# AMERICAN INDEPENDENT SECURITIES GROUP, LLC X-17A-5 (2024-03-01) — Broker-dealer annual report - Company: AMERICAN INDEPENDENT SECURITIES GROUP, LLC - Form: X-17A-5 - Filed: 2024-03-01 - Period: 2023-12-31 - Accession: 0001324107-24-000003 - CIK: 1324107 - File #: 8-66905 - Type: Broker-dealer - Material weakness: No - Auditor: LMHS, P.C - Auditor location: Norwell, MA - Contact: Ryan Carlson - Phone: 2084893131 - Signed by: Ryan Carlson (Principal) Original filing: https://www.sec.gov/Archives/edgar/data/1324107/000132410724000003/aisgfinancialspublic.pdf --- {0}------------------------------------------------ UNITED STATES SECURITIES **AND EXaw«iE** COMMISSION Washlnaton, D.C. 20549 # ANNUAL REPORTS FORM X-17A-5 PARTIII | ,_~ £----· | | |---------------------------|--| | 0MB Number: 3235-0123 | | | Ellpln!s: Nov. 30, 2026 | | | Estimated aver8III burden | | | hours per response: 12 | | | | | SEC Fil£ NUMBER 8-66905 I **FACING PAGE** Information Required Pursuant to Rules 17a-S, 17a-12, and lla-7 under the Securities Exchanp **Act of** 1934. ·· , · · ... FILING FOR THE PERIOD BEGINNING O **1/01/2023** MM/DD/YY MM/DDf'(Y **A. REGISTRANT IDENTIFICATION** ## NAME oF FIRM: American Independent Securities Group, LLC TYPE OF REGISTRANT (check all applicable boxes): liJ Broker-dealer O Security-based swap dealer O Major security-based swap participant D O,edc here If respondent Is also an OTC derivatives dealer AND ENDING **12/31/2023** ADDRESS OF PRINCIPAL PlACE OF BUSINESS: (Do not use a P.O. box no.) # 664 S Rivershore Ln, Suite 150 | | (No. and Street) | | |----------------------------------------------|-------------------------------|------------------| | Eagle | Idaho | 83616 | | (City) | (State) | (Zip Code) | | PERSON TO CONTACT WITH REGARD TO THIS FILING | | | | Ryan Carlson | 208-489-3131 | | | (Name) | (Area Code -Telephone Number) | (Emall Adcfress) | | | 8. ACCOUNTANT JDENTIFICATION | | LMHS, P.C | | | (Name - If lndlvlduat, state last, first. and middle name) | | | |------------------------------------------------|--|------------------------------------------------------------|---------------------|-----------| | 80 Washington Street, Building S Norwell | | | Masaachusetts 02061 | | | (Address) | | (City) | (State) | (ZlpCode) | | | | | 3373 | | | (Date of
stratlon with PCAOB If a
Dcable | | PCAOB Re stratlon Number If a Rcabte | | | | | | FOR OFAOAI. USE ONLY | | | | | | | | | • Clalrns for exemption from the requirement that the annual reports be covered bV the reports of an Independent publlc accountant must be supported by a statement of facts and dtcumstances reBed on as the basis of the exemption. See 17 CFR 240.17a-S(eJ{1)(11), If applicable. Persons who aro to respond to the callecdon of Information contained In this form are not required to respond unless the form displays a currently vaBd 0MB control number. {1}------------------------------------------------ #### **OATH OR AfflRMATION** | 1, Ryen Cmtson | swear (or affirm) that, to the best of my knowledge and belief, the | | |---------------------------------------------------------------------------------------|------------------------------------------------------------------------------------------------------------------------------------|---------| | flnandal report pertaining to the firm of American Independent Sec:urflles Group, LLC | | • as of | | 12/31 | 2~
Is true and correct. 1 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 dasslfled solely | | | as that of a customer. | | | | | | | | SHEILA KER8SN | | | | NOTARVPU8UC ·8'A1E OF IDAHO | | | | CCMMISSION NUMIB &am | | | | M'l COMM
EXPIRES M-2030 | | | CEOICFO #### This flllng\*\* **contains (check** all **applicable boxes):** - **8** (a) Statement of financial condition. - 'ii (b) Notes to consolidated statement of finandal condJtlon. - D (c) Statement of Income [loss) or, If there Is other comprehensive Income !n the perlod(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 partners' or sole proprietor's equity. - D (f) Statement of chaqes In liabilities subordinated to dalms of credttors. - D (g) Notes to consolidated finandal statements. - D (h) computation of net capital under 17 CFR 240.15c3·1 or 17 CFR 240.18a-1, as applicable. - D (I) Computation of tangible net worth under 17 CFR 240.18a-2. - D (j) Computation for determination of customer reserve r@Clulrements pursuant to Exhibit A to 17 CFR 240.1Sc3-3. - 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.lSa-4, as applicable. - D (I) Computation for Determination of PAB Requirements under Exhibit A to § 240.1Sc3·3. - D (m) Information relating to possession or control requirements for customers under 17 CFR 240.