# SANDERLIN SECURITIES, LLC X-17A-5 (2022-03-25) — Broker-dealer annual report - Company: SANDERLIN SECURITIES, LLC - Form: X-17A-5 - Filed: 2022-03-25 - Period: 2021-12-31 - Accession: 0001125059-22-000001 - CIK: 1125059 - File #: 8-52906 - Type: Broker-dealer - Material weakness: No - Auditor: OHAB AND CO, P.A. - Auditor location: MAITLAND, FL - Contact: JOHN MATTHEW KAMLER - Phone: 9016831903 - Email: matt@sanderlinsecuritites.com - Website: sanderlinsecuritites.com - Signed by: JOHN MATTHEW KAMLER (PRESIDENT) Original filing: https://www.sec.gov/Archives/edgar/data/1125059/000112505922000001/Sanderlin-1.pdf --- {0}------------------------------------------------ #### **UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549** 0MB APPROVAL 0MB Number: 3235-0123 Expires: Oct. 31, 2023 Estimated average burden hours per response: 12 # **ANNUAL REPORTS FORM X-17A-S PART Ill** 8-52906 **FACING PAGE** **Information Required Pursuant to Rules 17a-S, 17a-12, and 18a-7 under the Securities Exchange Act of 1934** | FILING FOR THE PERIOD BEGINNING __ | ____
0_1_/0_1l_2_02_1 | AND ENDING ___ | __
12_/_3_1/_20_2_1 | _ | |-------------------------------------------------------------------------------------------------------------------------------------|------------------------------------------------------------|----------------|------------------------------------------|---| | | MM/DD/VY | | MM/DD/VY | | | | A. REGISTRANT IDENTIFICATION | | | | | NAME OF FIRM: __
s_a_n_d_e_rli_n_S_e_c_u_rit_ie_s_, _L_Lc | | | ____________________ | _ | | TYPE OF REGISTRANT (check all applicable boxes):
,¢Broker-dealer
D Check here if respondent is also an OTC derivatives dealer | □ Security-based swap dealer | | □ Major security-based swap participant | | | ADDRESS OF PRINCIPAL PLACE OF BUSINESS: (Do not use a P.O. box no.) | | | | | | 5050 Poplar Ave, ste. 618 | | | | | | | (No. and Street) | | | | | Memphis | TN | | 38157 | | | (City) | (State) | | (Zip Code) | | | PERSON TO CONTACT WITH REGARD TO THIS FILING | | | | | | John "Matthew" Kamler | 901-683-1903 | | matt@sanderlinsecuritites.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. Sybelia Ave., ste. 130 | Maitland | FL | 32751 | | | (Address) | (City) | | (State)
(Zip Code) | | | July 28, 2004 | | 1839 | | | | rt•
of Reglst,atloo with PCAOB )(If a pp Ilea ble I | FOR OFFICIAL USE ONLY | | [PCAOB Reglmatloo N,mbe,, If applicable) | | | | | | | | | * Claims for exemption from the requirement that the annual reports be covered by the reports of an independent public | | | | | accountant must be supported by a statement of facts and circumstances relied on as the basis of the exemption. See 17 CFR 240.17a-S(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 AFFIRMATION** I, John Matthew Kamler swear (or affirm) that, to the best of my knowledge and belief, the financial report pertaining to the firm of Sanderlin Securjtjes. **LLC** . as of December 31st 2-1..:!.\_, 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. Signatur~ r:zg 7 *(~* Title: / President # **This filing\*\* contains (check all applicab i!"bd~I"""** - ~ (a) Statement of financial condition. - D (b) Notes to consolidated statement of financial condition. - ~ (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). - Gil (d) Statement of cash flows. - G! (e) Statement of changes in stockholders' or partners' or sole proprietor's equity. - D (f) Statement of changes in liabilities subordinated to claims of creditors. - G? (g) Notes to consolidated financial statements. - ~ (h) Computation of net capital under 17 CFR 240.15c3-l or 17 CFR 240.18a-1, as applicable. - 0 (i) Computation of tangible net worth under 17 CFR 240.18a-2. - 0 (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 240.15c3-3 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. - Ga (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. - G! (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. - 0 (p) Summary of financial data for subsidiaries not consolidated in the statement of financial condition. - G! (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. - 0 (r) Compliance report in accordance with 17 CFR 240.17a-5 or 17 CFR 240.18a-7, as applicable. - ~ (s) Exemption report in accordance with 17 CFR 240.17a-5 or 17 CFR 240.18a-7, as applicable. - 0 (t) Independent public accountant's report based on an examination of the statement of financial condition. - Ga (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. - 0 (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. - Ga (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. - 0 (x) Supplemental reports on applying agreed-upon procedures, in accordance with 17 CFR 240.1Sc3-le or 17 CFR 240.17a-12, as applicable. - 0 (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.l 7a-12(k). 