Over a third of CFOs at privately-held companies believe that both private and public corporates should adhere to the corporate governance standards laid down by the Sarbanes-Oxley Act of July 2002.
The survey, by Robert Half International - the human resource consultant - also reveals that over half of CFOs at private companies think they should be making a structured response to the governance legislation.
A survey carried out in March 2003 confirms this. Almost 60% of non-public company CFOs reported that measures were being taken to review or modify accounting practices, as well as hiring external consultants for auditing work.
"A growing number of private entities are using the Sarbanes-Oxley Act as a model for creating stronger accounting and governance practices," says Paul McDonald, executive director at Robert Half International. "While not all aspects of the legislation apply to every company, the concepts Sarbanes-Oxley addresses promote better financial management for any firm."
The survey polled over 1,300 CFOs at privately held companies.