Business Context and Reporting Period
This Form 8-K Current Report was filed by My Size, Inc. on December 28, 2016. The report addresses a material change in the Company's certifying accountant effective immediately on that date.
Key Financial Metrics
The filing text does not provide specific values for revenue, profit, cash flow, margins, debt, or liquidity. This report focuses exclusively on corporate governance regarding the audit firm.
Material Changes Versus Prior Period
- Dismissal of Auditor: The Board of Directors dismissed Weinberg & Baer LLC as the independent registered public accounting firm effective December 28, 2016.
- Engagement of New Auditor: The Company engaged Somekh Chaikin, a member firm of KPMG International, as the new independent registered public accounting firm effective December 28, 2016.
- Audit History: Reports by Weinberg & Baer LLC for fiscal years ended December 31, 2015 and 2014, and through December 28, 2016, contained no adverse opinions, disclaimers, or qualifications regarding uncertainty, audit scope, or accounting principles.
- Disagreements: There were no disagreements with Weinberg & Baer LLC on accounting principles, practices, or audit scope during the covered periods, nor were there any "reportable events."
Guidance, Outlook, and Risks
The filing does not contain financial guidance, outlook, or management commentary on business operations. The primary risk disclosed is the change in the independent auditor, though the Company confirmed no underlying accounting disputes necessitated the change. The Company provided the disclosure to the former auditor prior to filing, and a letter from Weinberg & Baer LLC dated January 3, 2017, is attached as Exhibit 16.1.
Important Facts for Investor Verification
- Verify the content of the letter from Weinberg & Baer LLC (Exhibit 16.1) to confirm their agreement with the Company's statements regarding the dismissal.
- Confirm the transition timeline and any potential impact on the audit of the fiscal year ending December 31, 2016.
- Review subsequent filings to ensure the new auditor, Somekh Chaikin, has no conflicts of interest or prior undisclosed consultations with the Company.