# METRIC FINANCIAL INC. X-17A-5/A (2021-05-14) — Broker-dealer annual report - Company: METRIC FINANCIAL INC. - Form: X-17A-5/A - Filed: 2021-05-14 - Period: 2020-12-31 - Accession: 0000915224-21-000012 - CIK: 915224 - File #: 8-46684 - Material weakness: No - Auditor: DAVID LUNDGREN & COMPANY, CPAs, CHARTERED - Auditor location: OLATHE, KS - Contact: WILLIAM CRAPPS - Phone: 404-579-0747 - Email: sryll@metnc-financial.com - Website: metric-financ1al.com - Signed by: WILLIAM H. CRAPPS, JR. (CEO) Original filing: https://www.sec.gov/Archives/edgar/data/915224/000091522421000012/metric2020pcaobaudit.pdf --- {0}------------------------------------------------ UNITED Sf ATES SECURITIES AND EXCHANGE COMMISSION Wasbington,D.C. 20549 OMB APPROVAL OMB Number: 3235-0123 Expires: October 31, 2023 Estimated average burden hours rres nse ...... 12.00 SEC FILE NUMBER B-46684 # **ANNUAL AUDITED REPORT FORM X-17 A-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 BEGINNINGQ1/01/2020 | | AND ENDING 12/31 | /2020
MM/DDfYY | | | |--------------------------------------------------------------------------------|--------------------------------------------------------|-------------------|--------------------------------|--|--| | | MMIDDIYY | | | | | | | A. REGISTRANT IDENTIFICATION | | | | | | NAME OF BROKER-DEALER: | Metri | Financial
Inc. | OFACIAL USE ONLY | | | | ADDRESS OF PRINCIPAL PLACE OF BUSINESS: | (Do not use P.O. Box No.) | | FIRM 1.0. NO. | | | | 1910
1180
Peachree
St
Ste
., | | | | | | | | (No. and Street) | | | | | | Atlanta | GA | ·������--- | 30309 | | | | (City) | (State) | | ·��������
(Zip Code) | | | | NAME AND TELEPHONE NUMBER OF PERSON TO CONTACT IN REGARD TO THIS REPORT | | | | | | | | | | (Area Code - Telephone Number) | | | | | B. ACCOUNTANT IDENTIFICATION | | | | | | | | | | | | | INDEPENDENT PUBLIC ACCOUNT ANT whose opinion is contained in this Report*
& | | | | | | | David
Lundgren
Company | | | | | | | | (Name - if individual, state lasl, first, middle name) | | | | | | 505
Mur-Len
Rd. | Olathe | KS | 30309 | | | | (Address) | (City) | (State) | (Zip Code) | | | | CHECK ONE: | | | | | | | Certified Public
Accountant | | | | | | | Public Accountant | | | | | | | §
Accountant not resident in United States or llll)' of its possessions. | | | | | | | | FOR OFFICIAL USE ONLY | | | | | | | | | | | | | | | | | | | | | | | | | | *•claims for exemption from the requirement that the annual report he covered by the opinion of an independent public accountant must be supported by a statement of facts and circumstances relied on as the basis for the exemption. See Section 240.17 a-5(e)(2)* > Potential persont who are to respond to the collection of Information contained In this form are not required to respond unless the form displays **a** currently valld OMB control number. SEC 1410 (11-05) {1}------------------------------------------------ #### OATH OR AFFIRMATION | J,
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_ | | | . __ , swear (or affirm) that, to the best of | | | | | |---------------------------------------------|-------------------------------------------------|---------------------------------------------------------------------------------------------|-----------------------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--|--|--| | | | Metrl Financial Inc. | | my knowledge and belief the accompanying financial statement and supporting schedules pertaining to the firm of | | | | | of | ���
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----- | 20 20 | are true and correct. I further swear (or affirm) that | | | | | | | | | neither the company nor any partner, proprietor. principal officer or director has any proprietary interest in any account | | | | | | classified solely as that of a customer, except | as follows: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | �
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, ., | | | | | 12) | (b) Statement of Financial Condition. | , | CO�.-,,,:, | (c) Statement of Income (Loss) or, if there is other �sivc income in the period(s) presented, a Statement | | | | | ft] | | of Comprehensive Income (as defined in §210.1-02 of Regulation S-X). | | | | | | | | | � I (d) Statement of Changes in Financial Condition. | | | | | | | W' | | (e) Statement of Changes in Stockholders' Equity or Partners' or Sole Proprietors' Capital. | | | | | | | | | (t) Statement of Changes in Liabilities Subordinated to Claims of Creditors. | | | | | | | � � | (g) Computation of Net Capital. | | | | | | | | " | | (h) Computation for Determination of Reserve Requirements Pursuant to Rule l5c3-3. | | | | | | | 0 | | (i) Information Relating to the Possession or Control Requirements Under Rule l5c3-3. | | | | | | | | | | | (j) A Reconciliation, including appropriate explanation of the Computation of Net Capital Under Rule l 5c3- l and the
