While you are busy working on your filings, remember that the Securities and Exchange Commission (SEC) staff provided new guidance on COVID-19-related disclosures for companies like yours to consider.
In June 2020, the staff in the Division of Corporation Finance (Corp Fin) of the SEC released “CF Disclosure Guidance Topic: COVID-19 Disclosure Considerations Regarding Operations, Liquidity and Capital Resources”. The guidance reviews additional disclosure considerations from Corp Fin staff regarding operations, liquidity and capital resources that companies should consider with respect to business and market disruptions related to COVID-19.
Companies should consider providing disclosures that explain how management is analyzing the company’s operations and financial condition due to the current and potential expected impact of COVID-19 to assist investors in their evaluation of the company’s operations and liquidity. Companies should also consider the impact of government assistance and the ability of the company to continue as a going concern in their disclosures. For more details, please visit the guidance here: https://www.sec.gov/corpfin/covid-19-disclosure-considerations.
As always, contact your Friedman advisor if you have questions about the impact of COVID-19 on your financial reporting.