strategy, therefore, go hand in hand.
The B Corp Impact Assessment, for example, measures business governance and financial best practices to support financial sustainability and promote transparency in financial reporting.
Do you have questions about how to improve your financial reporting?
Do you need help to measure the financial sustainability of your business?
Have a look at our services and feel free to get in touch with us. You can book a consultation at info@acuaccounts.com or call us directly on 0203 907 9027.
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