# LBMZ SECURITIES, INC. X-17A-5 (2025-03-03) — Broker-dealer annual report - Company: LBMZ SECURITIES, INC. - Form: X-17A-5 - Filed: 2025-03-03 - Period: 2024-11-30 - Accession: 0000277453-25-000002 - CIK: 277453 - File #: 8-23266 - Type: Broker-dealer - Material weakness: No - Auditor: Michael Coglianese - Auditor location: Bloomingdale, IL - Contact: Douglas Colombo - Phone: 9173732473 - Email: doug@colombo-consulting.com - Website: colombo-consulting.com - Signed by: Douglas Colombo (FINOP) Original filing: https://www.sec.gov/Archives/edgar/data/277453/000027745325000002/lbmz_final2.pdf --- {0}------------------------------------------------ # LBMZ SECURITIES, INC. Chicago, Illinois # FINANCIAL STATEMENTS Including Independent Registered Public Accounting Firm's Report As of and for the Year Ended November 30, 2024 > (Filed as CONFIDENTIAL Information Pursuant to Rule 17a-5(e)(3) Under the Securities Exchange Act of 1934) {1}------------------------------------------------ | | UNITED STATES | | OMB APPROVAL
OMB Number: 3235-0123 | | | |---------------------------------------------------------------------------------------------------------------------------------|--------------------------------------------------------------|-----------------------------|------------------------------------------------------------------------------|--|--| | | SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549 | | Expires: Nov. 30, 2026
Estimated average burden
hours per response: 12 | | | | | ANNUAL REPORTS | | SEC FILE NUMBER | | | | | FORM X-17A-5 | | 8-23266 | | | | | PART III | | | | | | | FACING PAGE | | | | | | Information Required Pursuant to Rules 17a-5, 17a-12, and 18a-7 under the Securities Exchange Act of 1934 | | | | | | | FILING FOR THE PERIOD BEGINNING | 12/01/2023 | AND ENDING | 11/30/2024 | | | | | MM/DD/YY | | MM/DD/YY | | | | | A. REGISTRANT IDENTIFICATION | | | | | | NAME OF FIRM: LBMZ Securities Inc. | | | | | | | TYPE OF REGISTRANT (check all applicable boxes):
Broker-dealer
Check here if respondent is also an OTC derivatives dealer | | | _ Major security-based swap participant | | | | ADDRESS OF PRINCIPAL PLACE OF BUSINESS: (Do not use a P.O. box no.) | | | | | | | 10 South Riverside Plaza, Suite 1600 | | | | | | | | (No. and Street) | | | | | | Chicago | | | 60606 | | | | (City) | (State) | | (Zip Code) | | | | | | | | | | | PERSON TO CONTACT WITH REGARD TO THIS FILING | | | | | | | Douglas Colombo | 312-718-2573 | doug@colombo-consulting.com | | | | | (Name) | (Area Code - Telephone Number) | | (Email Address) | | | | | B. Accountant IDENTIFICATION | | | | | | INDEPENDENT PUBLIC ACCOUNTANT whose reports are contained in this filing* | | | | | | | Michael Coglianese CPA, P.C. | | | | | | | | (Name - if individual, state last, first, and middle name) | | | | | | 125 E Lake Street, Suite 30 Bloomingdale | | - | 60108 | | | | (Address) | (City) | (State) | (Zip Code) | | | | 10/20/2009 | | 3874 | | | | | (Date of Registration with PCAOB)(if applicable) | | | (PCAOB Registration Number, if applicable) | | | | | FOR OFFICIAL USE ONLY | | | | | | | | | | | | CFR 240.17a-5(e)(1)(ii), if applicable. Persons who are to respond to the collection of information contained in this form are not required to respond unless the form displays a currently valid OMB control number. {2}------------------------------------------------ #### OATH OR AFFIRMATION | Judith Ann Calder | | swear (or affirm) that, to the best of my knowledge and belief, the | | |-------------------------------------------------------------------------------------------------------------------------------------|-----------------------------------------------------------------------|-------------------------------------------------------------------------------------|-------| | financial report pertaining to the firm of LBMZ Securities, Inc. | | | as of | | 11/30
70 CCF | | , is true and correct. I further swear (or affirm) that neither the company nor any | | | partner, officer, director, or equivalent person, as the case may be, has any proprietary interest in any account classified solely | | | | | as that of a customer. | | | | | | OFFICIAL SEAL | | | | | CHRISTOPHER BITTEL COHEN
Alabora Childer Children Children Come of | | | | | GHRISTOPHER BITTEL COHEN / SIgnature:
Notary Public, State of Illinois | | | |--------------|---------------------------------------------------------------------------|--|--| | | Commission No. 991537
