# PROFESSIONAL BROKER-DEALER FINANCIAL PLANNING, INC. X-17A-5 (2021-03-26) — Broker-dealer annual report - Company: PROFESSIONAL BROKER-DEALER FINANCIAL PLANNING, INC. - Form: X-17A-5 - Filed: 2021-03-26 - Period: 2020-12-31 - Accession: 0000843108-21-000002 - CIK: 843108 - File #: 8-40598 - Material weakness: No - Auditor: HIGHAM NANCY G. - Auditor location: COLORADO SPRINGS, CO - Contact: BLAINE STAHLMAN - Phone: 3036887581 - Signed by: BLAINE STAHLMAN (PRESIDENT) Original filing: https://www.sec.gov/Archives/edgar/data/843108/000084310821000002/x17a5.pdf --- {0}------------------------------------------------ UNITEDSTATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 0MB APPROVAL 0MB Number: 3235-0123 Expires: October 31, 2023 Estimated average burden hours er resoonse ...... 12.00 SEC FILE NUMBER **8-40598** # **ANNUAL AUDITED REPORT FORM X-17A-5 PART Ill** | FACING PAGE | |---------------------------------------------------------------------------| | Information Required of Brokers and Dealers Pursuant to Section 17 of the | | Securities Exchange Act of 1934 and Rule 17a-5 Thereunder | | REPORT FOR THE PERIOD BEGINNING 01/01/2020 | ------------ | | AND ENDING 12/31/2020 | | | |--------------------------------------------------------------------------------------------|---------------------------------------------------------------------|---------------|--------------------------------|--|--| | | MM/DD/YY | | MM/DD/YY | | | | | A. REGISTRANT IDENTIFICATION | | | | | | NAME OF BROKER-DEALER: PROFESSIONAL BROKER-DEALER FINANCIAL PLANNING,INC | | | OFFICIAL USE ONLY | | | | ADDRESS OF PRINCIPAL PLACE OF BUSINESS: (Do not use P.O. Box No.) | | FIRM I.D. NO. | | | | | 1111 WEST WOLFENSBERGER ROAD | | | | | | | | (No. and Street) | | | | | | CASTLE ROCK | co | | 80109 | | | | (City) | (Slate) | | (Zip Code) | | | | NAME AND TELEPHONE NUMBER OF PERSON TO CONTACT IN REGARD TO THIS REPORT
BLAINE STAHLMAN | | | 303-688-7581 | | | | | | | (Area Code - Telephone Number) | | | | | B. ACCOUNTANT IDENTIFICATION | | | | | | INDEPENDENT PUBLIC ACCOUNTANT whose opinion is contained in this Report* | | | | | | | HIGHAM, NANCY GREEN | | | •· | | | | | (Name - if individual, stale last, first, middle name) | | | | | | 13395 VOYAGER PWKY #130-281 | COLORADO SPRINGS | co | 80921 | | | | (Address) | (City) | (State) | (Zip Code) | | | | CHECK ONE: | | | | | | | j ✓ I
certified Public Accountant | | | | | | | Public Accountant | | | | | | | | Accountant not resident in United States or any of its possessions. | | | | | | | FOR OFFICIAL USE ONLY | | | | | | | | | | | | | | | | | | | | | | | | | | *\*Claims/or exemption from the requirement that the annual report be covered by the opinion of an independent public accountant must be supported by a statement of/acts and circumstances relied on as the basis for the exemption. See Section 240. !7a-5(e)(2)* SEC 1410 (11-05) Potential 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 0MB control number.** {1}------------------------------------------------ ## **OATH OR AFFIRMATION** | I, BLAINE STAHLMAN | , swear (or affirm) that, to the best of | |---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| | PROFESSIONAL BROKER-DEALER FINANCIAL PLANNING,INC | my knowledge and belief the accompanying financial statement and supporting schedules pe1iaining to the firm of
--------------------------------------------,
as | | of DECEMBER 31 | __
~ are true and correct. I further swear (or affirm) that
20_2_0 | | classified solely as that of a customer, except as follows: | neither the company nor any partner, proprietor, principal officer or director has any proprietary interest in any account | | KARMA PATTON
Notary Publi.c
State of Colorado
Notary ID# 20194038275
My Commission Expires 10~07-2023 | ~
~
Signature
PRESIDENT
Title | | This report** contains (check all applicable boxes):
0 (a) Facing Page.
RJ (b) Statement of Financial Condition.
Statement of Changes in Financial Condition.
1£] (d)
0 (e)
0 (f)
Computation of Net Capital.
~ \~!
l:zl (i)
0 U)
consolidation.
0 (I) An Oath or Affirmation.
D (m) A copy of the SIPC Supplemental Report. | [{] (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).
Statement of Changes in Stockholders' Equity or Partners• or Sole Proprietors' Capital.
Statement of Changes in Liabilities Subordinated to Claims of Creditors.
Computation for Determination of Reserve Requirements Pursuant to Rule 15c3-3.
Information Relating to the Possession or Control Requirements Under Rule 15c3-3.
A Reconciliation, including appropriate explanation of the Computation of Net Capital Under Rule l 5c3-1 and the
Computation for Determination of the Reserve Requirements Under Exhibit A of Rule l5c3-3.