0 (z) Other: \_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_ \_ - - *\*\*To request confidential treatment of certain portions of this filing, see 17 CFR 240.17a-S(e)(3) or 17 CFR 240.18a-7(d)(2), as applicable.* {2}------------------------------------------------ # SANDERLIN SECURITIES, L.L.C. # AUDITED FINANCIAL STATEMENTS AND SUPPLEMENTAL INFORMATION DECEMBER 31, 2021 {3}------------------------------------------------ # **TABLE OF CONTENTS** Sanderlin Securities, L.L.C. December 31, 2021 | | Page | |-----------------------------------------------------------------|-------| | Report of Independent Registered Public Accounting Firm | 1 | | Financial Statements | | | Statement of Financial Condition | 2 | | Statement of Income | 3 | | Statement of Changes in Members' Equity | 4 | | Statement of Cash Flows | 5 | | Notes to Financial Statements | 6 | | Supplemental Information | | | Computation of Net Capital Under Rule 15c3-1
Schedule I
- | 12-13 | | Computation for Determination of Reserve
Schedule II
- | | | Requirements Under Rule 15c3-3 (exemption) | 13 | | Information for Possession or Control
Schedule Ill - | | | Requirements Under Rule 15c3-3 (exemption) | 14 | | Report of Independent Registered Public Accounting Firm | 15 | | Sanderlin Securities, L.L.C.'s Exemption Report | 16 | {4}------------------------------------------------ ![](_page_4_Picture_0.jpeg) I 00 E. Sybclia Ave. Suite 130 Maitland, FL 32751 *Certified Public Accounta/1/s* Email: pam@ohabco.com Telephone 407-740-7311 Fax 407-740-644 1 #### REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM To the Board of Directors and Members' of Sanderlin Securities, L.l.C. #### **Opinion on the Financial Statements** We have audited the accompanying statement of financial condition of Sanderlin Securities, L.l.C. as of December 31, 2021 , the related statement of income, changes in members' equity, and cash flows for the year then ended, and the related notes and schedules (collectively referred to as the ''financial statements"). In our opinion, the financial statements present fairly, in all material respects, the financial position of Sanderlin Securities, L.L.C. as of December 31, 2021, 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 Sanderlin Securities, L.L.C.'s management. Our responsibility is to express an opinion on Sanderlin Securities, L.L.C.'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 Sanderlin Securities, L.L.C. 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 Schedules I, II and Ill have been subjected to audit procedures performed in conjunction with the audit of Sanderlin Securities, L.L.C.'s financial statements. The supplemental information is the responsibility of Sanderlin Securities, L.L.C.'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 Schedules I, II and Ill are fairly stated, in all material respects, in relation to the financial statements as a whole. Ohab and Company, PA We have served as Sanderlin Securities, L.L.C.'s auditor since 2018. Maitland, Florida March 23, 2022 {5}------------------------------------------------ # STATEMENT OF FINANCIAL CONDITION Sanderlin Securities, L.L.C. December 31, 2021 #### ASSETS | Cash | \$ | 38,755 | |---------------------------------------|----|-----------| | Deposits with clearing broker | | 1,512,176 | | Deposit with regulatory agency | | 797 | | Municipa l securities owned | | 2,899,815 | | Accounts Receivable | | | | Accrued interest receivable | | 43,172 | | Furniture and equipment, net | | 201 | | Rights of Use -
Lease | | 15,161 | | Prepaids and other | | 17,343 | | | | | | Total assets | \$ | 4,527,420 | | | | | | | | | | LIABILITIES AND MEMBERS' EQUITY | | | | Lease Liability | \$ | 15,161 | | Due to clearing broker | | 2,852,369 | | Accounts payable and accrued expenses | | 46,354 | | | | | | Tota l liabilities | | 2,913,884 | | | | | | | | | | Members' equity | | 1,613,536 | | | | | | Total liabilities and members' equity | \$ | 4,527,420 | *See notes to financial statements.* {6}------------------------------------------------ #### **STATEMENT OF INCOME** Sanderlin Securities, L.L.C. Year Ended December 31, 2021 | Revenues
Trading profits | \$
388,539 | |----------------------------------------|----------------| | Other Income | 176,640 | | | | | Interest income | 56,792 | | | 621,972 | | | | | | | | | | | Expenses | | | Employee compensation and benefits | 443,116 | | Communication and information services | 72,057 | | Clearing fees | 106,488 | | Regulatory fees | 9,525 | | Occupancy | 13,270 | | Management fees | 5,666 | | Other operating expenses | 30,230 | | | 680,352 | | Income before state income tax | (58,380) | | State income tax | 4,026 | | Net income | \$
(62,406) | *See notes to financial statements.* {7}------------------------------------------------ # **STATEMENT OF CHANGES IN MEMBERS' EQUITY** Sanderlin Securities, L.L.C. Year Ended December 31, 2021 | Balance at December 31, 2020 | \$
1,675,941 | |------------------------------|-----------------| | Capital contributions | | | Capital withdrawals | | | Net income | (62,406) | | Balance at December 31, 2021 | \$
1,613,535 | *See notes to financial statements.* {8}------------------------------------------------ #### **STATEMENT OF CASH FLOWS** Sanderlin Securities, L.L.C. Year Ended December 31, 2021 | Cash flows from operating activities | | |------------------------------------------------------------|----------------| | Net income | \$
(62,406) | | Adjustments to reconcile net income to cash provided by | | | operating activities | | | Depreciation and amortization | 1,202 | | Loss on disposition of equipment | | | Changes in operating assets and liabilities | | | Deposits with clearing broker | (136) | | Deposit with regulatory agency | (133) | | Municipal securities owned | (1,359 I 153) | | Accounts receivable | | | Accrued interest receivable | (32,368) | | Other assets | (7,751) | | Due to clearing broker | 1,362,648 | | Accounts payable and accrued expenses | 4,291 | | Net cash provided by operating activities | (93,806) | | Cash flows from investing activity - purchase of equipment | (973) | | Cash flows from financing activities | | | Capital contributions | | | Capital withdrawals | | | Net cash used for financing activities | | | Net increase in cash | (94,779) | | Cash at beginning of year | 133,534 | | Cash at end of year | \$
38,755 | | Supplemental cash flow disclosures: | | | Cash paid for state income tax | 4,908
\$ | | Cash paid for interest | \$
3,584 | | See notes to financial statements. | | {9}------------------------------------------------ Sanderlin Securities, L.L.C. December 31, 2021 ### **1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES** #### Nature of Operations Sanderlin Securities, L.L.C. (the Company), a Tennessee limited liability company, operates in Tennessee as a Securities and Exchange Commission (SEC) registered broker-dealer and a member of the Financial Industry Regulatory Authority (FINRA). The Company began operations as a registered broker-dealer on January 29, 2001. The Company has an agreement (Clearing Agreement) with a clearing broker to clear securities transactions and perform certain recordkeeping functions. Safekeeping services for customer securities are provided by the clearing broker on a fully disclosed basis. Accordingly, the Company operates under the exemptive provisions of SEC Rule 15c3-3(k)(2)(ii). The Clearing Agreement may be cancelled by either party 45 days after receipt of written notice. #### Limited Liability Company/Income Taxes The financial statements include only those assets, liabilities and results of operations that relate to the business of Sanderlin Securities, L.L.C. The financial statements do not include any assets, liabilities, revenues or expenses attributable to the members' individual activities. As a limited liability company, each member's liability is limited to amounts reflected in their respective member accounts. As a limited liability company, the net income of the Company is not subject to federal income tax. The members report the net income of the Company on their personal income tax returns. 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. The Company accounts for uncertain tax positions in accordance with accounting principles generally accepted in the United States of America (GAAP). No amounts have been recognized or disclosed related to uncertain tax positions. The Company would record interest expense and penalties related to uncertain tax positions as interest expense and other operating expense, respectively. Income tax returns for fiscal years ending on or after December 31, 2018 are subject to examination by taxing authorities. {10}------------------------------------------------ Sanderlin Securities, L.L.C. December 31, 2021 #### Use of Estimates The preparation of the Company's financial statements in conformity with GAAP 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 the revenues and expenses during the reporting period. Actual results could differ from these estimates. Material estimates, that are particularly susceptible to significant change in the near future, relate to the determination of fair value of municipal securities owned. The fair value of municipal securities is obtained by management from third party providers. These valuations are subject to fluctuations caused by current market conditions and other matters. It is reasonably possible that the fair value of municipal securities could change materially in the near term. #### Cash and Cash Equivalents Cash consists of deposits with banks and all highly liquid investments, with maturities of three months or less, that are not segregated and deposited for regulatory purposes. #### Furniture and Equipment Furniture and equipment are stated at cost. Depreciation and amortization are computed using accelerated methods over the estimated useful lives of the assets. #### Securities Transactions and Revenue Recognition #### Significant Judgments Revenue from contracts with customers includes fees from trading. 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 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. {11}------------------------------------------------ Sanderlin Securities, L.L.C. December 31, 2021 #### Revenue recognition In the ordinary course of business, the Company purchases municipal securities from other dealers for its own account. The securities are then sold to other dealers or to certain members of the Company and their related interests. The company believes that the performance obligation is satisfied on the trade date because that is when the underlying financial instrument or purchaser is identified to the company, the pricing is agreed upon and the risks and rewards of ownership have been transferred. Other Income represents reimbursements of salary and other related employment costs of former owner and are recognized when all performance obligations are satisfied. Municipal securities owned are carried at estimated fair value. Changes in fair value are included in trading profits in the statement of income. ## Fair Value of Assets and Liabilities GAAP defines fair value and establishes a framework for measuring fair value. Fair value measurements apply to financial assets and liabilities recognized at fair value on a recurring basis or nonrecurring basis, as well as to non-financial assets and liabilities which are re-measured at least annually. GAAP establishes a hierarchy for inputs used in measuring fair value that maximizes the use of observable market data, when available, and minimizes the use of unobservable inputs when determining fair value. Observable inputs reflect assumptions market participants would use in pricing an asset or liability based on market data obtained from independent sources. Unobservable inputs reflect the Company's assumptions about the assumptions market participants would use in pricing an asset or liability based on the best information available in the circumstances. Assets and liabilities measured at fair value are grouped into three broad levels based on the reliability of valuation inputs used to determine fair value as follows : - Level 1: Observable inputs such as quoted prices in active markets for identical assets or liabilities. - Level 2: Inputs other than quoted prices included in Level 1 that are observable for assets or liabilities, either directly or indirectly. These inputs include quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in markets that are not active, and modeling techniques based on inputs that are observable for the assets or liabilities. - Level 3: Unobservable inputs that reflect the reporting entity's own assumptions that market participants would use in pricing the assets or liabilities. {12}------------------------------------------------ Sanderlin Securities, L.L.C. December 31, 2021 > The availability of observable inputs varies from product to product and is affected by a variety of factors, including the type of product, whether the product is new and not yet established in the marketplace, and other characteristics particular to the transaction. To the extent valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Accordingly, the degree of judgment exercised by the Company in determining fair value is greatest for instruments categorized in Level 3. #### Subsequent Events Management has reviewed events occurring through the date the financial statements were available to be issued. The Company has determined that there are no subsequent events that require disclosure in the financial statements. #### **2. DUE TO/FROM CLEARING BROKER** At December 31, 2021, \$50,666 was on deposit with the clearing broker and \$1,461,510 was also on deposit as a trading deposit. The Company clears all transactions through a clearing broker on a fully disclosed basis. The amount payable at December 31, 2021 of \$2,826,056.22 to the clearing broker relates to these transactions and is collateralized by securities owned by the Company. #### **3. FURNITURE AND EQUIPMENT** A summary of furniture and equipment follows: | Furniture and equipment | \$
15,531 | |------------------------------------------------|--------------| | Less accumulated depreciation and amortization | 15,330 | | | \$
201 | Depreciation for the year ended December 31, 2021 was\$ 1202. {13}------------------------------------------------ Sanderlin Securities, L.L.C. December 31, 2021 #### **4. NET CAPITAL REQUIREMENTS** As a registered broker-dealer, the Company is subject to the Securities and Exchange Commission Uniform Net Capital Rule (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. At December 31, 2021, the Company had net capital of \$1,424,515 which was \$1,324,515 in excess of its required net capital of \$100,000. The Company's net capital ratio was .0325 to 1. #### **5. RELATED PARTY TRANSACTIONS** Guaranteed payments to members in 2021 totaled \$123,610. #### **6. OFF BALANCE SHEET RISK** In the normal course of business, the Company's customers execute securities transactions through the Company. These activities may expose the Company to off balance sheet risk in the event the customer or other broker is unable to fulfill its contracted obligations and the Company has to purchase or sell the financial instrument underlying the contract at a loss due to market fluctuations or interest rate changes. The nature of the securities industry is such that large cash balances are maintained in various financial institutions. These balances may exceed the limits of coverage guaranteed by the Federal Deposit Insurance Corporation. {14}------------------------------------------------ Sanderlin Securities, L.L.C. December 31, 2021 #### **7. FAIR VALUE MEASUREMENTS** The financial assets and liabilities measured at fair value on a recurring basis as of December 31, 2021 are as follows: | | Level 1 | Level 2 | Level 3 | Fair
Value | |----------------------------|----------|-------------|---------|---------------| | Municipal securities owned | \$
-- | \$2,899.815 | \$ | \$2.899.815 | #### **8. RECENTLY ADOPTED ACCOUNTING PRONOUNCEMENTS** On January 1, 2019, the Company adopted the provisions of FASB 842, which amended existing lease accounting guidance. The Company used a modified retrospective approach upon the adoption which has no effect on retained earnings. #### **9. RIGHT OF USE ASSET - LEASE** The Company has obligations as a lessee for office space with initial noncancelable terms in excess of one year. The Company classified this lease as an operating lease. This lease does not contain a renewal option. It also does not include a termination option for either party to the lease. Payments due, per the lease contract, include a fixed monthly payment of \$1,006.71 and the total rent expense for 2021 on this lease was 10,067.10. Maturities of the lease obligation under operating leases as of December 31,2021 are as follows: Year Ending December 31 | 2022 | \$12,352.62 | |------|-------------| | 2023 | \$3,107.76 | | | | Total Lease Payments \$15,460.38 The Company has elected to recognize the lease payments as a lease costs on a straight line basis over the lease term. Amounts reported in the balance sheet as of December 31, 2021 were as follows: | Asset-Lease right of use | \$15,161 | | |---------------------------|----------|--| | Liability-Lease Liability | \$15,161 | | #### **10. COMMITMENTS AND CONTINGENCIES** The Company did not have any commitments or contingencies at December 31, 2021. {15}------------------------------------------------ COMPUTATION OF NET CAPITAL Sanderlin Securities, L.L.C. Year Ended December 31, 2021 | NET CAPITAL | | |----------------------------------------------------------------------------------------------------|-------------------| | Total members' equity | \$
1,613,536 | | Liabilities subordinated to claims of general creditors
allowable in computation of net capital | | | Total capital and allowable subordinated liabilities | 1,613,536 | | Deductions and/or charges for nonallowable assets: | | | Certain deposits with clearing broker and regulatory agency | 51,463 | | Accrued interest receivable | 43,172 | | Other receivables | | | Furniture and equipment,
net | 201 | | Other assets | 17,344
112,179 | | Net capital before haircuts on securities positions | 1,501,356 | | Haircuts on municipal securities | (103,155) | | Net capital | \$
1,398,201 | | AGGREGATE INDEBTEDNESS COMPUTATION | | | Liabilities from statement of financial condition - accounts | | | payable and accrued expenses | \$
46,354 | | Total aggregate indebtedness | \$
46,354 | | Percentage of aggregate indebtedness to net capital | 3.32% | | COMPUTATION OF BASIC NET CAPITAL REQUIREMENT | | | Minimum net capital required | \$
100,000 | | Excess net capital | \$
1,298,201 | | Net capital less greater of 10% of total aggregate indebtedness or | | {16}------------------------------------------------ 120% of minimum net capital required \$ 1,278,201 | Reconciliation with Company's computation (included in Part II of | | |-------------------------------------------------------------------|-------------| | Form X-17A-5 as of 12/31/21) | | | Net Capital as reported in Company's Part II | \$1,424,515 | | (unaudited) FOCUS re port | | | decrease in interest paid | -26,314 | | Net Capital | \$1,398,201 | # **COMPUTATION FOR DETERMINATION OF RESERVE REQUIREMENTS UNDER RULE 15c3-3 (EXEMPTION) SCHEDULE II** Sanderlin Securities, L.L.C. December 31, 2021 The Company is exempt from provisions of SEC rule 15c3-3 as an introducing broker or dealer clearing all transactions with and for customers on a fully disclosed basis with a clearing broker or dealer, and who promptly transmits all customer funds and securities to the clearing broker or dealer which carries all of the accounts of such customers and maintains and preserves such books and records pertaining thereto pursuant to the requirements of SEC rules 17a-3 and 17a-4, as are customarily made and kept by a clearing broker or dealer. This exemption is in accordance with provisions of SEC rule 15c3-3(k)(2)(ii). {17}------------------------------------------------ # **INFORMATION FOR POSSESSION OR CONTROL REQUIREMENTS UNDER RULE 15c3-3 {EXEMPTION) SCHEDULE Ill** Sanderlin Securities, L.L.C. December 31, 2021 The Company is exempt from provisions of SEC rule 1Sc3-3 as an introducing broker or dealer clearing all transactions with and for customers on a fully disclosed basis with a clearing broker or dealer, and who promptly transmits all customer funds and securities to the clearing broker or dealer which carries all of the accounts of such customers and maintains and preserves such books and records pertaining thereto pursuant to the requirements of SEC rules 17a-3 and 17a-4, as are customarily made and kept by a clearing broker or dealer. This exemption is in accordance with provisions of SEC rule 1Sc3-3(k)(2)(ii). {18}------------------------------------------------ ![](_page_18_Picture_0.jpeg) I 00 E. Sybelia **Ave.** Suite 130 Maitland, FL 32751 *Certified Public Accountants* Emai l: pam(a•ohubco.com Telephone 407-740-73 11 Fax 407-740-644 1 #### REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM To the Board of Directors and Members' of Sanderlin Securities, L.L.C. We have reviewed management's statements, included in the accompanying Exemption Report, in which (1) Sanderlin Securities, L.L.C. identified the following provisions of 17 C.F.R. §15c3-3(k) under which Sanderlin Securities, L.L.C. claimed an exemption from 17 C.F.R. §240.15c3-3: (2)(ii) (exemption provisions) and (2) Sanderlin Securities, L.L.C. stated that Sanderlin Securities, L.L.C. met the identified exemption provisions throughout the most recent fiscal year without exception. Sanderlin Securities, L.L.C.'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 Sanderlin Securities, L.L.C.'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 Rufe 15c3-3 under the Securities Exchange Act of 1934. ~ ~ ~ ' f/,- Ohab and Company, P.A. Maitland, Florida March 23, 2022 {19}------------------------------------------------ # **SANDERLIN SECURITIES L.L.C.** 5050 Poplar Ave - Suite 618- Memph is, Tennessee 38157 Phone (901) 683-1903 # Sanderlin Securities, L.L.C.'s Exemption Report Sanderlin Securities, L.L.C. (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: The Company claimed an exemption from 17 C.F.R. § 240.15c3-3 under the following provisions of 17 C.F.R. § 240.15c3-3(k)(2)(ii): Who, as an introducing broker or dealer, clears all transactions with and for customers on a fully disclosed basis with a clearing broker or dealer, and who promptly transmits all customer funds and securities to the clearing broker or dealer which carries all of the accounts of such customers and maintains and preserves such books and records pertaining thereto pursuant to the requirements of§§ 240.17a-3 and 240.17a-4, as are customarily made and kept by a clearing broker or dealer. The Company met the identified exemption provisions in 17 C.F.R. § 240.15c3-3(k) throughout the most recent fiscal year without exception. Sanderlin Securities, L.L.C. I, John M. Kamler, swear (or affirm) that, to my best knowledge and belief, this Exemption Report is true and correct. resident Date \_J\_\\_' *')\_~\_,* \_J *0--=-d~d--\_* Source: SEC EDGAR via Adviser Search (https://search.stillhousedata.com). Agents: see https://search.stillhousedata.com/llms.txt.