Computation for Determination of the Reserve Requirements Under Exhibit A of Rule 15c3-3. | | | | | 12] | | | | (k) A Reconciliation between the audited and unaudited Statements of Financial Condition with respect to methods of | | | | | | consolidation. | | | | | | | | | (1) An Oath or Affirmation. | | | | | | | | | | (m) A copy of the SIPC Supplemental Report. | | | | | | | � | | | | (n) A report describing any material inadequacies found to exist or found to have existed since the date of the previous audit. | | | | | | | | | | | | | *\*\*For conditions of confidential treatment of certain portions of this filing, see section 240.J7a-5(e)(3).* {2}------------------------------------------------ Metric Financial Inc. Financial Statements With Report of Registered Public Accounting Firm For the Year Ended December 31, 2020 {3}------------------------------------------------ ### **Metric Financial Inc.** ## **Index to Financial Statements December 31, 2020** | Independent Auditor's Report | 1 | |--------------------------------------------------------------------------------------------------|--------| | Statement of Financial Condition | 2 | | Statement of Operations | 3 | | Statement of Change of Stockholders Equity | 4 | | Statement of Cash Flow | 5 | | Financial Statement Notes | 6-8 | | Supplementary
Info | | | Schedule I - Computation of Net Capital | 9 | | Schedule II - Computation of Determination of Reserve Requirements | 0
1 | | Schedule Ill -
Information for Possession or Control Requirements | 11 | | Review Report by Independent Registered Accounting Firm Related to
Exemption Provision 15c3-3 | 12 | | Metric Financial Exemption Report under Rule 15c3-3 | 13 | | | | {4}------------------------------------------------ DAVID B. LUNCGRl':N, MBA, CPA CATHERINE LUNDGREN MBA, CPA TELEPHONE (91 3) 782-9530 FACSlMILE (913) 782.-9564 #### REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM To the Board of Directors and Shareholders of Metric F!nancial, Inc. #### Opinion on the Financial Statements We have audited the accompanying statement of financial condition of Metric Financial, Inc. as of December 31, 2020, the related statements of operations, changes in stockholder's equity, and cash flows for the year then ended, and the related notes and schedules (collectively referred to as the financial statements). In our opinion, the financial statements present fairly, in all material respects, the financial position of Metric Financial, Inc. as of December 31, 2020, and the results of its operations and its cash flows for the 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 Metric Financial, lnc.'s management. Our responsibility is to express an opinion on Metric Financial, lnc.'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 Metric Financial, 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 Schedule I, II, and Ill have been subjected to audit procedures performed in conjunction with the audit of Metric Financial, lnc.'s financial statements. The supplemental information is the responsibility of Metric Financial, lnc.'s management. Our audit procedures included determining whether the supplemental information reconciles 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 supplemental information. ln forming 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 Schedule I, 11, and Ill are fairly stated, in all material respects, in relation to the financial statements as a whole. Ddc#;,/G We have served as Metric Financial, lnc.'s auditor since 2020. Olathe, Kansas March 29, 2021 {5}------------------------------------------------ ### Metric Financial Inc. STATEMENT OF FINANCIAL CONDITION December 31, 2020 ### ASSETS | Cash | \$
899,891 | |--------------------------------------------------------------------------------------------|---------------| | Accounts Receivable | \$
47,588 | | Prepaid Expenses | \$
2,653 | | Total Assets | \$
950,132 | | | | | LIABILITIES AND STOCKHOLDER'S EQUITY | | | Current Liabilities: | | | Accounts Payable & Accrued Liabilities | \$
479,205 | | Total Current Liabilities | \$
479,205 | | Total Liabilities | \$
479,205 | | | | | Stockholders' Equity | | | Capital stock, \$1 par value, 80,000 shares authorized 2,723 shares issued and outstanding | \$
2,723 | | Additional paid in capital | \$
51,448 | | Retained earnings | \$
416,756 | | Total Stockholder's Equity | \$
470,927 | | Total Liabilities And Stockholders' Equity | \$
950,132 | {6}------------------------------------------------ ### Metric Financial Inc. STATEMENT OF FINANCIAL OPERATIONS For the Year Ended December 31, 2020 | Revenue | | |-------------------------------------------|---------------| | Offering Manager Fee Revenue | \$
953,713 | | Interest Income | \$
13 | | Total Revenue | \$
953,726 | | General and Administrative Expenses: | | | Performance Bonus | \$
400,000 | | Occupancy Costs | \$
2,800 | | Professional Fees | \$
11, 188 | | Consulting Fees | \$
222,755 | | Compliance Fees | \$
18,625 | | Computer Software | \$
29,548 | | Other Expenses | \$
13,861 | | Total General and Administration Expenses | \$
698,777 | | Net Income Before Income Tax | \$
254,949 | | Less: Provision for Income Taxes | \$
59, 136 | | Net income (loss) | \$
195,813 | {7}------------------------------------------------ # **Metric Financial Inc. STATEMENT OF CHANGES IN STOCKHOLDER'S EQUITY** # **For the Year Ended December 31, 2020** | | Common
Stock | Additional
Paid In
Capital | Retained
Earnings | Total | |-----------------------------|-----------------|----------------------------------|----------------------|----------------| | Balance - beginning of year | \$
2,723 | \$
31,448 | \$
220,943 | \$
255, 114 | | Capital contribution | \$ | \$
20,000 | \$ | \$
20,000 | | Net Income (Loss) | \$ | \$ | \$
195,813 | \$
195,813 | | Balance - end of year | \$
2,723 | \$
51,448 | \$
416,756 | \$
470,927 | {8}------------------------------------------------ ### Metric Financial Inc. STATEMENT OF CASH FLOWS For the Year Ended December 31, 2020 | Cash flows from operating activities: | | |----------------------------------------------------------|---------------| | Net Income (Loss) | \$