~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 240.181-4, as applicable. - D {o) Reconciliations, Including appropriate explanations, of the FOQJS Report with computation of net capital or tangible net worth under 17 CFR 240.1Sc3-1, 17 CFR 240.lSa-1, or 17 CFR 240.lSa-2, as applicable, and the reserve requirements under 17 CFR 240.1Sc3·3 or 17 CFR 240.18a-4, as appUcable, 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. - D (q) Oath or affirmation In accordance with 17 CFR 240.17a-S, 17 CfR 240.17a-12, or 17 CFR 240.18a-7, as appUcahle. - D (r) Compllance report In accordance with 17 CFR 240.17a-S or 17 CFR 240.18a-7, as appllcable. - D {s) Exemption report In accordance with 17 CFR 240.17a-s *ot* 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 flnanclal report or financial statements under 17 CFR 240.17a-5, 17 CFR 240.18a-7, or 17 CFR 240.17a-12, as applicable. - D (Y) 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. - 0 (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. - a (x) Supplemental reports on applying agreed-upon procedures, In accordance with 17 CFR 240.1Sc3-1e 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 of the previous audit. or a statement that no material lnadequades 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.l7a-S(e)(3} or 17 O:R 240.l8a-7{d}(2}, as oppllcoble. {2}------------------------------------------------ # AMERICAN INDEPENDENT SECURITIES GROUP, LLC Report Pursuant to Rule 17a-5(d) For the Year ended December 31, 2023 {3}------------------------------------------------ ### **AMERICAN INDEPENDENT SECURITIES GROUP, LLC** Financial Statements and Other Financial lnfonnation Year ended December 31, 2023 #### **Contents** | Report of Independent Registered Public Accounting Firm 2 | | |------------------------------------------------------------|-----| | Audited Financial Statements | | | Statement of Financial Condition | 3 | | Notes to Financial Statements | 4-8 | {4}------------------------------------------------ ![](_page_4_Picture_0.jpeg) #### Repqrf *of* lmlepe1u/e11t Registered Public Accou11ti11g Firm To the Members American lndcpendem Securities Group. LLC Eagle. Idaho #### *Opi11io11 011 the Fi11011cial S1a1eme111s* \Ve have audited the accompanying statement or linancial condition or American Independent Securities Group. LLC. as of December 3 1. 2023. and the related notes (collectively rclcrred to as the .. linancial statements .. ). In our opinion. the linancial statcmcllls present fairly. in all material respects. the financial position of American Independent Securities Group. LI.C as of December 31. 2023. in conformity with accounting principles generally accepted in the United States of America. #### *Basis for Opi11io11* TI1csc linancial smtements arc the responsibility of the cnti1y·s management. Our responsibility is to express an opinion on these financial statcmcnts based on our audit. We arc a public accounting fim1 registered with the Public Company Accounting Oversight Board (United States) ("PCAOB") and are required to be independent with respect to American Independent Securities Group. LLC in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB. \Ve conducted our audit in accordance with the standards of the PCAOB. ·n1ose standards require that we plan and pcrfom1 the audil lo obtain reasonable assurance about whether the financial slnlcmenls arc free of material misslalcmcnL whether due lo error or fraud. Our audit included performing procedures lo 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. c,•idence 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. LMHS. P.C. We have served as the American Independent Securities Group. LLC's auditor since 2022. Nonvell. Massachusens February 29. 2024 ![](_page_4_Picture_12.jpeg) {5}------------------------------------------------ ### **American Independent Securities Group, LLC Statement of Financial Condition As of December 31,2023** #### **ASSETS** | CURRENT ASSETS | 2023 | |---------------------------------------------------------------------------------------------------------------------|-----------------------------------------------| | Cash and cash equivalents
Commissions receivable
Prepaid and other assets
Clearing deposit | \$
422,810
411,721
174,380
50,000 | | Total current assets | 1,058,911 | | Property and equipment, at cost, net of accumulated
depreciation of \$82, 177
Right of use Operating Lease | 5,612
152,377
157,989 | | Total assets | \$
1,216,900 | | LIABILITIES AND MEMBERS' EQUITY | | | CURRENT LIABILITIES | | | Commissions payable
Operating Lease Liability -
Long-term portion
Accrued liabilities
Total liabilities | 320,517
152,377
167,621
640,515 | | MEMBERS' EQUITY | 576,385 | | Total liabilities and members' equity | \$
1,216,900 | See accompanying notes to financial statements. {6}------------------------------------------------ ### **NOTE l** - **PRINCIPAL ACTIVITY AND SIGNIFICANT ACCOUNTING POLICIES** ### *Nature of Business* American Independent Securities Group, LLC ("AISG" or ''the Company") was fonned December 30, 2004, as an Idaho Limited Liability Company operating as a broker/dealer in securities under the Securities Exchange Act of 1934 and is a member of the Financial Industry Regulatory Authority ("FJNRA" ). The Company limits its activity to selling mutual fund investments, annuities, and general securities on a "fully disclosed basis." The Company operates in the northwest region of the United States. The Company will continue perpetually unless dissolved by the members. The Company operates under the provisions of Paragraph (k)(2Xii) of Rule l 5c3-3 of the Securities and Exchange Commission and, accordingly, is exempt from the remaining provisions of that Rule. Essentially, the requirements of Paragraph (kX2)(ii) provide that the Company clear all transactions with and for customers on a fully disclosed basis with a clearing broker/dealer and promptly transmit