My Commission Expires May 30, 2028 / | | | | | | | | | otary Puhlic | | | | #### This filing\*\* contains (check all applicable boxes): - (a) Statement of financial condition. - [ (b) Notes to consolidated statement of financial condition. - [c) Statement of income (loss) or, if there is other comprehensive income in the period(s) presented, a statement of comprehensive income (as defined in § 210.1-02 of Regulation S-X). - (d) Statement of cash flows. - (e) Statement of changes in stockholders' or partners' or sole proprietor's equity. - (f) Statement of changes in liabilities subordinated to claims of creditors. - (g) Notes to consolidated financial statements. - (h) Computation of net capital under 17 CFR 240.15c3-1 or 17 CFR 240.18a-1, as applicable. - [ (i) Computation of tangible net worth under 17 CFR 240.18a-2. - @ (j) Computation for determination of customer reserve requirements pursuant to Exhibit A to 17 CFR 240.15c3-3. - [ (k) Computation for determination of security-based swap reserve requirements pursuant to Exhibit B to 17 CFR 240.15c3-3 or Exhibit A to 17 CFR 240.18a-4, as applicable. - [ (I) Computation for Determination of PAB Requirements under Exhibit A to § 240.15c3-3. - = (m) Information relating to possession or control requirements for customers under 17 CFR 240.15c3-3. - [ (n) Information relating to possession or control requirements for security-based swap customers under 17 CFR 240.15c3-3(p)(2) or 17 CFR 240.18a-4, as applicable. - | |o} Reconciliations, including appropriate explanations, of the FOCUS Report with computation of net capible net worth under 17 CFR 240.15c3-1, 17 CFR 240.18a-1, or 17 CFR 240.18a-2, as applicable, and the reserve requirements under 17 CFR 240.15c3-3 or 17 CFR 240.18a-4, as applicable, if material differences exist, or a statement that no material differences exist. - [p) Summary of financial data for subsidiaries not consolidated in the statement of financial condition. - | (q) Oath or affirmation in accordance with 17 CFR 240.17a-5, 17 CFR 240.18a-7, as applicable. - [ (r) Compliance report in accordance with 17 CFR 240.17a-5 or 17 CFR 240.18a-7, as applicable. - (s) Exemption report in accordance with 17 CFR 240.17a-5 or 17 CFR 240.18a-7, as applicable. - [ (t) Independent public accountant's report based on an examination of the statement of financial condition. - (u) Independent public accountant's report based on an examination of the financial statements under 17 CFR 240.17a-5, 17 CFR 240.18a-7, or 17 CFR 240.17a-12, as applicable. - [ (v) Independent public accountant's report based on an examination of certain statements in the compliance report under 17 CFR 240.17a-5 or 17 CFR 240.18a-7, as applicable. - [ (w) Independent public accountant's report based on a review of the exemption report under 17 CFR 240.17a-5 or 17 CFR 240.18a-7, as applicable. - | (x) Supplemental reports on applying agreed-upon procedures, in accordance with 17 CFR 240.17a-12, as applicable. - [ (y) Report describing any material inadequacies found to have existed since the date of the previous audit, or a statement that no material inadequacies exist, under 17 CFR 240.17a-12(k). - J (z) Other: - \*\* To request confidential treatment of certain portions of this filing, see 17 CFR 240.17a-5(e)(3) or 17 CFR 240.18c-7(d)(2), as applicable. {3}------------------------------------------------ #### - | !"#\$"%&!%&' | N | |---------------------------------------------------------------------------------------------------------------------------------------------|----------| | ()*+)+(,+-./- | | | /0 ,
12134351678525982: 65;81865 | ] | | 1213435167<59643 | f | | 12134351=67 >25?3=85169@>6:;3AB=CD81E | g | | 1213435167 2=>:6F= | ^ | | 1213435167 >25?3=85DG6A;85213;6AA6F85?= | _` | | 613=168525982:12134351= | aQNN | | H34I18J3KA6J8=865L5;3AMD:3NO9PQP | hi | | 0-))/ /* | | | RSL31 2I812:L5;3AMD:3NO9PQN671>339DA8183=
25;H9>25?3 6448==865 | bc`d`be` | | RSL<651A6:M3CD8A34351=L5;3AMD:3NO9PQPTH34I1865U671>339DA8183=
25;H9>25?3 6448==865 | | | | | | ()*+)+(,+-./- VW)() | l | {4}------------------------------------------------ ![](_page_4_Picture_0.jpeg) Bloomingdale | Chicago #### Report of Independent Registered Public Accounting Firm To the Board of Directors and Stockholders of LBMZ Securities, Inc. #### Opinion on the Financial Statements We have audited the accompanying statement of financial condition of LBMZ Securities, Inc. as of November 30, 2024, the related statements of income, changes in stockholder's equity, changes in subordinated borrowings, and cash flows for the year then ended, and the related notes (collectively referred to as the financial statements). In our opinion, the financial statements present fairly, in all material respects, the financial position of LBMZ Securities, Inc. as of November 30, 2024, and the results of its operations and its cash flows for the fiscal year then ended in conformity with accounting principles generally accepted in the United States of America. #### Basis for Opinion These financial statements are the responsibility of LBMZ Securities, Inc.'s management. Our responsibility is to express an opinion on LBMZ Securities, Inc.'s financial statements based on our audit. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to LBMZ Securities, Inc. in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB. We conducted our audit in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. Our audit included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audit also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audit provides a reasonable basis for our opinion. #### Supplemental Information The supplemental information listed in the accompanying table of contents has been subjected to audit procedures performed in conjunction with the audit of LBMZ Securities, Inc.'s financial statements. The supplemental information is the responsibility of LBMZ Securities, Inc.'s management. Our audit procedures included determining whether the supplemental information reconciles to the underlying accounting and other records, as applicable, and performing procedures to test the completeness and accuracy of the information presented in the supplemental informing our opinion on the supplemental information, we evaluated whether the supplemental information, including its form and content, is presented in conformity with 17 C.F.R. \$240.17a-5. In our opinion, the supplemental information listed in the accompanying table of contents is fairly stated, in all material respects, in relation to the financial statements as a whole. We have served as LBMZ Securities, Inc.'s auditor since 2015. Bloomingdale, IL February 28, 2025 {5}------------------------------------------------ #### STATEMENT OF FINANCIAL CONDITION As of November 30, 2024 | ASSETS | | | |--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|---|--------------------------------------------------------------| | Cash and cash equivalents
Receivable from clearing brokers
Due from affiliate
Other Receivable
Deferred income tax asset
Prepaid Expenses | S | 371,102
1,553,400
86,457
2,041
234,614
23,227 | | TOTAL ASSETS | S | 2,270,841 | | 100000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000 | | | | LIABILITIES AND STOCKHOLDER'S EQUITY | | | | LIABILITIES
Due to affiliate
Accounts payable
Accrued expenses
Total liabilities before accrued interest payable subordinated debt | ട | 658,201
26,233
25,827
710,261 | | Accrued interest payable subordinated debt | | 139,100 | | TOTAL LIABILITIES | | 849,361 | | LIABILITIES SUBORDINATED TO CLAIMS OF GENERAL CREDITORS | | 1,000,000 | | STOCKHOLDER'S EQUITY | | 421,480 | | TOTAL LIABILITIES AND STOCKHOLDER'S EQUITY | ಿ | 2,270,841 | {6}------------------------------------------------ #### STATEMENT OF INCOME For the Year Ended November 30, 2024 | REVENUES
Commissions, executions and clearing fee
Interest
Customer Minimum Activity
Other Income
Total Revenues | \$
1,335,325
745,787
235,983
26,924
2,344,019 | |---------------------------------------------------------------------------------------------------------------------------------|--------------------------------------------------------------| | Expenses | | | Professional and regulatory fees
Salaries and bonuses | 82,642
280,921 | | Execution and Clearing Fees | 823,721 | | Consultants
Marketing | 153,113
112,306 | | Employment expense | 10,040 | | IT expense | 13,856 | | Other | 121,129 | | Net Income before Income Tax | 1,597,728 | | Income | 746,290 | | Income tax expense | 212,730 | | Net Income | \$
533,560 | {7}------------------------------------------------ #### STATEMENT OF CHANGES IN STOCKHOLDER'S EQUITY For the Year Ended November 30, 2024 | | | Common
Stock | Paid In
Capital | Deficit | Total | |----------------------------|---|-----------------|--------------------|----------------|--------------| | BALANCE, November 30, 2023 | ಳ | 1,000 | \$ 1,019,000 | \$ (1,124,816) | \$ (112,079) | | Capital contributed | | | | | | | Net Income/Loss | | | | 533,560 | 533,560 | | BALANCE, November 30, 2024 | | 1 000 | \$ 1,019,000 | \$ (591,256) | 421,481 | Common stock, no par value; 1,000 shares authorized, issued, and outstanding. {8}------------------------------------------------ #### STATEMENT OF CASH FLOWS For the Year Ended November 30, 2024 | CASH FLOWS FROM OPERATING ACTIVITIES | | |------------------------------------------------------------------------------|---------------| | Income | \$
533,560 | | Adjustments to reconcile net income to net cash used in operating activities | | | Deferred income taxes | 212,547 | | Allowance for depreciation | 0 | | (Increase) decrease in: | 149 | | Other receivable from broker | | | Receivables from clearing brokers | (1,018,374) | | Due from affiliate | (41,116) | | Prepaid expenses | (11,663) | | Other receivable | (951) | | Increase (decrease) in: | | | Due to affiliates | 401,595 | | Accounts payable | (49,371) | | Accrued expenses | (3,200) | | Accrued interest payable subordinated debt | 14,550 | | | | | Net Cash Provided by Operating Activities | 37,726 | | CASH FLOWS PROVIDED BY INVESTING ACTIVITIES
Investment in stock | (35) | | NET CASH PROVIDED BY INVESTING ACTIVITIES | (35) | | CASH PROVIDED BY FINANCING ACTIVITIES | | | | | | NET CASH PROVIDED BY FINANCING ACTIVITIES | | | Net Decrease in Cash and Cash Equivalents | 37,691 | | | | | CASH AND CASH EQUIVALENTS, Beginning of Year | 333,463 | | CASH AND CASH EQUIVALENTS, END OF YEAR | \$
