# LENOX FINANCIAL SERVICES, INC. X-17A-5 (2025-04-01) — Broker-dealer annual report - Company: LENOX FINANCIAL SERVICES, INC. - Form: X-17A-5 - Filed: 2025-04-01 - Period: 2024-12-31 - Accession: 0000922122-25-000001 - CIK: 922122 - File #: 8-47204 - Type: Broker-dealer - Material weakness: No - Auditor: Davila Advisory LLC - Auditor location: St. Louis, MO - Contact: Douglas Ruth - Phone: 815-485-5559 - Email: lenoxfin@lenoxfin.com - Website: lenoxfin.com - Signed by: Douglas Ruth (President) Original filing: https://www.sec.gov/Archives/edgar/data/922122/000092212225000001/lenoxaudit2024.pdf --- {0}------------------------------------------------ Lenox Financial Services, Inc. (An Illinois Corporation) Financial Statement and Report of Independent Registered Public Accounting Firm Pursuant to Rule 17a-5 For year ended December 31, 2024 Filed as confidential pursuant to Rule 17a-5(d) of the Securities and Exchange Commission {1}------------------------------------------------ QMB APPROVAL **UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549** OMB Number:3235-0123 Expires:Nov. 30, 2026 Estimated average burden hours per response: 12 **ANNUAL REPORTS FORM X-17A-5 PART III** SEC FILE NUMBER 8-47204 **FACING PAGE Information Required Pursuant to Rules 17a-S, 17a-12,and 18a-7 under the Securities Exchange Act of 1934** 01/01/2024 12/31/2024 FILING FOR THE PERIOD BEGINNING AND ENDING MM/DD/YY MM/DD/YY **A. REGISTRANT IDENTIFICATION** Lenox Financial Services, Inc. NAME OF FIRM: TYPE OF REGISTRANT (check all applicable boxes): H Broker-dealer Security-based swap dealer Major security-based swap participant Check here if respondent Is also an OTC derivatives dealer ADDRESS OF PRINCIPAL PLACE OF BUSINESS: (Do not use a P.O. box no.) 322 Alana Drive (No. and Street) New Lenox !L 60451 (City) (State) (Zip Code) PERSON TO CONTACT WITH REGARD TO THIS FILING Douglas Ruth 815-485-5559 **lenoxfin@lenoxfin.com** (Name) (Area Code -Telephone Number) (Email Address) **B. ACCOUNTANT IDENTIFICATION** INDEPENDENT PUBLIC ACCOUNTANT whose reports are contained in this filing\* Davila Advisory LLC (Name-if individual, state last,first, and middle name) 10135 Manchester Road, Suite 206 St. Louis MO 63122 (Address) (City) (State) (Zip Code) 11/21/2019 6667 (Date of Registration with PCA0B)(lf applicable) (PCAOB Registration Number,if applicable) **FOR OFFICIAL USE ONLY** \* Claims for exemption from the requirement that the annual reports be covered by the reports of an independent public **I** accountant must be supported by a statement of facts and circumstances relied on as the basis of the exemption. See 17 CFR 240.17a-5(e)(l)(ii),if applicable. **Persons who are to respond to the collection of information contained inthis form are notrequired to respond unless the form displays a currently valid OMB control number.** {2}------------------------------------------------ #### **OATH OR AFFIRMATION** | Douglas Ruth
I | , swear (or affirm) that, to the best of my knowledge and belief, the | | |--------------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|------| | financial report pertaining to the firm of | Lenox Financial services, me
_— | / as | | jV/VA | true and correct. I further swear (or affirm) that neither the company nor any
, 2r
partner, officer, director,or equivalent person, as the case may be, has any proprietary interest in any account classified solely | | | of
as that
a customer. | | | | | OFFICIAL SEAL | | | | v | Title: | |------|-------|-----------| | | | President | | KgUM | 4Amu? | | **MARY P. McCLANAHAN** Signature: Title: Notary Pyjilic ### **This filing\*\* contains (check all applicable boxes):** - **B**(a) Statement of financial condition. - (b) Notes to consolidated statement of financial condition. - **B** (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). - **B**(d) Statement of cash flows. - **B**(e) Statement of changes in stockholders' or partners' or sole proprietor's equity. - (f) Statement of changes in liabilities subordinated to claims of creditors. - **B**(g) Notes to consolidated financial statements. - **B**(h) Computation of net capital under 17 CFR 240.15c3-lor 17 CFR 240.18a-l, as applicable. - (i) Computation of tangible net worth under 17 CFR 240.18a -2. - .