ESG reporting guide: A simple step-by-step guide for businesses

In today’s world, sustainability isn’t just a trend, it’s a business essential. Customers, investors, and even future employees want to know that companies are committed to doing good for the planet and society. That’s where ESG reporting comes in.

If you’re a business owner wondering where to start, don’t worry. This ESG reporting guide is designed specifically to make ESG clear and achievable. We’ll break it down simply, so you can get started with confidence.

What is ESG reporting?

ESG stands for Environmental, Social, and Governance. ESG reporting is the process of disclosing your business’s practices, impacts, and goals across these three areas. It covers how your business impacts the environment, manages relationships with employees, customers, suppliers, and the community, and how it is run from an ethical and leadership standpoint.

Businesses are increasingly expected to show their commitment to these areas, not just for regulatory reasons, but because it builds trust and long-term success.

Why ESG matters for businesses

Some people assume ESG is only for big corporations. It’s not. ESG for businesses of all sizes is becoming critical because it helps win more customers, unlock access to funding, attract top talent, and stay ahead of tightening regulations. Building strong ESG foundations now helps future-proof your business against shifting market and regulatory expectations.

A simple step-by-step guide to ESG reporting

Getting started with ESG reporting for businesses is simpler than it sounds.

The first step is understanding your starting point. Conduct a basic audit of your energy and resource usage, supply chain practices, employee policies, and governance structure. Even a rough overview gives you a strong foundation to build from.

Next, identify the ESG topics most relevant to your business. Not every ESG issue will apply. Focus on the areas where you have the biggest impact or where your customers and stakeholders expect action. For example, a café might focus on waste reduction and ethical sourcing, while a tech start-up could prioritise data privacy and employee wellbeing.

Once you’ve identified your focus areas, set clear and measurable goals. Make them specific, achievable, and trackable over time. For instance, you could commit to reducing energy consumption by 15% over 12 months.

Gathering data is the backbone of good ESG reporting. Keep it straightforward by tracking things like your energy bills, recycling rates, diversity statistics, and records of community initiatives. As you build familiarity, your tracking can become more detailed.

When it comes time to create your ESG report, aim for clarity and honesty. Introduce your ESG commitment, outline your focus areas and goals, and present your performance data. If you’re facing challenges, be transparent about them and explain how you plan to improve. Use charts or graphs where possible to make your report easier to digest.

Transparency doesn’t stop at creating the report, you also need to share it publicly. Post your ESG report on your website, include highlights in newsletters, and talk about your initiatives in your marketing materials. This builds trust with customers, investors, and employees.

Finally, ESG is not a one-off task. Make a habit of refreshing your report and reviewing your progress annually. Celebrate your achievements, adjust your goals, and continue evolving.

If you’d like a simple, smart way to track and manage your ESG reporting, eco-shaper offers tools designed to demystify sustainability reporting. You can create meaningful impact without the overwhelm.

Final thoughts

Mastering ESG reporting doesn’t have to be complicated. By following a clear guide to ESG reporting, you set your business up for success, growth, and resilience in a changing world.

Want a simple checklist to kickstart your ESG journey?

Download our free ESG Reporting Starter Guide, packed with easy steps, practical examples, and key templates to get you started with confidence. It’s the perfect lead magnet to help businesses take immediate action and see real results.

If you’re serious about getting started, eco-shaper can help you integrate ESG practices into your everyday operations and build a future-ready business.