Direct Message from CEO Regarding Current PCAOB Audit Purpose & Status – 01/24
“The PCAOB Audit is what’s required in order to file a financial statement in an SEC registration or SEC format so that we can become a reporting company and upgrade to uplist to the NASDAQ. We have been approached by NASDAQ in the past to consider listing on NASDAQ because of when we had a liquidity event last year. So yes, it’s important but it’s also incredibly time-consuming and difficult because you have essentially a village-run enterprise which we are working with and they’re accounting systems are not the same as most orders they are used to so that takes some time. However, the advantages of this particular asset is that the audit has been ordered before so there’s no doubt as to whether it can be done or not. The issue is the timing because we wanted to include 2023 annual financials as well to get it all done at once. This has pushed the completion date a little bit further but it is what it is. This is an important part of our ongoing BMXI size strategy to uplist. It’s been delayed, but it will get done!“
– Nils Ollquist, CEO
What is a PCAOB AUDIT and its objective?
The Public Company Accounting Oversight Board (PCAOB) serves as a regulatory authority overseeing the auditing practices of public companies, aiming to safeguard the interests of investors and uphold the broader public interest by facilitating the creation of informative, precise, and impartial audit reports. An audit conducted in accordance with the standards established by the PCAOB is commonly referred to as a PCAOB audit and is performed by a registered public accounting firm.
The primary objective of PCAOB audits is to verify that financial statements are presented transparently and align with Generally Accepted Accounting Principles (GAAP). These audits encompass a thorough examination of a company’s financial statements, internal controls, and the overall audit procedure.
Why is the PCAOB Audit Brookmount Gold Corp?
Public Company Accounting Oversight Board (PCAOB) audits are instrumental for junior gold mining companies like Brookmount Gold Corp. aiming to ascend to more prominent stock exchanges. The uplisting journey entails progressing from smaller exchanges, such as the OTC Markets, to esteemed platforms like the Nasdaq. Here’s why PCAOB audits are pivotal for Brookmount Gold Corp. in this context:
Regulatory Compliance:
Major stock exchanges, including the Nasdaq, impose stringent listing requirements. PCAOB compliance is often a prerequisite, necessitating audits by registered public accounting firms following PCAOB standards.
Investor Confidence:
Uplisting to a significant exchange attracts a broader investor base, with institutional investors favoring companies adhering to higher regulatory standards. PCAOB audits bolster the credibility of Brookmount Gold Corp.’s financial reporting, fostering confidence among investors.
Market Reputation:
A listing on a reputable exchange like the Nasdaq elevates Brookmount Gold Corp. ‘s market reputation. Nasdaq’s transparency-focused standards align with PCAOB audits, contributing to a positive market perception.
Access to Capital:
Companies on major exchanges find it easier to access capital through avenues like secondary offerings. Investor participation in fundraising efforts is more likely when there’s confidence in the accuracy of Brookmount Gold Corp.’s financial information, supported by PCAOB audits.
Risk Mitigation:
PCAOB’s stringent auditing standards aid in mitigating financial and operational risks. Brookmount Gold Corp., through PCAOB audits, showcases its commitment to robust internal controls and accurate financial reporting, reducing risks for investors and stakeholders.
Legal and Regulatory Requirements:
Uplisting mandates compliance with legal and regulatory requirements. Securities laws and exchange regulations often necessitate PCAOB audits for companies on major exchanges, ensuring adherence to the highest standards of financial reporting and accountability.
Current Audit Status
Brookmount Gold finished the 2023 Year and is including the financials of 2023 for filing purposes, and as such we were delayed on completion. We now have a full three-year, streamlined, completed financial picture and will be much easier to finalize. We are anxious for completion and to announce the results. While we cannot give specific dates, we can assure you it is close.