Sezzle Inc. Form 8-K Summary
Business Context and Reporting Period
This Current Report on Form 8-K was filed by Sezzle Inc. on March 20, 2026, covering events occurring on March 16, 2026. The filing addresses a change in the Company's independent registered public accounting firm.
Key Financial Metrics
The filing text does not provide specific values for revenue, profit, cash flow, margins, debt, or liquidity. The report references prior audit opinions but does not disclose new financial performance data.
Material Changes
- Dismissal of Auditor: Sezzle Inc. dismissed Baker Tilly US, LLP as its independent registered public accounting firm on March 16, 2026.
- Engagement of New Auditor: The Audit Committee approved the engagement of PricewaterhouseCoopers LLP (PwC) as the new independent registered public accounting firm for the fiscal year ending December 31, 2026, subject to standard client acceptance procedures.
- Audit History: Baker Tilly's audit reports for fiscal years 2024 and 2025 did not contain adverse opinions or disclaimers. However, the 2025 audit report indicated the Company did not maintain effective internal control over financial reporting due to material weaknesses.
Outlook, Risks, and Contingencies
Internal Control Weakness: The filing confirms a previously disclosed material weakness in internal control over financial reporting related to the design and maintenance of controls to evaluate the appropriate classification of cash flows related to notes receivable. This weakness was identified in the fiscal year ended December 31, 2025.
Disagreements: The Company reported no disagreements with Baker Tilly regarding accounting principles, practices, or auditing scope during the two most recent fiscal years or the interim period through March 16, 2026, other than the aforementioned reportable event regarding internal controls.
Investor Verification Checklist
- Verify the status of the material weakness in internal controls regarding cash flow classification for notes receivable.
- Confirm the completion of PwC's client acceptance procedures and the official start date of their engagement.
- Review the letter from Baker Tilly (Exhibit 16.1) to ensure they agree with the Company's statements regarding the dismissal and the nature of the reportable event.
- Monitor upcoming filings for the transition of audit responsibilities and any restatements related to the identified internal control weaknesses.