371,154 | | Supplemental disclosure of cash flow information: | | | Cash paid during the year for interest | | |----------------------------------------|--| | Income tax payments | | {9}------------------------------------------------ #### STATEMENT OF CHANGES IN SUBORDINATED BORROWINGS For the Year Ended November 30, 2024 Subordinated Debt, Beginning Balance \$1,000,000 New subordinated borrowing SUBORDINATED DEBT, Ending Balance \$1.000.000 {10}------------------------------------------------ NOTES TO FINANCIAL STATEMENTS As of and for the Year Ended November 30, 2024 #### NOTE 1 - Nature of Qperations LBMZ SECURITIES, INC. (the "Company", also known as "ZacksTrade"), a C Corporation, established in 1978 in the state of Illinois, is a fully disclosed, introducing securities broker registered with the Securities and Exchange Commission and is a member of the Financial Industry Regulatory Authority ("FINRA"). The Company derives commission income from retail brokerage operations. Customer accounts are introduced to our clearing broker, Interactive Brokers, LLC on a fully-disclosed basis. #### NOTE 2 - Summary of Significant Accounting Policies #### Government and Other Regulation The Company's business is subject to significant regulation by governmental agencies and self-regulatory organizations. Such regulation includes, among other things, periodic examinations by these requiatory bodies to determine whether the Company is conducting and reporting its operations in accordance with the applicable requirements of these organizations. #### Basis of Presentation The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America ("GAAP") as detailed in the Financial Accounting Standards Board's Accounting Standards Codification ("ASC"). #### Revenue Recognition All commission and clearance fee revenue is recognized in the month in which the transactions associated with the commissions are completed (settlement date). GAAP requires revenue to be recognized in the month in which the transactions associated with the commissions are earned (trade date). Generally, there is no material difference between settlement date and trade date in the recognition of this revenue. The Company recognizes interest income from its customers at Interactive Brokers, LLC. Interest income is accrued, based on the month ending balance in the customers' accounts, and is paid to the Company in the following month. New revenue source for 2024, Minimum Activity Fee. Clearing Agent is charging accounts an inactivity fee, which is shared with the Firm. #### Cash and Equivalents ========================================================================================================================================================= The Company defines cash and equivalents as highly liquid, short term investments with a maturity at the date of acquisition of three months or less. {11}------------------------------------------------ #### NOTES TO FINANCIAL STATEMENTS As of and for the Year Ended November 30, 2024 #### Income Taxes The Company is subject to the accounting standard for uncertainty in income taxes. The tax effects from an uncertain tax position can be recognized in the financial statements, only if the position is more likely than not to be sustained on audit, based on the technical merits of the position. The Company recognizes the financial statement benefit of a tax position only after determining that the relevant tax authority would more likely than not sustain the position following an audit. For tax positions meeting the more likely than not threshold, the amount recognized in the financial statements is the largest benefit that has a greater than 50 percent likelihood of being realized, upon ultimate settlement with the relevant tax authority. When applicable, interest and penalties on uncertain tax positions are calculated based on the guidance from the relevant tax authority and included in income tax expense. The Company did not have any uncertain tax positions as of November 30, 2024 Income tax returns filed or to be filed for the years ended November 30, 2020 through 2024 remain open and are subject to review by applicable tax authorities. #### Deferred Income Taxes Deferred income taxes arise from temporary differences resulting from income and expense items reported for financial accounting and tax purposes in different periods. Valuation allowances are established when necessary to reduce deferred tax assets to the amount expected to be realized. Deferred taxes consist primarily of temporary differences relating to the recognition of certain expenses in different periods for book and tax purposes. Management believe that it is more likely than not that the benefit from this net operating loss carry forward will not be realized in the near team. Consequently, a valuation allowance of \$150,000, was applied against the deferred tax asset related to these net operating loses carryforward. #### Other Receivable from broker Represents cash held in a brokerage account that is not being traded. #### Fair Value of Financial Instruments The Company's short-term financial instruments consist of the following: cash, receivables from clearing broker, investment in stock available for sale, accounts payable and accrued expenses. The carrying values of these short-term financial instruments approximate their estimated fair values based on the instruments short-term nature. For the fiscal year Ended November 30, 2024, there have been no changes in the application of valuation methods applied to similar assets and liabilities. #### Use of Estimates