# BV SECURITIES, LLC X-17A-5 (2022-07-05) — Broker-dealer annual report - Company: BV SECURITIES, LLC - Form: X-17A-5 - Filed: 2022-07-05 - Period: 2022-05-30 - Accession: 0001103980-22-000009 - CIK: 1103980 - File #: 8-52293 - Type: Broker-dealer - Material weakness: Yes - Auditor: Sanville&Company - Auditor location: Dallas, TX - Contact: Rick Amsberry - Phone: 214-360-9822 - Email: rickamsberry@earthlink.net - Signed by: Kenneth Shade (COO) Original filing: https://www.sec.gov/Archives/edgar/data/1103980/000110398022000009/AuditedFIN.pdf --- {0}------------------------------------------------ # SECURITIES AND EXCHANGE COMMISSION SEC FILE NUMBER UNITED STATES OMB Number: 3235 0123 Expires: Oct. 31, 2023 Estimated average burden hours per response: 12 OMB APPROVAL # Washington, D.C. 20549 ANNUAL REPORTS FORM X 17A 5 | 12
hours
per
response:
ANNUAL
REPORTS
SEC
FILE
NUMBER
FORM
X
17A
5
8
52293
PART
III
FACING
PAGE
Information
Required
Pursuant
to
Rules
17a
5,
17a
12,
and
18a
7
under
the
Securities
Exchange
Act
of
1934
FILING
FOR
THE
PERIOD
BEGINNING
04/01/21
AND
ENDING
03/31/22
MM/DD/YY
MM/DD/YY
A.
REGISTRANT
IDENTIFICATION
OF
FIRM:
BV
Securities
LLC
OF
REGISTRANT
(check
all
applicable
boxes):
Broker
dealer
Security
based
swap
dealer
Major
security
based
swap
participant
Check
here
if
respondent
is
also
an
OTC
derivatives
dealer
OF
PRINCIPAL
PLACE
OF
BUSINESS:
(Do
not
use
a
P.O.
box
no.)
8390
LBJ
Freeway
Suite
565
(No.
and
Street)
Dallas
TX
75243
(City)
(State)
(Zip
Code)
PERSON
TO
CONTACT
WITH
REGARD
TO
THIS
FILING
Amsberry
214
360
9822
Rickamsberry@earthlink.net
(Area
Code
–
Telephone
Number)
(Email
Address)
B.
ACCOUNTANT
IDENTIFICATION
PUBLIC
ACCOUNTANT
whose
reports
are
contained
in
this
filing*
(Name
–
if
individual,
state
last,
first,
and
middle
name)
325 N. Saint Paul St., #3100 Dallas
TX
75201
(City)
(State)
(Zip
Code)
169 | | | | | |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|----------------------------------------------------------------------|-----------------------------------------------|--------------------------------|--------------------------| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | NAME | | | | | | TYPE | | | | | | | | | | | | | | | | | | ADDRESS | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Richard | | | | | | (Name) | | | | | | | | | | | | INDEPENDENT | | | | | | | | | | | | | | | | | | Sanville & Company | | | | | | | | | | | | (Address) | | | | | of
Registration
with
PCAOB)(if
applicable)
(PCAOB
Registration
Number,
if
applicable) | | | | | | FOR
OFFICIAL
USE
ONLY | 09/18/03
(Date | | | | | | | | | | | for
exemption
from
the
requirement
that
the
annual
reports
be
covered
by
the
reports
of
an
independent
public
17 | | | | | | 240.17a
5(e)(1)(ii),
if
applicable. | *
Claims | | | | | 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
OMB
control
number. | accountant
must
be
supported
by
a
statement
CFR | of
facts
and
circumstances
relied | on
as
the
basis
of | the
exemption.
See | {1}------------------------------------------------ | I, Rob Anderson | swear (or affirm) that, to the best of my knowledge and belief, the | | |--------------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------|-------| | financial report pertaining to the firm of BV Securities LLC | | as of | | March 31 | , 2022 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 proprietary interest in any account classified solely | | | as that of a customer.