0 (k) A Reconciliation between the audited and unaudited Statements of Financial Condition with respect to methods m;
D (n) A report describing any material inadequacies found to exist or found to have existed since the date of the previous audit. | | I
✓
NOTES TO FINANCIAL STATEMENT | ** For conditions of confidential treatment of certain portions of this filing, see section 240.17a-5(e)(3). | | I
✓
FIRM EXCEPTION REPORT | | | I
✓
REVIEW OF FORM EXCEPTION | | | AUDITOR'S REPORT
I | | | | | {2}------------------------------------------------ # NANCY G. HIGHAM, CPA, PC 13395 VOYAGER PARKWAY, SUITE 130-281 COLORADO SPRINGS, CO 80921 719-495-1717 # Independent Auditor's Report To the Shareholder and Board of Director of Professional Broker-Dealer Financial Planning, Inc, Opinion on the Financial Statements I have audited the accompanying statement of financial condition of Professional Broker-Dealer Financial Planning, Inc. as of December 31, 2020, and the related statements of income, changes in ownership equity, 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 Professional Broker-Dealer Financial Planning, Inc. as of December 31, 2020, and the results of its operations and its cash flows for the year ended December 31, 2020, in conformity with accounting principles generally accepted in the United States of America. # Basis for Opinion These financial statements are the responsibility of Professional Broker-Dealer financial Planning, Inc. 's management. I am a public accounting finn registered with the Public Company Accounting Oversight Board (United States) ("PCAOB") and am required to be independent with respect to Professional Broker-Dealer Financial Planning, 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. I conducted my audit in accordance with the standards of the PCAOB. Those standards require that I 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. My 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, My audit also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. I believe that my audit provides a reasonable basis for my opinion. ## Supplemental Information In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Professional Broker-Dealer Financial Planning, Inc. as of December 31, 2020, and the results of its operations and its cash flows for the year then ended in conformity with generally accepted accounting principles. {3}------------------------------------------------ Board of Directors Professional Broker-Dealer Financial Planning, Inc. Page 2 My audit was conducted for the purpose of fmming an opinion of the basic financial statements taken as a whole. The accompanying information contained in the notes to the financial statements and computations of net capital, basic net capital requirement and aggregate indebtedness, is presented for purposes of additional analysis and is not a required part of the basic financial statements, but is supplementary information required by rule l 7a-S under the Securities Exchange Act of 1934. Such infmmation has been subjected to the auditing procedures applied in the audit of the basic financial statements, and in my opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. My audit procedures included dete1mining whether the firm's financial repotts reconcile to the financial statements or the underlying accounting and other records, as applicable, and performing procedures to test the completeness and accuracy of the information presented in the fitm's financial reports. In forming my opinion on the firm's financial repotts, I evaluated whether the firm's financial repmts, including its form and content is presented in conformity with 17 C.F.R. § 240. l 7a-S. In my opinion, the firm's financial reports are fairly stated, in all material respects, in relation to the financial statements as a whole. Nancy G. Higham, CPA, PC February 09, 2021 I have served as Professional Broker-Dealer Financial Planning, Inc.'s auditor since the beginning of the year 2004. {4}------------------------------------------------ **UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549** 0MB APPROVAL 0MB Number: 3235-0123 Estimated average burden hoursperresponse ...... 12.00 # **Form X-17A-5** # **FOCUS REPORT** **(Financial and Operational Combined Uniform Single Report) PART IIAIEl** | (Please read instructions before pr":paring Form.) | | | | | | | |-----------------------------------------------------------------------------------------|----------|--------------------------------------|-----------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------|------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| | This report is being filed pursuant to (Check Applicable Block(s)):
1) Rule 17a-5(a) | r:;7:l]] | | 2) Rule 17a-5(b)
4) Spkiarrequest by designated examining authority | 1171
I rn I | | 3)Rule17a-11I
1181
5) Other I
I 26 I | | NAME OF BROKER-DEALER | | | | | | SEC FILE NO. | | PROFESSIONAL BROKER-DEALER FINANCIAL PLANNING,INC | | | | | | on
8-40598 | | | | | | | 13 | FIRM 1.0. NO.
23651 | | ADDRESS OF PRINCIPAL PLACE OF BUSINESS | | | (Do Not Use P.O. Box No.) | | | [15] | | 1111 WEST WOLFENSBERGER ROAD | | | | | [2o] | FOR PERIOD BEGINNING (MM/00/YY) | | | | (No. and Street) | | | | 01/01/2020
[247 | | CASTLE ROCK | [ffi co | | [22780109 | | | AND ENDING (MM/00/YY) | | (Gity) | | (State) | | (Zip Gode) | | 12/31/2020
[ITT | | NAME AND TELEPHONE NUMBER OF PERSON TO CONTACT IN REGARD TO THIS REPORT | | | | | | (Area Code) -
Telephone No. | | BLAINE STAHLMAN | | | | | [307 | 303-688-7581
[ITT | | NAME(S) OF SUBSIDIARIES OR AFFILIATES CONSOLIDATED IN THIS REPORT: | | | | | | OFFICIAL USE | | | | | | | | | | | | | | | | 00 | | | | | | | | illl | | | | | | | | 00 | | | 7 | | | | | I 40 I NO ~ I 41 I | | | | | | DOES RESPONDENT CARRY ITS OWN CUSTOMER ACCOUNTS?
