# WEALTH ENHANCEMENT BROKERAGE SERVICES, LLC X-17A-5 (2026-03-30) — Broker-dealer annual report - Company: WEALTH ENHANCEMENT BROKERAGE SERVICES, LLC - Form: X-17A-5 - Filed: 2026-03-30 - Period: 2025-12-31 - Accession: 0001275351-26-000002 - CIK: 1275351 - File #: 8-66305 - Type: Broker-dealer - Material weakness: No - Auditor: BDO USA, P.C. - Auditor location: MINNEAPOLIS, MN - Contact: Jason Katzenberger - Phone: 763-401-5563 - Email: jbartylla@wealthenhancement.com - Website: wealthenhancement.com - Signed by: Kelly Windorski (Chief Manager) Original filing: https://www.sec.gov/Archives/edgar/data/1275351/000127535126000002/PublicReport.pdf --- {0}------------------------------------------------ # Wealth Enhancement Brokerage Services, LLC Financial Statement (Public Document) December 31, 2025 {1}------------------------------------------------ **UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549** 0MB Number: 3235-0123 Expires: *Nov.* 30, 2026 Estimated average burden hours per response: 12 # **ANNUAL REPORTS FORM X-17A-5 PART Ill** | SEC FILE NUMBER | | |-----------------|--| | 8-66305 | | **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 **01 /01 /25** MM/DD/YY MM/DD/YY **A. REGISTRANT IDENTIFICATION** NAME OF FIRM: Wealth Enhancement Brokerage Services, LLC TYPE OF REGISTRANT (check all applicable boxes): [] Broker-dealer []Security-based swap dealer D Check here if respondent is also an OTC derivatives dealer □ Major security-based swap participant AND ENDING **12/31 /25** ADDRESS OF PRINCIPAL Pl.ACE OF BUSINESS: (Do not use a P.O. box no.) # 505 N Highway 169, Suite 900 | | {No. and Street) | | | | |-------------|----------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------|--| | | MN | | 55441 | | | | (State) | | (Zip Code) | | | | | | | | | | | | jbartylla@wealthenhancement.com | | | | Telephone Number) | (Email | | | | | | | | | | | | | | | | | | | 55402 | | | | (City) | (State) | (Zip Code) | | | | | 243 | | | | applicable) | | (PCAOB Registration | Number, if
applicable) | | | | | | | | | | REGARD
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MN | | \* 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-5(e)(1)(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.** {2}------------------------------------------------ #### OATH OR AFFIRMATION I, Kelly Windorski swear (or affirm) that, to the best of my knowledge and belief, the financial report pertaining to the firm of Wealth Enhancement Brokerage Services, LLC as of Tl1, 2istrue 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_2_Figure_4.jpeg) | R
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C | | ## **This filing\*\* contains (check all applicable boxes):** - **fie** (a) Statement offinancial condition. - **le** (b) Notes to consolidated statement of financial condition. - D (c) Statement of income (loss) or, ifthere is other comprehensive income in the period(s) presented, a statement of comprehensive income (as defined in 5 210.1-02 of Regulation S-X). - □ (d) Statement of cash flows. - (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. - D (g) Notes to consolidated financial statements. - D {h) Computation of net capital under 17 CFR 240.15c3-1 or 17 CFR 240.18a-1, as applicable. - □ (i) Computation oftangible net worth under 17 CFR 240.18a-2. - D *U)* Computation for determination of customer reserve requirements pursuant to Exhibit A to 17 CFR 240.15c3-3. - [] (K) Computation for determination of security-based swap reserve requirements pursuant to Exhibit B to 17 CFR 240.15c3-3 or Exhibit A to 17 CFR 240.18a-4, as applicable. - □ {I) Computation for Determination of PAB Requirements under Exhibit A to \$240.15c3-3. - (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, ofthe FOCUS Report with computation of net capital or tangible net worth under 17 CFR 240.15c3-1, 17 CFR 240.18a-1, or 17 CFR 240.183-2, 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. - **is** (q) Oath or affirmation in accordance with 17 CFR 240.17a-5, 17 CFR 240.173-12, or 17 CFR 240.18a-1, as applicable. - D (r) Compliance report in accordance with 17 CFR 240.173-5 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 ofthe statement offinancial condition. - D (u) Independent public accountant's report based on an examination ofthe financial report or financial statements under 17 CFR 240.173-5, 17 CFR 240.183-7, 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 based on a review ofthe exemption report under 17 CFR 240.17a-5 or 17 CFR 240.18a-7, as applicable. - D (x) Supplemental reports on applying agreed-upon procedures, in accordance with 17 CFR 240.15c3-1e or 17 CFR 240.17a-12, as applicable. - D (y) Report describing any material inadequacies found to exist or found to have existed since the date ofthe previous audit, or a statement that no material inadequacies exist, under 17 CFR 240.173-12(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 240.180-7(d)(2), as applicable.* {3}------------------------------------------------ # Page(s) | Accounting
