Financial Organizations Leverage Compliance Technology for Competitive Advantage: Survey

Equifax and Kompliant released a survey on compliance technology's role in the financial sector, with 500 financial tech professionals participating. The survey reveals that 56% of financial organizations involve their CEO in compliance technology decisions, 90% believe technological advancement is crucial for risk management, and 99% rely on compliance technology. The findings emphasize the strategic importance of compliance technology in transforming it from a cost center to a revenue driver.

FlexShopper, Inc. (Nasdaq: FPAY) has received a 180-day extension from Nasdaq to regain compliance with Listing Rule 5250(c)(1), which mandates timely financial report filings with the U.S. Securities and Exchange Commission (SEC). The extension allows FlexShopper until October 13, 2025, to file its Form 10-K for the fiscal year ended December 31, 2024, and its Form 10-Q for the period ended March 31, 2025 [1].

The extension was granted following Nasdaq's review of materials submitted by FlexShopper on June 16, 2025. During this period, FlexShopper's shares will continue to trade on the Nasdaq Stock Market, ensuring liquidity for shareholders. However, failure to meet the filing deadlines could result in delisting [1].

FlexShopper is actively working with its independent auditor and external advisors to complete its annual audit for the fiscal year ended December 31, 2024. The company expects to provide an update on the status of its delayed 2024 financial filings in the near term [1].

Insider and Institutional Activity

In the past six months, insiders have made six purchases of FlexShopper stock, with no sales reported. Howard Dvorkin, a notable insider, has bought 179,397 shares for an estimated $238,377 [2].

Institutional investors have shown mixed activity. Benchmark Financial Wealth Advisors, LLC removed 189,977 shares from their portfolio in Q4 2024, while Renaissance Technologies LLC decreased their holdings by 102,302 shares in Q1 2025. Conversely, Geode Capital Management, LLC added 99,360 shares to their portfolio in Q1 2025 [2].

Market Implications

The extension provides FlexShopper with additional time to address its compliance issues, potentially mitigating the risk of delisting. However, the company's delayed financial filings may raise concerns about its financial health and operational transparency. Investors should closely monitor FlexShopper's progress and the company's ability to meet the new compliance deadline.

References

[1] https://www.nasdaq.com/articles/flexshopper-inc-granted-180-day-extension-nasdaq-regain-compliance-listing-rule-5250c1

[2] https://finance.yahoo.com/news/nly-q1-deep-dive-revenue-062848868.html