FlexShopper Receives Nasdaq Compliance Extension
FlexShopper, Inc. (NASDAQ: FPAY), a prominent player in providing innovative lease-to-own payment solutions, has recently achieved a significant milestone by being granted a 180-day extension to comply with important Nasdaq listing rules. This announcement came through a notification from The Nasdaq Stock Market, which approved the company’s request after careful evaluation of materials submitted by FlexShopper.
Details of the Extension Approval
The extension period, officially recognized as the "New Compliance Period," began following the company's submission on June 16. The Nasdaq Staff assessed the documentation and determined that FlexShopper warranted this exception, highlighting the firm's commitment to aligning its operations with regulatory demands.
Importance of Compliance with Listing Rule 5250(c)(1)
Under Nasdaq's Listing Rule 5250(c)(1), FlexShopper is required to file its periodic financial reports on time with the U.S. Securities and Exchange Commission (SEC). This extension represents a crucial period for the company, as it allows additional time to prepare and file the necessary documents, specifically their Form 10-K for the year ending December 31 and Form 10-Q for the subsequent quarter.
Current Initiatives and Future Steps
FlexShopper is actively collaborating with its independent auditors and external advisors to expedite the completion of its annual audit for the fiscal year concluded on December 31. The company anticipates providing updates regarding its delayed financial filings shortly.
Implications of the Compliance Period
During this new compliance period, FlexShopper’s common shares will continue to trade on the Nasdaq Stock Market. Should FlexShopper be able to submit its required filings before the compliance deadline of October 13, it is expected to regain its standing under Nasdaq regulations. However, failure to meet this deadline may expose the firm to potential delisting from Nasdaq, which would prompt the company to seek a review process through a Nasdaq Hearings Panel.
About FlexShopper, Inc.
FlexShopper, Inc. stands as an innovative financial technology leader, specializing in providing versatile and accessible payment solutions. With a focus on assisting underserved consumers, FlexShopper operates through its online marketplace at Flexshopper.com, offering a broad range of lease-to-own and lending products while collaborating closely with various merchants.
FlexShopper's Market Presence
FlexShopper’s impact on the financial technology landscape is significant, as it offers consumers flexible funding options tailored to diverse needs. The model not only enhances customer convenience but also promotes financial inclusion by catering to segments of the market traditionally underserved by conventional financing avenues.
Frequently Asked Questions
What is FlexShopper's recent compliance status with Nasdaq?
FlexShopper has been granted a 180-day extension by Nasdaq to comply with financial reporting requirements, allowing them time to fulfill necessary filings.
What does the compliance extension mean for FlexShopper?
This extension provides FlexShopper with critical time to complete and file their financial reports, thus avoiding immediate delisting from Nasdaq.
How is FlexShopper planning to meet compliance requirements?
FlexShopper is currently working with independent auditors and external advisors to finalize their annual audit for timely submissions to the SEC.
Will FlexShopper's shares still trade on Nasdaq during this period?
Yes, FlexShopper's common shares will continue to trade on the Nasdaq Stock Market throughout the compliance period.
What happens if FlexShopper fails to comply by the new deadline?
If they miss the filing deadlines, FlexShopper may face delisting from Nasdaq but can request a review from a Nasdaq Hearings Panel.
