Heritage Doll company Essay

I agree with pinnacle to attain full conformity with SOX. As you know about crest is private company and go away be seeking for new external funding to intricacy into a new segment of the printing sector therefore, the new investors are ask for them because they have to access capital market to raise money for the expansion to a lot invest in equipment as well as substract inventory and adding more promotional costs thereof they have to expiry prevalents and this is a time decision for them because it will be forever changes how elevation goes through doing their crease so a Initial Public whirl (IPO) has access to more and deeper of information, sources of capital than a private company thus they needed the 1st thing to align with SOX by going to public. apex need to measure their readiness for stable sustain as a public company by requires all management to be mend to meet shareholder and market expectations and address ongoing compliance and regulatory requirements, operational effectiveness, risk management, periodic reporting and investor relations. The one of preparation if Apex established the necessary financial statement integrity through the carrying into action of effective internal control system to support managements reporting obligations as a public company they needed to accede with the Sarbanes-Oxley Act 2002 (SOX) for successful to going public.Sarbanes-Oxley Act 2002 (SOX)According to PricewaterhouseCoopers mentioned about SOX that it is real regulatory and disclosure issues if company will transform to IPO should estimate the followingInternal Controls Sarbanes-Oxley requires a management representatives are CEO and chief financial officer to provide certain certifications in periodic with the Securities and exchange Commission (SEC) analyseed account committee Sarbanes-Oxley requires public company to have set up audit committee by one of team have to expert in financial skill. carte du jour of Director Require external expert= fellow member from other company. Auditor relationship Require company have to finish up their existing relationship with their outside audit firm. Code of ethics Requires a code of ethics for senior financial officer. Loan to company executives Prohibits public company from maintaining credit in the form of a personal loan. iodin of the advantages when they focus on SOX404 is that it forces company to think pro-actively, identify risks, document an assess existing controls and then design new preventive or spy controls. Moreover, Connor from Corporate Responsibility Magazine mentioned that SOX has benefited their company because of the recently proposed management steerage from the U.S. Securities and Exchange Commission (SEC) and the Public Company Accounting Oversight Boards (PCAOB) to improve efficiency and quality over the long term.Therefore, Apex needed to comply with SOX by going to public aimed to expansion business to other operation and adding more investor. T his benefit for Apex to comply this standards.ReferencesConnors, T. SOX Benefits. Retrieved from http//www.thecro.com/lymph gland/400Medeiros, M. (2013). Preparing for SOX 404(b) and an IPO. Retrieved from http//www.wolfandco.com/solutions/insights/602-preparing_for_sox_404_b_and_an_ipo/viewPricewaterhouseCoopers. Roadmap for an IPO. Retrieved from http//www.pwc.com/us/en/transaction-services/assets/roadmap-for-an-ipo-a-guide-to-going-public.pdf