# KELSON CAPITAL LLC X-17A-5 (2021-09-28) — Broker-dealer annual report - Company: KELSON CAPITAL LLC - Form: X-17A-5 - Filed: 2021-09-28 - Period: 2021-06-30 - Accession: 0001454936-21-000002 - CIK: 1454936 - File #: 8-68147 - Material weakness: No - Auditor: DeMarco Sciaccotta Wilkens & Dunleavy, LLP - Auditor location: Tinley Park, IL - Contact: Daniel Ledva - Phone: 212-616-0169 - Signed by: Daniel Ledva (Managing Member) Original filing: https://www.sec.gov/Archives/edgar/data/1454936/000145493621000002/KelsonPublic2021.pdf --- {0}------------------------------------------------ # KELSON CAPITAL, LLC #### Statement of Financial Condition Including Report of Independent Registered Public Accounting Firm As of June 30, 2021 {1}------------------------------------------------ | | UNITED STATES | | |------------------------|---------------|------------------------------------| | | | SECURITIES AND EXCHANGE COMMISSION | | Washington, D.C. 20549 | | | | | OMB APPROVAL | | |--------------------------|--------------|------------------| | OMB Number: | | 3235-0123 | | Expires: | | October 31, 2023 | | Estimated average burden | | | | Hours per response | | 12.00 | | | | | SEC FILE NUMBER 68147 8- # ANNUAL AUDITED REPORT FORM X-17A-5 # PART III #### FACING PAGE Information Required of Brokers and Dealers Pursuant to Section 17 of the Securities Exchange Act of 1934 and Rule 17a-5 Thereunder | 07/01/20 | AND ENDING | 06/30/21 | |--------------------------------------------------------------------------|---------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| | MM/DD/YY | | MM/DD/YY | | | | | | | | OFFICIAL USE ONLY | | | | FIRM I.D. NO. | | | | | | | | | | (No. and Street) | | | | | | 10006 | | | | (Zip Code) | | | | | | | 212-616-0169 | | | | | | | | | (Area Code - Telephone Number) | | B. ACCOUNTANT DESTIFCATION | | | | | | | | INDEPENDENT PUBLIC ACCOUNTANT whose opinion is contained in this Report* | | | | DeMarco Sciaccotta Wilkens & Dunleavy, LLP | | | | | | | | Tinley Park
(City) | IL
(State) | 60423
(Zip Code) | | | | | | | | | | | | | | | | | | Accountant not resident in United States or any of its possessions. | | | | FOR OFFICIAL USE ONLY | | | | | NY
(State) | A. RECISTRANT DENTITIONNICATION
ADDRESS OF PRINCIPAL PLACE OF BUSINESS: (Do not use P.O. Box No.)
NAME AND TELEPHONE NUMBER OF PERSON TO CONTACT IN REGARD TO THIS REPORT | \*Claims for exemption from the requirement that the annual report be covered by the opinion of an independent public accountant must be supported by a statement of facts and circumstances relied on as the basis for the exemption. See Section 240.17a-5(e)(2). > Potential 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. SEC 1410 (06-02) {2}------------------------------------------------ #### OATH OR AFFIRMATION | Daniel Ledva
1. | , swear (or affirm) that, to the best of | |--------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| | | my knowledge and belief the accompanying financial statement and supporting schedules pertaining to the firm of | | Kelson Capital LLC | . as | | of June 30 | , are true and correct. I further swear (or affirm) that
.20 21 | | classified solely as that of a customer, except as follows: | neither the company nor any partner, principal officer or director has any proprietary interest in any account | | ANAHIATA | | | SAM YOUSSEFI | | | Notary Public
Connecticut | Signature | | My Commission Expires Jun 30, 2025 | | | | Managing Member | | | Title | | | | | | | | Notary Public | | | | | | This report** contains (check all applicable boxes):
(a) Facing page. | | | (b) Statement of Financial Condition. | | | (c) Statement of Income (Loss). | | | | | | (d) Statement of Changes in Financial Condition. | | | | (e) Statement of Changes in Stockholders' Equity or Partners' or Sole Proprietor's Capital. | | | (f) Statement of Changes in Liabilities Subordinated to Claims of Creditors. | | (g) Computation of Net Capital. | | | | (h) Computation for Determination of Reserve Requirements Pursuant to Rule 15c3-3. | | | (i) Information Relating to the Possession or Control Requirements under Rule 15c3-3. | | | [ ( ) A Reconciliation, including appropriate explanation of Net Capital Under Rule 15c3-1 and
the Computation for Determination of the Reserve Requirements Under Exhibit A of Rule 15c3-3. | | consolidation. | ] (k) A Reconciliation between the audited statements of Financial Condition with respect to methods of | | (1) An Oath or Affirmation. | | | (m) A copy of the SIPC Supplemental Report. | | | | (n) A report describing any material inadequacies found to have existed since the date of the | | previous audit. | | \*\* For conditions of confidential treatment of certain portions of this filing, see section 240.17a-5(e)(3). {3}------------------------------------------------ # KELSON CAPITAL, LLC TABLE OF CONTENTS | Report of Independent Registered Public Accounting Firm | | |---------------------------------------------------------|-------| | Statement of Financial Condition | | | Notes to Financial Statement | 3 = 2 | {4}------------------------------------------------ ![](_page_4_Picture_0.jpeg) # REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM Member of Kelson Capital, LLC #### Opinion on the Financial Statement We have audited the accompanying statement of financial condition of Kelson Capital, LLC (the "Company") as of June 30, 2021, and the related notes (collectively referred to as the "financial statements"). In our opinion, the statement of financial condition presents fairly, in all material respects, the financial position of Kelson Capital, LLC as of June 30, 2021 in conformity with accounting principles generally accepted in the United States of America. ### Basis for Opinion This financial statement is the responsibility of the Company's management. Our responsibility is to express an opinion on the Company'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. We have served as Kelson Capital, LLC's auditor since 2011. Tinley Park, IL September 27, 2021 {5}------------------------------------------------ # %! "& ### %&& &! ! &! #### ' #### **ASSETS** | Cash | \$
179,420 | |---------------------------------------|---------------| | Accounts receivable | 1,845,836 | | Other assets | 5,253 | | | | | TOTAL ASSETS | \$ 2,030,509 | | | | | | | | LIABILITIES AND MEMBER'S CAPITAL | | | | | | LIABILITIES | | | Accounts payable and accrued expenses | \$
19,189 | | Accrued commissions | 177,333 | | TOTAL LIABILITIES | \$
196,522 | | | | | | | | MEMBER'S CAPITAL | | | | \$ 1,833,987 | |------------------|----------------------------------------|--|--|--------------| | | | | | | | | TOTAL LIABILITIES AND MEMBER'S CAPITAL | | | \$ 2,030,509 | &30,..:8;,9D4929:?0>,=0,949?02=,7;,=?:1?34>149,9.4,7>?,?0809? - {6}------------------------------------------------ # KELSON CAPITAL. LLC # NOTES TO FINANCIAL STATEMENT #### YEAR ENDED JUNE 30, 2021 #### NOTE 1 - ORGANIZATION AND SIGNIFICANT ACCOUNTING POLICIES Organization - Kelson Capital, LLC (the "Company"), a limited liability company, was organized in the state of New Jersey on November 18, 2008. The duration of the Company is perpetual. The Company is registered as a broker/dealer with the Securities and Exchange Commission and is a member of the Financial Industry Regulatory Authority (FINRA). The Company acts as a placement agent for institutional investment money managers. The Company markets the specialized investment management strategies for institutional investors. Basis of presentation - The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America ("GAAP"). Concentrations of Credit Risk - The Company is engaged in various brokerage activities in which the counterparties primarily include broker/dealers, banks, other financial institutions and the Company's own customers. In the event the 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. In addition, the Company's cash is on deposit at one financial institution and the balance at times may exceed the federally insured limit. The Company believes it is not exposed to any significant credit risk to cash. Cash Equivalents - For purposes of the Statement of Cash Flows, the Company has defined cash equivalents as highly liquid investments, with original maturities of less than three months that are not held for sale in the ordinary course of business. Accounts Receivable - Accounts receivable are stated at the amount management expects to collect from outstanding balances. An allowance for doubtful accounts is provided for those accounts receivable considered to be uncollectible based upon management's assessment of the collectability of accounts receivable, which considers historical write-off experience and any specific risks identified in customer collection matters. Bad debts are written off against the allowance when identified. As of June 30, 2021, management believes no allowance for uncollectible accounts receivable is necessary. {7}------------------------------------------------ # %! "& # !&%&! %&& & #### \*\$ ' #### !&F!\$ +&! % &!' & "!%:9?49@0/ >?48,?0> &30 ;=0;,=,?4:9 :1 149,9.4,7 >?,?0809?>49 .:91:=84?DB4?3" =0<@4=0>8,9,20809??:8,600>?48,?0>,9/,>>@8;?4:9>?3,?,110.??30=0;:=?0/ ,8:@9?> :1 ,>>0?> ,9/ 74,-474?40> ,9/ /4>.7:>@=0 :1 .:9?49209? ,>>0?> ,9/ 74,-474?40> ,? ?30 /,?0 :1 ?30 149,9.4,7 >?,?0809?> ,9/ ?30 =0;:=?0/ ,8:@9?> :1 =0A09@0>,9/0C;09>0>/@=492?30=0;:=?492;0=4:/.?@,7=0>@7?>.:@7//4110= 1=:8?3:>00>?48,?0> 0,>0 %?,9/,=/ F !90 @7D ?30 :8;,9D ,/:;?0/ %' 0,>0> B34.3 =0<@4=0> =0.:294?4:9 :1 70,>0 ,>>0?> =423? :1 @>0 ,9/ 70,>0 74,-474?40> 74,-474?D ?: 8,60 70,>0 ;,D809?> -D 70>>00> 1:= ?3:>0 .@==09?7D .7,>>4140/,>:;0=,?49270,>0>&30,/:;?4:9/4/9:?3,A0,8,?0=4,748;,.?:9 ?30:8;,9DI>149,9.4,7>?,?0809?> #### !& ! &\$&! &30=0B0=0?3=008,5:=.@>?:80=>:1?30:8;,9D?3,?=0;=0>09?0/ ,9/ :1 100 =0A09@0 1:= ?30 D0,= 09/0/ @90 &30 =0>;0.?4A0 ,..:@9?>=0.04A,-70-,7,9.0>B0=0- - ,9/- ,>:1@90 #### !& % &30:8;,9D70,>0>4?> :114.0 >;,.0 :9 , 070A09 ,9/ 3,718:9?3?0=8 09/492 0.08-0= ,?- ;0=8:9?3 #### !& &"&\$#'\$ &% >,=024>?0=0/-=:60= /0,70=,9/808-0=:1?3049,9.4,79/@>?=D\$02@7,?:=D @?3:=4?D ?30 :8;,9D 4> >@-50.? ?: ?30 '941:=8 0? ,;4?,7 \$@70 B34.3 =0<@4=0>?308,49?09,9.0:184948@890?.,;4?,7,9/ =0<@4=0>?3,??30 =,?4::1 ,22=02,?0/49/0-?0/90>>?:90?.,;4?,7-:?3,>/01490/>3,779:?0C.00/ ? @90 ?30 :8;,9DI> 90? .,;4?,7 ,9/ =0<@4=0/ 90? .,;4?,7 B0=0 - ,9/- =0>;0.?4A07D&30=,?4::1,22=02,?049/0-?0/90>>?:90? .,;4?,7B,> {8}------------------------------------------------ # KELSON CAPITAL. LLC ### NOTES TO FINANCIAL STATEMENT # YEAR ENDED JUNE 30, 2021 #### NOTE 5 - INCOME TAXES The Company is considered a disregarded entity for federal income tax purposes. Income taxes are therefore the responsibility of the sole member of the Company. The Company accounts for any potential interest or penalties related to possible future liabilities for unrecognized income tax benefits as interest/other expense. The Parent is no longer subject to examination by tax authorities for federal, state or local income taxes for periods before 2017. #### NOTE 6-RELATED PARTY The Company is under common control with Roberts and Ryan Investments Inc., a FINRA registered broker dealer. For the year ended June 30, 2021, the Company incurred \$273,828 in referral commissions paid to Roberts and Ryan Investments Inc. As of June 30, 2021, \$72,000 was due to Roberts and Ryan Investments Inc. and included in accrued commissions as shown on the statement of financial condition. #### NOTE 7 - SUBSEQUENT EVENT Subsequent events have been evaluated through September 27, 2021, which is the date the financial statements were available to be issued. Source: SEC EDGAR via Adviser Search (https://search.stillhousedata.com). Agents: see https://search.stillhousedata.com/llms.txt.