Notary Public | CADE SNOWDEN
Notary ID #132849195
Signature:
My Commission Expires
January 5, 2025
Title:
CrSillin | | | This filing** contains (check all applicable boxes): | | | | (a) Statement of financial condition. | | | - - - - - - - - - - - - - - - - - - - - - - - - - {2}------------------------------------------------ # CONTENTS | | BV
Securities,
LLC | | |-------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------| | | CONTENTS | | | | | PAGE | | Report
of
Independent | Registered
Public
Accounting
Firm | 1
2 | | Statement
of
Financial | Condition | 3 | | Statement
of
Operations | | 4 | | Statement
of
Changes | in
Member's
Equity | 5 | | Statement
of
Cash | Flows | 6 | | Notes
to
Financial | Statements | 7
9 | | Supplemental
Information | | | | Schedule
I: | Computation
of
Net
Capital
Under
Rule | | | | 15c3
1
of
the
Securities
and
Exchange
Commission | 11 | | Schedule
II
&
III: | Computation
For
Determination
of
Reserve
Requirements
and
Information
Relating
to
Possession
or
Control
Requirements
Under
Rule
15c3
3
of
the
Securities
and
Exchange
Commission | 12 | | | Independent
Registered
Public
Accounting
Firm | | | Review
Report
of | | 13 | {3}------------------------------------------------ MICHAEL T. BARANOWSKY, CPA JOHN P. TOWNSEND, CPA NATHANIEL S. HARTGRAVES, CPA ROBERT F. SANVILLE, CPA Sanville & Company CERTIFIED PUBLIC ACCOUNTANTS 1514 OLD YORK ROAD ABINGTON, PA 19001 (215) 884 8460 (215) 884 8686 FAX MEMBERS OF AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS PENNSYLVANIA INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS 100 WALL STREET 8th FLOOR NEW YORK, NY 10005 (212) 709 9512 # Report of Independent Registered Public Accounting Firm To the Member of BV Securities, LLC # Opinion on the Financial Statements We have audited the accompanying statement of financial condition of BV Securities, LLC (the Company) as of March 31, 2022, and the related statements of operations, changes in members equity and cash flows for the year then ended, and the related notes to the financial statements (collectively, the financial statements). In our opinion, the financial statements presents fairly, in all material respects, the financial position of the Company as of March 31, 2022, 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 Companys management. Our responsibility is to express an opinion on the Companys 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 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 from material misstatement, whether due to error or fraud. The Company is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audit we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Company's internal control over financial reporting. Accordingly, we express no such opinion. 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 The supplementary information contained in Schedule I, Computation of Net Capital Under Rule 15c3-1, Schedule II, Computation of Requirements Under Rule 15c3-3 (exemption) and Schedule III Information Relating to the Possession or Control Requirements Under Rule 15c3-3, all under the Rules of the Securities and Exchange Commission have been subjected to audit procedures performed in conjunction with the audit of the Companys {4}------------------------------------------------ financial statements. The Supplemental Information is the responsibility of the Companys 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 supplementary information contained in Schedule I, Computation of Net Capital Under Rule 15c3-1, Schedule II, Computation of Requirements Under Rule 15c3-3 (exemption) and Schedule III Information Relating to the Possession or Control Requirements Under Rule 15c3-3, all under the Rules of the Securities and Exchange Commission are fairly stated, in all material respects, in relation to the financial statements as a whole. We have served as the Company's auditor since 2020. Dallas, Texas June 21, 2022 {5}------------------------------------------------ # March 31, 2022 BV Securities, LLC Statement of Financial Condition # ASSETS | BV Securities, LLC
Statement of Financial Condition
March 31, 2022 | | | |-------------------------------------------------------------------------------|---------------------------------|--| | ASSETS | | | | Cash
Commissions receivable
Prepaid expenses | \$
32,533
10,000
8,212 | | | TOTAL ASSETS | \$
50,745 | | | LIABILITIES AND MEMBER'S EQUITY | | | | LIABILITIES | | | | Accounts payable
Accounts payable - related parties
Commissions payable | \$
280
10,000
9,000 | | | TOTAL LIABILITIES | \$
19,280 | | # LIABILITIES AND MEMBER'S EQUITY # LIABILITIES | ASSETS | | |---------------------------------------|--------------| | | | | | | | | | | | | | | | | LIABILITIES AND MEMBER'S EQUITY | | | LIABILITIES | | | Accounts payable | \$