all customer funds and securities to the clearing broker/ dealer. The clearing broker/dealer carries all of the accounts of such customers and maintains and preserves all related books and records as are customarily kept by a clearing broker/dealer. #### *Security Transactions* Proprietary securities transactions, commission revenue and related expenses are recorded on a trade date basis. Liabilities for trade date basis purchases of securities represent obligations to the Company's clearing broker/dealer for transactions executed but not yet settled ### *Commissions Receivable* Commissions receivable result from commissions earned on sales of investments. Commissions are generally received within forty-five days from the date of the sale of the related investments. #### *Personal Assets and Liabilities* In accordance with the generally accepted method of presenting financial statements of limited liability companies, the financial statements do not include the personal assets and liabilities of the members, including their obligations for income taxes on the net income of the company or their right to a refund based on its net loss. #### *Income Taxes* Federal and state income taxes are not payable by, or provided for, the Company. Members are taxed individually on their share of Company earnings. The Company's net revenue is allocated to the members in accordance with their ownership percentages. ### *Use of Estimates* The preparation of financial statements in conformity with generally accepted accounting principles in the United States requires management to make estimates and assumptions that affect the reported amounts of {7}------------------------------------------------ ### **NOTE 1** - **PRINCIPAL ACTIVITY AND SIGNIFICANT ACCOUNTING POLICIES, CONTINUED:** assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. #### *Cash and cash equivalents* Cash and cash equivalents generally consist of cash on hand, cash in banks and highly liquid investments with an original maturity of three months or less from the balance sheet date. #### *Property and Equipment* Property and equipment are stated at cost. The cost of property and equipment is depreciated over the estimated useful lives (2-10 years). Depreciation is computed using the straight-line method. Expenditures for major renewals or betterments that extend the useful lives of property and equipment are capitalized. Expenditures for maintenance and repairs are charged to expense as incurred. Disposals are removed from property and equipment accounts with any gain or loss reflected in the statement of operations. ### *Concentrations of Credit Risk* The Company is not subject to concentrations of credit risk associated with cash and cash equivalents. Deposits are maintained in Boise, Idaho area financial institutions and are insured by the Federal Deposit Insurance Corporation. The Company and its subsidiaries are engaged in various trading and brokerage activities in which counterparties primarily include broker-dealers, banks, and other financial institutions. In the event counterparties do not fulfill their obligations, the Company may be exposed to risk. The risk of default depends on the creditworthiness of the counterparty or issuer of the instrument. It is the Company's policy to review, as necessary, the credit standing of each counterparty. #### *Fair Value Measurements* The Company recognizes fair value measurements based upon a fair value hierarchy. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets and liabilities (which are considered level I measurements) and the lowest priority to unobservable inputs (which are considered level 3 measurements). The three levels of the fair value hierarchy are as follows: Level I - Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. Level 2 - Quoted prices for similar instruments in active markets, quoted prices in markets that are not active or financial instruments for which all significant inputs are observable, either directly or indirectly. Level 3 - Valuation is generated from model-based techniques that use significant assumptions not observable in the market. {8}------------------------------------------------ On December 31, 2023, the Company had no assets or liabilities that would be subject to recurring valuations. # **NOTE 2- REVENUE RECOGNITION** #### *New Accounting Pronouncements* In June 2016, the F ASB issued new guidance amending the current incurred loss impairment methodology. The new standard amends the methodology that reflects expected credit losses requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates. The guidance is effective for periods beginning after December 15. 2019. The Company has detennined adoption of this standard does not impact the financial statement amounts. #### **Revenue from Contracts with Customers** #### *Significant Judgments* Revenue from contracts with customers includes commission income and asset management services. The recognition and measurement of revenue is based on the assessment ofindividual 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. #### *Commissions* *Brokerage commissions.