Most organizations contemplating an IPO or incurring public debt are troubled with the perceptions of achieving Sarbanes-Oxley Section 404 (SOX 404) compliance, particularly during the initial year of compliance. Even large privately held companies and public sector entities recognize the virtues of “SOX-like” compliance programs, but are concerned with the cost vs. perceived benefits associated with such an endeavor. While the cost associated with SOX compliance continues to be a burden for large and smaller organizations, few companies have been able to realize a true return on their SOX 404 investment of time, energy, and cost. These few companies have not only instituted internal controls over financial reporting, but have also optimized their wider business processes to reduce inefficiency and enhance performance. We assist management and the Audit Committees of middle-market and smaller public companies in complying with SOX 404 in a practical, cost effective, yet comprehensive manner.
Sarbanes-Oxley Compliance
Making the Transition to COSO’s Updated Integrated Framework
Prior to founding The Audit Exchange, John McLaughlin served as a frequent contributor to The Financial Management Network while leading the Risk Advisory practice of BDO. In this segment, John discusses the updated 2013 COSO Internal Control Framework and its application to Sarbanes-Oxley compliance including internal controls over financial reporting, as well as the effective use of internal controls over operations and regulatory compliance.