# PEAK BROKERAGE SERVICES, LLC X-17A-5 (2022-03-22) — Broker-dealer annual report - Company: PEAK BROKERAGE SERVICES, LLC - Form: X-17A-5 - Filed: 2022-03-22 - Period: 2021-12-31 - Accession: 0001515119-22-000001 - CIK: 1515119 - File #: 8-68829 - Type: Broker-dealer - Material weakness: No - Auditor: Salberg & Company, P.A. - Auditor location: Boca Raton, FL - Contact: Anthony Diamos - Phone: 404-536-6984 - Email: anthony@parsonex.com - Website: parsonex.com - Signed by: Matt Myers (Chief Executive Officer) Original filing: https://www.sec.gov/Archives/edgar/data/1515119/000151511922000001/PBSAnnAu.pdf --- {0}------------------------------------------------ ### **Peak Brokerage Services, LLC** **Financial Statements and Supplementary Information For the Year Ended December 31, 2021** {1}------------------------------------------------ ### **Peak Brokerage Services, LLC Financial Statements For the Year Ended December 31, 2021** ### **TABLE OF CONTENTS** | FACING PAGE | 1 | |----------------------------------------------------------------------------------------------------------|-----| | OATH OR AFFIRMATION | 2 | | REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM | 3-4 | | FINANCIAL STATEMENTS: | | | STATEMENT OF FINANCIAL CONDITION | 5 | | STATEMENT OF OPERATIONS | 6 | | STATEMENT OF MEMBERS' EQUITY | 7 | | STATEMENT OF CASH FLOWS | 8 | | NOTES TO FINANCIAL STATEMENTS | 9 | | SUPPLEMENTARY INFORMATION: | 15 | | SCHEDULE I -
SUPPLEMENTAL STATEMENT OF NET CAPITAL | 16 | | SCHEDULE I-
SUPPLEMENTAL STATEMENT OF AGGREGATE
INDEBTEDNESS AND REQUIRED NET CAPITAL | 17 | | SUPPLEMENTAL NOTE -
SUPPLEMENTAL INFORMATION PURSUANT TO
RULE 17a-5 OF THE SECURITIES ACT OF 1934 | 18 | | REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
ON THE COMPANY'S RULE 15c3-3 EXEMPTION REPORT | 19 | | RULE 15C3-3 EXEMPTION REPORT | 20 | {2}------------------------------------------------ **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-5 PART Ill** SEC FILE NUMBER | Information Required Pursuant to Rules 17a-5, 17a-12, and 18a-7 under the Securities Exchange Act of 1934 | FACING PAGE | | | | |---------------------------------------------------------------------------------------------------------------------------------------------------------------------|-----------------------------------------------------------|-----------------------|-----------------|-----------------------------------------------| | | 01/01/2021 | AND ENDING 12/31/2021 | | | | FILING FOR THE PERIOD BEGINNING | MM/DD/YY | | | MM/DD/YY | | | A. REGISTRANT IDENTIFICATION | | | | | NAME oF FIRM: Peak Brokerage Services, LLC | | | | | | TYPE OF REGISTRANT (check all applicable boxes}:
□ Security-based swap dealer
� Broker-dealer
D Check here if respondent is also an OTC derivatives dealer | | | | D Major security-based swap participant | | ADDRESS OF PRINCIPAL PLACE OF BUSINESS: (Do not use a P.O. box no.} | | | | | | 1070 E. Indiantown Road, Suite 208 | | | | | | | (No. and Street} | | | | | Jupiter | FL | | | 33477 | | {City) | {State) | | | (Zip Code) | | PERSON TO CONTACT WITH REGARD TO THIS FILING | | | | | | Anthony Diamos | ( 404) 536-6984 | | | anthony@parsonex.com | | (Name) | (Area Code -Telephone Number) | | (Email Address) | | | | B. ACCOUNTANT IDENTIFICATION | | | | | INDEPENDENT PUBLIC ACCOUNTANT whose reports are contained in this filing* | | | | | | Salberg & Company, P.A. | | | | | | | (Name -if individual, state last, first, and middle name) | | | | | 2295 NW Corporate Blvd., Suite 240 Boca Raton | | | FL | 33431 | | (Address} | (City) | | (State) | (Zip Code) | | 09/24/2003 | | 106 | | | | r•
of Reg1'tratloo with PO\OBJI• ap�ieableJ | FOR OFFICIAL USE ONLY | | | (PCAOB Re�,tratioo N"mbec, • applicable]
I | **\* 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)(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.** {3}------------------------------------------------ #### **OATH OR AFFIRMATION** | Matt
Myers
I, | swear (or affirm) that, to the best of my knowledge and belief, the | | |--------------------------------------------|---------------------------------------------------------------------|-------| | financial report pertaining to the firm of | Peak Brokerage Services, LLC | as of | **December 31 � 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.** ![](_page_3_Picture_3.jpeg) **Signatu,e,�p Title: � Chief Executive Officer** #### **This filing\*\* contains (check all applicable boxes):** - **Im (a) Statement of financial condition.** - **D (b) Notes to consolidated statement of financial condition.** - **i!!i (cl 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}.** - **Ii!! (d} Statement of cash flows.** - **i!!i (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.** - **iii (g) Notes to consolidated financial statements.** - **i!!i (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 requirements pursuant to Exhibit A to 17 CFR 240.15c3-3.** - □ **(kl 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.** - **D (m) Information relating to possession or control requirements for customers under 17 CfR 240.1Sc3-3.