The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. #### Subsequent Events The Company has evaluated subsequent events occurring through the date of the Independent Registered Public Accounting Firm report The Company feels that no material events have occurred through that date would require recording or disclosure in the Company's financial statements. {12}------------------------------------------------ #### NOTES TO FINANCIAL STATEMENTS As of and for the Year Ended November 30, 2024 #### Adoption of new accounting standards The FASB issued (ASU) 2023-07, "Segment Reporting" (Topic 280) which increased disclosure requirements regarding a public entity's reportable seaments effective for fiscal years beginning after December 15, 2023. ASU 2023-07 requires incremental line-item disclosures about each reportable segment's expenses as well as profit and losses. The Company has evaluated the guidance there under and has determined that The Company operates as one operating segment. For further discussion refer to Footnote below, Reportable Segments. #### - Reportable Segments of the Research and many be series of the first of the states The Company is engaged in a single line of business as a securities broker-dealer, which provides brokerage and investment services as an introducing broker for U.S. institutional clients investing in Russia and the Commonwealth of Independent States. The Company has identified its Chief Executive Officer as the chief operating decision maker ("CODM"), who uses net income to evaluate the results of the business, predominantly in the forecasting process, to manage the Company. A CHI PE IS THE PERSON Additionally, the CODM uses excess net capital (see Note 7), which is not a measure of profit and loss, to make operational decisions while maintaining capital adequacy, such as whether to reinvest profits or pay dividends. The Company's operations constitute a single operating segment and therefore, a single reportable segment, because the CODM manages the business activities using information of the Company as a whole. The accounting policies used to measure profit and loss of the segment as the same as those described in the summary of significant accounting policies. I . I . L දිරිපි සිංහල පිහිටා පිහිටු පිහිටු පිහිටි පිහිටි පිහිටි පිහිටි පිහිට #### 100 2 - 1200 - 10, 100 - PRICES PRODUCTION PROFICES: #### Last Sep 1994 September 1992 1992 1992 1992 1992 #### DE MORE A BOOKERS FOR トップ (1) (1) (1) (1) (1) (1) (1) (1) (1) (1) (1) (1) (1) (1) (1) (1) (1) (1) (1) (1) (1) (1) (1) (1) (1) (1) (1) (1) (1) (1) (1) (1) (1) (1) (1) (1) (1) (1) (1) (1) (1) (1) ( a ki sunder libraren a mind si di bela million manager di program per di se they house a was a was a chines and the many of the comments of the comments of the 서울 (1) 이후 대전 197 A LE SE SE SERVICE A BREACH A THE SERVED A LEAST THE CART THE CONSTITUTION OF CANALES AND THE CONSTITUTION OF CHART CONTRACT CONTRACT CONTRACT CONTRACT CONTRACT CONTRACT CONT Rich Park Children Market Mark #### And Children 1 person be 2002 and 1970 per 1999 and the more to the relation in the state the state of the program of the comments of the state のところで、も、 2007年の10月に、 2006年にアイディアイトライブのアイデリアス a production of the same the state of the states of the states of the states of the states による (good broad) (1) 2007 (1) 2007 (contribution #### Carrests of the Car 11 - 11 - 11 - 11 - 19 - 19 - 19 - 11 - 11 - 11 - 11 - 11 - 11 - 11 - 11 - 12 - 11 - 12 - 11 - 12 - 11 - 12 - 12 - 12 - 12 - 12 - 12 - 12 - 12 - 12 - 12 - 12 - 12 - 12 - 12 -ייר היישוב המידע של המילה בין של היה הייתר של היה היה היה היה היה היה היה היה היה היה היה היה היה היה היה היה היה היה היה היה היה היה היה היה היה היה היה היה היה היה היה היה ייר ביינו ביינו {13}------------------------------------------------ NOTES TO FINANCIAL STATEMENTS As of and for the Year Ended November 30, 2024 #### NOTE 3 - Related Party Transactions The Company uses the payroll services of its affiliate, Zacks Investment Research, Inc. ("ZIP"), to process its payroll. ZIR funds the payroll and then charges the Company for its employees' share. ZIR, at times, will also pay for other services provided to the Company, such as professional fees, health insurance, shipping, postage, and the in-house services of ZIR employees. These expenses are then charged to the Company also receives office space and related services from ZIR at no cost. Total charges incurred with ZIR during the Year Ended November 30, 2024 are as follows: | Payroll | \$287,111 | |------------------------|-----------| | IT expense | 17.706 | | Fees and subscriptions | 6.853 | | Employment | 5.088 | | Marketing | 80,666 | | Other expenses | 4.171 | | | | | Total | 401.595 | As of November 30, 2024, \$658,200 of these charges were unpaid and accrued and carried forward to November 30, 2025 as follows: | Balance, November 30, 2023
Charges | \$ 256,605
