Social • S
100%
Of net annual contract spend
Inclusive Procurement with a Saudi Non-Profit Supplier
Sustainable Procurement, Local Content & Supplier Diversity disclosures in the annual ESG report.
CFO, SUSTAINABILITY & AUDIT COMMITTEE REFERENCE
Accounting Treatment & Ready-to-Disclose ESG Metrics Guide
Athar Sourcing separates standard P&L procurement booking from non-financial sustainability reporting with strict anti-greenwashing precision—delivering verified figures prepared for disclosure in alignment with GRI Standards and GHG Protocol Scope 3.
How Athar Supply Data Maps to Your Annual ESG Report — Exact Shares & Frameworks
Below is the complete schedule of verified metrics delivered quarterly via Form ATH-IMP-12 alongside the corresponding international and Saudi reporting frameworks.
Social & Community • S
100% Inclusive Spend • 9.09% Direct Community Share
Plus 65% of Ring-Fenced Escrow (35% Industrial Jobs & Training + 30% Local Supply Chain & R&D)
Contract spend is prepared for reporting under Inclusive & Local Procurement (GRI 204-1), while the declared +10% cost margin (= 9.09% of net invoice) is documented for GRI 201-1 community investment tables.
Environmental & Scope 3 • E
100% Batch Material Tracking • 35% of Escrow
Calculated metric-ton (tCO2e) avoidance aligned with GHG Protocol Scope 3 (Cat. 1 & 4)
Provides lot-level material weights and recycled-input data aligned with GRI 301, plus upstream carbon avoidance calculations from local idle-capacity manufacturing.
Governance & Assurance • G
100% Open-Book Invoices • 0% Private Dividend
Statutory lock under Articles 185 & 194 (M/132) + Annual SOCPA CPA & ISAE 3000 Assurance
Supports value-chain governance disclosures (GRI 2-6) with line-item cost visibility and a ring-fenced bank escrow audited by a licensed CPA firm.
Social • S
9.09%
Of net invoice (+10% declared margin on cost)
Community Investment Embedded in Operational Supply
Economic Value Generated & Distributed tables without drawing on separate philanthropic grant budgets.
Social • S
35%
Of ring-fenced escrow proceeds
Industrial Employment & Vocational Training Channel
Workforce localization, technical training hours, and supply-chain job creation disclosures.
Social • S
30%
Of ring-fenced escrow proceeds
Local Supply Chain Resilience, Studies & Innovation
Indirect economic impact: SME quality upgrades plus funding Athar Studies and Responsible Innovation pilots.
Environmental • E
100%
Of delivered operational batches
Material Provenance & Scope 3 Carbon Avoidance (tCO2e)
Value-Chain Emissions (Purchased Goods & Transport) and Materials Stewardship tables.
Environmental • E
35%
Of ring-fenced escrow proceeds
Environmental & Circular Transition Channel
Sustainable material substitution, recovery loops, and partner-line decarbonization.
Governance • G
0% / 100%
0% private dividend • 100% Open-Book
Open-Book Cost Transparency, Profit-Lock & Independent Audits
Supply-chain governance, anti-greenwashing controls, and conflict-of-interest disclosures.
Accounting Control • IFRS
100%
Standard OPEX / COGS booking
Financial Non-Duplication Across P&L and ESG Reports
100% of invoice value is recorded on the Income Statement as routine operational procurement (OPEX / COGS)—never double-counted as a separate donation—with cross-referenced ESG notes.
Regulatory Precision Note on GRI & Assurance Frameworks: GRI Standards and Saudi Exchange (Tadawul) ESG Disclosure Guidelines are reporting frameworks rather than certifying bodies. Accordingly, Athar Sourcing provides verified underlying data examined under ISAE 3000 alongside financial statements audited annually by a licensed SOCPA CPA firm, ready for incorporation in accordance with each buyer's reporting policy.
Direct Answers for Procurement, Finance, and Assurance Teams
Articles 185 & 194 (Royal Decree M/132)
Incorporated as a Saudi Private Non-Profit Company under Part Seven of the Companies Law, legally prohibiting private dividend or surplus distribution.
Ring-Fenced Bank Escrow
Strict banking and accounting separation between operational settlements and escrowed impact funds dedicated to the 35% / 35% / 30% channels.
Licensed CPA & ISAE 3000 Review
Escrow accounts undergo annual audit by a licensed SOCPA CPA firm and independent sustainability assurance under ISAE 3000; auditor credentials are shared in our vendor qualification pack.
Executive FAQs — Procurement, Finance & ESG
100% of the invoice is recorded on your Income Statement as standard operational procurement (OPEX / COGS) under IFRS/SOCPA against spec-compliant goods delivered at market parity. It is never double-booked as a separate charity expense, while non-financial metrics are disclosed in your ESG report using Form ATH-IMP-12.
Both percentages describe the exact same riyal amount from two bases: we apply a declared +10% impact margin on verified direct cost (e.g., SAR 100,000 direct cost + SAR 10,000 margin = SAR 110,000 net invoice). SAR 10,000 divided by SAR 110,000 equals 9.09% of the net invoice.
Athar Sourcing holds single-point contractual liability to the buyer. Centralized Athar QA inspects every batch across 6 stages before dispatch and enforces SLAs and CAPA remedies directly.
By eliminating duplicated factory CapEx, multi-tier broker commissions, and commercial marketing overhead—activating underutilized capacity at qualified Saudi plants through predictable batch orders.
Our official Vendor Qualification Documentation Pack—containing founding charter extracts, CPA auditor appointment details, and contract templates—is provided directly to procurement and audit committees upon request via partnerships@atharloop.com.