ESRS Standard
ESRS Standard
17. The objective of this DR is to enable an understanding of standard payment terms and of the undertaking's performance with regard to payment, especially late payment to SMEs.
18. The undertaking shall disclose:
(a) a description of the undertaking's standard payment terms in number of days by main category of suppliers, specifying those that apply to SMEs if they are different from those applied to other suppliers;
(b) the percentage of its payments aligned with these standard terms; and
(c) the number of legal proceedings currently outstanding for late payments.
Application Requirements (AR)
Application Requirements (AR)
AR 10 for para. 18(b) (payment practices)
If late payment to SMEs is a material topic for the undertaking, paragraph 11 of ESRS 1 General Requirements applies, so the undertaking shall provide an entity-specific metric if it is material.
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