195,813 | | Change in assets and liabilities: | | | (Increase) Decrease in Accounts Receivable | \$
62,771 | | (Increase) Decrease in Due from Affiliates | \$
10,500 | | Increase (Decrease) in Accounts Payable/Accrued Expenses | \$
355,700 | | Increase (Decrease) in Note Receivable - NPC | \$
7,890 | | (Increase) Decrease in Prepaid Expenses | \$
(2,653) | | | | | Net Cash Provided (Used) by Operating Activities | \$
630,021 | | Cash flows from financing activities: | | | Increase in Additional Paid in Capital | \$
20,000 | | | | | Net Cash Provided (Used) by Financing Activities | \$
20,000 | | Net Increase (Decrease) in Cash | \$
650,021 | | | | | Cash Beginning of the Year | \$
249,870 | | | | | Cash End of the Year | \$
899,891 | {9}------------------------------------------------ ### **Metric Financial Inc. NOTES TO FINANCIAL STATEMENTS For the Year Ended December 31, 2020** ### **Note 1 - Nature of Business** Metric Financial Inc. (the "Company") is a broker-dealer registered with the Securities and Exchange Commission (SEC) and is a member of the Financial Industry Regulatory Authority (FINRA). The Company provides the ability to transact from outside sources in order to distribute investment products and assist in the free flow of securities in the open market. The Company does not hold funds or securities for the accounts of its customers. ### **Note 2 - Summary of Significant Accounting Policies** ### **Basis of Accounting** The Company's policy is to prepare its financial statements in accordance with accounting principles generally accepted in the United States of America under the accrual basis of accounting. The accrual basis of accounting records revenue in the period it is earned rather than when received and records expenses in the period in which incurred rather than when paid. ### **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. ### **Note** 3 - **Revenue Recognition** The Company has adopted Financial accounting Standards Board ("FASB") Accounting Standards Update 2014- 09, Revenue from Contracts with Customers ("ASU 2014-09") and the FASB's Accounting Standards Update 2016- 08, Principal vs Agent Considerations ("ASU-2016-09"). The income reported on the Statement of Financial Operations is comprised of private placement fees and other service fees. The Company considers revenue to be generated when the Company satisfies a performance obligation. Revenue is considered earned when a) Evidence of an arrangement exists; b) The fee is fixed or able to be determinable; C) Performance has occurred; d) Collectability is reasonable assured. Revenues from fees arising from private securities placement in which the Company acts as an agent are recorded pursuant to the terms of the Company's agreements with the respective offering parties. Typically, fees are recorded based upon the capital commitments obtained as of the closing for a respective placement when all performance obligations to the client have been completed. Revenues from fees arising from mergers, acquisitions and other corporate reorganization transactions are recorded as success fees based on the achievement of performance obligations, agreed upon with the client, such as closing of the transaction. {10}------------------------------------------------ ### **Metric Financial Inc. NOTES TO FINANCIAL STATEMENTS For the Year Ended December 31, 2020** ### **Note 4 - Accounts Receivable** At December 31, 2020, accounts receivable consisted of current billings that were collected in January 2021. Accounts receivable are stated at the amount management expects to collect from outstanding accounts. Management provides for probable uncollectable accounts through a provision for bad debt expense and an adjustment to a valuation allowance based on its assessment of the current status of individual accounts. Accounts that are unpaid after management has used reasonable collection efforts are written off through a charge to the valuation allowance and a credit to accounts receivable. As of December 31, 2020, no allowance for uncollectable accounts was deemed necessary. ### **Note 5 - Related Party** Metric Financial Inc. is solely owned by Bilal Malik of Malik Law Group ("MLG") which has entered into an expense sharing agreement with Metric Financial, Inc. During 2020, the Company's expenses, pursuant to the terms of the ESA for the year ended December 31, 2020, were approximately \$2,800. Debt forgiveness in the amount of \$5,600 was given to Metric Financial during the first six months of 2020 due to the office space was not being used during the Covid 19 Pandemic. ### **Note 6 - Net Capital Requirements** Metric Financial Inc. is subject to the SEC Uniform Net Capital 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, shall not exceed 15 to 1. At December 31, 2020, the Company had net capital of \$420,686 which was \$388,739 in excess of its required net capital of \$31,947 USO. ### **Note 7 - Fair Value Measurements** Fair Value - GASB Statements No. 72, Fair Value Measurement and Application, defines fair value as the price that would be received from the sale of an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The Statement establishes a three-level hierarchy of inputs used to measure fair value. - Level 1 inputs are unadjusted quoted prices in active markets for identical assets or liabilities. - Level 2 inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly or indirectly. - Level 3 inputs are unobservable inputs, such as management's assumption of the