In the U.S., small and medium-sized businesses (SMBs) choosing to report sustainability information may rely on multiple standards and frameworks to communicate to users, leading to less comparable data and inhibiting report users from discerning how sustainability-related information impacts financial position.

Without a proper process to determine what sustainability-related information is material, entities may improperly disclose, possibly hindering primary users in understanding how sustainability-related issues impact financial performance.

 In recent years, I’ve grown increasingly aware of a critical gap: the intersection between sustainability-related risks and opportunities and economic performance…To bridge this gap, I pursued the Fundamentals of Sustainability Accounting (FSA) Credential offered by the IFRS Foundation—a globally recognized designation for professionals integrating sustainability and financial performance.

For entities conducting business in California that generate $500 million or more in annual revenue, they will be required to disclose their climate-related financial risks and mitigation strategies by January 1, 2026, on both their website and on a public docket as published by the California Air Resources Board (CARB).

I’ll walk you through what the FSA Credential Level I Exam covers, how I prepared (with limited prior experience in sustainability), and what I believe makes this credential valuable for any accountant or finance professional looking to future-proof their career in sustainability.