Imagine hundreds of filings going through one server, all at once. This type of heavy traffic could
cause any server to crash, but many believe it’s the website that crashes. A large queue could cause a server to malfunction, preventing users from accessing a website, and making it seem as though the website has crashed when in reality the server is simply overloaded.
This
happened recently at the SEC. The SEC’s server was down during 10Q filings,
causing some companies to miss the filing deadline. Although many factors may
cause a server to crash, it seems heavy traffic, all at once, caused the SEC
server to malfunction during the busy filing period. We suggest companies
adhere to some common practices to dodge this problem and never miss a filing
deadline, regardless of server failure.
Plan to File Early
We
recommend setting a goal to file a few days before the due date, but if it
cannot be avoided we recommend companies file by 2:30 pm EST on the deadline
date. Many companies have to file dangerously close to the deadline time for
reasons outside of their control, and the heavy web traffic could very likely
increase significantly around 4 pm EST. This could very likely overload the SEC
server, causing delays and even crashing the system altogether. Filing before
2:30 pm EST escapes the chances of being caught in a glitch.
Get
Organized
Create
a list of items that need to be done by specific dates or times. No matter how
close you are to the deadline, be sure to sort out and prepare the most
pertinent pieces first before executing your plan of action. For more on
getting organized, check out our blog post
Preparing Your
Filings in Half the Time.
Make a
Checklist
As
with all filings, you must always be aware of your deadline. Create a checklist
according to due dates. Only list the most important pieces of the puzzle so
you don’t overwhelm yourself. Then simply address all the items on the list in
an orderly fashion. This simple task will help you stay focused when things get
hectic at the final hour. Also, create internal deadlines for each item to help
you manage the process. This way you’ll be ready to file sooner than later.
Use Online
Tools
After
you’ve created a checklist, incorporate these items into a calendar to share
electronically. The
Edgar ® Agents 2016 SEC Filings Calendar is a great source to start since it
provides all the deadlines, SEC holidays and any other important dates you
should know about when filing your documents. You can also make copies for all
parties involved so they keep track on their own as well. This way everyone
stays on the same page and uses the calendar as a tool when discussing next
steps. Google and Outlook calendars also provide efficient online features,
such as reminders.
Submit
Financials First
When
you are ready, submit your financial statements and notes first – these take
the longest to process. Statements and notes need to be formatted in Edgar ® while specific information needs to be
tagged in XBRL throughout the document. This procedure can take some time to
administer accurately so sending in financials ensures you will have time to
make any edits before the deadline. You will also be less likely to overlook
inaccuracies.
Use
Proofreader’s Marks
While
proofreading your document, use the proper proofreader’s
marks. Be sure to incorporate marks that actually request a specific edit and
avoid ambiguous symbols that neither correct nor give direction. If you are not
familiar with proofreader’s marks, the
Chicago Manual of
Style, AP or Merriam-Webster
are
excellent reference guides. Although some symbols may vary, most marks are
similar enough to be universally recognized. Also, double check the submission
page to make sure the form type and filing period is accurate.
Send Edits
in Bulk
Submit
all your changes at once or in one proof. If there is more than one party
reviewing the document, submit everyone’s edits, plus your own, in one email or
in one proof if possible. This could help speed up the alteration process.
Also, be sure to work off of the latest draft when making edits. Working off of
an older draft can be confusing to all parties involved.
Verify
Signatures and Dates
Make
sure all signatures and dates are accurate when submitting your
documents. Even if the filing date could change during the conversion
process (for example if a company decides to file on another date), be sure to
double check the dates and signatures before giving final approval. It’s
important to remember that for Edgar ®/XBRL,
signature requirements are satisfied with the signatory’s name typed into the
electronic format, but Registrants are required to retain manually signed
authorizations of the typed signatures for five years.
Apply
Policies and Procedures
If
there is anything about filing electronically that you are doubtful about and
your research doesn’t answer your questions, give us a call ahead of time. We
can help guide you through the necessary steps so you’re prepared to file
before the deadline. In addition, be aware that in annual reports companies are
required to disclose whether periodic and current reports are available on
their website. To assist with this, Edgar
® Agents offers its clients an
XBRL widget that can be easily uploaded onto their
site and updates automatically to display the latest financials. Ask about our
XBRL widget when you call.
Trust Your
SEC Filing Agent
Finally,
it is critical to trust your filing agent. Edgar ® Agents provides unparalleled customer
service for its clients and is available 24×7. We also take on last minute
projects even during heavy filing periods. If you are not satisfied with your
filer, it’s time for a new one now.
To
learn more about Edgar
® Agents and our services, call us at
732-780-5036 or email us at
info@edgaragents.com. Also visit our
site at
www.edgaragents.com or send us a note on any of our social
pages. Twitter, LinkedIn, Google+ or Blogger.