default rate among mortgages of a mortgage-backed security. The standards provide guidance on applying fair value to altnerative investments, such as hedge and private equity funds. It also enhances disclosure requirements around those types of investments. Fair value measurements are based not on entry prices, but rather on exit prices - the price that would be received to sell the asset or paid to the transfer of the liability. While entry and exit prices differ conceptually, in many cases, they may be identical and can be considered to represent fair value of the asset or liability at initial recognition. {11}------------------------------------------------ #### Metric Financial Inc. NOTES TO FINANCIAL STATEMENTS For the Year Ended December 31, 2020 # Note 8 - Subsequent Events In preparing these financial statements, the Company has evaluated events and transactions for potential recognition or disclosure through March 29, 2021, the date the financial statements were available to be issued. # Note 9 - Commitments and Contingencies Metric Financial, Inc. has made no guarantees, does not have any pending lawsuits or arbitration claims and has no commitments. ### Note 10 - Corporation Conversion Metric Financial, Inc. is currently a C Corporation. In 2020, Metric Financial, Inc. began the process to to become an S Corporation. However, as of December 31, 2020, this election change has not been submitted to the IRS. Therefore, a tax accrual was made for the year 2020, and the FOCUS Part 2A and SSOI for period ending December 31, 2020 has been amended and submitted. {12}------------------------------------------------ #### **Metric Financial Inc. SCHEDULE I COMPUTATION OF NET CAPITAL UNDER RULE 15c3-1 OF THE SECURITIES AND EXCHANGE COMMISSION ACT OF 1934 December 31, 2020** #### **Schedule I** | Total Capital | | \$ 470,927 | | |--------------------------------------------------------------------------|----|-------------|--| | Deductions for Non-Allowable Assets | | | | | Notes, loan receivables and prepaid expenses | | \$ (50,241) | | | Net Capital before haircuts | | \$ 420,686 | | | Haircuts on Securities | | | | | Money market accounts | \$ | | | | Net Capital | | \$ 420,686 | | | COMPUTATION OF BASIC NET CAPITAL REQUIREMENT | | | | | Minimum Net Capital required 6.2/3% of total aggregate indebtedness | s | 31,947 | | | Minimum Dollar Net Capital Requirement of Reporting Broker Dealer | s | 5,000 | | | Net Capital Requirement or Minimum Dollar in Accordance with Rule 15C3-1 | s | 31,947 | | | Excess Net Capital | \$ | 388,739 | | | COMPUTATION OF AGGREGATE INDEBTEDNESS | | | | | Total Liabilities | s | 479,205 | | | Subordinated Debt | \$ | | | | Total Aggregate Indebtedness to Net Capital | s | 479,205 | | | Percentage of Aggregate Indebtedness to Net Capital | | | | #### RECONCILIATION WITH COMPANY'S NET COMPUTATION OF NET CAPITAL INCLUDED IN PART IIA OF FORM X-17A-5 AS OF DECEMBER 31, 2020 There was no significant difference between net capital in Part IIA of Form X-17A-5 and net capital above. {13}------------------------------------------------ ### Metric Financial Inc. SCHEDULE II COMPUTATION FOR DETERMINATION OF THE RESERVE REQUIREMENTS UNDER THE SECURITES AND EXCHANGE COMMISSION RULE 15c3-3 December 31, 2020 The company is exempt from the provisions of Rule 15c3-3 under Securities and Exchange Act of 1934, pursuant to paragraph (k)(2)(i) of the rule. {14}------------------------------------------------ ### Metric Financial Inc. SCHEDULE Ill INFORMATION RELATING TO THE POSSESSION OR CONTROL REQUIREMENTS UNDER THE SECURITES AND EXCHANGE COMMISSION RULE 15c3-3 December 31, 2020 The company is exempt from the provisions of Rule 15c3-3 under Securities and Exchange Act of 1934, pursuant to paragraph (k)(2)(i) of the rule. {15}------------------------------------------------ DAVID 8. LUNDGREN, MBA, CPA CATHERINE LUNDGREN MBA, CPA TELEPHONE (913) 782-9530 FACSIMILE (913) 782-9564 #### REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM To the Board of Directors and Shareholders of Metric Financial, Inc. We have reviewed management's statements, included in the accompanying Exemption Report for year ended December 31, 2020, in which (1) Metric Financial, Inc. identified the following provisions of 17 C.F.R. § 15c3-3(k} under which Metric Financial, Inc. claimed an exemption from 17 C. F. R. §240.15c3-3: (k)(2){i) (exemption provision) and (2) Metric Financlal, Inc. stated that Metric Financial, Inc. met the identified exemption provision throughout the most recent fiscal year without exception. Metric Financial, lnc.'s management is responsible for compliance with the exemption provisions and its statements. Our review was conducted in accordance with the standards of the Public Company Accounting Oversight Board (United States) and, accordingly, included inquiries and other required procedures to obtain evidence about Metric Financial, lnc.'s compliance with the exemption provisions. A review is substantially less In scope than an examination, the objective of which is the expression of an opinion on management's statements. Accordingly, we do not express such an opinion. Based on our review, we are not aware of any material modifications that should be made to management's statements referred to above for them to be fairly stated, in all material respects, based on the provisions set forth in paragraph (k)(2)(i) of Rule 15c3-3 under the Securities Exchange Act of 1934. ���*l* Olathe, Kansas April 9, 2021 {16}------------------------------------------------ ### **Exemption Report** Metric Financial Inc. (the "Firm") is a registered broker-dealer subject to Rule I 7a-5 promulgated by the Securities and ExchangeCommission (t 7 C.F .R. §240.1 ?a-5, "Reports to bemade by certain brokers and dealers"). This Exemption Report was prepared as required by 17 C.F.R. § 240. J 7a-5(d)(l) and (4). To the best of its knowledge and belief, the Firm states the following: Throughout the fiscal year ended December 31, 2020, the Finn met the identified exemption listed below: • The Firm claimed an exemption to SEC Rule l 5c3-3 pursuant to Paragraph k(2){i). The Firm met theexemption identified above throughout themost recent fiscal year without exception. I, William H. Crapps, Jr., swear (or affirm) that, to my best knowledge and belief, this Exemption Report is true and correct. Au�thorized Signa *I.I -*�� ture President/CEO/CCO/F inOp April 5, 2021 1 {17}------------------------------------------------ D,,\_VlD B. LUNDGREN, MB,,\_, CP,,\_ C,,\_THERINE LUNDGREN, MBA, CPA TELEPHONE (913) 782·9530 FACSIMILE (9 I 3) 782·9564 #### REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM ON APPLYING AGREED-UPON PROCEDURES Board of Directors of Metric Financial, Inc. We have performed the procedures included in Rule 17a-5(e)(4) under the Securities Exchange Act of 1934 and with the Securities Investor Protection. Corporation (S!PC) Serles 600 Rules, which are enumerated below, which were agreed to *by* Metric Financial, lnc. (Company) and the SIPC, solely to assist you and the S!PC in evaluating the Company's compliance with the applicable instructions of the General Assessment Reconcifiation (Form S!PC-7) for the year ended December 31, 2020. Management of the Company is responsible for its Form SIPC-7 and for its compliance with those requirements. This agreedupon procedures engagement was conducted in accordance with attestation standards of the Public Company Accounting Oversight Board (United States) and in accordance with attestation standards established by the American Institute of Certified Public Accountants. The sufficiency of these procedures is solely the responsibility of those parties specified in this report. Consequently, we make no representation regarding the sufficiency of the procedures described below either for the purpose for which th is report has been requested *or* for any other purpose. The procedures we performed and our findings are as follows: - 1) Compared the listed assessment payments in Form Sl PC- 7 with respective bank disbursement records entries, noting no differences; - 2) Compared the Total Revenue amount reported on the Annual Audited Report Form X-1 ?A-5 Part Ill for the year ended December 31, 2020 with the Total Revenue amount reported in Form SlPC-7 for the year ended December 31, 2020, noting no differences; - 3) Compared any adjustments reported in Form SIPC-7 with supporting schedules and working papers, noting no differences; · - 4) Recalculated the arithmetical accuracy of the calculations reflected in Form SlPC-7 and in the related schedules and working papers supporting the adjustments, noting no differences; and - 5) Compared the amount of any overpayment applied to the current assessment with the Form SIPC-7 on which it was originally computed, noting no differences. We were not engaged to, and did not conduct an examination, the objective of which would be the expression of an opinion on compliance with the applicable instructions of the Form SIPC-7. Accordingly, we do not express such an opinion. Had we performed additional procedures, other matters might have come to our attention that would have been reported to you. This report is intended solely for the information and use of the specified parties listed above and is not intended to be and should no e used by anyone other than these specified parties. / March 29, 2021 {18}------------------------------------------------ | SIPC-7
(36-REV 12/18) | SECURITIES
General | INVESTOR
PROTECTION
P.O. Box 92185 Washington. D.C. 20090-2185
202-371-8300
Assessment
Reconciliation | CORPORATION | SIPC-7
(36-REV 12/18) | |--------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------------------| | I
SEC
Suite
I | 1. Name of Member, address, Designated Examining Authority, 1934 Act registration no. and month in which fiscal year ends for
purposes of the audit requirement of SEC Rule 1 ?a-5:
8-46684
CRD
33324
Metric Financial, Inc.
1180 West Peachtree Street
1910
Atlanta, GA
30309 | For the fiscal year ended 12/31
/2020
(Read carefully the instructions in your Working Copy before completing this Form)
TO BE FILED BY ALL SIPC MEMBERS WITH FISCAL YEAR ENDINGS
J
_ | _
Note: If any of the information shown on the
mailing label requires correction, please e-mail
any corrections to form@sipc.org and so
indicate on the form filed.
Name and telephone number of person to
contact respecting this form.
Natalie Miller 706-429-2199 | | | 2. A.
B.
C.
D.
E.
F.
PAYMENT:
G.
H. | General Assessment (Item 2e from page 2)
Less payment made with SIPC-6 filed (exclude interest)
Date Paid
Less prior overpayment applied
Assessment balance due or (overpayment)
Interest computed on late payment (see instruction E) for
Total assessment balance and interest due (or overpayment carried forward}
-V the box
Check mailed to P.O. Box 0
Funds Wired D
Total (must be same as F above)
Overpayment carried forward | days at 20% per annum
ACH 0\$
30.57
14
-----------
\$( | \$1430.57
1430.57
\$1430.57
_ | | | and complete.
