# STONEBRIDGE SECURITIES, LLC. X-17A-5 (2025-03-26) — Broker-dealer annual report - Company: STONEBRIDGE SECURITIES, LLC. - Form: X-17A-5 - Filed: 2025-03-26 - Period: 2024-12-31 - Accession: 0001088408-25-000003 - CIK: 1088408 - File #: 8-51851 - Type: Broker-dealer - Material weakness: No - Auditor: Ohab and Company,PA - Auditor location: Maitland, FL - Contact: Michael Hendrickson - Phone: 206-484-3848 - Email: mikeh@stonebridgesecurities.com - Website: stonebridgesecurities.com - Signed by: Michael Hendrickson (CEO) Original filing: https://www.sec.gov/Archives/edgar/data/1088408/000108840825000003/SSPub2024-2.pdf --- {0}------------------------------------------------ | PUBLIC | UNITED STATES
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·; 2 | | | | Jl1NNUAL REPORTS | | SEC FILE NUMBER | | | FORM X-17A-S | | | 8-51851 | | | | PART Ill | | | | | | | | | | | | FACING PAGE
Information Required Pursuant to Rules 17a-S, 17a-12, and 18a-7 under the Securities Exchange Act of 1934 | | | | | | | | | | | | AND ENDING 12/31/2024
FILING FOR THE PERIOD BEGINNING O 1/01/2024 | | | | | | MM/DD/VY | | MM/DD/YY | | | | A. REGISTRANT IDIENTIFICATION | | | | | | NAME oF FIRM: Stonebridge Securities LLC | | | | | TYPE OF REGISTRANT (check all applicable boxes):
0 Broker-dealer | □ Security-based swap dealer
D Check here if respondent is also an OTC derivatives dealer | | D Major security-based swap participant | | | | ADDRESS OF PRINCIPAL PLACE OF BUSINESS: (Do not use a P.O. box no.) | | | | | 330 112th Ave Suite 300 | | | | | | | (No. and Street) | | | | | Bellevue | Wa. | | 98004 | | | (City) | (State) | | (Zip Code) | | | | | | | | | PERSON TO CONTACT WITH REGARD TO THIS FIL.ING | | | | | | Michael Hendrickson | 206-770-9700 | mikeh@stonebridgesecurities.com | | | | (Name) | (Area Code - Telephone Number) | | (Email Address) | | | | B. ACCOUNTANT IDENTIFICATION | | | | | | INDEPENDENT PUBLIC ACCOUNTANT whose reports are contained in this filing* | | | | | OHAB AND COMPANY, PA | | | | | | | (Name - if individual, state last, first, and middle name) | | | | | | 100 E SYBELIAAVENUE, SUITE 130 MAITLAND | FL | 32751 | | | (Address) | (City) | (State) | (Zip Code) | | | JULY 28, 2004 | | 1839 | | | | T" of | Reglstcatioo with PCAOB)Of applicable] | | I PCAOB Reglstrntloo N"mbe,, If appl lcable) | | | | !=OR OFFICIAL USE ONLY | | | | | | | | | | 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 in this form are not required to respond unless the form displays a currently valid 0MB control number.** {1}------------------------------------------------ #### **OATH OR AFflRMATION** | _____________
I, _M_ic_h_a_el_H_e_nd_r_ic_ks_o_n | , swear (or affirm) that, to the best of my knowledge and belief, the | |------------------------------------------------------------------------|-----------------------------------------------------------------------------------| | financial report pertaining to the firm of Ston,3bridge Securities LLC | , as of | | 2~,
12/31 | is true and correct. I further swear (or affirm) that neither the company nor any | partner, officer, director, or equivalent person, as the case may be, has any proprietary interest in any account classified solely as that of a customer. ![](_page_1_Picture_3.jpeg) | Signature: | | |------------|--------| | | 620000 | | Title: | | | CEO | | | Notary Pub Ic | | | | |---------------|--|--|--| |---------------|--|--|--| #### **This filing\*\* contains (check all applicable boxes** I: - ~ (a) Statement of financial condition. - ~ (b) Notes to consolidated statement of financial condition. - D (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). - D (d) Statement of cash flows. - D (e) Statement of changes in stockholders' or pa1·tners' or sole proprietor's equity. - D (f) Statement of changes in liabilities subordinated to claims of creditors. - D (g) Notes to consolidated financial statements. - D (h) Computation of net capital under 17 CFR 240.15c3-l or 17 CFR 240.l8a-l, as applicable. - D (i) Computation of tangible net worth under 17 CFR 240.l8a-2. - D (j) Computation for determination of customer reserve requirements pursuant to Exhibit A to 17 CFR 240.15c3-3. - D (k) Computation for determination of security-based swap reserve requirements pursuant to Exhibit B to 17 CFR 240.1Sc3-3 or Exhibit A to 17 CFR 240.18a-4, as applicable. - D (I) Computation for Determination of PAB Requirements under Exhibit A to§ 240.15c3-3. - D (m) Information relating to possession or control requirements for customers under 17 CFR 240.15c3-3. - D (n) Information relating to possession or control requirements for security-based swap customers under 17 CFR 240.15c3-3(p)(2) or 17 CFR 240.18a-4, as applicable. - D (o) Reconciliations, including