401,595 | |---------------------------------------|-----------------------| | Payments and credits to affiliate | 0 | | Balance, November 30, 2024 | \$ 658.200 | The Company pays registration and other fees on behalf of employees of its affiliate, Zacks Investment, Inc. ("ZIM") who are also employees of the Company. These expenses are then charged to ZIM. Total fees incurred by the Company, on behalf of ZIM, during the year ended November 30, 2024 are \$163,847. Total charges incurred with ZIM during the year Ended November 30, 2024 are as follows: | Registration Costs | \$63,708 | |--------------------|-----------| | Consulting Fees | \$58.500 | | Email Archive | \$29.272 | | Other | \$12.366 | | Total | \$163.847 | As of November 30, 2024 \$86,457 of these charges were unpaid and accrued and carried forward to November 30, 2024 as follows: | Balance, November 30, 2023 | 45.341 | |----------------------------------|-----------| | Charges | 163,846 | | Payment and credits to affiliate | (122,730) | | Balance, November 30, 2024 | 86.457 | {14}------------------------------------------------ NOTES TO FINANCIAL STATEMENTS As of and for the Year Ended November 30, 2024 #### NOTE 4 - Income Taxes Deferred income tax assets and liabilities are computed annually for differences between and tax basis of assets and liabilities that will result in taxable or deductible amounts in the future based on enacted tax laws and rates applicable to the periods in which the differences are expected to affect taxable income. Valuation allowances are established when necessary to reduce deferred tax assets to the amount expected to be realized. The deferred tax asset as of November 30, 2024, which consists entirely of a deferred income tax asset arising from the recognition of certain expenses in different periods for financial reporting purposes, is as follows: | Deferred: | | |---------------------------------|-----------| | Federal | \$141,832 | | State | 70,898 | | Total deferred income tax asset | \$212,730 | #### NOTE 5- Liabilities Subordinated to Claims of General Creditors Liabilities subordinated to claims of general creditors are payable to the stockholder, bearing interest of 1.2% and 1.3% per annum, respectively, and mature on June 24, 2025, \$500,000 and March 1, 2027, \$50,000. The subordinated borrowings are covered by agreements approved by FINRA and are thus available in computing net capital under the Securities and Exchange Commission's Uniform Net Capital Rule (Rule 15c3-1). To the extent that such borrowings are required for the Company's continued compliance with minimum net capital requirements, they may not be repaid. #### NOTE 6 - Concentrations of Credit Risk The Company maintains cash balances in one financial institution located in Illinois, which at times, may exceed federally insured limits. Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash deposits. Accounts at each institution are insured by the Federal deposit Insurance Corporation ( FDIC ) up to \$250,000. On November 30, 2024, the Company did not have any cash balances in excess of the FDIC insured limits. Deposits with clearing organizations and all securities are uninsured. The Company has not experienced losses on these accounts and management believes the Company is not exposed to significant risks on such accounts. The Company is engaged in various trading and brokerage activities in which counterparties primarily include broker dealers, banks, and other financial institutions. In the event counterparties do not fulfill their obligations, the Company may be at risk, which depends on the creditworthiness of the instrument. It is the Company's policy to review, as necessary, the credit standing of each counterparty. {15}------------------------------------------------ #### NOTES TO FINANCIAL STATEMENTS As of and for the Year Ended November 30, 2024 #### NOTE 7 - Net Capital Requirements The Company is subject to Rule 15c3-1, which requires the maintenance of minimum net capital and requires that the ratio of aggregate indebtedness to net capital, both as defined, not exceed 15 to 1. Rule 15c3-1 also provides that equity capital may not be withdrawn or cash dividends paid if the resulting net capital ratio would exceed 10 to 1. On November 30, 2024, the Company had net capital of \$1,073,977, which was \$1,023,977 in excess of its required net capital of \$50,000. The Company's ratio of aggregate indebtedness to net capital was.95 to 1. Below is the reconciliation between the net capital calculated above and the net capital computed and reported in the Company's November 30, 2024 FOCUS filing: | | Financial Statements | |--------------------------|----------------------| | Total net capital | \$1.073.977 | | Required net capital | 50.000 | | Total excess net capital | \$1,023,977 | {16}------------------------------------------------ EXEMPTION PROVISION UNDER RULE 15c3-3 As of November 30, 2024 The computation for determination of the reserve requirement under Rule 15c3-3 and the information relating to the possession or control requirements under Rule 15c3-3 are not applicable to the Company as the Company qualifies for exemption under Rule 15c3-3(k)(2)(ii). {17}------------------------------------------------ #### SCHEDULE I- COMPUTATION OF NET CAPITAL UNDER RULE 15c3-1 OF THE SECURITIES AND EXCHANGE COMMISSION As of November 30, 2024 #### Broker or