Dated the E | 3. Subsloranes (S) and predecessors (P) included in this form (give name and 1934 Act registration number):
The SIPC member submitting this form and the
person by whom it is executed represent thereby
that all information contained herein is true, correct
20 21
_ day of January
--
'
This form and the assessment payment is due 60 days after the end of the fiscal year. Retain the Working Copy of this form
for a period of not less than 6 years, the latest 2 years in an easily accessible place. | Metric Financial Inc | (Authonzed S1gnalure)
(T llel | | | a:: Dates:
LU
3:
LU
> Calculations
LU
a::
c:> Exceptions: | Received
Postmarked | Reviewed
Documentation | | Forward Copy | 1 Cl.. Cl) Disposition of exceptions: {19}------------------------------------------------ # **DETERMINATION OF "SIPC NET OPERATING REVENUES" AND GENERAL ASSESSMENT** Amounts for the fiscal period beginning ...;..;;;;..; 2 1.;.;;21;.;; 1 o..;;;02 .;;.... \_ and ending 1213112020 **Item No.** 2a. Total revenue (FOCUS Line 12/Part IIA Line 9, Code 4030) 2b. Additions: (1) Total revenues from the securities business of subsidraries (except foreign subsidiaries) and predecessors not included above. (2) Net loss from principal transactions in securities in trading accounts. (3) Net loss from principal transactions in commodities m trading accounts. (4) Interest and dividend expense deducted m determining item 2a. (5) Net loss from management of or parucrpatlon in the underwriting or distribution of securities. (6) Expenses other than advertising. printing, registration fees and legal fees deducted in determining net profit from management of or parncipanon in underwntrnp or distribution of securities. (7) Net loss tram securities in investment accounts. Total additions 2c. Deductions (1) Revenues from the distribution of shares of a registered open end investment company or unit investment trust, from the sale of variable annuities, from the business of insurance, from investment advisory services rendered to registered investment companies or insurance company separate accounts, and from transactions m security futures products. (2) Revenues from commodity transactions. (3) Commissions, floor brokerage and clearance paid to other SIPC members in connection with securities transactions. (4) Reimbursements for postage in connection with proxy solicitation. (5) Net gain from securities in investment accounts. (6) 100% of commissions and markups earned from transactions m (i) certificates of deposit and (h) Treasury bills, bankers acceptances or commercial paper that mature nine months or less from issuance date. (7) Direct expenses of printing advertising and legal fees incurred in connection with other revenue related to the securities business (revenue defined by Section 16(9)(L) of the Act). (8) Other revenue not related either directly or indirectly to the securities business. (See Instruction C): (Deductions m excess of \$100,000 require documentation) (9) (1) Total interest and dividend expense (FOCUS Line 22/PART IIA Line 13, Code 4075 plus line 2b(4) above) but not in excess of total interest and dividend income. \$ \_ (1i) 40% of margin interest earned on customers securities accounts (40% of FOCUS line 5, Code 3960). \$ \_ Enter the greater of line (i) or (11) Total deductions 2d. SIPC Net Operating Revenues **Eliminate** cents \$953,713.19 **0** \$ **953,713.19** 2e. General Assessment@ .0015 \$ **1430.57** (to page 1, line 2.A.) {20}------------------------------------------------ # **SIPC·7 Instructions** This form is to be filed by all members of the Securities Investor Protection Corporation whose fiscal years end in 2011 and annually thereafter. The form together with the payment is due no later than 60 days after the end of the fiscal year, or after membership termination. Amounts reported herein must be readily reconcilable with the member's records and the Securities and Exchange Commission Rule 17a-5 report filed. Questions pertaining to this form should be directed to SIPC via e-mail at form@sipc.org or by telephoning 202-371-8300. A. For the purposes of this form, the term "SIPC Net Operating Revenues" shall mean gross revenues from the securities business as defined in or pursuant to the applicable sections of the Securities Investor Protection Act of 1970 ("Act") and Article 6 of SIPC's bylaws (see page 4), less item 2c(9) on page 2. B. Gross revenues of subsidiaries, except foreign subsidiaries, are required to be included in SIPC Net Operating Revenues on a consolidated basis except for a subsidiary filing separately as explained hereinafter. If a subsidiary was required to file a Rule 17a-5 annual audited statement of income separately and rs also a SIPC member, then such subsidiary must itself file SIPC-7, pay the assessment, and should not be consolidated in your SIPC-7. SIPC Net Operating Revenues of a predecessor member which are not included in item 2a, were not reported separately and the SIPC assessments were not paid thereon by such predecessor, shall be included in item 2b{1). - C. Your General Assessment should be computed as follows: - (1) *Line 2a* For the applicable period enter total revenue based upon amounts reported in your Rule 17a-5 Annual Audited Statement of Income prepared in conformity with generally accepted accounting principles applicable to securities brokers and dealers. or if exempted from that rule, use X-17A-5 (FOCUS Report) Line 12, Code 4030. - (2) *Adi11stments* The purpose of the adjustments on page 2 is to determine SIPC Net Operating Revenues. - (a) *Additions* Lines 2b{1) through 2b(7) assure that assessable income and gain items of SIPC Net Operating Revenues are totaled, unreduced by any losses (e.g., i a net loss was incurred for the period from all transactions in trading account securities, that net loss does not reduce other assessable revenues). Thus, line 2b(4) would include all short dividend and interest payments including those incurred in reverse conversion accounts, rebates on stock loan positions and repo interest which have been netted in determining line 2(a). - (b) *Deductions* Line 2c{1} through line 