\_ (j) Computation for determination of customer reserve requirements pursuant to Exhibit A to 17 CFR 240.15c3-3. - (k) Computation for determination of security-based swap reserve requirements pursuant to Exhibit B to 17 CFR 240.15c3-3 or Exhibit A to 17 CFR 240.18a-4, as applicable. - (I) Computation for Determination of PAB Requirements under Exhibit A to § 240.15c3-3. - **B**(m) Information relating to possession or control requirements for customers under 17 CFR 240.15c3-3. - (n) Information relating to possession or control requirements for security-based swap customers under 17 CFR 240.15c3-3(p)(2) or 17 CFR 240.183-4, as applicable. - **B** (o) Reconciliations,including appropriate explanations, of the FOCUS Report with computation of net capital or tangible net worth under 17 CFR 240.15c3-l, 17 CFR 240.18a-l, or 17 CFR 240.18a-2, as applicable, and the reserve requirements under 17 CFR 240.15c3-3 or 17 CFR 240.18a-4, as applicable,if material differences exist, or a statement that no material differences exist. - (p) Summary of financial data for subsidiaries not consolidated in the statement of financial condition. - S (q) Oath or affirmation in accordance with 17 CFR 240.17a-5,17 CFR 240.17a -12, or 17 CFR 240.18a-7, as applicable. - (r) Compliance report in accordance with 17 CFR 240.17a-5 or 17 CFR 240.18a-7, as applicable. - **B**(s) Exemption report in accordance with 17 CFR 240.17a-5 or 17 CFR 240.18a-7, as applicable. - (t) Independent public accountant's report based on an examination of the statement of financial condition. - **B** (u) Independent public accountant's report based on an examination of the financial report or financial statements under 17 CFR 240.173-5, 17 CFR 240.18a-7, or 17 CFR 240.17a-12, as applicable. - (v) Independent public accountant's report based on an examination of certain statements in the compliance report under 17 CFR 240.17a-5 or 17 CFR 240.18a-7, as applicable. - **B** (w) Independent public accountant's report based on a review of the exemption report under 17 CFR 240.17a-5 or 17 CFR 240.18a-7, as applicable. - (x) Supplemental reports on applying agreed-upon procedures,in accordance with 17 CFR 240.15c3-le or 17 CFR 240.17a-12, as applicable. - (y) Report describing any material inadequacies found to exist or found to have existed since the date of the previous audit, or a statement that no material inadequacies exist, under 17 CFR 240.17a-12(k). - (z) Other: - *\*\*To request confidential treatment of certain portions of this filing***,** *see 17 CFR 240.17a-S(e)(3) or 17 CFR 240.lRa-7(d)(2), as applicable.* {3}------------------------------------------------ #### LENOX FINANCIAL SERVICES, INC. #### TABLE OF CONTENTS | Cover Page | | 1 | |-------------------------|----------------------------------------------------------------------------------------------------------------------------------------|-------| | Facing Page | | 2 | | Oath of Affirmation | | 3 | | Table of Contents | | 4 | | REPORT OF | ACCOUNTING FIRM
INDEPENDENT REGISTERED PUBLIC | 5 | | FINANCIAL STATEMENTS | | | | | Statement of Financial Condition | 6 | | Statement of Income | | 7 | | | Statement of Changes in Shareholder's Equity | 8 | | Statement of Cash Flows | | 9 | | | Notes to FinancialStatements | 10-13 | | SUPPLEMENTAL SCHEDULES: | | | | Schedule 1: | Computation of Net Capital | 14-15 | | Schedule 2: | Computation of Determination
of Reserve
Requirements for Broker-Dealers and Information for
Possession of ControlRequirements | 16 | | | Report of Independent Registered Public AccountingFirm | 17 | | | MANAGEMENT'S EXEMPTION REPORT | 18 | {4}------------------------------------------------ ![](_page_4_Picture_0.jpeg) # D A V I L A ### REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM Board of Directors and Shareholder of Lenox Financial Services # **Opinion on the Financial Statements** We have audited the accompanying statement of financial condition of Lenox Financial Services (the "Company") as of December 31, 2024, and the related statements of income, changes in shareholder's 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 Lenox Financial Services as of December 31, 2024, 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 the Company's management. Our responsibility is to express an opinion on the Company'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 the Company 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. ## **Auditor's Report on Supplemental Information** The information in Schedule I and II (the "supplemental information") has been subjected to audit procedures performed in conjunction with the audit of the Company's financial statements. The supplemental information is the responsibility of the Company'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. In 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 supplemental information in Schedule I and II is fairly stated, in all material respects, in relation to the financial statements as a whole. We have served as Lenox Financial Services's auditor since 2021. *.LtC.