3 Reasons You Should Get a Head Start on Your ESEF Reporting
Even though ESEF reporting isn’t mandatory until you need to report for financial years starting on or after January 1st 2020, we still advocate for an early adoption. The earlier the better. One of the primary reasons for this, is that it gives you the chance to dry run your chosen ESEF solution, so you are thoroughly prepared.
When it comes to creating your ESEF report, there are three primary reasons you should do a dry run of the conversion, and here we’ll give you a quick overview of those three reasons, so you know what to look out for, when you are dry running your ESEF reporting.
Make Sure the Graphics Match
When you’re converting your annual report into ESEF, you should be able to produce an outcome which is identical to the glossy PDF file you are used to producing. This should be without question. The two files should be identical. This is not part of the ESEF compliance, but your investors, board and chief executives still want a visual representation of the compliant data.
When you do a dry run of your ESEF report, you have time to make sure that the output looks exactly how you want it to look, but the closer you get to your actual deadline, the more likely it is, that your end result won’t be as perfect as it could be.
The Mapping Needs to Be Perfect
This is probably the most important reason to do a dry run. You need to make sure that you are mapping your ESEF file correctly. It can be costly to make a mistake, but if you’ve already done a dry run of the mapping process, you will have plenty of time to make sure the mapping is correct.
You Need to Be Prepared for Last-Minute Changes
If you ask the CFO of a company how their annual reporting went, you will often hear stories of how his team was able to step up to make crucial last-minute changes, that could have made them miss their deadline, had it not been for their hard work and tenacity.
Meeting a deadline will very often come down to a matter of hours if not minutes, and this is probably the main reason why you need to do a dry run of your ESEF reporting. Having gone through the process before, you will be at a great advantage, if you need to speed up the process to meet your deadline.
At ParsePort, part of our implementation process is to map and convert your most recent annual report. We do this for two reasons. The first is to give you an understanding of how we create your ESEF file and how you can operate our portal and the second is that it also serves as a dry run. Should there be any issue what-so-ever, we will know about it long before your deadline, which means, that we are always prepared.