2c(9) are either provided for in the statue, as in deduction 2c(1), or are allowed to arrive at an assessment base consisting of net operating revenues from the securities business. For example, line 2c{9) allows for a deduction of either the total of interest and dividend expense (not to exceed interest and dividend income), as reported on FOCUS line 22IPART I A line 13 (Code 4075), plus line 2b(4) or 40% of interest earned on customers' securities accounts (40% of FOCUS Line 5 Code 3960). Be certain to complete both line (1) and (ii), entering the greater of the two m the far right column. Dividends paid to shareholders are not considered 'Expense" and thus are not to be included in the deduction. Likewise, interest and dividends paid to partners pursuant to the partnership agreements would also not be deducted. *If the amount reported on line 2c (8) aggregates to \$100,000 or greater, supporting documentation must accompany the form that identifies these deductions. Examples of support information include; contractual agreements, prospectuses, and limited partnership documentation.* - (i) Determine your SIPC Net Operating Revenues, item 2d, by adding to item 2a, the total of item 2b, and deducting the total of item 2c. - {ii) Multiply SIPC Net Operating Revenues by the applicable rate. Enter the resulting amount in item 2e and on line 2A of page 1. - (iii) Enter on line 28 the assessment due as reflected on the SIPC-6 previously filed. - (iv) Subtract line 28 and 2C from line 2A and enter the difference on line 20. This is the balance due for the period. - (v) Enter interest computed on late payment (if applicable) on line 2E. - (vi) Enter the total due on line 2F and the payment of the amount due on line 2G. - (v11) Enter overpayment carried forward (11 any) on line 2H. D. Any SIPC member which is also a bank (as defined in the Securities Exchange Act of 1934) may exclude from SIPC Net Operating Revenues dividends and interest received on securities in its investment accounts to the extent that it can demonstrate to SIPC's satisfaction that such securities are held, and such dividends and interest are received, solely in connection with its operations as a bank and not in connection with its operations as a broker, dealer or member of a national securities exchange. Any member who excludes from SI PC Net Operating Revenues any dividends or interest pursuant to the preceding sentence shall file with this form a supplementary statement setting forth the amount so excluded and proof of its entitlement to such exclusion. E. *Interest on Assessments* If all or any part of assessment payable under Section 4 of the Act has not been postmarked within 15 days alter the due date thereof, the member shall pay, in addition to the amount of the assessment, interest at the rate of 20% per annum on the unpaid portion of the assessment for each day it has been overdue. F. Securities and Exchange Commission Rule 17a-5(e) (4) requires those who are not exempted from the audit requirement of the rule and whose gross revenues are in excess of \$500,000 to file a supplemental independent public accountants report covering this SIPC-7 no later than 60 days after their fiscal year ends. Mail this completed form to SIPC together with a check for the amount due, made payable to SIPC, using the enclosed return PO BOX envelope, pay via ACH Debit Authorization through SIPC's ACH system at www.sipc.orglfor-memberslassessments or wire the payment to: On the wire identify the name of the firm and its SEC Registration 8-# and label it as "tor assessment." Please fax a copy of the assessment form to (202)-223-1679 or e-mail a copy to form@sipc.org on the same day as the wire. {21}------------------------------------------------ # **From Section 16(9) of the Act:** The term 'gross revenues from the securities business" means the sum of (but without duplication)- (A) commissions earned m .connectio� with transactions 1n securities effected for customers as agent (net of commissions paid to other brokers and dealers m connection with such transactions) and markups with respect to purchases or sales of securities as principal; (B) charges for executing or clearing transactions in secuntres for other brokers and dealers; - (C) the net realized gain, if any, from principal transactions in securities in trading accounts: - (D) the net profit, if any, from the management of or particrpation in the underwriting or distribution of securities; (E) interest earned on customers' securities accounts; (F) fees for investment advisory services (except when rendered to one or more registered investment companies or insurance company separate accounts) or account supervision with respect to securities: (G) fees for the solicitation of proxies with respect to, or tenders or exchanges of, securities; (H) income from service charges or other surcharges with respect to securities; (I) except as otherwise provided by rule of the Commission, dividends and interest received on securities in investment accounts of the broker or dealer; (J) fees in connection with put, call, and other options transactions in securities; (K) commrssions earned for transactions in (1) certificates of deposit, and (1i) Treasury bills, bankers acceptances, or commercial paper which have a maturity at the time of issuance of not exceeding nine months, exclusive of days of grace, or any renewal thereof, the maturity of which is likewise limited, except that SIPC shall by bylaw include m the aggregate of gross revenues only an appropriate percentage of such commissions based on SIPC's loss experience with respect to such instruments over at least the preceding five years; and (L) fees and other income from such other categories of the securities business as SIPC shall provide by bylaw. Such term includes revenues earned by a broker or dealer in connection with a transaction m the portfolio margining account of a customer carried as securities accounts pursuant to a portfolio margining program approved by the Commission. Such term does not include revenues received by a broker or dealer in connection with the distribution of shares of