CHECK HERE IF RESPONDENT IS FILING AN AUDITED REPORT | | YES
I 42
111 | | | | | | | | | | | | EXECUTION:
submitted. | | | | The reQistranVbroker or dealer submitting this Form and its attachments and the person(s) by
whom ,tis executed represent hereby that all information contained therein is true, correct and
~
complete. It is understood that all required items, statements, and schedules are considered
integral parts of this Form and that the submission of any amendment represents that all
unamended items, statements and schedules remain true, correct and complete as previously | | | | Dated the 31 | ~
Manu~g_.!JJ;ture~f: | ~--
_ | | ~
day of .::".:::ec:::EM::::"=e""-------- 20 | | | | 1)
Principal
2) BLAINESTAHLMAN | Executive Officer | or Managing Partner | | | | | | | Principal Financial Officer or Partner
Principal Operations Officer or Partner | | | 3)~~~-~~~-~------------- | | | | ATTENTION - | | Criminal Violations. (See 18 U.S.C. 1001 and 15 U.S.C. 78:f(a)) | | Intentional misstatements or omissions of facts constitute Federal | | L | | control number. | | _J Persons who respond to the collection of information contained In this form
are not required to respond unless the form displays a currently valid 0MB | | SEC 1696 (11-05) 1 of 16 | {5}------------------------------------------------ # **TO BE COMPLETED WITH THE ANNUAL AUDIT REPORT ONLY:** | NAME (If individual, state last, first, middle name)
HIGHAM, NANCY GREEN
ADDRESS | | 70 | | | |----------------------------------------------------------------------------------------|-------------------------|-------|-------------|----| | 13395 VOYAGER PKWY 130-281 | QfJ COLORADO SPRINGS on | CO | OD 80921 | on | | Number and Street | City | State | Zip Code | | | CHECK ONE | | | | | | II] Certified Public Accountant | 00 | | FOR SEC USE | | | D Public Accountant | 00 | | | | | D Accountant not resident in United States
or any of its possessions | [ill | | | | | | | | | | | | | | | | | | | | | | | WORK LOCATION | REPORT DATE
MM/DD/YY | DOC. SEQ. NO. | CARD | | | |---------------|-------------------------|---------------|------|--|--| | L@_ | U1_ | Lfil_ | LR | | | {6}------------------------------------------------ #### BROKER OR DEALER **PROFESSIONAL BROKER-DEALER** ~**FINANCIAL PLANNING.INC N 3** I I I I I I STATEMENT OF FINANCIAL CONDITION FOR NONCARRYING, NONCLEARING AND CERTAIN OTHER BROKERS OR DEALERS **Allowable** 1. Gash .............................................................................. \$ [ml 2. Receivables from brokers or dealers: -------~- ~:\ \$ A. Clearance account.............................................. 3 ---------+s-B. Other ................................................................ .. 3. Receivable from non-customers ............................... . 4. Securities and spot commodities owned at market value: A. Exempted securities .......................................... . B. Debt securities .................................................. . C. Options .............................................................. . D. Other securities ................................................. . E. Spot commodities .............................................. *4* 5. Securities and/or other investments not readily marketable: A. At cost; \$ [no] B. At estimated lair value ..................................... ... 6. Securities borrowed under subordination agreements and partners' individual and capital securities accounts, at market value: A. Exempted securities \$ [iwJ B. Other securities \$ 7. Secured demand ~no~te~s~: -----~~~ Market value of collateral: A. Exempted secunties \$ -------~[i;o]\_1~7~0 8. Other securities \$ QioJ 8. Memberships in e·~xc~h~an~g~es~:----~-~ A. Owned, at market \$ Ow] 8. Owned, at cost .................................................. . C. Contributed for use of the company, at **355 418 419 420** 163295 **424 430** [460] [ml 12/31/2020 Consolidated Unconsolidate **Non-Allowabl~** Iollll \$ I **150** I 0600~ *1*0 [!ITT **830** [iio] [mJ [ml [ii9iiJ market value ........................................................... . **o ------~[6WJ~66=0~** [ill] 9. Investment in and receivables from affiliates, subsidiaries and associated partnerships ..................... .. 10. Property, furniture, equipment, leasehold improvements and rights under lease agreements, at cost-net of accumulated depreciation and amortization .................................................................. . 11. Other assets .................................................................. . 12. TOTAL ASSETS ..................................................... :\\$ [4BoJ **490 535** 163295 **540** \$ [ill] [ill] 7IB"o B 920 --------+---! 133 **735 930** 133**740** \$ 16324B **940**·===========~~ OMIT PENNIES {7}------------------------------------------------ **PAGE40F** 16 {8}------------------------------------------------ #### BROKER OR DEALER PROFESSIONAL BROKER-DEALER FINANCIAL PLANNING.INC as of 12-31-2020 #### STATEMENT OF FINANCIAL CONDITION FOR NONCARRYING, NONCLEARING AND CERTAIN OTHER BROKERS OR DEALERS #### LIABILITIES AND OWNERSHIP EQUITY | | | | A.I. | Non-A.I. | | | | |-----|------------------------------------------------------------------|----------------------|----------------|-------------|--------------|--------------------|-----------------| | | Liabililies | | Liabililies | Liabililies | | Total | | | | 13. Bank loans payable . | \$ | [ill5J | \$ | | i]25511, \$~ _____ | J@70]~14~7=0 | | | 14. Payable to brokers or dealers: | | | | | | | | | A. Clearance account . | | I | | 1315 | | 11560 | | | B. Other . | 1o -------+1'-'1'=15 | | | ~ | | ~ | | | 15. Payable to non-customers | | 1155 | | 1~5 | | 1~0 | | | 16. Securities sold not yet purchased, | | | | IT@) | | | | | at market value .
17. Accounts payable, accrued liabilities, | | | | | | (illoJ | | | expenses and other . | | ITT@] | | [13ijJ | | [Ml | | | 18. Notes and mortgages payable: | | | | | | | | | A. Unsecured . | | | | | | | | | B. Secured | | mm 121[ "!2 | | @@Ji, | -------~1 mm | | | | 19. E. liabilities subordinated to claims | | | | | | | | | of general creditors: | | | | | | | | | A. Cash borrowings: . | | | | IJillj | | r:m:oJ | | | [97o]
1. from outsiders•9 \$ | | | | | | | | | ~
2. includes equity subordination (15c3-• | | | | | | | | | of
\$ | | | | | | | | | B. Securities borrowings, at market value .