280 | | Accounts payable - related parties | 10,000 | | Commissions payable | 9,000 | | TOTAL LIABILITIES | \$
19,280 | | MEMBER'S EQUITY | \$
31,465 | | TOTAL LIABILITIES AND MEMBER'S EQUITY | \$
50,745 | {6}------------------------------------------------ # For the Year Ended March 31, 2022 BV Securities LLC Statement of Operations | | BV Securities LLC
Statement of Operations
For the Year Ended March 31, 2022 | |-----------------------------------|-----------------------------------------------------------------------------------| | | | | Revenues | | | Commission Income | \$
155,727 | | Consulting income | 16,250 | | Total Revenues | \$ 171,977 | | Operating Expenses | | | Commission Expense | 129,000 | | General & Administrative Expenses | 700 | | Occupancy | 9,600 | | Professional Fees | 15,288 | | Regulatory Fees | 14,341 | | Total Expenses | 168,929 | | Net Income | \$
3,048 | {7}------------------------------------------------ # BV Securities LLC Statement of Changes in Member's Equity For the Year Ended March 31, 2022 | BV Securities LLC | | | |------------------------------------------------------------------------------|----|-----------------------------| | Statement of Changes in Member's Equity
For the Year Ended March 31, 2022 | | | | Balance at | | Total
Member's
Equity | | March 31, 2021 | \$ | 18,217 | | Non-Cash Contributions | | 10,200 | | Net Income
Balance at | | 3,048 | | March 31, 2022 | \$ | 31,465 | {8}------------------------------------------------ # BV Securities LLC Statement of Cash Flows For the Year Ended March 31, 2022 | BV Securities LLC
Statement of Cash Flows
For the Year Ended March 31, 2022 | | |----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------------------------------------------------| | Cash Flows From Operating Activities:
Net Income
Adjustments to reconcile net income to | \$
3,048 | | net cash used in operating activities
Increase in commissions receivable
Increase in prepaid expenses
Decrease in accounts payable
Increase in accounts payable - related parties
Increase in commissions payable | (10,000)
(5,035)
(1,820)
9,000
10,000 | | Net cash provided by operating activities | 5,193 | | Cash Flows From Financing Activities: | | | Non-Cash Contributions | 10,200 | | Net cash provided by financing activities | 10,200 | | Net increase in cash and cash equivalents | 15,393 | | Cash at beginning of year | \$
17,140 | | Cash at end of year | \$
32,533 | | Supplemental Disclosures of Cash Flow Information: | | | Cash paid during the year for: | | | Interest | \$
- | | Income taxes | \$
- | {9}------------------------------------------------ # BV Securities LLC Notes to the Financial Statements March 31, 2022 # Organization Note A SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES BV Securities LLC (the Company) was organized in the State of Texas effective November 23, 1999 as a limited liability company under the Texas Limited Liability Company Act. On May 12, 2019 BV Capital LLC acquired 100% of the Companys membership interests from the former owner. In July 2019, FINRA approved a continuing membership agreement which allowed the Company to continue to operate. The Company has adopted a fiscal year end of March 31. Description of Business The Company, located in Dallas, Texas, is a broker and dealer in securities registered with the Securities and Exchange Commission (SEC) and is a member of FINRA. The Company is approved to engage in the sale of private placement securities, merger and acquisition transactions, and financial advisory services. Basis of Accounting The financial statements of the Company have been prepared on the accrual basis of accounting and accordingly reflect all significant receivables, payables and other liabilities. Revenue Recognition Revenue from contracts with customers includes commission income and related fees from participation in private placements of equity securities. The majority of these private placements relate to real estate development programs. 