# AMA SECURITIES LLC X-17A-5 (2020-03-03) — Broker-dealer annual report - Company: AMA SECURITIES LLC - Form: X-17A-5 - Filed: 2020-03-03 - Period: 2019-12-31 - Accession: 0001069954-20-000001 - CIK: 1069954 - File #: 8-51263 - Material weakness: No - Auditor: GR Reid Associates, LLP - Auditor location: Woodbury, NY - Contact: Michael Dockman - Phone: 212-682-3344 - Signed by: Michael Dockman (President) Original filing: https://www.sec.gov/Archives/edgar/data/1069954/000106995420000001/publicama.pdf --- {0}------------------------------------------------ UNITEDSf ATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 0MB APPROVAL 0MB Number: 3235-0123 Expires: August 31, 2020 Estimated average burden hours r res onse ...... 12.00 # **ANNUAL AUDITED REPORT FORM X-17A-5 PART Ill** SEC FILE NUMBER S-51263 **FACING PAGE Information Required of Brokers and Dealers Pursuant to Section 17 of the Securities Exchange Act of 1934 and Rule 17a-5 Thereunder** | A. REGISTRANT IDENTIFICATION
AMA SECURITIES, LLC
NAME OF BROKER-DEALER:
ADDRESS OF PRINCIPAL PLACE OF BUSINESS: (Do not use P.O. Box No.)
405 Lexington Avenue, 67th floor
(No. and Street)
New York
NY
(State)
(City)
NAME AND TELEPHONE NUMBER OF PERSON TO CONTACT IN REGARD TO THIS REPORT
Michael Dockman
B. ACCOUNTANT IDENTIFICATION
INDEPENDENT PUBLIC ACCOUNT ANT whose opinion is contained in this Report*
GR REID ASSOCIATES, LLP
(Name - if individual. state last, first, middle name)
7600 Jericho Tpke., Suite 400 Woodbury
NY
(Address)
(City)
(State)
CHECK ONE:
I
✓
Certified Public Accountant
Public Accountant
Accountant not resident in United States or any of its possessions.
FOR OFFICIAL USE ONLY | MM/DD/VY | AND ENDING December 31, 2019 | MM/DDNY | REPORT FOR THE PERIOD BEGINNING January 1, 2019 | | | | |-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------|------------------------------|---------|-------------------------------------------------|--|--|--| | | | | | | | | | | | OFFICIAL USE ONLY | | | | | | | | | FIRM I.D. NO. | | | | | | | | | | | | | | | | | | | | | | | | | | | | 10174 | | | | | | | | | (Zip Code) | | | | | | | | | 212-682-3344 | | | | | | | | (Area Code -Telephone Number) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | 11797 | | | | | | | | | (Zip Code) | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | *Claims for exemption from the requirement that the annual report be covered by the opinion of an independent public accountant | | | | | | | | *must be supported by a statement of facts and circumstances relied on as the basis for the exemption. See Section 240.* J 7 *a-5 (e)(2)* **Potential persons who are to respond to the collection of Information contained In this form are not required to respond unless the form displays a currently valid 0MB control number.** {1}------------------------------------------------ ### OATH OR AFFIRMATION | I | Michael Bockman
, swear (or affinn) that, to the | | |---|-------------------------------------------------------------------------------------------------------------------------------------|---------| | | best ofmy knowledge and belief the accompanying financial statement and supporting schedules pertaining to the finn of | | | | AMA Securities, LLC | , as of | | | December J I~ 2019
, are true and correct. I further swear ( or affinn) that neither the company | | | | nor any partner, proprietor, member, principal officer or director has any proprietary interest In any account classified solely as | | | | that or a customer, except as follows: | | | | | | | | | | | | | | | | | | | | | | | | | | | | TISH.I.\NDI T TAYLOR | | | | .,--
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11 m• 11 | | | | D (d) Statement of Cash Flows | | | | (e) Statement of Changes in Stockholders' or Members' Equity or Partners' or Sole Proprietor's Capital | | | □ | (f) Statement of Changes in Liabilities Subordinated to Claims of Creditors. | | | □ | (g) Computation of Net Capital. | | | □ | D (h) Computation for Detennination of Reserve Requirements Pursuant to Rule lScJ-3. | | | D | (i) lnfonnation Relating to the Possession or control Requirements Under Rule I Sc3-3. | | | | (j) A Reconciliation. including appropriate explanation, of the Computation ofNet Capital Under Rule 1Sc3-1 and the | | | □ | Computation for Detennination of the Reserve Requirements Under Exhibit A of Rule lScJ-3. | | | | D (k) A Reconciliation between the audited and unaudited Statements of Financial Condition with respect to methods of con | | | | | | | | solidation.
