Choosing The Right Reporting Framework

1. Voluntary reporting

The Omnibus proposal, apart from reducing the scope of mandatory reporting by 80% –i.e. CSRD remaining mandatory only for companies with more than 1.000 employees or revenue of more than 50 mn euros net turnover- it also points to a new simplified path regarding sustainability reporting: the VSME (Voluntary Sustainability Reporting Standard for non–listed SMEs) (www.vsme.gr). The VSME has been introduced by the European Financial Reporting Advisory Group (EFRAG) since December 2024 -offering micro, small and medium-sized businesses a streamlined framework for sustainability reporting. However, its inclusion in the Omnibus package positioned VSME as the proposed alternative for companies no longer under the CSRD. Furthermore, since the VSME and the European Sustainability Reporting Standards (ESRS) are aligned, businesses can start their sustainability journey by the VSME and always step up to the CSRD later, if requirements or stakeholder