This is an article that addresses the affects of the Sarbanes-Oxley act on American Businesses and whether the act has done justice or caused harm to business owners. It addresses changes that businesses have made, what kind of company costs have been implied due to the act, how investors have dealt with businesses since the passing of the act, and how it has affected the financial market. The article discusses how there is now an increased expense to companies to pay for advanced annual audits, which in turn raises the prices to each client, and how this may seem quite unfair to the consumer or client. The article also provided proof that the act was meant to encourage investors to invest in what was a previously broken market out there. The Sarbanes-Oxley act as a whole was put into affect mainly to discourage company fraudulent acts that may have been more easily attainable without the strict auditing that now takes place under the new act.
Legal business issues raised were pertaining to how businesses are choosing to find ways of being technically considered private companies instead of public companies when in actuality, they are truly a public entity as a business. It addresses the fact that these businesses do this in order to avoid the stricter auditing rules and that this usually means the company has something to hide, but being that they are operating under a private name, unfortunately, it is easier to avoid certain audit rules.
MANAGERIAL PERSPECTIVE
Discuss how the legal issues affect business. For example, could the problems have been avoided? Explain. Discuss realistic solutions supported by sound legal and business principles.
The Business plan on Swot Analysis Business One Company
SWOT Analysis This type of analysis is designed to help identify several areas of a business that may need improvement and other areas where the company may be able to improve upon. SWOT is an acronym for; Strength, Weakness, Opportunities and Threats. A company should consider this analysis to be one of the most important steps to becoming one of the leading stores and schools of this nature in ...
As a manager perspective,to operate a business legally one needs to meet all the laws for operating a business in your country and local community. In the United States that means the laws of the federal government, state governments of every state in which you do business, and in many locales, even city and/or county laws governing business operation. While this may sound intimidating, there are multiple sources of helpful information. All of the U.S. states have business resource offices that provide information on the legal requirements for operating a business in that state. You need to meet the legal requirements for every state in which you will be conducting business. This applies to internet transactions if you are going to be mailing a product into a particular state. Most states consider that a form of doing business in their states.