[a (ll An Oath or Affirmation. | | | | D (m) A copy of the SIPC Supplemental Report. | | | | | | | | D (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 fl/Ing, see section 240.17 a-S(e)(J).* {2}------------------------------------------------ **AMA SECURITIES, LLC** STATEMENT OF FINANCIAL CONDITION DECEMBER 31, 2019 CONFIDENTIAL TREATMENT REQUESTED {3}------------------------------------------------ ![](_page_3_Picture_1.jpeg) ### **REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM** To the Board of Directors and Shareholders of AMA Securities LLC ### **Opinion on the Financial Statement** We have audited the accompanying statement of financial condition of AMA Securities LLC as of December 31, 2019, and the related notes (collectively referred to as the "financial statemenr). In our opinion, the statement of financial condition presents fairly, in all material respects, the financial position of AMA Securities LLC as of December 31, 2019 in conformity with accounting principles generally accepted in the United States of America. ### **Basis for Opinion** This financial statement is the responsibility of AMA Securities LLC's management. Our responsibility is to express an opinion on AMA Securities LLC's financial statement 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 AMA Securities LLC 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 statement is 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 statement, 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. We have served as AMA Securities LLC's auditor since 2020. Woodbury, NY March 2, 2020 {4}------------------------------------------------ ### **AMA SECURITIES, LLC** STATEMENT OF FINANCIAL CONDITION DECEMBER 31, 2019 | ASSETS | | |---------------------------------------|--------------| | Cash | \$
92,250 | | Other assets | 1,326 | | Total assets | \$
93,576 | | LIABILITIES AND MEMBER'S EQUITY | | | Liabilities: | | | Accounts payable and accrued expenses | 12,000
\$ | | Total liabilities | 12,000 | | Member's Equity: | | | Total member's equity | 8 I ,576 | | Total liabilities and member's equity | 93,576
\$ | *The accompanying notes are an integral part of this statement.* {5}------------------------------------------------ ### **AMA SECURITIES, LLC** NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019 #### **Note 1** - **Nature of Business** AMA Securities, LLC ("the Company") is registered with the Financial Industry Regulatory Authority ("FINRA") as a Broker Dealer and is exempt from Securities and Exchange Rule l 5c3-3 under Section (k)(2)(i). The Company is wholly owned by AMA CP Holdings LLC ("Holdings"). The Company provides investment advice and issues fairness opinions for companies in the transportation and energy industries. ### **Note 2- Summary of Significant Accounting Policies** #### *a) Basis of Presentation* The financial statements are prepared in accordance with accounting principles generally accepted in the Unites States of America. #### *b) Revenue Recognition* Effective January 1, 2018, the Company adopted ASC Topic 606, Revenue from Contracts with Customers ("ASC Topic 606"). The new revenue recognition guidance requires that an entity recognize revenue due to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. The 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 ( e) recognize revenue when (or as) the entity satisfies a performance obligation. In determining the transaction price, an entity may include variable consideration only to the extent that it is probable that a significant reversal in the amount of cumulative revenue recognized would not occur when the uncertainty ·associated with the · variable consideration is resolved. The Company applied the modified retrospective method of adoption which resulted in no adjustment to member's equity as of January l, 2018. The new revenue recognition guidance does not apply to revenue associated with financial instruments, interest income and expense, leasing and insurance contracts. {6}------------------------------------------------ ### AMA SECURITIES, LLC NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019 ### Note 2- Summary of Significant Accounting Policies ( continued) #### *b) Revenue Recognition (continued)* The Company provides advisory services on mergers and acquisitions (M&A). Revenue for advisory arrangements is generally recognized at the point in time that performance under the arrangement is completed (the closing date of the transaction) or the contract is cancelled. However, for certain contracts, revenue is recognized over time for advisory arrangements in which the performance obligations are simultaneously provided by the Company and coQ.sumed by the customer. In some circumstances, significant judgment is needed to determine the timing and measure of progress appropriate for revenue recognition under a specific contract. Retainers and other fees received from customers prior to recognizing revenue are reflected as contract liabilities ( deferred revenue in the accompanying statement of financial condition). ### c) *Use of Estimates* The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America C'GAAP") which 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 amounts of revenues and expenses during the reporting period. Actual results could differ from these estimates. ## *d) Income Taxes* The Company is a limited liability company and treated as a disregarded entity for federal and state income tax purposes. As such, it does not pay any truces. The Company's income or loss is taken into consideration in the tax returns of the members of Holdings for federal and state income tax purposes. {7}------------------------------------------------ ### AMA SECURITIES, LLC NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31, 2019 #### **Note 3 .. Related Party Transactions** Pursuant to the tenns of an agreement with Holdings, the Company shall pay \$2,000 per month to meet certain of its operating expenses including rent, telephone, and utilities. The Company paid \$24,000 to Holdings during 2019. #### **Note4- Net Capital Requirement** The Company is subject to the Securities and Exchange Commission's Net Capital Rule 15c3-l, 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 1,500%. At December 31, 2019, the Company's net capital of \$80,250 was \$30,250 in excess of its required net capital of \$50,000. The ratio of aggregate indebtedness to net capital was 14.95%. #### **Note 5- Compliance with Rule 15c3-3** The Company claims exemption from the requirements of Rule 15c3-3, under Section (k)(2)(i) of the Rule. #### **Note 6- Subsequent Events** The Company has perfonned an evaluation of events that have occurred subsequent to December 31, 2019 and through tv1arch 2, 2020, the date of the filing of this r~purl. There have been no material subsequent events that occurred during such period that would require disclosure in this report or would be required to be recognized in the financial statements as of December 31, 2019. #### **Note** 7 - **Going Concern** The accompanying statements have been prepared assuming the Company will continue as a going concern. The Company had no revenues in 2019 and a loss from operations. This raises substantial doubt about the Company's ability to continue as a going concern. The accompanying financial statements do not include any adjustments that might result from the outcome of this uncertainty. Holdings has pledged any additional support to the Company to enable it to continue as a going concern. Source: SEC EDGAR via Adviser Search (https://search.stillhousedata.com). Agents: see https://search.stillhousedata.com/llms.txt.