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to | | {4}------------------------------------------------ ![](_page_4_Picture_0.jpeg) Tel: 414-272-5900 Fax: 414-272-1090 www.bdo.com Two Plaza East 330 East Kilbourn Avenue, Suite 750 Milwaukee, WI 53202 # **Report of Independent Registered Public Accounting** Firm Board of Governors and Members Wealth Enhancement Brokerage Services, LLC #### **Opinion on Financial Statement** We have audited the accompanying statement of financial condition of Wealth Enhancement Brokerage Services, LLC (the "Broker-Dealer") as of December 31, 2025, and the related notes (collectively referred to as the" financial statement"). In our opinion, the financial statement presents fairly, in all material respects, the financial position of the Broker-Dealer at December 31, 2025, in conformity with accounting principles generally accepted in the United States of America. # **Basis** for Opinion This financial statement is the responsibility of the Broker-Dealer's management. Our responsibility is to express an opinion on the Broker-Dealer'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 the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB. We conducted our audit in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial 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 statement. 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 statement. We believe that our audit provides a reasonable basis for our opinion. # BDO u\$A, C. We have served as the Broker-Dealer's auditor since 2013. Minneapolis, Minnesota March 30, 2026 BDO USA, PC, a Virginia professional corporation, is the US member of BDO Internationat Limited, a UK company limited by guarantee, and forms part of the international BDO network of independent member firms BDO is the brand name for the BDO network and for each of the BDO Member Firms {5}------------------------------------------------ # **Assets** | Cash
Restricted
Cash
from
broker
Receivables
Prepaid
expenses | 10,661,944
\$
5,291,634 | 250,000
602,224 | |------------------------------------------------------------------------------------|-------------------------------|-------------------------| | Total
assets | 16,805,802
\$ | | | Liabilities
Equity
Member's
and | | | | Liabilities:
Other
accrued
expenses
affiliates
Payable
to | \$
3,872,732 | 838,760 | | liabilities
Total | 4,711,492
\$ | | | Commitments
contingencies
Note
(see
and
5) | | | | Member's
equity:
Additional
capital
paid-in
Retained
earnings | | 10,435,000
1,659,310 | | Total
equity
member's | 12,094,310 | | | Total
liabilities
equity
member's
and | 16,805,802
\$ | | See accompanying notes to the financial statements. {6}------------------------------------------------ #### **1. Nature of Business and Significant Accounting Policies** #### Nature of Business Wealth Enhancement Brokerage Services, LLC (the "Company") is a privately held Minnesota limited liability company operating as a registered securities broker-dealer with the U.S. Securities and Exchange Commission (the "SEC") and is a member of the Financial Industry Regulatory Authority, Inc. The Company is a wholly owned subsidiary of Wealth Enhancement Group, LLC (the "Parent"), which is ultimately owned by WEG Consolidated, LLC ("WEG Consolidated"). The Parent has agreed to contribute capital, as needed, to fund the operations of the Company. During the period January 1, 2025 through June 30, 2025, the Company had a brokerage services agreement with Linsco/Private Ledger Corp. (also known as LPL Financial) whereby LPL Financial is the Company's Clearing Broker, the Company's advisors act as LPL Financial registered representatives and the Company did not receive customer funds. Wealth Enhancement Brokerage Services, LLC ended its agreement with LPL June 30, 2025. #### Change to introducing broker dealer and move from LPL to NFS In October of 2024, LPL Financial Holdings, Inc. ("LPL") provided notification to the Parent, that it intended to terminate their business relationship for strategic planning reasons. This separation included an agreed upon expected transition of approximately \$12 billion of client assets then custodied at LPL to other custodial and broker/dealer partners. The transitioning assets consisted of both broker-dealer accounts/assets serviced by the Company and investment advisory accounts held by clients of, and advised by, Wealth Enhancement Advisory Services ("WEAS"), the Company's affiliated Registered Investment Advisor and also a subsidiary of the Parent. Revenue generated from the transitioning assets from January 1, 2025 through June 30, 2025 was approximately 47% attributable to the Company and 53% attributable to WEAS. As part of this separation, a project at the Parent was initiated, internally referred to as "Project Daybreak" ("Daybreak"), to plan for and ultimately execute this transition which would benefit the Parent and all its affiliated entities and their clients. In anticipation of Daybreak related expenses ultimately being borne by the Company, the Parent made a capital contribution in the amount of \$10,000,000 in September 2025. Since July 1, 2025, the Company operated as an introducing broker dealer. Licensed representatives are employed by the Parent through a shared services agreement and are registered with the Company to provide brokerage services to the Company's clients. As of July 1, 2025, the Company entered into a clearing agreement with National Financial Services LLC (NFS). #### Basis of Preparation The financial statements have been prepared on an accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America ("GAAP"). {7}------------------------------------------------ #### Concentration of Major Customer Risk Financial instruments that potentially subject the Company to concentration of credit risk consist principally of receivables from its clearing broker, NFS, as well as its third party carriers. #### Cash