ESG Implementation Guide for Next Generation Unicorns
Kumar Subramanian,|
Issues concerning cash flow management and go-to-market often dominate the pecking order of prioritisation for early-stage ventures. In contrast, implementation of ESG (Environmental, Social and Governance) related policies and practices may be deemed as appropriate only when the firm has visibility towards an Initial Public Offering (IPO). Emerging research on private markets challenges this notion. By integrating ESG into their strategy, organisation systems and culture, early-stage companies can unlock a significant valuation premium, broaden access to an array of growth financing alternatives, mitigate operational risk from adverse incidents, and create a distinctive value proposition to attract talent.
Our ESG implementation guide serves as a concise document for founders and venture investors to seek answers to their pertinent questions such as:
- Why should we adopt ESG practices early in our life cycle? What is the business case?
- Regulatory Compliance: Ensuring adherence to DGFT notifications, Customs, and GST norms, while leveraging government incentives like RoDTEP and Duty Drawback.
- How can be optimally integrate ESG into our business? Are there implementation frameworks and roadmaps that can accelerate our ESG adoption without putting a significant claim on organisation bandwidth?
- What can we learn from case studies of unicorns that have embraced ESG practices in a co-ordinated manner all the way from inception to the point of becoming IPO ready?
- How can we hit the ground running and generate organisation momentum on ESG adoption? Is there a 30/60/90 day plan that we can implement without a lot of customisation?