a registered open end investment company or unit investment trust or revenues derived by a broker or dealer from the sales of variable annuities, the business of insurance, or transactions in security futures products. # **From Section 16(14) of the Act:** The term "Security" means any note, stock, treasury stock, bond, debenture. evidence of indebtedness, any collateral trust certificate, preorganization certificate or subscription, transferable share, voting trust certificate. certificate of deposit. certificate of deposit for a security, or any security future as that term is defined in section 78c(a)(55)(A) of this title, any investment contract or certificate of interest or participation in any pr oflt-shannq agreement or in any oil, gas or mineral royalty or lease (if such investment contract or interest rs the subject of a registration statement with the Commission pursuant to the provisions of the Sscunnes Act of 1933 [15 U.S.C. 77a et seq.]), any put, call, straddle, option. or privilege on any security, or group or index of securities (including any interest therein or based on the value thereof). or any put, call. straddle, option, or privilege entered into on a national securities exchange relating to foreign currency, any certificate of interest or participation in, temporary or interim certificate for, receipt for, guarantee of, or warrant or right to subscribe to or purchase or sell any of the foregoing, and any other instrument commonly known as a security. Except as specifically provided above, the term "security" does not include any currency, or any commodity or related contract or futures contract, or any warrant or right to subscribe to or purchase or sell any of the foregoing. #### **From SIPC Bylaw Article 6 (Assessments): Section 1 (f):** The term "gross revenues from the securities business" includes the revenues in the detmition of gross revenues from the securities business set forth in the applicable sections of the Act. ### **Section 3:** For purpose of this article: (a) The term "securities in trading accounts" shall mean securities held for sale m the ordinary course of business and not identified as having been held for investment. (b) The term "securities in investment accounts" shall mean securities that are clearly identified as having been acquired for investment in accordance with provisions of the Internal Revenue Code applicable to dealers in securities. (c) The term "fees and other income from such other categories of the securities business" shall mean all revenue related either directly or indirectly to the securities business except revenue included in Section 16(9)(A}-(L) and revenue specifically excepted in Section 4(c)(3)(C)[ltem 2c(1 ). page 2]. Nole 11 tne amount ol assessment enlered on 1,ne 2e of SIPC-7 rs grealer than 1/2 ot 1% 01 ·gross revenues lrorn lhe securlues business" as ceunec above, you may submu tha: calculatron **along with the SIPC-7** lorrn **to SIPC** and **pay** tne **smaller** amount, subject **to review by your Examining Authority and Dy** SIPC� **SIPC Exam1arng Autb0Clf1es·** | ASE | American Slock Exchange, LLG | | |------|----------------------------------------------|---| | CBOE | Chicago Board Options Exchange, lncorporaled | | | CHX | Chicago Stock Exchange, Incorporated | 4 | FINRA r,nanc,al lnduslry Regulalory Authorrly NYSE Arca, Inc. NASDAQ OMX PHLX **SI PC Securities Investor Protection Corporation** {22}------------------------------------------------ ![](_page_22_Picture_0.jpeg) | Certificate Of Completion | | | | |-------------------------------------------------------------------------|----------------------------------------|-------------------------------------------------------------------------|--| | Envelope Id: C5BE857730FA45C1BA21050631 C988BC | | Status: Completed | | | Subject: Please DocuSign: SIPC 7 2020 Metnc.pdf | | | | | Source Envelope: | | | | | Document Pages: 4
Certificate Pages: 2 | Signatures. 1
Initials; O | Envelope Originator: | | | AutoNav: Disabled | | Scott Ryll Metric Financial | | | Envelopeld Stamping: Disabled | | 1180 W Peachtree St.
Suite 1910 | | | Time Zone: (UTC-05:00) Eastern Time (US & Canada) | | Atlanta, GA 30309 | | | | | sryll@metnc-financial.com | | | | | IPAddress 104.6.218.152 | | | Recora Tracking | | | | | Status: Original | | | | | 1/27/2021 12:44:04 PM | Holder: Scott Ryll Metric Financial | Location: DocuSign | | | | sryll@metric-financ1al.com | | | | Sig11er Events | Signature
l, | Tiinestamp | | | Scott Ryll | DocuSigned by· | Sent· 1/27/2021 12:44: 11 PM | | | sryll@metric-financial.com | ��78� | Viewed: 1/27/2021 12:44:16 PM | | | President | 23 | Signed: 1/27/2021 12:45:28 PM | | | Metric Financial | Signature Adoption: Pre-selected Style | Freeform Signing | | | Security Level: Email, Account Authentication
(None) | Using IP Address: 104.6.218.152 | | | | Electronic Record and Signature Disclosure:
Not Offered via DocuSign | | | | | | | | | | f
�m1on Signer Events
I
Jn | Signature | Times tamp | | | Edltor,
·DeJivery Events | Statµs | Tlmestamp | | | Agent Delivery Events | Status | Tlmestamp | | | Intermediary Delivery Events | Status | Tlmestamp | | | Certified Delivery Events | Status | Timestamp | | | Carbon Copy Events | | | | | Natalie Miller | Status | Timest,amp | | | nmiller@metric-financial.com | COPIED | Sent· 1/27/2021 12:45:29 PM
Viewed. 1/27/2021 12:52:01 PM | | | Security Level: Email, Account Authentication
(None) | | | | | Electronic Record and Signature Disclosure:
Not Offered via DocuSign | | | | | Witnen
Event\$ | Signature | Timestamp | | | NQtary Events | Signafure | Tlmestamp | | | Envelope Sumtnary Events | Status | Timestamps | | | Envelope Sent | Hashed/Encrypted | | | | Certified Delivered | Security Checked | 1/27/2021 12:44:11 PM
1/27/2021 12:44:16 PM
1/27/2021 12:45:28 PM | | Security Checked 1/27/2021 12.45:29 PM Completed {23}------------------------------------------------ | Payment Events | Status | Timestamps | |----------------|--------|------------| | | | | Source: SEC EDGAR via Adviser Search (https://search.stillhousedata.com). Agents: see https://search.stillhousedata.com/llms.txt.