At Global CPA, we have extensive experience in providing SOX compliance services for both privately-owned and foreign-owned listed companies in China. The Sarbanes Oxley Act has had a significant impact on the accounting and auditing practices of publicly traded companies in the US, and its provisions have been adopted by many companies around the world.
One of the most critical provisions of the Sarbanes Oxley Act is Section 404, which requires companies to establish and maintain effective internal control over financial reporting. At Global CPA, we assist our clients in meeting these requirements by evaluating their internal control systems and identifying areas for improvement.
Our team of experts is highly trained in establishing and implementing code of conduct, collecting employee acknowledgement, communicating with management and employees, providing internal training on SOX guidelines, and establishing a culture based on honesty and integrity with employees, vendors, customers, creditors, and investors.
We also work closely with our clients to set the tone at the top, establish employee handbooks, maintain established financial controls and systems for internal controls, take remedial action if necessary, and set forth an environment of continued improvement in control.
Our experience in working with audit committees and governance oversight helps us to prepare necessary meetings and minutes, conduct section 16 compliance programs, and review the audit committee's governance. We also help our clients establish delegation and approval matrices, prepare new hire checklists, and employee handbooks.
At the process level, we evaluate the compliance activities, identify significant financial statement accounts, prepare financial statement risk assessments, define significant processes supporting the financial reporting function, and document information flows, policies, and procedures of the significant processes.
Our team also identifies key controls, develops test plans to assess control design effectiveness, identifies control gaps and weaknesses, and assists in the remediation of these gaps and weaknesses. Finally, we report and correspond with external auditors to ensure that our clients' financial statements are accurate and comply with all relevant regulations.
At Global CPA, we understand that effective internal control is essential for preventing and detecting fraud and protecting an organization's resources. Our experience in SOX compliance and internal control helps our clients retain the confidence of investors, manage risk, enhance controls, and achieve their potential goals.