SpringBig swaps auditors after 'going concern' flags
SpringBig Holdings, Inc. (SBIG) reports that its Audit Committee dismissed WithumSmith+Brown, PC as independent registered public accounting firm and, on the same date, appointed Victor Mokuolu, CPA PLLC as the new auditor, both effective July 30, 2026.
Rhea-AI Filing Summary
SpringBig Holdings, Inc. (SBIG) reports that its Audit Committee dismissed WithumSmith+Brown, PC as independent registered public accounting firm and, on the same date, appointed Victor Mokuolu, CPA PLLC as the new auditor, both effective July 30, 2026. Withum’s audit reports for the years ended December 31, 2025 and 2024 contained an explanatory paragraph that the company’s accumulated deficit, working capital deficit and note payable maturity raised substantial doubt about its ability to continue as a going concern, but the opinions were otherwise unqualified. The company states there were no disagreements with Withum on accounting or auditing matters and no reportable events, other than previously disclosed material weaknesses in internal control that management concluded were remediated as of December 31, 2025.
Positive
- Previously disclosed material weaknesses remediated: Management concluded that earlier material weaknesses in internal control over financial reporting were remediated as of December 31, 2025, including issues with GAAP expertise, financial statement review, and IT access and segregation-of-duties controls.
Negative
- Going-concern substantial doubt highlighted in prior audit reports: Withum’s reports for the years ended December 31, 2025 and 2024 included an explanatory paragraph that the company’s accumulated deficit, working capital deficit, and note payable maturity raised substantial doubt about its ability to continue as a going concern.
Filing Explained
The filing leaves the July 30 auditor-change record procedurally open: if Withum supplies the requested response letter within the required period, the company will file it as an amendment.
8-K Event Classification
Item 4.01 — Changes in Registrant's Certifying Accountant
1 item
Item 4.01
Changes in Registrant's Certifying Accountant
Governance
The company changed its independent auditing firm, which may involve disagreements on accounting matters.
Key Figures
Auditor dismissal date: July 30, 2026
New auditor appointment date: July 30, 2026
Fiscal year end: December 31, 2025
+2 more
5 metrics
Auditor dismissal date
July 30, 2026
Date the Audit Committee approved dismissal of WithumSmith+Brown, PC
New auditor appointment date
July 30, 2026
Effective date of appointment of Victor Mokuolu, CPA PLLC as auditor
Fiscal year end
December 31, 2025
Most recent fiscal year for which Withum issued an audit report
Prior fiscal year end
December 31, 2024
Earlier fiscal year covered by Withum’s audit report with going-concern paragraph
Material weaknesses remediated as of
December 31, 2025
Management concluded previously identified internal control weaknesses were remediated by this date
Key Terms
going concern, material weaknesses, internal control over financial reporting, segregation-of-duties controls, +1 more
5 terms
going concern financial
"raise substantial doubt about the Company’s ability to continue as a going concern"
Going concern is the accounting assumption that a company will keep operating and meeting its obligations for the foreseeable future. The phrase matters most when a company or its auditors disclose substantial doubt about it, a formal warning that the business may not have enough resources to continue without raising money, restructuring, or selling assets. That language in a filing or press release signals elevated financial risk.
material weaknesses financial
"management identified material weaknesses in internal control over financial reporting"
Material weaknesses are significant flaws in a company’s systems for ensuring its financial reports are accurate and reliable. Like a broken lock on a safe, they increase the chance that financial statements contain big errors or omissions, which can mislead investors about performance and risk; discovering one often raises questions about management oversight, may lead to restated results, and can affect investor confidence and a company’s valuation.
internal control over financial reporting financial
"material weaknesses in internal control over financial reporting relating to"
Internal control over financial reporting is a company’s system of procedures and checks designed to make sure its financial statements are accurate and complete, like a set of guardrails and verification steps that catch mistakes or fraud before numbers are published. Investors care because strong controls make reported results more trustworthy, lower the risk of surprise restatements or regulatory problems, and give greater confidence when valuing the company or comparing it to peers.
segregation-of-duties controls technical
"design and implementation of user access and segregation-of-duties controls"
reportable events regulatory
"there were no “reportable events” as defined in Item 304(a)(1)(v)"
Reportable events are significant incidents or changes a company is legally required to disclose to regulators and the public, such as major safety problems, legal actions, financial irregularities, or management changes. They matter to investors because these events can alter a company’s risk profile or future performance, much like a dashboard warning light signals a problem that could affect a car’s safety or reliability. Timely disclosure helps investors make informed decisions and maintain market fairness.
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
What auditor change did SpringBig Holdings (SBIG) announce on July 30, 2026?
SpringBig’s Audit Committee dismissed WithumSmith+Brown, PC as independent auditor and appointed Victor Mokuolu, CPA PLLC, both effective July 30, 2026. The company reports no disagreements with Withum on accounting principles, disclosures, or auditing procedures.
Did SpringBig (SBIG) have disagreements with its former auditor Withum?
SpringBig states there were no disagreements with Withum during 2024, 2025, or through July 30, 2026 on accounting principles, financial statement disclosure, or audit scope that would have been referenced in Withum’s reports.
What going-concern issue has been disclosed for SpringBig (SBIG)?
Withum’s audit reports for 2025 and 2024 included an explanatory paragraph that SpringBig’s accumulated deficit, working capital deficit, and note payable maturity raised substantial doubt about its ability to continue as a going concern.
Have SpringBig’s (SBIG) internal control material weaknesses been resolved?
Management concluded that previously disclosed material weaknesses in internal control over financial reporting were remediated as of December 31, 2025, including GAAP expertise, financial review processes, and segregation-of-duties and user-access controls over key IT applications.
What new audit firm did SpringBig (SBIG) appoint and was it previously consulted?
SpringBig appointed Victor Mokuolu, CPA PLLC as its independent registered public accounting firm on July 30, 2026. The company reports it had not consulted this firm previously on accounting principles, audit opinions, or reportable events.
AI-generated analysis. How Rhea-AI works. Not financial advice.