* Saint Louis, Missouri March 27, 2025 **T : ( 314) 965- 9775 F : ( 314) 476 - 9660 W ' www.davilaadvisory.com A: 10135 Manchester Rd , Suite 206, St. Louis, MO 63122** {5}------------------------------------------------ #### Lenox Financial Services, Inc. Statement of Financial Condition December 31, 2024 | Assets | | |----------------------------------------|-----------| | Current Assets | | | Cash | 60,777 | | Investments | 91,734 | | Total Cash Investments | 152,511 | | Other Current Assets | | | Account Receivable | 13,000 | | Hilltop Securities 0497 | 10,816 | | Hilltop Securities 6571 | 15,688 | | Total Other Current Assets | 39,504 | | Total Current Assets | 192,015 | | Fixed Assets | | | Furniture and Equipment | 17,452 | | Accumulated Depreciation | (17,452) | | Total Fixed Assets | 0.00 | | TOTALASSETS | 192,015 | | LIABILITIES & EQUITY | | | Liabilities | | | Current Liabilities | | | Accounts Payable & Accrued Liabilities | 32,868 | | Total Liabilities | 32,868 | | Equity | | | Additional Paid in Capital | 148,236 | | Capital Stock | 100 | | Other Equity | 124,140 | | Retained Earnings | (115,401) | | Net Income | 2,072 | | Total Equity | 159,147 | | TOTAL LIABILITIES & EQUITY | 192,015 | | | | {6}------------------------------------------------ #### Lenox Financial Services, Inc. Statement of Income January through December 2024 | Ordinary Income/Expense | | |---------------------------|---------| | Income | | | Mutual Fund Income | 9,728 | | Commission Income | 63,128 | | Annuity Income | 24,470 | | Management Fees | 23,000 | | Other Income | 33,529 | | Total Income | 153,855 | | Expense | | | Clearing and Execution | 38,212 | | Compensation and Benefits | 93,181 | | Professional Fees | 9,000 | | Rent | 11,000 | | Other Expenses | 390 | | Total Expense | 151,783 | | | | | Net Income | 2,072 | | | | {7}------------------------------------------------ # Lenox FinancialServices,Inc. Statement of Changes in Shareholder's Equity For the Year Ended December 31, 2024 | | Capital
Stock | AdditionalPaid
In Capital | Retained
Earnings | Total | |-------------------------------|------------------|------------------------------|----------------------|-----------| | Balance - January1, 2024 | \$100 | \$147,635 | \$8,739 | \$156,474 | | Contributions | | \$601 | | \$601 | | Net Income (Loss) | | | \$2,072 | \$2,072 | | Balance -
December 31,2024 | \$100 | \$148,236 | \$10,811 | \$159,147 | {8}------------------------------------------------ ### Lenox Financial Services, Inc. Statement of Cashflows For the Year Ending December 31, 2024 | ACTIVITIES
FLOWS FROM OPERATION
CASH
Net income from operations | 2,072 | |----------------------------------------------------------------------------------------------------------------------------------|---------------------------| | NET INCOME TO
TO RECONCILE
ADJUSTMENTS
CASH PROVIDED BY OPERATING ACTIVITIES
Investment Income | (5,136) | | NET CHANGES IN:
Due from Affiliate
Accounts Payable &
Accrual Expenses
Due from Broker | 20,000
(9,105)
060) | | Total Adjustments and Net Changes | 5,599 | | by Operating Activities
Net Cash Provided | 7,671 | | INVESTING ACTIVITIES
CASH FLOWS PROVIDED
BY
Sales of Investments | 1,135 | | Net Cash Provided by Sales of Investments | 1,135 | | BY FINANCING ACTIVITIES
CASH FLOWS PROVIDED
Contributions
Distributions
Net Cash
Provided by Financing Activities | 601
601 | | NET INCREASE IN CASH | 9,407 | | CASH -BEGINNING OF YEAR | 51,370 | | CASH -END
OF YEAR | 60,777 | | SUPPLEMENTAL CASH FLOW DISCLOSURES
Interest Tax Payments
Interest Payments | | | | | {9}------------------------------------------------ # LENOX FINANCIAL SERVICES, INC. NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 2024 # NOTE1- ORGANIZATION AND NATURE OF BUSINESS Lenox FinancialServices,Inc.(the Company) was incorporated inthe state of Illinois on March 28,1994. The Company is registered with the Securities and Exchange commission (SEC) and is a member of the FinancialIndustry Regulatory Authority (FINRA). The Company operates as an introduction broker and as a fully disclosed broker dealer. #### Segment Reporting Lenox FinancialServices,Inc. (LFS) engages in a single line of business as a securities broker-dealer,which is comprised of providing several classes of services,includingprincipaltransactions and agency transactions. LFS has identified its CFO, Douglas Ruth as the Chief OperatingDecision Maker ("CODM"),who uses net income to evaluate the results of the business to manage the Enterprise. Additionally,the CODM uses excess net capital(see Note 4),which is not a measure of profit and loss,to make operational decisions while maintainingcapital adequacy.LFS operations constitute a single operating segment and therefore, a single reportable segment because