SOX 404 Compliance

The Sarbanes-Oxley Act of 2002 (SOX) has dramatically altered the regulatory environment for public companies.  SOX Section 404 requires public companies to assess the effectiveness of their internal control over financial reporting annually.  Additionally, for certain public companies meeting the requirements of the Securities and Exchange Commission’s rules, Sox 404 also requires the company’s independent auditor to attest to the effectiveness of the company’s internal control over financial in accordance with standards established by the PCAOB.  While SOX 404 is mandatory for public companies, many large privately-held and nonprofit entities have recognized the importance of the SOX 404 standards and are voluntarily complying with these standards as best practices.

SOX 404 compliance requires substantial time and effort.  Many companies are partnering with accounting firms – with the requisite talent, resources and experience – to help navigate the difficult regulatory environment.  KMJ, with over 30 years of experience servicing SEC registrants and assisting clients with corporate governance matters, is uniquely positioned to provide effective and efficient SOX 404 compliance services to your organization.  At KMJ, we have the necessary industry and SEC reporting knowledge – as well as a structured, comprehensive and tested approach – to provide your organization with the resources you demand.

We tailor our SOX 404 compliance methodology to each client’s unique corporate structure, internal control environment and business objectives.  KMJ can help your organization with a broad range of SOX 404 compliance services.  KMJ has the consulting and assurance knowledge to help you throughout the compliance process, or with a specific phase, functional area or business unit.

We can assist your organization with:

  • Project management;
  • Technical support, including planning, scoping, documentation, evaluation and reporting;
  • Risk assessments;
  • Control environment;
  • Documentation support – narratives, flow charts, etc.;
  • Identifying and evaluating/testing of controls; and
  • Control deficiency evaluation and remediation

We are committed to providing sound advice related to business processes, internal controls and SOX 404 compliance in a timely and responsive manner.

Contact us for additional information.