appropriate explanations, of the FOCUS Report with computation of net capital or tangible net worth under 17 CFR 240.15c3-1, 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. - D (p) Summary of financial data for subsidiaries not consolidated in the statement of financial condition. - ~ (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. - D (r) Compliance report in accordance with 17 CFft 240.17a-5 or 17 CFR 240.18a-7, as applicable. - D (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. - D (u) Independent public accountant's report based on an examination of the financial report or financial statements under 17 CFR 240.17a-5, 17 CFR 240.18a-7, or 17 CFR 240.17a-12, as applicable. - D (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. - D (w) Independent public accountant's report bas,ed on a review of the exemption report under 17 CFR 240.l7a-5 or 17 CFR 240.18a-7, as applicable. - D (x) Supplemental reports on applying agreed-upon procedures, in accordance with 17 CFR 240.15c3-le or 17 CFR 240.17a-12, as applicable. - :::J (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). D (z) Other: \_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_ \_ - - \*\*To request confidential treatment of certain portions of this filing, see 17 CFR 240.17a-5{e)(3} or 17 CFR 240.18a-7(d)(2}, as applicable. {2}------------------------------------------------ Stonebridge Securities, LLC Report Pursuant to Rule 17a-5 (d) ]Financial Statements For the Year Ended December 31, 2024 {3}------------------------------------------------ ![](_page_3_Picture_0.jpeg) , 00 L Svbclia ,,\ vc Suite I 30 !v1a!lland. FL **J27S** l ('c!'ft/i< *d* f'uh/11 ,·L·cn11utnf!!S **l:.!l!iiJ.L** 11.;u,1.1V..!)( 1·,;1i1c(1.~'u\_1!1. Telephone 407-740-7311 !·ax 407-74().1)441 #### REF)QFH OF INDEPENDEfH RE:GlSTfflE0 PUBL.iC ;\CCOUNTING FIR•\/1 To the Member of Stonebridge Securities, LLC #### **Opinion** on the Financial Statement We have audited the accompanying statement :)f financial condition of Stonebridge Securities, LLC as ot December 31. 2024 ana the related notes (collectively referred to as tne "financial statement"). ln our opinion, the financial statement presents fairly. in ail material respects. the fin2ll1cial position of Stonebrid~Je Securities, LLC as of December 3 ! , 2024 in conformity with account ng pr1nciplec, generally accepted in the United States of /\merica. #### Basis for **Opinion** This financial statement is the responsibility of Stonebridge ~,ecurities, LL.C's management 0Jr responsibility Is to express an opinion on Stonebriclge Secur·ities, UC's financial statement based on our audit. We are a public accounting firm registered with the Public Company Accounting Oversight E3oard (United States) (PCAOB) and are required to be 1ndepenclent wit!, respect to '.3tonebridge Securities, L.L.C in accordance with the U S. tedera! securities laws and the applicable rules and regulations of the Securities and Exchange Cornmiss1cn and the PC1\0B We conducted our audit in accordance with the stanc!ards of the PC!IC)B Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statement is free of material rnissta!ernent, whet!ler due to error or fraud. Our audit included performing procedures to assess the risks ot material rrnsstaternent of the financial statement, whether due to error or fraud, and perforrning procedures tl1at respond to those risks. Such procedures included exarninin~). on a test basis. evidence regardin~] the amounts and disclosures iri the fmancial statements. Our a.udit also ind.Jded evaluating the accounting principles used and significant estimates rnacJe by management. as well as evaluating the overall presentation of the financial s\aternents. We believe that our audit pmvicJes a reasonable t,as1s :or our opinion. We riave served as Stonebridge Securities, L.LC's auditor sillce 2018. MaitlamJ, I=IomJa Marci, 7, 2025 {4}------------------------------------------------ ## **Stonebridge Securities, LLC Statement of Financial Condition 12/31/20234** #### **Assets** | Cash
Receivables from customers
Allowance for doubtful accounts
Prepaid expenses and other
Total current assets | | 34,464
73,500
(73,500)
529
34,993 | |-----------------------------------------------------------------------------------------------------------------------------|----|-----------------------------------------------| | Equipment
Accumulated depreciation | | 26,055
(26,055) | | Net Equipment
Total Assets | \$ | 34,993 | | Liabilities and Member's Equity | | | | Liabilities | | | | Accounts payable
