AESIR

The support and growth of SMEs with positive social impacts in societies through automated assessments to help connect them with micro-finance opportunities within the sustainable investment sectors.

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Inspiration

The team was inspired by the state of the ESG industry and the availability of financial resources for SMEs that are otherwise compliant to such standards but have difficulties availing proper resources. From our research, we see that a large fragment of SMEs makeup the green and sustainable section of businesses and are usually at risk of insolvency or bankruptcy due to lack of financial aid.

Keeping such businesses running is interconnected with keeping the associated communities in which such SMEs exist, thriving and less vulnerable to negative impacts. We see this as a means of accomplishing the goals set by the following competition challenges:-

  1. The Adaptation Challenge.
  2. The Capacity Challenge.
  3. The Technology Challenge.

What it does

We've layed out the steps that SMEs would undergo as well as mock ups of the platform for sustainable investors. There are example code pieces which we have built for assessing SME reports using Chatbot based LLM models along with a version of a micro-lending framework through JAVA and react.

Assessments are carried out through a series of data uploads from SMEs which are fed into a LLM model(currently functioning through a Notebook), along with miscellaneous information which is related to the rest of the SMEs. The LLM trains itself on these inputs and uses ESG assessment packages(built under Python) to generate outputs for scores. These scores then get added to a sample report for the company to use and improve upon, in order to gain more attention from investorsi n the community.

One aspect of the code looks into login registration for users and others look into connecting SMEs with the appropriate investors in their community or in other locations. The architecture and setup of the code is ongoing and will require further tests.

How we built it

This has been built using a mix of AWS, Amazon, Python, JAVA and React to have a version of the assessment tool(which uses a combination of Jupter, Python and LLMs). UX and UI are primarily through Figma. The backend code for client and SMEs registrations(ongoing) are being achieved through JAVA and React. From the competitive research, it was clear that few platforms exist for ESG SME investing. And, those that do don’t present information in a clear, understandable, visually-appealing way. I designed wireframes in Figma to get a foundation of what the general design and user flow would look like. Brainstorming on how to set the design of AESIR apart in the marketplace, I knew that I wanted to present information in a clear, user-friendly, easily-consumable way, while also creating a visually appealing, engaging experience. In order to design the onboarding process for SMEs, it became clear that it would be very important to include information up-front on why ESGs are important for businesses of their size, and what AESIR could do to help them. Offering this context provides SME users with an understanding of the problem and potential solution (AESIR), encouraging them to take the next steps, and increasing conversion on the platform. Apart from the usual onboarding requirements, SME users have the opportunity to select ESG categories that their business utilizes. Environmental, Social, and Governance categories are displayed in individual sections in order to avoid confusion. SME users can also add to the list if they employ a system or category that is not listed. Additionally, they can list any relevant achievements or certifications the business has received (such as LEED certification). Finally, in order to provide an informed and thorough analysis, users are prompted to upload any documentation that proves how the business achieves the ESG criteria they previously selected. A confirmation screen ensures the user that AESIR has received their information and documentation. And a final screen clearly explains what the user should expect to happen next, and encourages them to explore the AESIR site. As far as onboarding experiences go, this design provides the user with a potential benefit to completing conversion, as well as an informative, user-friendly, visually appealing experience. An additional objective of the design process was to ideate on the investor dashboard. Since this platform would be for eco-investors to find and invest in ESG SMEs, consideration had to be given to what/how information was going to be displayed. Again, creating an intuitive interface that not only displays all the pertinent information, but is also visually appealing. Users who search for a company will first see how much their current investment is, if any at all. Graphical displays for Environment, Social, and Governance categories provide an easy-to-understand breakdown of the company’s ESG strengths. Various graphics display the ESG trajectory over time so the investor has more context into the long-term ESG standing of the company. Finally, the AESIR-generated ESG score is displayed with the appropriate risk level. Users have access to a link that provides additional information and context on ESG scoring distribution and how the scores are calculated. The investor dashboard presents a visually-appealing interface for the user, while also providing clear, concise information on a company’s ESG standing.

Challenges we ran into

  1. Access to certain types of data.
  2. Typical code debugging issues.
  3. Industry reports access for research.
  4. Code integration and tests.

Accomplishments that we're proud of

  1. A working LLM feature that actually converses with the system and users(still to be integrated with the rest of the components).
  2. Architecture and UX/UI designs which give the platform an edge.
  3. Extensive research accomplished on ESG standards and existing trading platforms.
  4. Initial version of platforming code for users.

What we learned

  1. There exists a huge gap for SMEs to take use of financial aids which is usually caused by a lack of data and measurement methods.
  2. Most green and sustainable SMEs are at risk of closure but can be saved through proper financial aids.
  3. The sustainable investor community is widely spread across individuals who have a variety of personal and social goals in terms of supporting ESG compliant companies.
  4. Measuring social and governance impacts while challenging can still be quantified within a certain boundary of conditions and constraints which need to be adjusted for different groups in different regions.

What's next for AESIR

  1. Possible pilot tests.
  2. More assessments with SMEs to determine more pain points.
  3. Platform improvements.
  4. Potential user flow tests.
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