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Affiliate Services are provided in the following service-oriented categories:

Transfer Agent Expertise:

In the late 1800's, publicly held corporations performed the majority of transfer agent functions in-house. This trend continued until the 1930's when cost, lack of experienced personnel and new SEC regulations resulted in a complete reorganization. In the 1960's there were thousands of commercial transfer agents servicing public companies and municipalities. The functions of transfer agents and registrars however went unregulated until 1975.

The Securities and Exchange Commission (SEC) noted that the substandard performance of transfer agents was a significant contributing factor to the paperwork crunch from 1967-1970. Congress responded by amending the Securities Exchange Act of 1934 to require the registration of transfer agents and called upon the SEC to adopt rules and regulations "necessary or appropriate in the public interest, for the protection of investors, or otherwise in furtherance of the purposes of the Act". Compliance with this policy requires establishing lines of communication between the issuer and the owner of a security.

In summary these rules:

  • assure that registered transfer agents perform their functions in a prompt and accurate manner
  • provide early warning of inadequate transfer agent performance
  • apply limitations on the expansion of transfer agent activities when transfer agents are unable to meet the performance standards
  • assure prompt and accurate response to inquires concerning the status of items presented for transfer
  • require the maintenance and preservation of records necessary to monitor compliance

In today's regulated industry, there are approximately 320 million shareholders serviced by commercial transfer agents, mutual funds and in-house agents. As a result of the consolidation within the industry that began more than 20 years ago, there are approximately 100 commercial transfer agents in the US, but fewer than 20 transfer agents dominate the business.

We can help you select the right transfer agent.

Sarbanes-Oxley (SOX) Compliance:

The SOX Act of 2002 represents the most sweeping legislation affecting corporate governance, disclosure and financial accounting in over a generation. The specifics include within Sections 302 and 404 that CEO's, CFO's and independent auditors and committees perform the following:

  • Certify the accuracy of financial statements and disclosures
  • Indicate in each periodic report whether or not there were significant changes in internal controls or related factors since their most recent evaluation and disclose all deficiencies in the design or operation of internal controls
  • Provide auditor's attestation to, and report on, management's assessment of the internal controls and procedures for financial reporting
  • Report that controls and procedures for financial reporting and disclosure have been evaluated for effectiveness within the past 90 days

SOX empowers CEO's, CFO's and financial management officers to enforce internal controls by supporting:

  • Project Management
  • Controls Documentation
  • Collaborative Task Management
  • Issues Management
  • Reporting and Monitoring
  • COSO-based Process and Controls Repository
  • Leading Audit Firm Methodology and Best Practices Support

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Key Links for more comprehensive information



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 BASIC BUSINESS SAVVY
   Advanced Financial Topics

 GOING PUBLIC
   Steps in the Process
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   Tools & Templates
   Specialists

 REPORTING & COMPLIANCE
   Staying in SEC Compliance
   New Sarbanes-Oxley Regulations
   Structuring Your Company
   Tools & Templates

 GETTING FUNDING
   Preparing Your Business
   Finding Investors
   Pitching Investors

 FOREIGN COMPANIES
   Taking a Foreign Company Public

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