Environmental and Social Due Diligence (ESDD) is a management tool used to identify the social and environmental aspects of any business that plays an important role in the decision-making process before making a new investment, as well as in long-term business success. Now, environmental and social compliance became an important part of any business. If not managed properly, they can influence the brand reputation, financials and value of an enterprise.
ESDD identifies the hidden environmental and social risks associated with the business sufficiently and communicates risks or liabilities that are material to the buyer or investor. Also, ESDD helps the business in mitigating risks and identifying opportunities. Mainly, risks can be of the following types:
- Credit Risk: A company is unable to repay a loan on account of social and environmental issues
- Liabilities risk: Legal complications, fees, and/or fines for rectifying social and environmental damage
- Reputational risk: Negative aspects of a project may harm a financial intermediary’s reputation
Corpseed is proving the services on ESDD to help the business in identifying the potential & existing E&S-related risks or hazards associated with your business. We identify and prioritize the risk linked with your business and provide the management/mitigation measures to resolve the risks. Not only does this Corpseed assist you to be compliant with its other services, and assists you in your journey towards sustainability.