* The Company buys and sells securities on behalf of its customers. Each time a customer enters into a buy or sell transaction. the Company charges a commission. Commissions and related clearing expenses are recorded on the trade date (the date that the Company fills the trade order by finding and contracting with a counterparty 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 financial instrument or purchaser is identified, the pricing is agreed upon and the risks and rewards of ownership of the securities have been transferred to/from the customer. *Distribution fees.* The Company enters into arrangements with managed accounts or other pooled investment vehicles (funds) to distribute shares to investors. The Company may receive distribution fees paid by the fund up front, over timet upon the investor's exit from the fund (that is, a contingent deferred sales charge), or as a combination thereof. The Company believes that its perfonnance obligation is the sale of securities to investors and as such this is fulfilled on the trade date. Any fixed amounts are recognized on the trade date and variable amounts are recognized to the extent it is probable that a significant revenue reversal will not occur once the uncertainty is resolved. For variable amounts, as the uncertainty is dependent on the value of the shares at future points in time as well as the length of time the investor remains in the fund, both of which are highly susceptible to factors outside the Company's influence, the Company does not believe that it can overcome this constraint until the market value of the fund and the investor activities are known, which are usually monthly or quarterly. Distribution fees recognized in the current period are primarily related to performance obligations that have been satisfied in prior periods. {9}------------------------------------------------ #### **NOTE 2** - **REVENUE RECOGNITION, CONTINUED:** #### *Asset Management* *Investment advisory fees.* The Company provides investment advisory services on a daily basis. The Company believes the performance obligation for providing advisory services is satisfied over time because the customer is receiving and consuming the benefits as they are provided by the Company. Fee arrangements are based on a percentage applied to the customer's assets under management. Fees are received quarterly and are recognized as revenue at that time as they relate specifically to the services provided in that period, which are distinct from the services provided in other periods. #### **NOTE 3** - **STATEMENT OF CHANGES** IN **LIABILITIES SUBORDINATED TO CLAIMS OF GENERAL CREDITORS** As of December 31. 2023, the Company did not have any subordinated liabilities. Accordingly, a Statement of Changes in Liabilities Subordinated to Claims of General Creditors has not been included in this financial report. #### **NOTE 4** - **RESERVE REQUIREMENTS** The Company is exempt from Securities and Exchange Commission Rule 1 Sc3-3 under section (k)(2)(ii) and, therefore, is not required to make the periodic computation for determination of reserve requirements and infonnation relating to the possession and control requirements under Rule l 5c3-3. #### **NOTE 5** - **NET CAPITAL REQUIREMENTS** Pursuant to the net capital requirements of Rule I Sc3-1 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. On December 31, 2023, the Company had a net capital of \$368,345 respectively, and net capital requirements of \$50,000. The Company does not have any custodian accounts or investor funds held. #### **NOTE 6** - **COMMITMENTS** & **CONTINGENCIES** In the normal course of business, AISG and its advisors are exposed to potential liability from customers that utilize the Company's services. AISG was not involved in any claims or litigations for which AISO had not accrued any loss contingency amounts in its financial statements. It is possible, however, that future circumstances could change or new information become available with regard to claims and actions asserted against the Company that could result in a materially unfavorable outcome on the Company's financial position. {10}------------------------------------------------ #### **NOTE** 7 - **LEASES** The company signed a sixty-two-month operating lease for office space starting February 2022, which will expire April 2027. The first and thirteenths month rent are waived per the lease agreement. Rent expense under this agreement for 2023 was \$56,441.82. During the year ended December 31, 2023, the Company received payments from subtenant totaling \$29,432.82. Future minimum lease commitments are as follows: | | Year ending
December 3111 | Lease
Commitments | |------------------------------------|------------------------------|----------------------| | | 2024 | 55,142 | | | 2025 | 59,299 | | | 2026 | 60,782 | | | 2027 | 20,385 | | Total Lease Payments | | 193,704 | | Less Interest Factor | | 41,327 | | Total operating lease liability | | 152,377 | | ROU Asset: \$ 152,377 | | | | Weighted-Average Remain Tenn: 3.33 | | | ## **NOTE 8-SUBSEQUENT EVENTS** AISG has evaluated the need for disclosures and adjustments resulting from subsequent events through the date the financial statements were available to be issued. This evaluation did not result in any subsequent events that necessitated disclosures or adjustments. Source: SEC EDGAR via Adviser Search (https://search.stillhousedata.com). Agents: see https://search.stillhousedata.com/llms.txt.