Accrued expenses | | 8,954 | | Total Liabilities | | 8,954 | | Member's Equity | | | | Member's equity | | 26,039 | | Total Member's Equity | | 26,039 | | Total Liabilities and Member's Equity | \$ | 34,993 | *The accompanying notes are an integral part of theses.financial statements.* {5}------------------------------------------------ # **Stonebridge Securities, LLC Notes to Financial Statements December 31, 2024** ## **Note 1: DESCRIPTION OF OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES** ## *General* Stonebridge Securities, LLC (the "Company"), a Washington limited liability company, was organized on March 19, 1999, undeir the name of Base Capital Securities, L.L.C. The Company operates as a registered broker/dealer in securities under the provisions of the Securities and Exchange Act of 1934. The Company is engaged in a single of business as a securities broker-dealer, which is comprised of several classes of services including principal transactions, investment banking and merger and acquisitions. The Company is a member of the Financial Industry Regulatory Authority ("FINRA"). The Company's services include raising capital for customers through the private placement process by placing securities with accredited investors, providing fee based financial structuring and consulting. Under its membership agreement with FIN **RA** and pursuant to Rule 15c3-3(k)( I), the Company conducts business on a fully disclosed basis and does not execute or clear securities transactions for customers. Accordingly, the Company is exempt from the requirement of Rule l 5c3-3 under the Securities Exchange Act of 1934 pertaining to the possession or control of customer assets and reserve requirements. ## *Summary of Significant Accounting Policies* The presentation 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 revenue and expenses during the reporting period. Actual results could differ from those estimates. ## *Significant Judgments* Revenue from contracts from customers includes fees from investment banking. The recognition and measurement of revenue is based on the assessment of individual contract terms. Significant judgment is required to determine whether performance obligations are satisfied at a point in time or over time; how to allocate transaction prices where multiple performance obligations are identified; when to recognize revenue based on i:he appropriate measure of the Company's progress under the contract; whether revenue should be presented gross or net of certain costs; and whether constraints on variable consideration should be applied due to uncertain future events. {6}------------------------------------------------ # **Stonebridge Securities, LLC Notes to Financial Statements Dccem her 31, 2024** ## *M&A Advisory Fees* 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 arrangement in which the performance obligations are simultan1~ously provided by the Company and consumed 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. At December 31, 2023, all amounts were immaterial. ### *Cash* The Company considers all highly liquid investments purchased with an original maturity of three months or less as cash. At times during the year, the Company had cash in excess of the federally insured limits on deposit in a single credit institution. ## *Credit Losses* The Company follows ASC Topic 326, Financial Instruments - Credit Losses ("ASC 326"). ASC 326 impacts the impairment model for certain financial assets by requiring a current expected credit loss ("CECL") methodology to estimate expected credit losses over the entire life of the financial asset. Under the accounting update, the Company has the ability to determine that there are no expected credit losses in certain circumstances ( e.g., based on the credit quality of the customer). The Company did not have any accounts receivable at December 31, 2024. #### *Equipment* The Company capitalizes expenditures greater than \$2,000 that materially increase asset lives and charges ordinary maintenance and repairs to operations as incurred. When assets are sold or otherwise disposed of, the cost and related accumulated depreciation are removed from the accounts, and any resulting gain or loss is reflected in net income. {7}------------------------------------------------ # **Stonebiridge Securities, LLC Notes to Financial Statements Dccem ber 31, 2024** Depreciation of equipment is computt~d using the straight-line method between 3 and 5 years. Depreciation expense for the years ended December 31, 2024 is \$1,097. At each balance sheet date, the Company evaluates the carrying value of its long-lived assets, and the propriety of remaining lives of such assets considering whether any events have occurred our conditions have developed which may indicate that remaining lives or amortization methods require adjustment. If such evaluations were to indicate an