Perspectives

What the VSME Guidelines Are

The VSME guidelines are designed as a voluntary reporting framework tailored to the realities of SMEs. Unlike the Corporate Sustainability Reporting Directive (CSRD), which applies primarily to large companies and listed SMEs, VSME provides a lighter, modular structure for the broader SME universe.

The aim is twofold:

1. Enable SMEs to report ESG data in a manageable, resource-efficient way.
2. Provide investors with consistent, comparable information that can feed into due diligence, risk assessment, and portfolio reporting.

The framework is modular: a “basic module” for small businesses that just need to respond to customer or financier requests, and “extended modules” for more sophisticated SMEs that want to align more closely with CSRD or investor expectations.

Why This Matters for Family Offices

Family offices are uniquely positioned at the intersection of capital and community. They invest in local businesses, often SMEs, while also being answerable to next-generation family members who demand more sustainable practices.

Here’s why the VSME guidelines should be on their radar:

1. Closing the ESG Data Gap

Until now, family offices investing in SMEs often relied on anecdotal evidence, ad-hoc questionnaires, or simplified ESG scorecards. The VSME framework provides a common language for sustainability disclosures, enabling more rigorous assessment of risk and opportunity.

2. Strengthening Direct Investments

For family offices that back SMEs directly, the guidelines offer a structured yet proportionate way to request sustainability data. This reduces friction with portfolio companies and makes conversations about impact less confrontational. Instead of asking SMEs to “reinvent the wheel,” family offices can point to a recognized standard.

3. Enhancing Manager Selection

Even when investing through private equity or credit funds, many family offices are exposed to SMEs indirectly. By referencing VSME, they can press managers to align their ESG due diligence and reporting with a recognized benchmark. This reduces the risk of greenwashing and increases comparability across funds.

4. Future-Proofing Portfolios

While voluntary today, VSME could become a market norm — especially as large companies begin to cascade CSRD-aligned reporting demands down their supply chains. SMEs that adopt VSME early will be better positioned to win contracts, access financing, and remain competitive. For investors, this translates into more resilient, future-proof portfolios.

Scandinavian vs. Spanish Perspectives

Although the underlying opportunity is the same, the regional context differs:

• Scandinavia: Nordic family offices are already leaders in impact investing. The VSME guidelines could be embraced as a tool to scale sustainable practices across portfolios, especially given Nordic allocators’ strong focus on transparency and climate alignment. Expect Nordic family offices to push managers and SMEs toward early adoption.
• Spain: The Spanish market has historically faced more fragmentation in ESG disclosure among SMEs. For Spanish family offices, VSME represents a chance to professionalize reporting, build credibility with international co-investors, and bridge the gap between local business culture and global sustainability standards. Here, VSME could be particularly valuable in improving access to capital for SMEs in sectors like real estate, agriculture, and tourism.

Family offices that act now on VSME will not only future-proof their investments but also set the standard for sustainable finance leadership.