Sarbanes-Oxley

We are on hand to help you meet the requirements of the Sarbanes-Oxley Act. In partnership with your organisation, we’ll determine your readiness for a compliance programme, review your areas of compliance and non-compliance, and help you optimise your approach to risk.

The Sarbanes-Oxley Act applies to some UK listed companies that are subsidiaries of companies listed on the US stock exchange. Section 404 is one of the most important parts in terms of compliance. This is where the Act:

  • places a requirement on companies to document a management assessment of their internal controls over financial reporting; and
  • requires a company’s independent auditor to attest to the effectiveness of the company’s internal control over financial reporting in accordance with the standards set out by the Public Company Accounting Oversight Board (PCAOB).

We work closely with UK-based clients alongside our USA colleagues and our technology assurance team to support clients across three core areas. These are Sarbanes-Oxley (SOX) readiness, optimisation, and compliance.

Getting you ready for SOX

The team undertakes readiness assessments of our corporate clients to determine how prepared they are to implement a compliance programme. Our assessments seek to highlight any issues within an organisation that may prevent the establishment of a successful SOX 404 compliance programme. They then recommend specific improvements across SOX’s 11 titles.

Reviewing your SOX compliance

We undertake compliance reviews to determine whether a company is meeting the core requirements of the Sarbanes-Oxley Act. One of the aims is simply to highlight any areas of non-compliance. Another is to assess whether management has an adequate and suitably explained framework for evaluating the effectiveness of the company’s internal controls over financial reporting.

Optimizing SOX

Using a risk-based methodology, we will assess the controls you have in place to mitigate identified risks. This allows us to identify any control weaknesses that management should address. The benefits to clients of enhancing their internal financial control environment can be twofold. Firstly, our recommendations help to boost a company’s effectiveness in terms of compliance, and, secondly, they may also help them to reduce costs.

To discover how our work in these areas could help your organisation achieve compliance and optimise its internal controls, get in touch with Jed Turnbull.


Keep up-to-date with the latest insights and events

Insight4grc 

Are you addressing your organisation's governance, risk and compliance issues?

Find out more