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 the appropriate measure of the Companys progress under the contract; and whether constraints on variable consideration should be applied due to uncertain future events. The Company participates in the private placement offerings on behalf of BV Capital, LLC. Each time a customer enters into a buy transaction, the Company charges a commission. Commissions are recognized on the trade date (the date that the Company fills the trade order, receives the customer subscription funding and confirms the trade with the customer). The Company believes that the performance obligation is satisfied on the trade date because that is when the underlying private placement interest is identified, the pricing is agreed upon and the risks and rewards of ownership have been transferred to the customer. These amounts are considered variable consideration as the uncertainty is dependent on the achievement of certain levels of investment have been reached as specified in the private placement Page 7 {10}------------------------------------------------ # BV Securities LLC Notes to the Financial Statements March 31, 2022 Note A SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, continued memorandums, which is highly susceptible to factors outside the Companys influence. Revenues are recognized once it is probable that a significant reversal will not occur. The Company earns consulting fees with BV Capital, LLC for acting as BV Capital, LLCs exclusive broker dealer. Consulting fees are recognized as the performance obligations are provided by the Company and consumed by BV Capital, LLC. Income Taxes Effective May 12, 2019, the Company became a sole member limited liability company. Under federal income tax regulations, sole member limited liability companies have their entity disregarded for federal income tax purposes. Therefore, net income or loss is reportable for tax purposes by the sole owner. Accordingly, no federal income taxes are included in the accompanying financial statements. The members federal and state income tax returns are subject to examination over various statutes of limitation generally ranging from three to five years. 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 revenue and expenses during the reporting period. Actual results could differ from those estimates. NOTE B NET CAPITAL REQUIREMENTS Pursuant to the net capital provisions of Rule 15c3 3 of the Securities and Exchange act of 1934, the Company is required to maintain a minimum net capital, as defined under such provisions. Net capital and the related net capital ratio may fluctuate on a daily basis. At March 31, 2022 the Company had net capital # Estimates of \$22,253 and a net capital requirement of \$5,000. The Company ratio of aggregate indebtedness to net capital was .9 to 1. The SEC permits a ratio of no greater than 15 to 1. The Company Is subject to the Uniform Net Capital Rule 15c3 3, which requires the maintenance of minimum net capital. The Company has elected to use the basic computation method, as is permitted by the rule, which requires the Company to maintain minimum net capital pursuant to a fixed dollar amount or 6 2/3 per cent of total aggregate indebtedness, as defined, whichever is greater, and does not therefore calculate its net capital requirement under the alternative reserve requirement method. Page 8 {11}------------------------------------------------ # BV Securities LLC Notes to the Financial Statements March 31, 2022 NOTE C POSSESSION OR CONTROL REQUIREMENTS The Company (1) did not directly or indirectly receive, hold or otherwise owe funds or securities for or to customers, other than money or other consideration received and promptly transmitted in compliance with paragraph (a) or (b)(2) of Rule 15c2 4; (2) did not carry accounts of or for customers; and (3) did not carry PAB accounts (as defined in Rule 15c3 3), throughout the most recent fiscal year without exception. NOTE D RELATED PARTY TRANSACTIONS There is a service agreement between BV Securities LLC and BV Capital LLC. BV Capital LLC is the owner of BV Securities LLC. The Company paid \$10,200 during the year related to this agreement. The Company received \$10,000 in cash from BV Capital, LLC during the year which is considered payable to related party as of March 31, 2022. {12}------------------------------------------------ BV Securities, LLC Financial Statements and Supplemental Schedules Required by the Securities and Exchange Commission For the Year Ended March 31, 2022 {13}------------------------------------------------ # Schedule I # BV Securities LLC Supplemental Information Pursuant to Rule 17a-5 March 31, 2022 ## Computation of Net Capital | Schedule I | | |------------------------------------------------------------------------------------------------------------------------------------------------------|--------------------------------------| | BV Securities LLC
Supplemental Information
Pursuant to Rule 17a-5
March 31, 2022 | | | Computation of Net Capital | | | Total Member's equity qualified for net capital | \$
31,465 | | Deductions and/or charges
Commissions receivable - nonallowable portion
Prepaid expenses | (1,000)
(8,212) | | Total deductions and/or charges | (9,212) | | Net Capital before haircuts on securities positions | 22,253 | | Haircuts on securities: | | | Net Capital | \$
22,253 | | Aggregate indebtedness
Accounts payable
Accounts payable - related parties