impairment of these assets, such impairment would be recognized by a write-down of the applicable assets. No impairment write-down was necessary for the years ended December 31, 2024. #### **Note 2: INCOME TAXES** The Company is treated as a disregarded entity for federal income tax purposes, in accordance with single member limited liability company rules. All tax effects of the Company's income or loss are passed through to the member. Therefore, no provision or liability for Federal Income Taxes is included in these financial statements. State income taxes are provided for the tax effects of transactions reported in the financial statements and consist of taxes currently due plus deferred taxes related to differences between the financial and income tax bases of assets and liabilities. The deferred tax assets and liabilities, if any, represent the future tax return consequences of those differences, which will either be taxable or deductible when the assets and liabilities are recovered or settled. #### **Note 3: CONCENTRATlONS** For the year ended December 31, 2024 all customer investment fees had been paid and the Company had no Accounts Receivable. {8}------------------------------------------------ # **Stonebridge s,~curities, LLC Notes to Financial Statements December 31, 2024** #### **Note 4: CONCENTRATIONS OF CREDIT RISK** The Company is engaged in various trading and brokerage activities in which counter-parties primarily include broker-dealers, banks, and other financial institutions. In the event counter- parties do not fulfill their obligations, the Company may be exposed to risk. The risk of default depends on the creditworthiness of the counter-party or issuer of the instrument. It is the Company's policy to review, as necessary, the credit standing of each counter--party. ### **Note 5: NET CAPITAL REQUIREMENTS** The Company is subject to the Securities and Exchange Commission Uniform Net Capital Rule (SEC 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 15 to 1. Rule l 5c3- I also provides that equity capital may not be withdrawn or cash dividends paid if the resulting net capital ratio would exceed IO to 1. Net capital and aggregate indebtedness change day to day, but on December 31, 2024, the Company had net capital of \$25,510 which was \$20,510 in excess of its required net capital of \$5,000; and the Company's ratio of aggregate indebtedness \$8,954 to net capital was 0.35 to I, which is less than the 15 to I maximum allowed. ## **Note 6: COMMITMENTS AND CONTINGENCIES** There are no commitments or contingencies as of December 31, 2024. {9}------------------------------------------------ # **Stonebridge Securities, LLC Notes to Financial Statements December 31, 2024** ### **Note 7: SEGEMENT REPORTING** The Company is engaged in a single line of business as a securities broker-dealer, which 1s comprised of several classes of services, including principal transactions, investment banking, and consulting. The Company has identified its CEO as the chief operating decision maker ("CODM"), who uses net income to evaluate the results of the business, predominantly in the forecasting process, to manage the Company. Additionally, the CODM uses excess net capital (see Note 5), which is not a measure of profit and loss, to make operational decisions while maintaining capital adequacy, such as whether to reinvest profits or pay dividends. The Company's operations constitute a single operating segment and therefore, a single reportable segment, because the CODM manages the business activities using information 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. The company derived 96 percent of its total revenues from a single external customer in 2024. ### **Note 8: COMP ANY CONDITIONS** The Company has income of \$16,189 for the year ending December 31, 2024. The Company's member has represented that he intends to continue making capital contributions, as needed, to ensure the Company's continuing operation. Management expects the Company to continue as a going-concern and the accompanying financial statements have been prepared on a going-concern basis without adjustment for realization in the event the Company ceases to continue as a going-concern. ### **Note 9: SUBSEQUENT EVENTS** The Company evaluated subsequent events through March 7, 2025, the date thes1~ financial statements were available to be issued. The Company is not aware of any additional significant events that occurred subsequent to the balance sheet date but prior to the filing of the report that would have a material impact on the financial statements. Source: SEC EDGAR via Adviser Search (https://search.stillhousedata.com). Agents: see https://search.stillhousedata.com/llms.txt.