From ITBusinessEdge.com - Posted by Lora Bentley on September 25, 2007 at 3:18 pm
Business Insurance reports that the SEC reiterated its position yesterday regarding Sarbox compliance deadline extensions for smaller companies: There won’t be another one.
Specifically, the SEC’s corporation finance director, John White, said:
I would just urge all of you that are advising small companies that, at least from this building (the SEC), we are not anticipating any extensions … If you want to do this in an efficient and effective way, you should be getting to work on the task that is at hand for the end of the year.
Companies with a market capitalization of less than $75 million must comply with the controversial corporate reform law’s internal controls requirements beginning this year. The agency has already delayed the deadline for internal controls compliance four times, and the story indicates that some SMBs are “still moving slowly” on compliance.
Given the tone of White’s comments, I would guess they’re in for a rude awakening if they don’t get it in gear.
Small companies are supposed to be compliant with the management portion of the act for financial statements filed on or after Dec.15 2007 and compliant with the SEC’s auditor assessments by 2009. Will your company be ready?