[]ill | | | | [illoj | | [fnol | | | \$
from outsiders
C. Pursuant to secured demand note | | | | | | | | | collateral agreements . | | | | IJillj | | [fiaol | | | 1. from outsiders \$
ITT@f1 | | | | | | | | | includes equity subordination (15c3-1 d
2. | | | | | | | | | ~
\$
1mo | | | | | | | | | □. Exchange memberships contributed for | | | | | | | | | use of company, at market value . | | | | [mo) | | Om] | | | Accounts and other borrowings not
E. | | | | | | | | | qualified for net capital purposes . | | | | [IBID | ______ | [TI@) | | 20. | TOTAL LIABILITIES , | \$ | mm 0 \$ | | [illQj \$ | | ~l:illID~17~6=0 | | | Ownership Eguily | | | | | | | | | 21. Sole Proprietorship | | | | \,\$ _______ | | | | | 22. Partnership (limited partners) | _______
11 (\$ | L[iozolu0~2=0) | | | | +[Tiffi~;~""~~~ | | | 23. Corporation: | | | | | | | | | A. Preferred slack . | | | | | | 1791 | | | B. Common stock . | | | | | 150812 | 1792 | | | C. Additional paid-in capital . | | | | | 11600 | 1793 | | | □. Retained earnings | | | | | 1016 | 1794 | | | E. Accumulated other comprehensive income | | | | | | 1797 | | | F. Total . | | | | | 163248 | 1795 | | | G. | | | | | | 1796 | | 24. | | | | | | 163428 | 1800 | | 25. | | | | | | 163248 | 1810 | OMIT PENNIES {9}------------------------------------------------ PAGE6 OF 16 {10}------------------------------------------------ | BROKER OR DEALER PROFEESIONAL BROKER-DEALER FINANCIAL PLANNING.INC | | | | as of 12/31/2020 | | | | |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------|---------------------------------------|---------------|-----------------------------------------|---------------------------|--|--| | COMPUTATION OF NET CAPITAL | | | | | | | | | 1. Total ownership equity from Statement of Financial Condition \$ ----=='-=-~+"'""'I
2. Deduct ownership equity not allowable for Net Capital | | | J9
-'--- ( | 163248
_____ ~4-:c~ | ~
3480
3490
3500 | | | | 3. Total ownership equity qualified for Net Capital .
4. Add:
A. Liabilities subordinated to claims of general creditors allowable in computation of net capital .
B. other {deductions) or allowable credits (List) . | | | | 163248 | 3520
3525 | | | | 5. Total capital and allowable subordinated liabilities \$
Deductions and/or charges:
6.
A. Total non-allowable assets from | , | | | -------~---"
163248 | 3530 | | | | Statement of Financial Condition {Notes 8 and C) 1
B. Secured demand note delinquency
C. Commodity futures contracts and spot commodities - | .~ \$ | _____
_,,13_,_3,_+0001
,,,5~4~0 | ~ | | | | | | proprietary capital charges .
D. other deductions and/or charges
7. Other additions and/or allowable credits (List) | | | I | 133 | 3620
3630 | | | | 8. Net capital before haircuts on securities positions '!!o\$ ____
9. Haircuts on securities (computed, where applicable, pursuant to 15c3-1 {f)):
A. Contractual securities commitments \$ _______ | | | | 1,.:6cc3:,c2-c95'--'-"'36"4""0 | | | | | B. Subordinated securities borrowings
C. Trading and investment securities: | | +~,,,6~6~0 | ~ | | | | | | 1. Exempted securities ,;
Debt securities .
2.
3. Options .
Other securities .
4. | 8 | 3735
3733
3730
3268
3734 | | | | | | | D. Undue Concentration .