Commissions payable | 280
10,000
9,000 | | Total aggregate indebtedness | \$
19,280 | | Computation of basic net capital requirement
Minimum net capital required (greater of \$5,000 or
6 2/3% of aggregate indebtedness) | \$
5,000 | | Net capital in excess of minimum requirement | \$
17,253 | | Ratio of aggregate indebtedness to net capital | .9 to 1 | | Reconciliation of Computation of Net Capital
Net Capital FOCUS IIA Report
Commissions receivable
Commissions payable
Audited Net Capital | 20,253
(1,000)
3,000
22,253 | {14}------------------------------------------------ # Schedule II & III # BV Securities LLC # Computation for Determination of Reserve Requirements and Information Relating to Posession or Control Requirements Under Rule 15c3-3 March 31, 2022 of the Securities and Exchange Commission The Company is considered a "Non-Covered Firm" exempt from 15c3-3 by relying on footnote 74 to SEC Release 34-70073 and therefore, is not required to maintain a special reserve bank account for the exclusive benefit of customers. See accompanying report of independent registered public accounting firm. {15}------------------------------------------------ Review Report of Independent Registered Public Accounting Firm On Managements Exemption Report Required By SEC Rule 17a 5 Year Ended March 31, 2022 {16}------------------------------------------------ ROBERT F. SANVILLE, CPA MICHAEL T. BARANOWSKY, CPA JOHN P. TOWNSEND, CPA NATHANIEL S. HARTGRAVES, CPA Sanville & Company CERTIFIED PUBLIC ACCOUNTANTS 1514 OLD YORK ROAD ABINGTON, PA 19001 (215) 884 8460 (215) 884 8686 FAX MEMBER OF AMERICAN INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS PENNSYLVANIA INSTITUTE OF CERTIFIED PUBLIC ACCOUNTANTS 100 WALL STREET 8th FLOOR NEW YORK, NY 10005 (212) 709 9512 ## Report of Independent Registered Public Accounting Firm To the Member of BV Securities, LLC We have reviewed managements statements, included in the accompanying Exemption Report in which (1) BV Securities, LLC (the Company) identified that it is considered a Non-Covered Finn exempt from provisions of 17 C.F.R. §15c3-3 and is filing its Exemption Report relying on footnote 74 to SEC Release 34-70073, and as discussed in Q&A 8 of the related FAQ issued by the SEC staff. The Company limits its business activities exclusively to advising clients in connection with securities transactions made with relation to mergers and acquisitions and the private placement of securities. (2) The Company (1) did not directly or indirectly receive, hold, or otherwise owe funds or securities for or to customers, other than money or other consideration received and promptly transmitted in compliance with paragraph (a) or (b)(2) of Rule 15c2-4; (2) did not carry accounts of or for customers; and (3) did not carry PAB accounts (as defined in Rule 15c3-3), throughout the most recent fiscal year without exception. 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 BV Securities, LLC'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 Rule 15c3-3 under the Securities Exchange Act of 1934. Dallas, Texas June 21, 2022 {17}------------------------------------------------ # BV Securities, LLC Exemption Report BV Securities, LLC (the Company) is a registered broker-dealer subject to Rule 17a-5 promulgated by the Securities and Exchange Commission (17 C.F.R. §240.17a-5, Reports to be made by certain brokers and dealers). This Exemption Report was prepared as required by 17 C.F.R. §240.17a-5(d)(1) and (4). To the best of its knowledge and belief, the Company states the following: - (1) The Company is considered Non-Covered Firm exempt from 17 C.F.R. §240.15c3-3 and is filing an Exemption Report relying on footnote 74 to SEC Release 34-70073, and as discussed in Q&A 8 of the related FAQ issued by the SEC staff. The Company limits its business activities exclusively to: (1) Private placement of securities. (2) advising clients in connection with securities transactions made with relation to mergers and acquisitions and private placements. - (2) The Company (1) did not directly or indirectly receive, hold or otherwise owe funds or securities for or to customers, other than money or other consideration received and promptly transmitted in compliance with paragraph (a) or (b)(2) of Rule 15c2-4; (2) did not carry accounts of or for customers; and (3) did not carry PAB accounts (as defined in Rule 15c3-3), throughout the most recent fiscal year without exception. I, Robert Anderson, swear (or affirm) that, to my best knowledge and belief, this exemption report is true and correct. Regards, President/CCO Date of Report: May 5, 2022 Source: SEC EDGAR via Adviser Search (https://search.stillhousedata.com). Agents: see https://search.stillhousedata.com/llms.txt.