the CODM manages the business activities usingInformation of the Company as a whole,the accounting policies used to measure the profit and loss of the segment are the same as those described in the summary of significant accounting policies (Note 2). # NOTE 2 -SIGNIFICANT ACCOUNTING POLICIES #### Basis of Presentation The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America (GAAP). #### Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates. #### Revenue Recognition The Company follows ASC Topic 606,Revenue from Contracts with Customers ("ASC Topic 606"). The revenue recognition guidance requires an entity to follow a five-step model to (a) identify the contract(s) with a customer, (b) identify the performance obligations in the contract,(c) determine the transaction price,(d) allocate the transaction price to the performance obligations in the contract,and recognize revenue when (or as) the entity satisfies the performance obligation. Income is derived from the commissions, brokerage fees and management fees charged. Income is recognized when fees are charged in compliance withGAAP when allperformance obligations have been satisfied. In regard to ASC Topic 606, revenue has been disaggregated on the Statement of Operations. No further disaggregation is warranted at December 31,2024. #### Securities Transactions Settled profit and loss arising from all securities transactions are entered into for the account and risk of the Company and are therefore recorded on a trade date basis. Marketable securities,held by the company are valued at fair market value. {10}------------------------------------------------ # LENOX FINANCIAL SERVICES,INC. NOTES TO FINANCIAL STATEMENTS - CONTINUED DECEMBER 31, 2024 ### NOTE 2 -SIGNIFICANT ACCOUNTING POLICIES-CONTINUED #### **Income Taxes** The Company is taxed as an S Corporation;therefore its income flows through to its stockholder's tax returns. As a result, no federal income tax provision is made by the Company. The Company is liable, however,for the Illinois replacement tax of 1.5% of net prescribed income. As of December 31, 2024,the Company's tax returns forth© years 2020 through 2023 are subject to review by its taxing jurisdictions. ### **Statement of Cash Flows** For purposes of the statement of cash flows,the Company has defined cash equivalents as highly liquid investments, with original maturities of less than ninety days which are not held for sale in the ordinary course of business. ### **Employees'Pension Plan** The Company provides a Simplified Employee Pension Plan to its employees who are not under a collective bargaining agreement of certain contract, have performed services for the Company for at least one year,attained the age of 21,and had total annual compensation in excess of \$400. Contributions are based upon each eligible employee's compensation, excluding compensatory leave. The Company contributions are calculated as an amount that can be deducted for federal tax purposes;the Company contribution for 2024 was \$1,248 (per trial balance). The Pension Plan is administered by an outside financial institution. #### NOTE 3-MARKETABLE SECURITIES AND FAIR VALUE MEASUREMENT FASB ASC 820 defines fair value, establishes a framework for measuring fair value, and establishes a fair value hierarchy which prioritizes the inputs to valuation techniques. Fair value is the price that would be received to sell an asset or paid to transfer liability in an orderly transaction between market participants at the measurement date. A fair value measurement assumes that the transaction to sell the asset or transfer the liability occurs in the principal market for the asset or liability or,in the absence of principle market,the most advantageous market. Valuation techniques that are consistent with the market, income or cost approach, as specified by FASB ASC 820, are used to measure fair value. {11}------------------------------------------------ # LENOX FINANCIAL SERVICES,INC. NOTES TO FINANCIAL STATEMENTS-CONTINUED DECEMBER 31.2024 # NOTE 3-MARKETABLE SECURITIES AND FAIR VALUE MEASUREMENT-CONTINUED The fair value hierarchy prioritizes the inputs to valuation techniques used to measure fair value into three broad levels: - Level 1 inputs are quoted prices in active markets for identical assets or liabilities the Company has the ability to assess. - Level 2 inputs are inputs (other than quoted prices included in level1) that are observable for the asset or liability, either directly or indirectly. - Level 3 are unobservable inputs for the asset or liability and rely on management's own assumptions about the assumptions that market participants would use in pricing the asset or liability. (The unobservable inputs should be developed based on the best information available in the circumstances and may include the Company's own data.) **The Company's financial assets that are reported at fair value in the accompanying statement of financial condition as of** December 31,2024 are as follows: | | | Level1 | Level 2 | Level 3 | Total | |------------|-------------------------------|--------|---------|---------|--------| | Securities | | | | | | | | Total Assets at