E. other (List) | | 3650
3736 | | 3268 | )[3illj | | | | 10. Net Capital | | | | \$~==---"1es60"'0"'2~7=="[mo)"'3"°75""0 | | | | 30 OMIT PENNIES {11}------------------------------------------------ PAGES OF 16 {12}------------------------------------------------ | BROKER OR DEALER PROFESSIONAL BROKER-DEALER FINANCIAL PLANNING,INC | as of 12/31/2020 | | | |-------------------------------------------------------------------------------------------------------------------|------------------|------------------|-----------------| | COMPUTATION OF NET CAPITAL REQUIREMENT | | | | | Parl A | | | | | 11. Minimum net capital required (6%% of line 19) | \$ | ______ | o_~[mfij~37~5~6 | | 12. Minimum dollar net capital requirement of reporting broker or dealer and minimum net capital requirement | | | | | of subsidiaries computed in accordance with Note (A) | \$ | 5000 | 3758 | | 13. Net capital requirement (greater of line 11 or 12) | \$ | 5000 | 3760 | | 14. Excess net capital (line 10 less 13)
15. Excess net capital at 1000% (line 10 less 10% of line 19) :;, \$ | \$ | 155027
154027 | 3770
3780 | | COMPUTATION OF AGGREGATE INDEBTEDNESS | | | | | 16. Total A.I. liabilities from Statement of Financial Condition | \$ | ______ | O~L[mj)J~37~9=0 | | 17. Add: | | | | | A. Drafts for immediate credit 21 \$ | [38oo] | | | | B. Market value of securities borrowed for which no equivalent value | | | | | is paid or credited \$ | @8to] | | | | C. Other unrecorded amounts (List) \$ | ~
\$ | | 3830 | | 18. Tota! aggregate indebtedness | \$ | | 3840 | | 19. Percentage of aggregate indebtedness to net capital (line 18 +byline 10) | % | 0 | 3850 | 20. Percentage of debt to debt-equity total computed in accordance with Rule 15c3-1 (d) ........................................................................ % #### **COMPUTATION OF ALTERNATE NET CAPITAL REQUIREMENT** #### **Parl B** | 21. 2% of combined aggregate debit items as shown in Formula for Reserve Requirements pursuant to Rule 15c3-3 | _______ | |---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-----------------------------------| | prepared as of the date of the net capital computation including both brokers or dealers and consolidated subsidiaries' debits
22. Minimum dollar net capital requirement of reporting broker or dealer and minimum net capital requirement of | \$
~[397ol=39=7=0 | | subsidiaries computed in accordance with Note (A) '2.a \$ -------il"'38,,8"j0 | | | 23. Net capital requirement (greater of line 21 or 22) | \$
_______
+~~37~6'"_0. | | 24. Excess capital (line 10 less 23) | \$
_______
_c.,c39ec1.eJO | | 25. Net capital in excess of the greater of:
A. 5% of combined aggregate debit items or \$120,000 | \$
_______
L[3920)~39""2""0 | #### **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%% of aggregate indebtedness or 4% of aggregate debits if alternative method is used. (B) Do not deduct the value of securities borrowed under subordination agreements or secured demand note covered 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 non~allowable assets. (C) For reports filed pursuant to paragraph (d) of Rule 17a\*5, respondent should provide a list of material non-allowable assets. 0 3860 {13}------------------------------------------------ PAGE 10 OF 16 {14}------------------------------------------------ BROKER OR DEALER PROFESSIONAL BROKER-DEALER FINANCIAL PLANNING.INC For the period (MMDDYY) from,. 01101120 Q9TI]to 12/31/2020 Number of months included in this statement 12 #### STATEMENT OF INCOME (LOSS) or STATEMENT OF COMPREHENSIVE INCOME (as defined in §210.1·02 of Regulation S·XJ, as applicable | | REVENUE | | | | |----|-------------------------------------------------------------------------------------------------|---------|------------------|-----------------| | | 1. Commissions: | | | | | | Commissions on transactions in exchange listed equity securities executed on an exchange
a. | \$ | _______ | -l--"'39c,3"-15 | | | Commissions on listed option transactions 2s --------l-3"'9"'3"-18
b. | | | | | | All other securities commissions
c. | | | 3939 | | | d. Total securities commissions | | | 3940 | | | 2. Gains or losses on firm securities trading accounts | | | | | | From market making in options on a national securities exchange .
a. | | | 3945 | | | b. From all other trading | | | 3949 | | | c. Total gain (loss) . | | | 3950 | | 3. | Gains or losses on firm securities investment accounts . | | | 3952 | | 4. | Profit (loss) from underwriting and selling groups 16 | | 57106 | 3955 | | | 5. Revenue from sale of investment company shares . | | 82342 | 3970 | | | 6. Commodities revenue . | | | 3990 | | | 7. Fees for account supervision, investment advisory and administrative services . | | 8021 | 3975 | | 8. | Other revenue . | | 1426 | 3995 | | 9. | Total revenue | \$ | 148895 | 4030 | | | | | | | | | EXPENSES | | | | | | 10. Salaries and other employment costs for general partners and voting stockholder officers . | | 25000 | 4120 | | | 11. Other employee compensation and benefits . | | 33908 | 4115 | | | 12. Commissions paid to other broker-dealers . | | | 4140 | | | 13. Interest expense . | | | 4075 | | | [4ITrol
Includes interest on accounts subject to subordination agreements
a. | | | | | | 14. Regulatory fees and expenses . | | 4980 | 4195 | | | 15. Other expenses . | | 83991 | 4100 | | | 16. Total expenses . | \$ | 147879 | 4200 | | | | | | | | | NET INCOME/ COMPREHENSIVE INCOME | | | | | | 17. Income (loss) before Federal income taxes and items below (Item 9 less Item 16) . | \$ | 1016 | 4210 | | | 18. Provision for Federal income taxes (for parent only} . | T
28 | | 4220 | | | 19. Equity in earnings (losses) of unconsolidated subsidiaries not included above . | | | 4222 | | | @381
After Federal income taxes of
a. | | | | | | 20.[RESERVED) | | | | | | a.
[RESERVED] | | | | | | 21.[RESERVED] | | | | | | 22.Net income (loss) after Federal income taxes | \$ | -----~~~
1016 | [4230] | | | | | | | | | 23. Other comprehensive income (loss) . | | | @?61 | | | After Federal income taxes of .
a. | | | | | | 24. Comprehensive income (loss) . | | | @?61 | | | | | | | | | MONTHLY INCOME | | | | | | 25. Income (current month only) before provision for Federal income taxes | | \$ _______ ~ @DJ | | {15}------------------------------------------------ PAGE 12 OF 16 {16}------------------------------------------------ | | BROKER OR DEALER PROFESSIONAL BROKER-DEALER FINANCIAL PLANNING,INC | | | | | | | | |----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|----------------------------------|-----------------------------------------|-------------------------------------------------------------------------------------------------|--|--|--|--| | | | | For the period (MMDDYY) from 0110112020 | to 12/31/2020 | | | | | | | STATEMENT OF CHANGES IN OWNERSHIP EQUITY
(SOLE PROPRIETORSHIP, PARTNERSHIP OR CORPORATION) | | | | | | | | | | 1. Balance, beginning of period .