Dealer: LBMZ SECURITIES, INC. | | 1. Total ownership equity from Statement of Financial Condition | | | | | | S | 421,481{3480} | |--|----------------------------------------------------------------------------------------------------|----|------------------|---|----------------|----------|---|---------------------------| | | 2. Deduct ownership equity not allowable for Net Capital | | | | | | | ----------------- (3490)} | | | 3. Total ownership equity qualified for Net Capital | | | | | | | 421,481 {3500} | | | 4. Add: | | | | | | | | | | A. Liabilities subordinated to claims of general creditors allowable in computation of net capital | | | | | | | 1.000.000 | | | B. other (deductions) or allowable credits (list) | | | | | | | {3520} -_{3525} | | | 5. Total capital and allowable subordinated liabilities | | | | | | | 1,421,481 {3530} | | | 6. Deductions and/or charges: | | | | | | | | | | A. Total nonallowable assets from Statement of | | | | | | | | | | Financial Condition (Notes B and C)* | | | S | 346,339 {3540} | | | | | | B. Secured demand note deficiency | | | | | - 35907 | | | | | C. Commodity futures contracts and spot commodities- | | | | | | | | | | proprietary capital charges | | | | | - {3600} | | | | | D. other deductions and/or charges | | | | | - {3610} | | 334,517 {3620} | | | 7. other additions and/or allowable credits (list) | | | | | | | - {3630} | | | 8. Net capital before haircuts on securities positions | | | | | | | 1,075,142 {3640} | | | 9. Haircuts on securities (computed, where applicable, pursuant to 15c3-1(f)) | | | | | | | | | | A. Contractual securities commitments
- {3660} | | | | | | | | | | B. Subordinated securities borrowings | | | | | - {3670} | | | | | C. Trading and investment securities: | | | | | | | | | | 1. Exempted securities | | | | | - {3735} | | | | | 2. Debt securities | | | | | - {3733} | | | | | 3. Options | | | | | - {3730} | | | | | 4. other securities | | | | 1,165 | (3734) | | | | | D. Undue concentration | | | | | - {3650} | | | | | E. other (list) | | | | | - {3736} | | () {3/40 | | | 10. Net Capital | | | | | | | 1,073,977 {3750} | | | Non-allowable assets include: | | | | | | | | | | Due from affiliates | \$ | 86,457 | | | | | | | | Other Asset
Deferred Income tax asset | | 2,040
234,614 | | | | | | | | Prepaid Expenses | | 23,228 | | | | | | | | Total non-allowable assets | S | 346,339 | | | | | | {18}------------------------------------------------ #### SCHEDULE I- COMPUTATION OF NET CAPITAL UNDER RULE 15c3-1 OF THE SECURITIES AND EXCHANGE COMMISSION As of November 30, 2023 #### Broker or Dealer: LBMZ SECURITIES, INC. #### Part A | 11. Minimum net capital required (6 2/3% of line 18) | =\$ 47,351 (3756) | |--------------------------------------------------------------------------------------------------|-------------------| | 12. Minimum dollar net capital requirement of reporting broker or dealer and minimum net capital | | | requirement of subsidiary computed in accordance with Note (A) | 50,000 (3758) | | 13. Net capital requirement (greater of line 11 or 12) | 50,000 (3760) | | 14. Excess net capital (line 10 less line 13) | 1,023,977 3770} | | 15. Excess net capital at 1000% (line 10 less 10% of line 18) | 1,002,951{3780} | | | | #### COMPUTATION OF AGGREGATE INDEBTEDNESS | 16. Total A.I. Liabilities from Statement of Financial Condition | | | 710,261 {3790} | |--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------|----------------| | 17. Add: --------------------------------------------------------------------------------------------------------------------------------------------------------------------- | | | | | A. Drafts for immediate credit - 1 - 1 - 1 - 1 - 1 - 1 - 1 - 1 - 1 - 1 - | ရှိနိုင်ငံရှိ ရွာများ ရှိရှိ ရွာများ BotUpload Books များမှာ ၂၁၂ ဖြစ်သည်။ ၂၀၁၄ သန်းချေးရွာအုပ်စု၌ ရွာများ ဧရာဝတီတိုင်းများ ရှိသည်။ ရွာနေရာကုတ်မှာ ၂၁၂ ဖြစ်သည်။ ၂၀၁၄ သန်းချေး | - {3800} | | | B. Market value of securities borrowed for which no equivalent value | | | | | is paid or credited | | ----- (3810) | | | C. other unrecorded amounts (list) | | - {3820} | - {3830} | | 10.000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000000 | | | | | 18. Total aggregate indebtedness | | | 710,261 3840 | | 19. Percentage of aggregate indebtedness to net capital (line 18 / line 10) | | | 66.13%(3850) | | 20. Percentage of debt to debt-equity total computed in accordance with Rule 15c3-1(d) | | | 35.17% {3860} | | | | | | #### NOTES: (A) The minimum net capital requirement should be computed by adding the minimum dollar net capital requirement of the reporting broker-dealer and, for each subsidiary to be consolidated, the greater of: 1. Minimum dollar net capital requirement, or - 2. 6-2/3% of aggregate indebtedness or 2% of aggregate debits if alternative methods used. - (B) Do not deduct the value of securities borrowed under subordination agreements or secured by subordination agreements not in satisfactory form and the market values of memberships in exchanges contributed for use of Company (contra to item 1740) and partners' securities which were included in nonallowable assets. (C) For reports filed pursuant to paragraph (d) of Rule 17a-5, respondent should provide a list of material nonallowable assets. (D) There are no material differences between the amount reported herein and the Form X-17-A-5 Part IIA Filing. (E) There are no material differences between the Audited Statement of Financial Condition.: {19}------------------------------------------------ #### - # !"