Business Context and Reporting Period
Company: Super League Gaming, Inc. (SLGG)
Filing Type: Form 8-K (Current Report)
Date of Report: November 1, 2020
Reporting Period: Event date November 1, 2020; references fiscal years ended December 31, 2018 and 2019.
Key Financial Metrics
This filing does not contain specific financial performance data such as revenue, profit, cash flow, margins, debt, or liquidity figures. The document focuses exclusively on a change in the company's independent registered public accounting firm.
Material Changes
- Change in Certifying Accountant: On November 1, 2020, Squar Milner, LLP resigned as the Company's independent registered public accounting firm.
- Reason for Change: Squar Milner combined its operations with Baker Tilly US, LLP. Consequently, Baker Tilly was engaged as the new independent registered public accounting firm with the approval of the Audit Committee.
- Consultation: The Company did not consult with Baker Tilly regarding accounting principles or audit opinions prior to engagement.
- Disagreements: There were no disagreements with Squar Milner regarding accounting principles, practices, or audit scope during the fiscal years ended December 31, 2019 and 2018, or the interim period through November 1, 2020.
Outlook, Risks, and Contingencies
- Going Concern Uncertainty: The audit reports for the fiscal years ended December 31, 2019 and 2018 contained an explanatory paragraph disclosing uncertainty regarding the Company's ability to continue as a going concern.
- Audit Opinion Status: The reports did not contain adverse opinions, disclaimers, or qualifications regarding uncertainty, audit scope, or accounting principles, aside from the going concern note.
Investor Verification Checklist
- Verify the status of the "going concern" uncertainty noted in the 2018 and 2019 audit reports.
- Confirm the transition timeline and initial engagement scope between the Company and Baker Tilly US, LLP.
- Review the letter from Squar Milner, LLP (Exhibit 16.1) to ensure no undisclosed disagreements exist.
- Monitor upcoming financial filings for updated liquidity and solvency metrics given the prior going concern warning.