A. Net income (loss) .
B. Additions (Includes non-conforming capita! of
C. Deductions (Includes non-conforming capital of \$
2. Balance, end of period (From item 1800) | ______
______
. :1'1:9 \$ | \$
--+[@7~42~62"")
~ffim~42~7=2) | 162412
4240
1016
4250
4260
0
4270
\$'===-=~16"'3,:,42"'B~[4290]"'42,a9'<'0 | | | | | | | STATEMENT OF CHANGES IN LIABILITIES SUBORDINATED
TO CLAIMS OF GENERAL CREDITORS | | | | | | | | | | 3. Balance, beginning of period 3o \$,
A. Increases
8. Decreases | | ___ | ___,N O_N"'E'-J,4"°30;:;i0
4310
4320 | | | | | | 4. | Balance, end of period (from item 3520) | | | \$'===~N"'O"'N"'E=='[433ol"'4"'33,a,O | | | | | OMIT PENNIES {17}------------------------------------------------ PAGE 14 OF 16 {18}------------------------------------------------ | BROKER OR DEALER PPROFESSIONAL BROKER-DEALER FINANCIAL PLANNING.INC | as of 1213112020 | |---------------------------------------------------------------------------------------------------------------------------------|------------------| | EXEMPTIVE PROVISION UNDER RULE 15c3-3 | | | 24. !I an exemption from Rule 15c3-1 is claimed, identify below the section upon which such exemption is based (check one only) | | | A. (k)(1) -
\$2,500 capital category as per Rule 15c3-1 . | | | B. (k)(2)(A) -
"Special Account for the Exclusive Benefit of customers" maintained . | mm 0 | | C. (k)(2)(B) -
All customer transactions cleared through another broker-dealer on a fully disclosed basis. | | | Name of clearing firm;0 | 4335 | | D. (k)(3) -
Exempted by order of the Commission (include copy of letter) . | | #### Ownership Equity and Subordinated Liabilities maturing or proposed to be withdrawn within the next six months and accruals, (as defined below), which have not been deducted in the computation of Net Capital. | Type of Proposed
Withdrawal or
Accrual
(See below
for code) | | Name of Lender or Contributor | Insider or
Outsider?
(In or Out) | | Amount to be
Withdrawn {cash
amount and/or Net
Capital Value of
Securities) | | (MMDDYY)
Withdrawal or
Maturity
Date | Expect
to
Renew
(Yes or No) | |-------------------------------------------------------------------------|---------|-------------------------------|----------------------------------------|-----------|-----------------------------------------------------------------------------------------|---------|-----------------------------------------------|--------------------------------------| | 'i, | 146001 | | I 4601 I | I4602 I | | I4603 I | I 4604I | I 4605I | | 'i, | [illfil | mm | | [fil2J | | [4illJ | ffi:f,jJ | [4fill | | ' 33 | @oJ | [@l | | [@] | | [@J | [4@J | [ill5J | | 'i, | [illoJ | [illl] | | [4632] | | [@] | [46347 | [4635] | | 35 | [illoJ | @ill | | [@] | | [@] | [ill4l | [illoJ | | | | | | Total S~s | NONE | [ill9J | | | OMIT **PENNIES** Instructions: Detail Listing must include the total of items maturing during the six month period following the report date, regardless of whether or not the capital contribution is expected to be renewed. The schedule must also include proposed capita! withdrawals scheduled within the six month period following the report date including the proposed redemption of stock and anticipated accruals which would cause a reduction of Net Capital. These anticipated accruals would include amounts of bonuses, partners' drawing accounts, taxes, and interest on capital, voluntary contributions to pension or profit sharing plans, etc., which have not been deducted in the computation of Net Capital, but which you anticipate will be paid within the next six months. | WITHDRAWAL CODE: | DESCRIPTIONS | |------------------|--------------------------| | 1. | Equity Capital | | 2. | Subordinated Liabilities | | 3. | Accruals | | | | {19}------------------------------------------------ PAGE 16 OF 16 {20}------------------------------------------------ 2020 Exemption Report for the entire year 01/01/2020 to 12/31/2020 PROFESSIONAL BROKER-DEALER FINANCIAL PLANNING, INC. 1111 WESTWOLFENSBERGER ROAD CASTLE ROCK, CO 80109 The Broker-Dealer Exemption that applies to his business (k)(l) - Exemptions from Securities Exchange Act Rule 15c3 - 3 This exemption is restrictive and reserved that only does direct-way mutual fund or variable annuity business. A broker-dealer is prohibited from claiming the (k)(l) exemption if it conducts any other line of business activity not done as direct way business, but does include all business activities done only as direct way business held by outside custodians. The broker-dealer in discussion with SEC attorneys explained to the broker-dealer that the (k)(l) exemption was written for all direct way business held by outside custodians. The SEC attorneys then said that since all the business of the Broker-Dealer to include best interest selling group, account supervision, administrative service, and other revenue which is simply the interest on the money market account are all held by outside custodians. Outside custodians are synonymous to direct way business written into the act decades ago when only mutual funds and participations in insurance company separate accounts were used as an example at the time, but the law says direct way sales, which all sales held by an outside custodian which is all business done by Professional Broker-Dealer Financial Planning, Inc. Sincerely, *~~-a* Blaine Stahlman, President {21}------------------------------------------------ NANCY G. HIGHAM, CPA, PC 13395 VOYAGER PARKWAY, SUITE 130-281 COLORADO SPRINGS, CO 80921 719-495-1717 February 09, 202 I Professional Broker-Dealer Financial Planning, Inc. 1111 West Wolfensberger Road Castle Rock, CO 80 I 09-9629 #### RE: 12/31/20 Annual Audit Dear Mr. Stahlman: Other than the Internal Control issue described in the management letter, there were no material inadequacies found to exist. Nancy G. Higham, CPA, PC {22}------------------------------------------------ # **PROFESSIONAL BROKER-DEALER FINANCIAL PLANNING, INC STATEMENT OF FINANCIAL CONDITION BALANCE SHEET DECEMBER 31, 2020** ## **ASSETS** ## **CURRENT ASSETS** | TOTAL ASSETS | \$ | 163,428 | |---------------------------------|----------|-------------------| | TOTAL CURRENT ASSETS | \$ | 163,428 | | DEPOSIT WITH FINRA | \$ | 133 | | VANGUARD
