SEC Provides Guidance For Disclosure Under New Small Entity Thresholds

The SEC provided a compliance guide relating to final rules that expand the number of smaller companies eligible to comply with the scaled disclosure requirements under Regulation S-K and Regulation S-X. The amendments to the smaller reporting company definition ("SRC") and others will be ffective on September 10, 2018.

As previously covered, the SRC threshold will be raised to include (i) companies with less than $250 million (previously $75 million) of public float and (ii) companies with less than $100 million (previously $50 million) in annual revenue, if they do not have public float or if the public float is less than $700 million. The amendments will not alter the "accelerated filer" or "large accelerated filer" threshold, which exempt certain smaller companies from auditor attestation requirements.