While SOX primarily targets publicly traded companies, its ramifications can extend to entrepreneurs and startups in several ways:
Investor Confidence: Adherence to SOX can bolster investor confidence in your startup, making it easier to attract venture capital and other forms of funding. Due Diligence: If your startup plans to go public or be acquired by a public company, compliance with SOX can facilitate the due diligence process. Internal Controls: Implementing robust internal controls can help in identifying and mitigating risks early, thus safeguarding your startup from financial malpractices.