BizPlace Holding launches the ESG Rating service: a new valuation method for startups/SMEs

BizPlace Holding launches the ESG Rating service: a new valuation method for startups/SMEs

Roma, 09/02/22

BizPlace Holding launches the ESG Rating service for the assessment of the environmental, social and governance impact of startups and SMEs.

The acronym ESG in fact refers to three very clear terms, known even outside the world of finance: Environmental, Social and Governance.

From the point of view of a company, these are three essential areas to be able to measure and monitor over time, a commitment to sustainability with the aim of continuous improvement.

When evaluating a company, it is important to have integrated their ESG criteria which can help give a complete view and understanding of the company’s values and assets, and also from the point of view of the sustainability criteria.

It is clear that ESG issues are relevant for an investor as they provide another evaluation tool than solely relying on a company’s financials; to have awareness to monitor the impact at social level of the startup or SME in which you intend to invest; to lower the level of investment risk, as it is less risky to invest in companies with a greater attention to sustainability issues.

This has led BizPlace to develop an internal method for calculating ESG score, based on a qualitative and quantitative assessment of 12 standards determined from the study of the most critical aspects of the startup and SME ecosystem.

The objective of the new service is to certify the social, environmental and governance impact of the companies analyzed through the criteria and parameters that are as objective and unbiased as possible.

The innovative aspect of the ESG Rating system is the possibility for companies and investors to show aspects that are different from those of a traditional financial analysis and more relevant in the perspective of sustainable growth in the long term time frame.

If you need clarification or would like to receive more information, do not hesitate to contact us!

The BizPlace Team

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