** - **D (n) Information relating to possession or control requirements for security-based swap customers under 17 CFR 240.1Sc3-3(p}(2) or 17 CFR 240.18a-4, as applicable.** - **i!!i (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-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 applicable, if material differences exist, or a statement that no material differences exist.** - □ **(p) Summary of financial data for subsidiaries not consolidated in the statement of financial condition.** - **i!!i (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.** - □ **(r) Compliance report in accordance With 17 CFR 240.17a-5 or 17 CFR 240.18a-7, as applicable.** - **iii (s) Exemption report in accordance with 17 CFR 240.17a-5 or 17 CFR 240.18a-7, as applicable.** - **D (t) Independent public accountant's report based on an examination of the statement of financial condition.** - **i!!i (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.** - **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.** - **i!!i (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.** - **D (x) Supplemental reports on applying agreed-upon procedures, in accordance with 17 CFR 240.l5c3-le 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 �aternent that no material im1dequacie:; exi:;t**1** under **17** CFR **240.17a-1Z(k).** - □ **(z} Other: \_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_ \_** - *"'\*To request confidential treatment of certain portions of this filing, see 17 CFR 240.17a-5(e)(3) or 17 CFR 240.1Bo-7(d){2), as applicable.* {4}------------------------------------------------ ![](_page_4_Picture_0.jpeg) ### Report of Independent Registered Public Accounting Firm To the Members of: Peak Brokerage Services, LLC ### Opinion on the Financial Statements We have audited the accompanying statement of financial condition of Peak Brokerage Services, LLC ( the "Company") as of December 31, 2021, the related statements of operations, changes in members' equity, and cash flows for the year then ended and the related notes ( collectively referred to as the "financial statements"). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Company 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 the Company's management. Our responsibility is to express an opinion on the Company'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 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 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. {5}------------------------------------------------ ### Supplemental Information The information contained in Schedule I and Supplemental Note has been subjected to audit procedures performed in conjunction with the audit of the Company's financial statements. The supplemental information is the responsibility of the Company'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 Rule l 7a-5 of the Securities Exchange Act of 1934. In our opinion, the supplemental information is fairly stated, in all material respects, in relation to the financial statements as a whole. *� Ln.,1>-A.* SALBERG & COMPANY, P.A. We have served as the Company's auditor since 2019 Boca Raton, Florida March 16, 2022 {6}------------------------------------------------ ### **Peak Brokerage Services, LLC Statement of Financial Condition December 31, 2021** | ASSETS | | |---------------------------------------|-----------------| | Cash & cash equivalents | \$
490,498 | | Receivables | | | Commission receivables | 381,841 | | Receivables from others | 244,894 | | Prepaid expense | 145,897 | | Clearing deposits | 50,252 | | TOTAL ASSETS | \$
1,313,382 | | LIABILITIES AND MEMBERS' EQUITY | | | Liabilities | | | Accounts payable and accrued expenses | 112,650 | | Commissions payable | 484,386 | | Insurance fmancing payable | 112,942 | | Total liabilities | 709!)78 | | Members' Equity | 603,404 | | TOTAL LIABILITIES AND MEMBERS' EQUITY | \$
1,313,382 | **See accompanying notes to the fmancial statements** {7}------------------------------------------------ # **Peak Brokerage Services, LLC** **Statement of Operations** **For the Year Ended December 31, 2021** | REVENUES | | |-------------------------------------|-----------------| | Commissions | \$
7,383,359 | | Overide Income | 251,992 | | Fees received from representatives | 665,911 | | Other income | 120,984 | | TOTAL REVENUES | 8,422,246 | | EXPENSES | | | Commissions and salaries | 7,292,254 | | General and administration expenses | 57,726 | | Technology | 285,600 | | Insurance premium | 180,369 | | Regulatory & license fees | 140,934 | | Professional fees | 205,751 | | Occupancy | 84,524 | | TOTAL EXPENSES | 8,247,158 | | NET INCOME | \$
175,088 | **See accompanying notes to the financial statements** {8}------------------------------------------------ ### **Peak Brokerage Services, LLC** ### **Statement of Members' Equity For the Year Ended December 31, 2021** | BALANCE, DECEMBER 31, 2021 | \$
603,404 | |----------------------------|---------------| | Net income | 175,088 | | Balance, December 31, 2020 | \$
