# BEEKMAN SECURITIES, INC. X-17A-5 (2022-02-28) — Broker-dealer annual report - Company: BEEKMAN SECURITIES, INC. - Form: X-17A-5 - Filed: 2022-02-28 - Period: 2021-12-31 - Accession: 0000920974-22-000003 - CIK: 920974 - File #: 8-47069 - Type: Broker-dealer - Material weakness: No - Auditor: Adeptus Partners - Auditor location: NY, NY - Contact: Lynette Federer - Phone: 2035422814 - Signed by: Lynette Federer (Managing Director) Original filing: https://www.sec.gov/Archives/edgar/data/920974/000092097422000003/Oath1.pdf --- {0}------------------------------------------------ BEEKMAN SECURITIES, INC. FINANCIAL STATEMENTS DECEMBER 31, 2021 {1}------------------------------------------------ # **BEEKMAN SECURITIES, INC. FINANCIAL STATEMENTS** December 31, 2021 ### **TABLE OF CONTENTS** Content SEC FORM X-17A-5 Report of Independent PCAOB Registered Public Accounting Firm Statement of Financial Condition Statement of Operations Statement of Changes in Stockholders' Equity Statement of Cash Flows Computation of Net Capital Computation of Control Requirements-15c3-3 Computation of Reserve Requirements-15c3-3 Notes to Financial Statements Exemption Report -Independent PCAOB Registered Public Accounting Firm Exemption Report {2}------------------------------------------------ # BEEKMAN SECURITIES, INC. Statement of Financial Condition December 31, 2021 #### ASSETS | Cash and cash equivalents | \$34,565 | |---------------------------|----------| | Other assets | 3,774 | | TOTAL ASSETS | \$38,339 | #### LIABILITIES AND STOCKHOLDERS' EQUITY | Liabilities | | |------------------------------------------------------------|-----------| | Accounts Payable | \$
251 | | Accrued expenses | 6,443 | | Total Liabilities | 6,694 | | Stockholders' Equity | | | Common Stock -
\$1 par value; authorized 20,000 shares, | 1,225 | | Issued and outstanding, 1,225 shares | | | Additional Paid-in
Capital | 226,507 | | Accumulated Deficit | (196,087) | | Total Stockholders' Equity | 31,645 | | TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY | \$38,339 | {3}------------------------------------------------ # BEEKMAN SECURITIES, INC. Statement of Operations December 31, 2021 | INCOME | | |-------------------------------|------------| | Investment Banking Fee | \$30,000 | | Total Income | 30,000 | | | | | | | | OPERATING EXPENSES | | | Dues & subscriptions | 2,000 | | Insurance | 48,187 | | Other business expenses | 15,000 | | Rent & lease | 19,410 | | Legal & professional services | 2,950 | | Taxes & Licenses | 925 | | Travel | 21,065 | | Pension Expense | 22,000 | | Total Operating Expenses | 109,537 | | Operating loss | (101,537) | | Other income | | | PPP loan forgiveness | 65,413 | | Net loss | (\$36,124) | {4}------------------------------------------------ # BEEKMAN SECURITIES, INC. Statement of Changes in Stockholders' Equity For the Year Ended December 31, 2021 | | Additional
Common Stock
Paid-in | | | | Total Stockholder's | | |-------------------------------|---------------------------------------|---------|-----------|---------------------|---------------------|--| | | Shares | Amount | Capital | Accumulated Deficit | Equity | | | Beginning of Year | 1,225 | \$1,225 | \$226,507 | \$ (159,963) | \$67,769 | | | Net Loss | | | | (\$36,124) | (36,124) | | | Ending Balance 12/31/21 1,225 | | \$1,225 | \$226,507 | (196,087) | \$31,645 | | {5}------------------------------------------------ # BEEKMAN SECURITIES, INC. Statement of Cash Flows For the Year Ended December 31, 2021 | Cash flows from activities | | |--------------------------------------------------------------------------------------|------------| | Net loss | (\$36,124) | | Adjustments to reconcile net loss to net cash
used
in
operating activities: | | | PPP loan forgiveness
Changes in operating assets and liabilities: | (65,413) | | Decrease in accounts payable | (42,013) | | Increase in accrued expenses | 535 | | Decrease in IRS tax liability | (11,559) | | Net cash used in
operating activities | (154,574) | | Cash flows provided by
financing activities: | | | Borrowings from PPP loan | 41,666 | | Net cash provided by
financing activities | 41,666 | | | | | Net decrease in cash and equivalents | (112,908) | | Cash and equivalents, beginning | 147,473 | | Cash and equivalents, end | \$34,565 | {6}------------------------------------------------ # BEEKMAN SECURITIES, INC. Supplemental Information For the Year Ended December 31, 2021 | Computation of Net Capital Under Rule 15c3-3
Of the Securities and exchange Commission | | |-------------------------------------------------------------------------------------------|---------------------------------| | Computation of Net Capital Stockholders' Equity | \$31,645 | | Deductions
–
Non Allowable | (3,774) | | Net Capital, as defined | 27,871 | | Minimum net capital required
Net Capital in excess of minimum requirement | 5,000
\$ 22,871 | | Net Capital less greater of 10% of Aggregate Indebtedness or
120% of Net Capital Req. | \$ 21,872 | | Computation of Aggregate Indebtedness | | | Accounts payable and other liabilities | \$ 6,694 | | Ratio of aggregate indebtedness to net capital | | | Total Aggregate indebtedness
Net Capital | \$
6,694 = .306
\$ 21,872 | | The ratio of aggregate indebtedness to net capital is .245
