Once incorporated and approved, a societal impact company is subject to a public review carried out annually by the Ministry of Labour, Employment and the Social and Solidarity Economy. It is therefore subject to specific obligations in terms of transparency and governance.
A societal impact company is obliged to keep double-entry accounts in accordance with general accounting principles.
The accounting rules for a societal impact company vary according to the rules applicable to the company's legal form.
The annual accounts must give a reliable reflection of the assets, the financial situation and the performance of the societal impact company.
The legal review of the accounts is carried out annually:
- by an internal auditor appointed by the general assembly or
- by an approved statutory auditor appointed by the general assembly.
In addition, every societal impact company shall certify annually that it complies with the legal obligations specific to SISs as applicable:
- by self-assessment if the turnover or net assets are less than EUR 100,000;
- by an internal auditor if the turnover or net assets are between EUR 100,000 and EUR 1 million;
- by an approved statutory auditor if the turnover or net assets exceed EUR 1 million.
o Measuring social impact
A societal impact company is required to measure the social impact of its activity using quantitative or qualitative performance indicators.
Every year these performance indicators should make it possible to assess whether, how and to what extent the company's social purpose is being achieved. All societal impact companies must assess the success of their company or, in other words, their social impact and draw up a non-financial impact report.
o Non-financial impact report
All societal impact companies are required to produce an annual non-financial impact report for the general assembly of their partners or shareholders, detailing the implementation of these performance indicators.
The report should include the following elements:
- Description of the company's activity during the financial year
- Explanation of the performance indicators and any difficulties in implementing them
- Quantified performance indicators for the financial year
- Social impact achieved
- Forecast of performance indicators over several years
N.B.: Annual variations in non financial performance due to the fluctuations in the company's activity or due to unforeseeable events do not result in a ministerial sanction or in the withdrawal of the accreditation.