8-K: Crown Equity Changes Auditor Amid Going Concern Flag

Crown Equity Holdings Inc. has appointed L J Soldinger Associates, LLC as its new independent registered public accounting firm, replacing Bush & Associates CPA LLC, whose last report included a going concern explanatory paragraph.

Summary

• Crown Equity Holdings Inc. dismissed Bush & Associates CPA LLC as its independent registered accounting firm on December 18, 2025.
• L J Soldinger Associates, LLC was engaged as the new independent registered public accounting firm on December 18, 2025, for the Company's fiscal year ending December 31, 2025.
• The decision to change auditors was approved by the Company's Board of Directors.
• Bush & Associates CPA LLC's report on the Company's financial statements for the fiscal year ended December 31, 2024, contained an explanatory paragraph regarding the Company's ability to continue as a going concern.
• There were no disagreements or reportable events (as defined in Item 304 of Regulation S-K) with Bush & Associates CPA LLC during the fiscal year ended December 31, 2024, and through the interim period ended December 18, 2025.
• The Company did not consult with L J Soldinger Associates, LLC on any matters set forth in Item 304(a)(2) of Regulation S-K during the two years ended December 31, 2024, and through December 18, 2025.
• The Company will submit a letter from Bush & Associates CPA LLC to the SEC, agreeing or disagreeing with the statements made in this report, and will file it on a Form 8-K/A when available.

Sentiment

Score: 3

Explanation: The change in auditor itself is a neutral corporate action, but the disclosure of a 'going concern' explanatory paragraph from the previous auditor introduces significant negative sentiment regarding the company's financial stability and future viability.

Positives

• No disagreements on accounting principles, practices, financial statement disclosure, or auditing scope/procedure were reported with the former auditor, Bush & Associates CPA LLC.
• No reportable events (as defined in Item 304 of Regulation S-K) occurred with the former auditor during the specified periods.

Negatives

• The former auditor's report for the fiscal year ended December 31, 2024, included an explanatory paragraph regarding the Company's ability to continue as a going concern.

Risks

• The Company's ability to continue as a going concern, as highlighted by the explanatory paragraph in the former independent registered public accounting firm's report for the fiscal year ended December 31, 2024.

Future Outlook

The Company has engaged L J Soldinger Associates, LLC to serve as its independent registered public accounting firm for the fiscal year ending December 31, 2025.

Management Comments

• The decision to engage Soldinger as the Company's independent registered public accounting firm was approved by the Company's Board of Directors, following the dismissal of Bush.

Industry Context

Changes in independent registered public accounting firms are common corporate governance events, often driven by cost, service, or strategic considerations. However, the disclosure of a 'going concern' explanatory paragraph from the previous auditor is a significant red flag that warrants close attention from investors, as it indicates substantial doubt about the company's ability to continue operations for the foreseeable future. This context elevates the importance of the auditor change beyond a routine administrative update.

Corporate Governance

Stakeholder Impact

• Shareholders: Potential concern regarding the company's financial health due to the going concern flag, which could impact stock valuation and investment decisions.
• Creditors: May scrutinize the company's ability to meet its financial obligations more closely given the going concern warning.
• Management/Board: Responsible for addressing the underlying issues that led to the going concern flag and ensuring robust financial reporting with the new auditor.

Next Steps

• The Company will submit a letter from Bush & Associates CPA LLC to the Securities and Exchange Commission stating whether or not it agrees with the statements related to them made by the Company in this report.
• The Company will file the letter from Bush & Associates CPA LLC on a Form 8-K/A when available.

Key Dates

Keywords

Crown Equity Holdings, CRWE, Auditor Change, SEC Filing, 8-K, Going Concern, Financial Reporting, Corporate Governance, Public Accounting Firm