06.21.08
Given More Time
On Friday, it was announced that the SEC has agreed to give small businesses a one year extension in order to company with the Sarbanes-Oxley Section 404(b) auditor attestation requirements. The extension will hopefully allow more time for businesses to find ways to deal with the higher costs of complying with the law’s requirements.
Section 404 of the law requires companies — even those with market capitalization below $75 million – to comply with auditing their financial controls over financial reporting. Furthermore, it mandates that a business hire external auditors to assess the management and its abilities to implement those financial controls.
