urban-gro, Inc. Changes Independent Auditor

Ticker: UGRO · Form: 8-K · Filed: 2024-05-30T00:00:00.000Z

Sentiment: neutral

Topics: auditor-change, disclosure

Related Tickers: UGRO

TL;DR

URBAN-GRO SWITCHED ACCOUNTANTS - CohnReznick OUT, new firm IN. No drama reported.

AI Summary

On May 29, 2024, urban-gro, Inc. filed an 8-K to disclose a change in its certifying accountant. The company has dismissed its previous independent registered public accounting firm, CohnReznick LLP, effective May 24, 2024. This change is not related to any disagreements or reportable events.

Why It Matters

A change in auditor can sometimes signal underlying issues or a desire for a fresh perspective on financial reporting, which investors should monitor.

Risk Assessment

Risk Level: low — The filing is a routine disclosure of a change in auditor and states there were no disagreements, indicating low immediate risk.

Key Players & Entities

FAQ

Who is urban-gro, Inc.'s new independent registered public accounting firm?

The filing does not explicitly name the new accounting firm, only that CohnReznick LLP has been dismissed.

When was the dismissal of CohnReznick LLP effective?

The dismissal of CohnReznick LLP was effective May 24, 2024.

Were there any disagreements between urban-gro, Inc. and CohnReznick LLP?

No, the filing explicitly states that there were no disagreements or reportable events between urban-gro, Inc. and CohnReznick LLP.

What is the primary reason for this 8-K filing?

The primary reason for this 8-K filing is to report a change in urban-gro, Inc.'s certifying accountant.

Does the filing indicate any issues with urban-gro, Inc.'s financial statements?

No, the filing states that CohnReznick LLP's reports on the company's financial statements for the past two fiscal years did not contain an adverse opinion or disclaimer of opinion, and were not qualified or modified.

Filing Stats: 878 words · 4 min read · ~3 pages · Grade level 13.3 · Accepted 2024-05-30 08:16:53

Key Financial Figures

Filing Documents

01 Changes in Registrant's Certifying Accountants

Item 4.01 Changes in Registrant's Certifying Accountants Appointment of Sadler, Gibb & Associates, LLC ("Sadler Gibb") as Independent Registered Public Accountant On May 3, 2024, the Securities and Exchange Commission (the "Commission") entered an order instituting settled administrative and cease-and-desist proceedings against BF Borgers CPA PC ("Borgers") and its sole audit partner, Benjamin F. Borgers CPA, permanently barring Mr. Borgers and Borgers (collectively, "BF Borgers") from appearing or practicing before the Commission as an accountant (the "Order"). As a result of the Order, BF Borgers may no longer serve as urban-gro, Inc.'s (the "Company") independent registered public accounting firm, nor can BF Borgers issue any audit reports included in Commission filings or provide consents with respect to audit reports. As reported in our Current Report on Form 8-K filed with the Commission on May 6, 2024, in light of the Order, the Audit Committee (the "Committee") of the Board of Directors of the Company on May 6, 2024, unanimously approved the dismissal of BF Borgers as the Company's independent registered public accounting firm. On May 29, 2024, the Committee unanimously approved the engagement of Sadler, Gibb & Associates LLC ("Sadler Gibb") as the Company's independent registered public accounting firm for the fiscal year ending December 31, 2024. The engagement letter with Sadler Gibb was signed on May 29, 2024. During the two most recent fiscal years and in the subsequent interim period through May 29, 2024, neither the Company nor anyone on its behalf has consulted with Sadler Gibb with respect to (i) the application of accounting principles to a specified transaction, either completed or proposed, or the type of audit opinion that would have been rendered on the Company's consolidated financial statements, and neither a written report nor oral advice was provided to the Company that Sadler Gibb concluded was an important factor considered by t

01. Regulation FD Disclosure

Item 7.01. Regulation FD Disclosure. On May 30, 2024, the Company issued a press release announcing the appointment of Sadler Gibb. A copy of the press release is furnished as Exhibit 99.1 to this Current Report on Form 8-K. The information furnished pursuant to Item 7.01 of this Current Report on Form 8-K, including Exhibit 99.1, shall not be deemed "filed" for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), or otherwise subject to the liabilities of that section, and shall not be deemed to be incorporated by reference into any filing of the Company under the Securities Act of 1933, as amended, or the Exchange Act, whether made before or after the date hereof, unless specifically identified as being incorporated therein by reference.

01. Financial Statements and Exhibits

Item 9.01. Financial Statements and Exhibits. (d) Exhibits. Exhibit Number Exhibit Description 99.1 Press Release Dated May 30, 2024 104 Cover Page Interactive Data File (embedded within the Inline XBRL document)

SIGNATURES

SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. URBAN-GRO, INC. Date: May 30, 2024 By: /s/ Bradley Nattrass Bradley Nattrass Chairperson of the Board of Directors and Chief Executive Officer

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