SOX Compliance
Sarbanes-Oxley (SOX) Compliance for Micro Cap and Small Cap Companies
On June 20, 2008, the Securities and Exchange Commission announced that it has approved a one-year extension of the compliance date for smaller public companies to meet the Section 404(b) auditor attestation requirement of the Sarbanes-Oxley Act. With the extension, smaller companies will now be required to provide the attestation reports in their annual reports for fiscal years ending on or after Dec. 15, 2009.
When the U.S. Congress passed the Sarbanes-Oxley (SOX) Act, the intent was to drive improvements in companies' internal controls. The act contains 11 titles, or sections, ranging from additional corporate board responsibilities to criminal penalties. The most contentious aspect of SOX is Section 404, which requires management and the external auditor to report on the adequacy of the company's internal control over financial reporting (ICFR). Section 404 has two provisions: 404(a) requires company management to assess the effectiveness of the company's internal controls over financial reporting, while 404(b) requires an auditor attestation on management's assessment.
Let The WSR Group Help Control Your Cost for Sarbanes-Oxley (SOX) Compliance
This is the most costly aspect of the legislation for companies to implement, as documenting and testing important financial manual and automated controls requires enormous effort. The benefits were seen as greater assurance to shareholders and other stakeholders in published financial reports, while compliance costs were of lesser significance and were dramatically underestimated. However, cost is of tremendous importance to corporate executives. As the outsourced CFO or Controller for numerous publicly traded companies, the WSR Group's principals are well aware of the costs and requirements of SOX compliance. To minimize this burden for smaller public companies we provide as needed support and highly recommend the integration of a software program to significantly automate internal controls.
Sarbanes-Oxley (SOX) Compliance Service
The WSR Group's hands on experience as investment managers, auditors and Chief Financial Officers give them a valuable and unique perspective regarding SOX Compliance. As a result, they have created a platform to maximize efficiency and minimize cost by leveraging their experience, industry relationships and using a robust enterprise software system. Call for a free demonstration and quote.
