Full text of CABRERA CAPITAL MARKETS, LLC's X-17A-5 filed 2021-03-01 (period 2020-12-31). Broker-dealer annual report from SEC EDGAR — readable, searchable, and available as markdown for AI agents.
{0}------------------------------------------------ #### Note 4. Loan payable The Company has received funding of \$786,745 from The Small Business Administration (SBA) Paycheck Protection Program (PPP) loan that was available under the CARES Act passed by Congress in response to the COVID-19 pandemic. Loan payments on the PPP are deferred as the Company will apply for loan forgiveness. While the Company currently believes that its use of the loan proceeds will meet the conditions for forgiveness of the loan, forgiveness relief, in whole or in part, depends on future events which cannot be predicted with certainty. In the event any portion of the PPP loan is not forgiven, payments are required beginning 10 months after the end of the covered period for loan forgiveness and will mature in 2022. Unforgiven, PPP loan proceeds bear interest at 1.00%. ### Note 5. Furniture, Equipment and Leasehold Improvements At December 31, 2020, furniture, equipment and leasehold improvements consist of: | Furniture and fixtures | \lt;br>5,816 | |--------------------------|--------------| | Computer software | 43,426 | | Computer hardware | 127,796 | | | 177,038 | | Accumulated depreciation | (88,485) | | | \lt;br>88,553 | # Note 6. Liabilities Subordinated to Claims of General Creditors The Company had a temporary subordinated loan agreement with Cabrera Capital, Inc. for \$200,000 at a stated annual interest rate of 12 percent and due February 13, 2020. On February 12, 2020, the Company retired this loan agreement by making a principal payment of \$200,000 and a final interest payment of \$2,951. The Company entered into a subordinated loan agreement with Rustic Canyon Fontis Partners, LP for \$1,000,000. In November 2017, this subordinated loan was assumed by RCF-Cabrera Holdings, Inc., and the maturity date was amended to mature on November 30, 2022 at an interest rate of 5 percent. For the year ended December 31, 2020, interest expense amounted to approximately \$50,000. In 2018, the Company entered into a subordinated loan agreement with Badal Shah for \$2,000,000 at a stated annual interest rate of 8 percent and an administrative fee of \$80,000 per year which was scheduled to mature on April 1, 2019. In April 2020, the loan was automatically extended for one year to April 1, 2021. For the year ended December 31, 2020, interest expense amounted to approximately \$160,000. In 2019, the Company entered into a subordinated loan agreement with Badal Shah for \$1,500,000 at…Read the full text as markdown