In May, the SEC proposed two of the most significant changes to public company reporting in decades: a full restructuring of the filer status framework and an optional off-ramp from quarterly reporting. Adam Olsen and Nicole Harger break down what's actually in both proposals and what finance leaders should be doing while the comment window is still open.
In this episode:
- How the filer status framework drifted over 20 years, and why the SEC is collapsing five categories down to two: large accelerated filer and non-accelerated filer
- The new $2 billion threshold (up from $700 million) and the two-year measurement lock that gives companies near the line real visibility before a status change hits
- What non-accelerated filer status actually means: the 404(b) audit attestation exemption, scaled-back executive compensation disclosure, and the new opt-up flexibility to voluntarily keep stricter requirements
- The five-year mandatory on-ramp for newly public companies, and how it changes IPO readiness planning and S-1 financial statement requirements
- The companion semi-annual reporting proposal: the new Form 10-S, what stays the same (8-Ks, earnings releases), and why market practice may not shift even if the rule does
- Practical complications to watch: credit agreement covenants, underwriter comfort with older financials, exchange listing requirements, and the audit committee conversation around what fills the gap if 404(b) goes away
What is Accounting Matters?
Accounting Matters lives up to its title, covering vital accounting topics that actually matter to professionals in the accounting trenches. We start with a new topic and definition every episode, then highlight and discuss the key areas, from evaluation to reporting. Accounting Matters is hosted by public accounting veterans Adam Olsen & Nicole Harger from advisory firm Embark.
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