WELLS FARGO SAVINGS | \$
\$ | 153,190
10,105 | ### **LIABILITIES AND STOCKHOLDERS EQUITY** | CURRENT LIABILITIES | | |----------------------------------------------------------------|---------------| | DUE TO REGISTERED REPS | \$ | | TOTAL CURRENT LIABILITIES | \$ | | TOTAL LIABILITIES | \$ | | STOCKHOLDERS EQUITY | | | PRIVATE SUBS STOCK, \$1 PAR VALUE; UNLIMITED SHARES AUTHORIZED | \$
150,812 | | RETAINED EARNINGS | 11,600 | | NET INCOME -
CURRENT YEAR | 1,016 | | TOTAL STOCKHOLDERS EQUITY | \$
163,428 | **TOTAL LIABILITIES AND STOCKHOLDERS EQUITY** \$ **163,428** PREPARED BY ~-,,.7 .. <:-/''z;..~'t...-,~------~ BLAINE STAHLMAN PRESIDENT {23}------------------------------------------------ # **PROFESSIONAL BROKER-DEALER FINANCIAL PLANNING, INC. STATEMENT OF CASH FLOWS YEAR ENDED DECEMBER 31, 2020** | Cash flows from operating activities: | | |-------------------------------------------|------------| | Net gain | \$
1016 | | Adjustments to reconcile net gain to net | | | cash provided by operating activities: | | | Receivables from broker/dealers | 0 | | Other receivables | 0 | | Securities owned, net | 0 | | Net payable to broker-dealer and | | | clearing organization | 0 | | Net cash provided by operating activities | 1016 | | Net increase in cash | 1016 | | Cash at beginning of year | 162,412 | | Cash at end of year | \$ 162.412 | {24}------------------------------------------------ # Professional Broker-Dealer Financial Planning, Inc. Notes to Financial Statements # Description of Business and Significant Accounting Policies The Company is a registered broker-dealer incorporated under the laws of the commonwealth of Wyoming. The Company is subject to the rules and regulations of the Securities and Exchange Commission and the Financial Industry Regulatory Authority. # Critical Audit Matters During this 2020 audit, the auditor determined that here were no critical audit matters arising from the current period's audit of the financial statements. The firm does not hold any client assets because all client assets are held by outside SEC AND/OR FINRA MEMBER FIRMS. # Security Transactions PROFESSIONAL BROKER-DEALER FINANCIAL PLANNING, INC. does NOT hold nor cany customer accounts, does NOT do any clearing, and does NOT accept any client investment checks payable to PROFESSIONAL BROKER-DEALER FINANCIAL PLANNING, INC. PROFESSIONAL BROKER-DEALER FINANCIAL PLANNING, INC. does business solely by investment company (example mutual fund) using their investment company subscription application having all clients make all checks payable to the investment company and mailed directly to the investment company who clears the check, the investment company (mutual funds) holds all client accounts and mails all statements directly to the clients. Securities owned are valued at market value. Commission income and investment fees and expenses are recorded upon deposit. Expenses are recorded on date of occurrence. ## Cash and Cash Equivalents The Company considers all highly liquid instruments with an original maturity of three months or less to be cash equivalents. # Concentration of Credit Risk Financial instruments that potentially subject the Company to concentrations of credit risk consist primarily of cash and cash equivalents. All of the Company's cash and cash equivalents are held at high credit quality financial institutions. # Fair Value of Financial Instruments Financial instruments that are subject to fair value disclosure requirements are carried in the financial statements at amounts that approximate fair value and include cash and cash equivalents. Fair values are based on quoted market prices and assumptions concerning the amount and timing of estimated future cash flows and assumed discount rates reflecting vmying degrees of perceived risk. {25}------------------------------------------------ # Use of Estimates The preparation of financial statements in conformity with generally accepted accounting principles 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 revenue and expenses during the reported period, Actual results could differ from those estimates. # SIPC The company is a member of SIPC. SIPC imp01tant notice states "Independent Accountant's Rep01t on Applying Agreed Upon Procedures Related to an Entity's SIPC Assessment Reconciliation," in accordance with SEC Rule 17a-5(e)(4) states any company is required to file this report if it's total revenue is \$500,000 or more. This company's revenue was less than \$500,000 thus no rep01t is required for fiscal year 2020. # Income Taxes The company is an "S" Corporation, and as such has not provided for income taxes. ## Comprehensive Income Statement of Financial Accounting Standards (SFAS) No. 130, Reporting Comprehensive Income, establishes requirements for disclosure of comprehensive income that includes certain items previously not included in the statement of income, including unrealized gains and losses on available-for-sale securities and foreign currency translation adjustment, among others. During the year ended December 31, 2020, the Company did not have any components of comprehensive income to repo1t. ## 2. Securities Owned Marketable securities owned consist of trading and investment securities as follows: | Money market | \$ 163,295 | |---------------|------------| | FINRA deposit | 133 | | | \$162 428 | ## 3. Net Capital Requirements The Company is subject to the Securities and Exchange Commission's Unifmm Net Capital Rule (SEC Rule ] Sc-I), which requires the maintenance of minimum net capital and requires that the ratio of aggregate indebtedness to net capital, both as defined, shall not exceed 15 to 1. At December 31,2020 the Company had capital of \$160,027, which was \$155,027 in excess of its required net capital of \$5,000. The Company had no indebtedness on December 31, 2020. The following is reconciliation between the Company's computation (included in Pait II of Form X-17A-5 as of December 31, 2020 of net capital and the computation based on the audited financial statements. Net capital, as rep01ted in Company's Pait II (Unaudited) Focus Report No adjustments were made during audit ~~ Net Capital \$160,027 0 \$160 027 PREPARED BY BLAINE STAHLMAN. PRESIDENT {26}------------------------------------------------ # NANCY G. HIGHAM, CPA, PC 13395 VOYAGER PARKWAY, SUITE 130-281 COLORADO SPRINGS, CO 80921 719-495-1717 To the Board of Directors Professional Broker-Dealer Financial Planning, Inc. In planning and performing our audit of the financial statements and supplemental schedules of Professional Broker-Dealer Financial Planning, Inc. for the year ended December 31, 2020, we considered **its internal control, including control activities for safeguarding securities, in order to determine our** auditing procedures for the purpose of expressing our opinion on the financial statements and not to **provide assurance on internal control.