Deposits in Excess of Federally Insured Limits The Company often maintains cash balances at financial institutions in excess of the Federal Deposit Insurance Corporation ("FDIC") insurance limits. Management believes the financial risk to be minimal. At December 31, 2025, the Company had deposits in excess of federally insured amounts totaling \$10,411,944. #### Receivables from Broker Receivables from broker arise when the Company has an unconditional right to receive payment under contract with NFS and are derecognized when the cash is received. Commissions receivable from contracts of \$3,891,634 as of December 31, 2025, are reported in receivable from broker on the Statement of Financial Condition. There is also an additional one-time credit outlined in the NFS contract of \$1,400,000 resulting in a total balance of \$5,291,634 as of December 31, 2025. The Company evaluates the collectability of its receivables based on a combination of factors using the current expected credit loss ("CECL") framework. The Company considers factors such as historical experience, credit quality, age of balances and current and future economic conditions that may affect the Company's expectation of the collectability in determining the allowance for credit losses. As of December 31, 2025, no allowance for uncollectable accounts has been reflected on the accompanying statement of financial condition. If circumstances change, the Company's estimates of collectability could be reduced by a material amount. #### Segment Reporting The Company is engaged in a single line of business as a securities broker-dealer, providing investment advisory services. The Company has identified its Chief Executive Officer 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 2), 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. #### Recently Adopted Accounting Pronouncements On January 1, 2025, the Company adopted Accounting Standards Update ("ASU") 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures. This ASU enhances the disclosure requirements related to tax rate reconciliations and income taxes paid. The ASU did not have a material effect on the Company's Statement of Financial Condition or the Statement of Income. {8}------------------------------------------------ ### Estimates The preparation of the statement of financial condition in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financials. Actual results could differ from those estimates. #### **2. Regulatory Requirements** The Company is subject to the SEC's Uniform Net Capital Rule ("Rule 15c3-1"), which requires the maintenance of minimum net capital and requires the ratio of aggregate indebtedness to regulatory net capital, both as defined under such provisions, shall not exceed 15 to 1. The rule also provides that equity capital may not be withdrawn or cash dividends paid if the resulting net capital ratio would exceed 10 to 1. The Company has at all times maintained its net capital above the SEC's required level during the year ended December 31, 2025. At December 31, 2025, the Company's net capital of \$7,534,009 was \$7,219,909 in excess of its required net capital of \$314,100. The Company's ratio of aggregate indebtedness to net capital was 0.63 to 1at December 31, 2025. #### **3. Related-Party Transactions** #### Parent The Company and its Parent have a cost sharing agreement for certain shared expenses. Under the agreement, the Parent incurs services and costs and allocates to the Company its applicable share of these costs. At December 31, 2025, \$3,580,861 was payable by the Company to the Parent related to these expenses and is reflected as a payable to affiliates on the Company's accompanying statement of financial condition. #### Affiliate From time to time, the Company incurs direct expenses on behalf of an affiliated entity, Wealth Enhancement Advisory Services, LLC ("WEAS"). These transactions are recorded as payables and receivables and are settled periodically. At December 31, 2025, \$291,871 was payable to WEAS and was included with Payable to Affiliate in the accompanying statement of financial condition. #### **4. Commitments and Contingencies** In the normal course of business, the Company may be involved in legal, regulatory and arbitration proceedings, including class actions, primarily concerning matters arising in connection with the conduct of its broker-dealer activities. These include proceedings specific to the Company, as well as proceedings generally applicable to business practices in the industries in which it operates. Uncertain economic conditions, heightened and sustained volatility in the financial markets, and significant reform legislation may increase the likelihood that clients and other persons or regulators {9}------------------------------------------------ may present or threaten legal claims or the regulators may increase the scope or frequency of examinations of the Company or the financial services industry in general. As of December 31, 2025, there were no known legal proceedings. #### **5. Subsequent Events** The Company has evaluated subsequent events through March 30, 2026, which is the date the financial statements were available to be issued. Management has determined that there are no material events that would require adjustments to, or disclosures in the Company's financial statements. Source: SEC EDGAR via Adviser Search (https://search.stillhousedata.com). Agents: see https://search.stillhousedata.com/llms.txt.