Mandated by the European Securities and Markets Authority, ESEF serves as an electronic format for annual reports. All companies with securities in the European Union and the United Kingdom will be required to file in ESEF for annual reports with fiscal years beginning on or after January 1, 2020.
Already, ESEF is impacting everyone from investor relations teams to finance departments to corporate secretaries. Read on to learn more, access actionable resources, and see how Tangelo makes compliance easier than ever.
Of the "7 Things Everyone Needs to Know About ESEF," this one is critical: ESEF is presented in XHTML (i.e. a web page), with inline XBRL tagging of numbers in the primary financial statements.
Tangelo Software offers an end-to-end, same-source solution for the easy production of ESEF-compliant reports. This includes:
[About Tangelo] Tangelo is a trusted platform for creating designed corporate reports in-house, on the cloud, and in record time. Companies around the world have streamlined their report production process with Tangelo—and you can, too.
The ESEF production process can be broken down into two central steps:
Before tagging in ESEF, a Tangelo taxonomy consultant will work with your finance department and accountant/auditor to identify any custom labels or preparer extensions in how you present your financial statements.
Now you know what tags to use...but with other solutions, you’d still need to do the actual tagging itself (sigh). Not with Tangelo.
Thanks to our auto-tagging feature, you only need to provide high-level information rather than tagging individual numbers in exhausting detail. Simply indicate the financial statements in your report, noting reporting periods and units with precision—and our software will do the rest.
Best of all? You’ll only need to complete this process once; when you roll forward a report, Tangelo retains your company’s input to ensure a streamlined production process.
Tangelo also allows you to block tag the notes sections of your report, which is required for fiscal years starting on or after January 1, 2022—so your company can stay ahead with the future of financial reporting.
The next step is generating the XHTML. Tangelo simplifies this process, as well—automatically ensuring your XHTML meets all technical ESEF requirements.
Beyond the financial statements, your ESEF XHTML needs to contain all required-by-law parts of the annual report. In this new landscape, investors will be able to easily access and view annual reports on regulatory websites. Using our software, you can have complete flexibility and control over the XHTML—achieving the best in branded online communication.
Using your company’s input, as well as the configured custom labels and preparer extensions, our XBRL engine adds the correct inline XBRL to the XHTML. It also creates a ZIP file with the instance document and the required XBRL—including taxonomy extensions, generic presentation information, and custom calculations.
Finally, Tangelo allows you to securely view and validate the produced ESEF.
Auto-tagging streamlines production and minimizes internal efforts. As a single-source software solution, Tangelo gives companies complete flexibility and control over the XHTML output—and a fail-safe method of ESEF report creation. (For comparison, converting PDF to HTML fails in 7% to 8% of all cases.) We make ESEF easy, enabling you to:
Ready for the future of financial reporting? Schedule a demo with Tangelo today.
Looking to dig deeper? Check out our role-specific ESEF articles:
Browse these added resources for more information on ESEF and its implications for your company: