# TTBD, LLC X-17A-5 (2020-02-27) — Broker-dealer annual report - Company: TTBD, LLC - Form: X-17A-5 - Filed: 2020-02-27 - Period: 2019-12-31 - Accession: 0001405649-20-000001 - CIK: 1405649 - File #: 8-67667 - Material weakness: No - Auditor: Deliotte & Touch LLP - Auditor location: Chicago, IL - Contact: Patrick Rooney - Phone: 3126986020 - Website: deloitte.com - Signed by: Patrick J. Rooney (Principal) Original filing: https://www.sec.gov/Archives/edgar/data/1405649/000140564920000001/publicreport2019.pdf --- {0}------------------------------------------------ February 26, 2020 3:43 PM # TTBD, LLC (SEC I.D. No. 8-67667) Financial Statement as of December 31, 2019, and Report of Independent Registered Public Accounting Firm Filed Pursuant to Rule 17a-5(e)(3) under the Securities Exchange Act of 1934 as a PUBLIC Document {1}------------------------------------------------ # **TTBD, LLC** #### **TABLE OF CONTENTS** | | Page | |------------------------------------------------------------------|------| | REPORT OF INDEPENDENT
REGISTERED PUBLIC
ACCOUNTING
FIRM | 1 | | FINANCIAL STATEMENT
AS OF DECEMBER
31, 2019: | | | Statement of Financial
Condition | 2 | | Notes to Statement
of Financial Condition | 3-4 | | | | {2}------------------------------------------------ # **Deloitte.** **Deloitte** & **Touche LLP** 111 S. Wacker Drive Chicago, IL 60606 USA Tel: +13124861000 Fax: +13124861486 www.deloitte.com #### **REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM** To the shareholder and the Board of Directors of TTBD, LLC #### **Opinion on the Financial Statement** We have audited the accompanying statement of financial condition of TTBD, LLC (the "Company") as of December 31, 2019, 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 Company as of December 31, 2019, in conformity with accounting principles generally accepted in the United States of America. #### **Basis for Opinion** The financial statement is the responsibility of the Company's management. Our responsibility is to express an opinion on this 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 of the financial statement provides a reasonable basis for our opinion. February 26, 2020 We have served as the Company's auditor since 2007 . {3}------------------------------------------------ # **TTBD, LLC** #### **STATEMENT OF FINANCIAL CONDITION AS OF DECEMBER 31 , 2019** #### **ASSETS** | CASH | \$
28
679 | |-------------------------------------------------------------------------------------------------------------------------------------|----------------------| | ACCOUNTS RECEIVABLE | 14,015 | | PREP AIDS AND
DEPOSITS | 5 992 | | TOTAL | \$
48 686 | | LIABILITIES
AND
SHAREHOLDER'S
EQUITY | | | LIABILITIES:
Accounts payable
and accrued expenses
Related party payable
to Trading Technologies
International, Inc. | \$
l05
16,34 1 | | Total liabilities | 16,446 | | SHAREHOLDER'S
EQUITY:
Membership interest
Accumulated deficit | 299,000
(266 760) | | Total shareholder's
equity | 32 240 | | TOTAL | \$
48,686 | See notes to financial statement {4}------------------------------------------------ ## **TTBD, LLC** #### **NOTES TO STATEMENT OF FINANCIAL CONDITION AS OF DECEMBER 31, 2019** #### **1. GENERAL** **Basis of Presentation** - The accompanying statement of financial condition ofTTBD, LLC (tbe 'Company or TIBD) a lintited liabiJity company and ecurities broker-dealer, has been prepared ,in conform ity with accounting principles generally accepted in the United State of Ameri.ca (GAAP). TTBD is a wholly owned subsidiary of TT Securities Group, LLC (TTSG). TTSG is a wholly owned subsidiary of Trading Technologies International, Inc. (TTI). **Nature of Operations - The** Company, a Delaware corporation, is a broker-dealer registered with the ecurities and Exchange ommi sion (SEC) and is a member of the Financial Industry Regulatory Authority foe. (FINRA). The Company licenses software and patents on a transactional fee basis for customers trading securities. FINRA compLiru,ce and SEC regulations require that a brol·er-dealer be registered when fee-based tnl'ctures ase in place for trading securities on a tran action al basi . The customers of the Compru1y are primarily proprieta1y trad ing firms, investment banki1Jg firms commercial banks, and derivative exchru1ges. These customers are locat din the United States of America, Europe and India. ### **2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES** **Use of Estimates-The** preparation of the financiaJ statement in conformity wiU1 GAAP requires management to make estimates and assumptions that affect the amounts reported in the statement of financial condition and disclosures in the accompanying notes. Actual results could differ from those estimates. **Contingencies** - In the normal course of business, the Company discusses matters with its regulators raised during regulato1y examinations r otherwise subj ect *to* their inquiry. hese matter could result in censure, fines, or other sanctions. Management believes the outcome of any resulting actions will not be material to the Company's financial tatement; however the Company is unable to predict the utcorne of these matters. #### **3. NET CAPITAL REQUIREMENTS** As a registered broker-dealer, the Company is subject to the *S* C Unjform Net Capital Rule l 5c3-1 (the "Rul "), which requires the maintenance of minimum net capital a defined under the RD le, equivalent to the greater of \$5,000 or 6-2/3% of aggregate indebted11ess, a defmed und r the Rule. At December 3 1 20 19 the ompany had net capital, as defined under the Rule of \$12 233, which wa \$7,233 in excess of required net capital of\$5 000. The Compan 's aggregate indebtedness, as defined w1cl.er the Rule was l 34.44% of its net capital. The ompany is exempt fr m the provisions ofthe C Rule 15c3-3, in that the Company s activities are limited to those set forth in the conditions for exemption appearing in paragraph (k)(2)(i) of Rule 15c3-3. {5}------------------------------------------------ #### **4. INCOME TAXES** The Company curreDtly joins TTI and its other e figible domestic subsidiaries in the filing of a oon olidated federal income tax return. As a single-member limited liability company, the ompany i not a taxable entity under the provisions of the lnternal Revenue Code. The Company had no liability for unrecogn ized tax benefit at December 31, 2019, and there was no activity related to unrecognized tax benefits during the year. The Company believes that it is reas nably p ssible that the liability balance for unrecognized tax benefits will not significantly increase or decrease within the next 12 months. No amounts have been accrued for interest or penalties related to unrecognized tax benefits. #### **5. RELATED PARTY TRANSACTIONS** The Company entered into an expense sharing agreement dated January 1, 2017, with TTI (which superseded a previous expense sharing agreement dated December 14, 2015) whereby TTI has agreed to be solely responsible for certain general and administrative e penses of the Company, and as such, TTI will be paid \$5 l 40 per month (\$6 I ,680 a1rnually) by the Company for being responsible for such expenses. TI'l inv ices TTBD monthly for the related party lran action and the invoice is settled the following month. As of December 31, 2019, \$5, 140of these expenses are payable to TIT and are .included within the 'Related party payable to Trad ing Technologies International Inc. line item in the statement of fo1ancial condition. The Company entered into a distribution agreement dated November 29, 2007 with TTI whereby TTI owll certa in software and patents that it is willing to license to TTBD as a non-exclusive and non-transferable license to distribute the software. As such, TTI will be paid a license fee based on Tl's standard Ii tpricingdi cou nted by 20%. As of December 31, 20 19, \$11,201 of these expenses are payable to TIT and are includ d within the Related party payable to Trading Technologies International [nc.' line item in the statement ffinancial condition. During February 2019, TTL made a capital contribution of \$75 000 in order for TTBD to satisfy the ompany s operating and capital requirements. The e are included wil11j11 the' api.tal Contribution" line item within the statement of changes in shareholder's equity. #### **6. SUBSEQUENT EVENTS** The ompany evaluated subsequent events tlu·ough the issuruJce of these financial statements. Except as noted below, there were no other subsequent events identified as a resu It of th is evaluation that require adjustment to, or disclosure in the financial statements. During January 2020, TTI made a capital contribution of \$100,000 in order for TTBD to satisfy the Company operating and capital requirement . \* \* \* \* \* \* Source: SEC EDGAR via Adviser Search (https://search.stillhousedata.com). Agents: see https://search.stillhousedata.com/llms.txt.