** Also, as required by rnle 17a-5(g)(l) of the Securities and Exchange Commission ("SEC"), we have made a study of the practices and procedures followed by the Company, including tests of such practices and procedures that we considered relevant to the objectives stated in rnle I 7a-5(g) in making the periodic computations of net capital under rule 17a-3(a)(l 1) and for detennining compliance with the exemptive provisions of rnle 15c3-3. Because the Company does not carry securities accounts for customers or perfo1m custodial functions relating to customer securities, we did not review the practices and procedures followed by the Company in any of the following: **I. Making quarterly securities examinations, counts verifications, and comparisons.** 2. Recordation of difference required by rule 21 ?a-13. 3. Complying with the requirements for prompt payment for securities under Section 8 of Federal Reserve Regulation T of the Board of Governors of the Federal Reserve System. The management of the Company is responsible for establishing and maintaining internal control and the practices and procedures refened to in the preceding paragraph. In fulfilling this responsibility, estimates and judgments by management are required to assess the expected benefits and related costs of controls and the practices and procedures refened to in the preceding paragraph and to assess whether those practices and procedures can be expected to achieve the SEC's above-mentioned objectives. Two of the objectives of internal control and the practices and procedures are to provide management with reasonable but not absolute assurance that assets for which the Company has responsibility are safeguarded against loss from **unauthorized use or disposition and the transactions are executed in accordance with management's** authorization and recorded properly to permit the preparation of financial statements in accordance with generally accepted accounting principles. Rule I 7a-5(g) lists additional objectives of the practices and procedures listed in the preceding paragraph. **Because of inherent limitations in internal control or the practices and procedures refeJTed to above, error or** fraud may occur and not be detected. Also, projection of any evaluation of them to future periods is subject to the risk that they may become inadequate because of the changes in conditions or that the effectiveness of their design and operation may deteriorate. Our consideration of internal control would not necessarily disclose all matters in internal control that might be material weaknesses under standards established by the PCAOB. A material weakness is a condition in which the design or operation of the specified internal control components does not reduce to a relative low level the risk that e,ror or fraud in amounts that would be material in relation to the financial statements being audited may occur and not be detected within a timely period by employees in the nonnal course of perfonning their assigned functions. However, we noted the following matter involving the accounting system and its operation that we consider to be a material weakness as defined above. This {27}------------------------------------------------ Board of Directors Professional Broker-Dealer Financial Planning, Inc. Page 2 condition was considered in detennining the nature, timing, and extent of the procedures to be performed in our audit of the financial statements of Professional Broker-Dealer Financial Planning, Inc. for the year ended December 31, 2020, and this report does not affect our report thereon dated February 09, 2021. Due to the limited nature and small size of the Company's operations not clearing, not holding, and not canying customer accounts, there is no effective segregation of duties between operating and recording functions. N01mal internal controls and procedures for safeguarding of cash and securities possible in larger organizations are not practical in an organization of this size. The president (and majority shareholder) of the Company is aware of the weakness in internal control: however, due to the size of the Company, the president does not believe it is practical to have additional accounting or bookkeeping personnel. The president has informed us that he reviews all transactions and books of original ent1y. We understand that practices and procedures that accomplish the objectives refened to in the second paragraph of this report are considered by the SEC to be adequate for its purposes in accordance with the Securities Exchange Act of I 934 and related regulations, and the practices and procedures that do not accomplish such objectives in all material respects indicate a material inadequacy for such purposes. Based on this understanding and our study, we believe that the Company's practices and procedures were adequate at December 31, 2020, to meet the SEC's objectives. This rep01t is intended solely for the use of the Board of Directors and Stockholder, management, the SEC, and other regulat01y agencies that rely on rule l7a-5(g) under the Securities and Exchange Act of 1934 in the regulation of registered brokers and dealers, and should not be used for any other purpose. '11~ J 4434'~, *Cf.A,* pc\_ Nancy G. Higham, CPA, PC February 09, 2021 Source: SEC EDGAR via Adviser Search (https://search.stillhousedata.com). Agents: see https://search.stillhousedata.com/llms.txt.