#\$! %& '()(\*+,-+.\$/01/12 345674854897:;74<8- #### => ?> @?@ A BCDEFE GHIJK7LMNOP8Q7;5R8MS78T7UMN5L8VW5L8RSNUS8:L87X7YWMNZ78W45ZNTN5L8O45Y8[V;78\]U^\_\8NT8U;:NY7K< `Ia6ba\b8\_8cGd]ee8U:WNM:;8:T8W748[V;78\]U^\_\8 | | rs]]et8 | |-----------------------------------------------------------------------------------------------------------|---------------------------------| | 3Ia6baGbaNb8_8fgW7UN:;8`UU5VLM8O548MS78hXU;VTNZ7837L7ONM85O8iVTM5Y74Tf8Y:NLM:NL7K | _
uuuuuuuuuuuuuuuuuuuurs]Het | | iIa6baGbaNNb8_8`;;8UVTM5Y748M4:LT:UMN5LT8U;7:47K8MS45VjS8:L5MS748Q45674_K7:;7485L8:8OV;;P8KNTU;5T7K8Q:TNT | vrs]wet8 | | k:Y785O8i;7:4NLj8lN4YaTb<8Jkmh[`imJnh83[oph[gd8qqi | | 9Ia6ba^b8\_8hX7YWM7K8QP854K7485O8MS78i5YYNTTN5L8aNLU;VK78U5WP85O8;7MM74b rs]xet8 rs]]et8 {20}------------------------------------------------ #### - ! " #\$%&&'() " #\$%&&'() (\* +,-,./01/2&345356 789:;898<;=>;8?@ABCDEFGHIJKJFELDJMGND ! " #\$%&& OP 4QR+/S/0TU-2,0 VW/#\$%&&VXY/2UZ/T2,.R+R,X,- VW/#\$%&&'[)'5)'RR) \* " #\$%&& OP 4QR+/S/0TU-2,0 VW/#\$%&&VXY/2UZ/T2,.R+R,X,- VW/#\$%&&'[)'5)'RR) {21}------------------------------------------------ ![](_page_21_Picture_0.jpeg) Bloomingdale | Chicago #### Report of Independent Registered Public Accounting Firm To the Board of Directors and Stockholders of LBMZ Securities, Inc. #### Opinion on the Financial Statements We have audited the accompanying statement of financial condition of LBMZ Securities, Inc. as of November 30, 2024, the related statements of income, changes in stockholder's equity, changes in subordinated borrowings, and cash flows for the year then ended, and the related notes (collectively referred to as the financial statements). In our opinion, the financial statements present fairly, in all material respects, the financial position of LBMZ Securities, Inc. as of November 30, 2024, and the results of its operations and its cash flows for the fiscal year then ended in conformity with accounting principles generally accepted in the United States of America. #### Basis for Opinion These financial statements are the responsibility of LBMZ Securities, Inc.'s management. Our responsibility is to express an opinion on LBMZ Securities, Inc.'s financial statements based on our audit. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to LBMZ Securities, Inc. in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB. We conducted our audit in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. Our audit included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audit also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audit provides a reasonable basis for our opinion. #### Supplemental Information The supplemental information listed in the accompanying table of contents has been subjected to audit procedures performed in conjunction with the audit of LBMZ Securities, Inc.'s financial statements. The supplemental information is the responsibility of LBMZ Securities, Inc.'s management. Our audit procedures included determining whether the supplemental information reconciles to the underlying accounting and other records, as applicable, and performing procedures to test the completeness and accuracy of the information presented in the supplemental informing our opinion on the supplemental information, we evaluated whether the supplemental information, including its form and content, is presented in conformity with 17 C.F.R. §240.17a-5. In our opinion, the supplemental information listed in the accompanying table of contents is fairly stated, in all material respects, in relation to the financial statements as a whole. We have served as LBMZ Securities, Inc.'s auditor since 2015. Bloomingdale, IL February 28, 2025 {22}------------------------------------------------ # LBMZ Securities, Inc. LBMZ Securities Inc's Exemption Report LBMZ Securities, Inc. (the "Company") is a registered broker-dealer subject to Rule 17a-5 promulgated by the Securities and Exchange Commission (17 C.F.R. §240.17a-5, "Reports to be made by certain brokers and dealers"). This Exemption Report was prepared as required by 17 C.F.R. § 240.17a-5(d)(1) and (4). To the best of its knowledge and belief, the Company states the following: (1) The Company claimed an exemption from 17 C.F.R. § 240.15c3-3 under the following provisions of 17 C.F.R. § 240.15c3-3 (k)(2)(ii) (2) The Company met the identified exemption provisions in 17 C.F.R. § 240.15c3-3(k) throughout the most recent fiscal year without exception. LBMZ Securities, Inc. I, Judith Calder, swear (or affirm) that, to my best knowledge and belief, this Exemption Report is true and correct. By: Title: Chief Compliance Officer February 28, 2025 Source: SEC EDGAR via Adviser Search (https://search.stillhousedata.com). Agents: see https://search.stillhousedata.com/llms.txt.