How to respond to an SEC comment letter

Description

Abstract: When it comes to anxiety-producing correspondence, a letter from the SEC ranks right up there with one from the IRS. Although legal advisors and auditors should be notified right away, there’s no reason to panic when receiving an SEC letter. In many cases the reviewer is simply seeking an explanation. The company needs to contact the SEC so it understands what it’s looking for. In many cases, the SEC’s concerns can be addressed informally, without the need for an immediate restatement.