8-K: SuRo Capital Corp. Changes Accounting Firms Following Acquisition

SuRo Capital Corp. terminates its relationship with Marcum LLP and engages CBIZ CPAs P.C. as its new independent registered public accounting firm due to Marcum's acquisition by CBIZ.

Summary

• SuRo Capital Corp. announced a change in its independent registered public accounting firm.
• On April 3, 2025, the company terminated its relationship with Marcum LLP.
• This decision was prompted by CBIZ CPAs P.C.'s acquisition of Marcum's attest business on November 1, 2024.
• With the approval of the Audit Committee, SuRo Capital Corp. engaged CBIZ as its new independent registered public accounting firm for the fiscal year ending December 31, 2025.
• Marcum's report on the company's financial statements for the fiscal years ended December 31, 2024 and 2023 did not contain any adverse opinions, disclaimers, qualifications, or modifications.
• There were no disagreements or reportable events between SuRo Capital Corp. and Marcum during the fiscal years ended December 31, 2024 and 2023, and the subsequent interim period through April 3, 2025.
• SuRo Capital Corp. did not consult with CBIZ regarding accounting principles or the type of audit opinion during the fiscal years ended December 31, 2024 and 2023 and through April 3, 2025.

Sentiment

Score: 7

Explanation: The announcement is neutral to slightly positive. The change in accounting firms is due to an acquisition, and there are no reported disagreements or issues. The transition appears to be well-managed.

Positives

• The transition to a new accounting firm appears to be smooth, with no reported disagreements or reportable events.
• Marcum's audit reports for the past two fiscal years were clean, indicating sound financial reporting practices.

Future Outlook

The company will be audited by CBIZ for the fiscal year ending December 31, 2025.

Industry Context

Changes in accounting firms are not uncommon, especially following mergers and acquisitions within the accounting industry. Companies must ensure a smooth transition to maintain investor confidence and regulatory compliance.

Comparison to Industry Standards

• The Big Four accounting firms (Deloitte, Ernst & Young, KPMG, and PricewaterhouseCoopers) are often considered the gold standard, but many companies use large regional firms like CBIZ and Marcum.
• The transition process described in the document appears to be standard practice, with communication between the company, the outgoing auditor, and the incoming auditor.

Stakeholder Impact

• The change in accounting firm should have minimal impact on stakeholders, as the transition appears to be smooth and well-managed.
• Investors may want to monitor future financial reports to ensure continued accuracy and transparency under the new auditor.

Key Dates

Keywords

accounting firm, CBIZ, Marcum, independent registered public accounting firm, audit committee, financial statements