to 1 | | Compared to the maximum allowable ratio of 15 to 1. There are no material differences between this computation of net capital and the corresponding Computation prepared by the Company and included in its unaudited Part II of the Focus Report as of December 31, 2021 # **Computation for Determination of Reserve Requirements Under Rule 15c3-3 of the Securities and Exchange Commission** The Company has claimed exemption from rule 15c3-3 under the provisions of Footnote 74 of SEC Release No. 34-70073 {7}------------------------------------------------ # BEEKMAN SECURITIES, INC. NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 2021 # NOTE 1 – ORGANIZATION AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Beekman Securities, Inc., (the "Company"), was incorporated September 1990 and is registered broker dealer. The Company is a member of the Financial Industry Regulatory Authority ("FINRA") and is subject to regulation by the United States Securities and Exchange Commission and FINRA. The Company is a non-clearing broker and does not handle any customer funds or securities. The Company was formed to assist its clients in arranging financing for affordable housing and healthcare projects. ### **Revenue Recognition** Revenue from contracts with customers is recognized when, or as, the Company satisfies its performance obligation by transferring the promised services to the customers. The performance obligation satisfied at a point in time is recognized at the point in time the Company determines the customer obtains control over the promised service. The majority of the Company's performance obligations are satisfied at a point in time. For the performance obligation related to the Company serving as an underwriter, control of those bonds transfers to the customer at a point in time. The Company's principal terms of sale are due upon the trade date of the bonds. ## **Cash and Cash Equivalents** The Company considers all highly liquid investments with maturities of three months or less at the time of the purchase to be cash equivalents. ### **Use of Estimates and Accounting Basis** The financial statements of the Company have been prepared on the accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America, which require management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the dates the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. {8}------------------------------------------------ ### **Income Taxes** Deferred income tax assets and liabilities are computed annually for differences between the financial statement and tax basis of assets and liabilities that will result in taxable or deductible amounts in the future based on enacted tax laws and rates applicable to the periods in which the differences are expected to affect taxable income. Valuation allowances are established when necessary to reduce deferred tax assets to the amount expected to be realized. Income tax expense is the tax payable or refundable for the period plus or minus the change during the period in deferred tax assets and liabilities. ### Note 2 – Concentration of Credit Risk The Company maintains cash balances at a financial institution. Accounts at the institution are insured by the Federal Deposit Insurance Corporation ("FDIC') up to \$250,000. As of December 31, 2021, the cash balance did not exceed the FDIC limits. #### Note 3 – Capital Transactions No additional working capital loans were outstanding as of December 31, 2021. ### Note 4 – Leases The Company leases office space on a month to month basis under an operating agreement. As such, the Company has elected the practical expedient for short term leases under ASU-2016-02 and therefore there is no right of use asset or liability recognized on the balance sheet as of December 31, 2021. For the year ended December 31, 2021, rent expense amounted to \$19,410. ### Note 5 – Net Capital Requirements The Company is subject to the net capital requirements of rule 15c3-1 of the Securities Exchange Commission, which requires a broker dealer to have at all times sufficient liquid assets to cover indebtedness. In accordance with the rule, the Company is required to maintain minimum net capital of the \$5,000 or 1/15 of aggregate indebtedness. At December 31, 2021, the Company had net capital, as defined, of \$27,871 which exceeded the required minimum net capital by \$22,871. Aggregate indebtedness at December 31, 2021 totaled \$6,694 and the ratio of aggregate indebtedness to net capital was .306. {9}------------------------------------------------ ### Note 6 – PPP Loan On May 7, 2020, the Company was granted a loan from Cross River in the amount of \$23,747, pursuant to the Paycheck Protection Program (the "PPP") under Division A, Title I of the Coronavirus Aid, Relief, and Economic Security Act (the "Cares Act"), which was enacted March 27, 2020. The loan bears interest at a rate of 1% per annum. Funds from the loan may only be used for payroll cost, cost used to continue group healthcare benefits, mortgage payments, rent, and utilities. On February 25, 2021, the Company was granted an additional loan from First Bank of Greenwich in the amount of \$41,666, under the same terms and retractions. The Company intends to use the entire amount of the loans on qualifying expenses. The loans were forgiven, in its entirety, on January 7, 2021 and July 27, 2021, respectively. ### Note 7 – Subsequent Events The Company has evaluated subsequent events through February 28, 2022, the date the financial statements were available for issuance. Source: SEC EDGAR via Adviser Search (https://search.stillhousedata.com). Agents: see https://search.stillhousedata.com/llms.txt.