Capius assists clients in diagnosing what their future infrastructure needs are and what resources (management focus, time and money) will be required to build that infrastructure. This involves assessing efficiency and scalability of the infrastructure, as well as the consideration of operational and compliance risk in current and future states.
Corporate infrastructure questions Capius can help to answer:
- Does the company have finance, IT, human resources and legal infrastructure that will scale efficiently as the organization grows?
- Will the company be forced to hire more temporary and permanent staff to cover a lack of processes in these areas?
- Does scaling operations increase the risk of mistakes and/or frauds (ie control failures)?
- Will growth cause costs per transaction to rise or fall?
- Does the company have control of the right infrastructure risks as it moves forward ?
- Are there risks that could either stop the company from going public, completing a transaction or end its operations entirely?
- Is the company in compliance with all of the applicable regulations across its infrastructure?
- What areas would an Audit Committee want the company to manage?
- Will the company be able to meet the demands of external audit and, potentially, SEC registration and public ownership?
- What are all the areas that should and should not be included in preparedness for a public offering?
- What will be scrutinized by bankers, lawyers, auditor and the SEC, and at what stage?
- Will the finance, IT and other areas hold up to the levels of scrutiny created by Sarbanes-Oxley and other financial regulations once the company is public?
- Will the costs of becoming compliant with these regulations be greater if the organization waits until the ‘last minute’ to get compliant?
For a pre-public company, advised the CFO on what Finance, IT, Human Resources and Legal infrastructure needed to be built. This included timing and resource planning for a 30 month period to efficiently build the right infrastructure at the right time and assistance in project management to complete the work in the desired timeframe.
For a small public company, advised the CFO and Board on what elements of infrastructure needed to be put in place to support SOX compliance and the other demands of being a public company.
For a medium-sized biotechnology company, ran the SOX compliance program for the company for three years, reporting the company’s Board of Directors.
Once an organization is clear on its strategic path, it must have the infrastructure support that allows it to pursue that strategy. Traditionally, that infrastructure includes finance, IT, human resources and legal.
One specific area of focus is the preparation of organizations for either a public offering or other potential transactions. This includes getting the infrastructure ready for the demands of public ownership, including reporting to the Securities and Exchange Commission (SEC) and the demands of compliance with the Sarbanes-Oxley Act of 2002.