fair value | 91,734 | | | 91,734 | | | | 91,734 | | | 91,734 | ## NOTE 4-FINANCIAL INSTRUMENTS WITH OFF BALANCE SHEET RISK The Company can enter into various transactions involving derivatives and other off-balance sheet financial instruments. These financial instruments include exchange-traded futures,forwards and options.These derivative transactions are entered into to conduct trading activities, and manage market risks, and are,therefore, subject to varying degrees of market and credit risk. Derivative transactions are entered into for trading purposes or to economically hedge other positions or transactions. The Company traded no derivatives duringthe year ended December 31, 2024. In addition,the Company can sell securities that it does not currently own and would therefore be obligated to purchase such securities at a future date. The Company would record these obligations in the financial statements at fair value of the related securities and would incur a loss if the fair value of the securities subsequently increased. The Company sold no securities that it did not own duringthe year ended December 31, 2024. {12}------------------------------------------------ # LENOX FINANCIAL SERVICES, INC. NOTES TO FINANCIAL STATEMENTS-CONTINUED DECEMBER 31, 2024 ## NOTE 5 -CONCENTRATION OF CREDIT RISK **I** The Company is engaged in various trading and brokerage activities in which counterparties primarily include other financial institutions,in the event counterparties do not fulfilltheir obligations, the Company may be exposed to risk. The risk default depends on the creditworthiness of the counterparty or issuer of the instrument.It is the Company's policy to review, as necessary,the credit standing of each counterparty. #### NOTE 6-RELATED PARTY TRANSACTIONS The Company shares office space and expenses with two affiliated companies.The Company's stockholder is the principalof both affiliated companies. During the year the Company incurred \$20,000 for shared expenses. During the year the Company was paid \$23,000 by the affiliated companies for services performed. Each of the related party transactions was conducted as arm's length transactions. At December 31, 2024, the Company had an outstanding accounts payable due to the affiliated company of \$20,000. #### NOTE 7-ACCOUNTS RECEIVABLE POLICY Accounts receivable are stated at the original invoice amount less an allowance for credit losses, based on a review of all outstanding accounts,in accordance with FASB ASC 326-20,which requires the Company to estimate expected credit losses over the life of its financial assets and certain off-balance sheet exposures as of the reporting date based on relevant information about past events, current conditions,and reasonable and supportable forecasts.The allowance for credit losses is reported as a valuation account on the statement of financialcondition and adjusts the asset's cost basis. Changes in the allowance for credit losses are reported as credit loss expense. Receivables are written off when deemed uncollectible. Any recoveries of receivables previously written off are recorded when received. Management has determined that an allowance for credit losses was not necessary at December 31, 2024. #### NOTE 8 -NET CAPITAL As a broker-dealer,the Company is subject to the net capital provisions of Rule 15c3-1 of the Securities and Exchange Commission (the Uniform Net CapitalRule). The Company computes its net capital under the aggregate indebtedness method which requires the Company to maintain minimum net capital, as defined, equalto the greater 6-2/3% of aggregate indebtedness, as defines,or \$6,000. At December 31, 2024, the Company had net capital of \$151,566 which was in excess of its requirement of \$5,000 by \$146,566. #### NOTE 9-SUBSEQUENT EVENTS In accordance with the provisions set forth in FASB ASC 855,*Subsequent Events,* management has evaluated subsequent events through the date the financial statements were available for issuance. Management has determined that there are no material events that would require adjustments to, or disclosure in,the Company's financial statements. {13}------------------------------------------------ | Lenox FinancialServices,Inc.
