China Education Resources Inc V.CHN.H

RE:OTCQB

[Thebeginner2020]

Eligibility Requirements

 

• U.S. companies must have audited annual financials by a PCAOB auditor. (Tier 2 Regulation A Companies are exempt from requirement to use a PCAOB auditor for their initial audit)

• Meet minimum bid price test of $0.01

• Not be in bankruptcy

• Have at least 50 Beneficial Shareholders, each owning at least 100 shares

• Have a freely traded Public Float of at least 10% of the total issued and outstanding of that security.

  Companies with a freely traded Public Float of at least 5% (and $2 million in market value of public float), or a separate class of securities traded on a national exchange may apply for an exemption (see OTCQB Standards)

• Have a transfer agent that participates in the Transfer Agent Verified Share Program (US Companies only)

• International companies must be listed on a Qualified Foreign Exchange (or SEC Reporting) and submit a Letter of Introduction from an approved OTCQB Sponsor

 

Reporting Requirements

 

Meet one of the following Reporting Standards:

• SEC Reporting Standard

• Regulation A Reporting Standard (Tier 2)

• U.S. Bank Reporting Standard

• International Reporting Standard

• Alternative Reporting Standard

 

Timely disclosure of material news

 

Corporate Governance Requirements (Alternative Reporting only)

 

• Have a board of directors that includes at least two Independent Directors

• Have an Audit Committee, a majority of the members of which are Independent Directors

 

Verification Requirements

 

• Maintain a Verified Company Profile

• Post initial and annual verification and management certification