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Sarbanes-Oxley: 10 Challenges

By Dick Weisinger

Small public companies can be challenged with coming to terms with the requirements of Sarbanes Oxley.
Timer is running out this year as 10-K filings are due to the SEC on March 30th.
Lord & Benoit came up with the top 10 risks to small public companies should be looking out for in trying to achieve compliance:

  1. Accounting and disclosure controls
  2. Treasury
  3. Competency and training of accounting personnel
  4. Control environment
  5. Design of controls or lack of effective compensating controls
  6. Revenue recognition
  7. Financial closing process
  8. Inadequate account reconciliations
  9. Information technology
  10. Consolidations, mergers, and intercompany accounts.

The study is a result of their survey of 148 public companies with revenues of $100 million and under.

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