Computation of Net CapitalUnder Rule 15c 3-1
of the securities and Exchange Commission - Continued
December
Year
Ended
for
the | Schedule1
31, 2024 | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-----------------------|------------------| | TotalShareholder's Equity | | \$159,147 | | Less - Nonallowable Assets | | | | Other | \$ | | | Assets
Total
Non-allowable | | \$ | | Net Equity Before
Haircuts | | \$159,147 | | Haircuts on Securities | \$
(7,581.00) | | | TotalHaircuts on Securities | | \$
(7,581.00) | | Net Capital | | \$151,566 | | Minimum Net CapitalRequirement | | \$5,000 | | Excess Net
Capital | | \$146,566 | | Net Capital Less 120% of Net CapitalRequirement | | \$145,666 | **I** **There** are no **material** differences **between the** computations above the Company's corresponding unaudited FOCUS Report Part I1A filing, as amended on March 27,2025 See Independent Registered Auditor's Report {14}------------------------------------------------ Schedule 1 Lenox FinancialServices,Inc. Computation of Net CapitalUnder Rule 15c 3-1 of the securities and Exchange Commission - Continued for the Year Ended December 31, 2024 Computation of Aggregate Indebtedness #### Aggregate Indebtedness Items included in the Statement of Financial Condition: | AccountsPayable | \$32,868 | |-----------------|----------| |-----------------|----------| Total Aggregate Indebtedness to Net Capital \$32,868 Percentage of Aggregate Indebtedness to Net Capital 21.69% There are no materialdifferences between the computations above the Company's corresponding unaudited FOCUS Report Part 11A filing, as amended on March 27,2025. See Independent Registered Auditor's Report {15}------------------------------------------------ #### SCHEDULEII # LENOX FINANCIAL SERVICES,INC. COMPUTATION FOR DETERMINATION OF RESERVE REQUIREMENTS FOR BROKER-DEALERS UNDER RULE 15C3-3 AND INFORMATION FOR POSSESSION OR CONTROL REQUIREMENTS UNDER RULE 15C3-3 FOR THE YEAR ENDED DECEMBER 31,2024 The Company does not carry customer accounts as defined by rule 15c3-3 of the Securities Exchange Act of 1934. Therefore, the Company is exempt from the provisions of that rule. See Independent Registered Auditor's Report {16}------------------------------------------------ ![](_page_16_Picture_0.jpeg) #### REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM **Board of Directors and Shareholder of** Lenox Financial Services We have reviewed management's statements, included in the accompanying exemption report, in which (1) Lenox Financial Services identified the following provisions of 17 C.F.R. section 15c3-3(k) under which Lenox Financial Services claims an exemption from 17 CE.R. section 240.15c3-3(k)(2)(ii) (the "exemption provisions") and (2) Lenox Financial Services stated that Lenox Financial Services met the identified exemption provisions throughout the most recent fiscal year ended December 31, 2024 without exception. Lenox Financial Services'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 Lenox Financial Services'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)(ii) of Rule 15c3-3 under the Securities Exchange Act of 1934. *.LLC.* Saint Louis, Missouri March 27, 2025 **T : ( 3 1 4) 9 6 5- 9 7 7 5 F** *' •* **( 3 1 4) 4 7 6 - 9 6 6 0 w : www.davilaadvisory.com A: 1 0 1 3 5 M a n c h e s t e r Rd, Suite 2 0 6 , St. Louis, M O 6 3 1 2 2** {17}------------------------------------------------ ![](_page_17_Picture_0.jpeg) *New Lenox, IL 60451 Telephone: 815-485-5559 708-481-1348 Fax: (815) 485-9130 E-Mail: lenoxjin@jenoxfm.com* LenoxFinancialServices *Douglas S. Ruth, Broker* **I** # **Innovative Solutionsto Achieve FinancialGain** # **The Exemption Report** The following statements are made to the best knowledge and believe of Douglas Ruth as President for Lenox Financial Services, Inc. I, Douglas Ruth, as the President for Lenox Financial Services, Inc., (the Company) am responsible for complying with 17 C.F.R. §240.17a-5, "Reports to be made by certain provisions"). I have performed an evaluation of the Company's compliance with the requirements of 17 C.F.R. §240.15c3-3: K(2)(ii) (the "exemption provisions") and (2) the Company met the identified exemption provisions throughout the most recent fiscal year December 31, 2024 without exception. *ruvfa* Douglas Ruth Lenox Financial Services Date: March 19, 2025 Source: SEC EDGAR via Adviser Search (https://search.stillhousedata.com). Agents: see https://search.stillhousedata.com/llms.txt.