428,316 | | MEMBER'S EQUITY | | **See accompanying notes to the financial statements** {9}------------------------------------------------ ### **Peak Brokerage Services, LLC Statement of Cash Flows For the Year Ended December 31, 2021** | CASH FLOWS FROM OPERATING ACTMTIES: | | |-----------------------------------------------------------------------------------|---------------| | Net
income | \$
175,088 | | Adjustments to reconcile net income to net cash provided by operating activities: | | | Net change in operating assets & liabilities: | | | (Increase )/decrease in receivable from others | (214,256) | | (Increase )/decrease in commissions receivable | (98,636) | | Increase/( decrease) in prepaid expense | 138,081 | | Increase/( decrease) in accounts payable and accrued expenses | 111,251 | | (Increase )/decrease in commissions payable | 116,512 | | NET CASH PROVIDED BY OPERATING ACTMTIES | 228,040 | | CASH FLOWS FROM FINANCING ACTMTIES | | | Repayment of insurance fmancing | (75,295) | | NET CASH USED IN FINANCING ACTMTIES | (75,295) | | NET CHANGE IN CASH AND CASH EQUIVALENTS | 152,745 | | CASH AND CASH EQUIVALENTS, BEGINNING OF THE YEAR | 337,753 | | CASH AND CASH EQUIVALENTS, END OF THE YEAR | \$
490,498 | | SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION: | | | Cash paid for interest | \$ | | Cash paid for taxes | \$ | | SUPPLEMENTAL DISCLOSURE OF NON-CASH INVESTING AND
FINANCING ACTIVITIES: | | | Financing of insurance premiwns | \$
188,237 | **See accompanying notes to the financial statements** {10}------------------------------------------------ ### **NOTE 1 - NATURE OF BUSINESS** #### *Organization and Nature of Business* **Peak Brokerage Services, LLC (the Company) is a brokerage firm and a majority owned subsidiary of Peak Reps, LLC. The Company is registered as a broker-dealer pursuant to Section 15(b) of the Securities Exchange Act of 1934, and has two sister companies: one being Blackridge Asset management, a registered investment advisor with the Securities and Exchange Commission (the SEC) and the other, Top Advisors Group, LLC, a licensed, insurance marketing organization. The Company is subject to regulation and oversight by the SEC and the Financial Industry Regulatory Authority, Inc. (FINRA) (FINRA CRD #: 158045; SEC #: 8-68829).** #### **NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES** ### *Basis of Financial Statement Presentation* **The accompanying Financial Statements have been prepared pursuant to Rule 17a-5 of the Securities and Exchange Act of 1934. The classification and reporting of items appearing on the Financial Statements are consistent with that rule.** ### *Use of Estimates* **The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the fmancial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The Company estimates its accounts receivables at year-end and related revenues and commission payable and expense.** #### *Inter-company Expense Allocations* **The Company's financial statements reflect allocations of certain occupancy, equipment and personnel-related expenses that are paid on its behalf by Peak Reps, LLC and reimbursed by the Company. Personnel-related allocations include salaries and costs attributable to the employees of the Company participating in other benefit plans sponsored by Peak Reps, LLC. In the opinion of management, the expenses allocated to the company approximate the actual costs incurred.** {11}------------------------------------------------ #### *Cash and Cash Equivalents* **Cash equivalents are highly liquid investments with an original maturity of 90 days or less that are not required to be segregated under federal or other regulations. The Company's cash and cash equivalents are composed of interest-bearing and noninterest-bearing deposits.** ### *Securities* **All securities are reported at fair value on the trade date. Net unrealized and realized gains and losses on securities are included as revenue in the statement of operations. As of December 31, 2021, the Company does not have ownership of any securities.** ### *Commissions Receivable* **Commissions receivable are non-interest bearing uncollateralized obligations receivable in accordance with the terms agreed upon with each client. The Company regularly reviews its commissions receivable for any uncollectible amounts. The review for uncollectible amounts is based on an analysis of the Company's collection experience, customer credit worthiness, and current economic trends. Based on management's review of commissions receivable, no allowance for doubtful accounts is considered necessary.** ### *Receivables from Others* **Receivables from others primarily consist of amounts due from registered representatives and Peak Reps LLC. Management monitors the need for an allowance estimate through periodic evaluations against actual historical results. Based on management's review of receivables from others, no allowance for doubtful accounts is considered necessary.** ### *Fixed Assets* **Leasehold improvements, computers and software, and furniture and equipment are recorded at historical cost, net of accumulated depreciation and amortization. Management has elected to capitalize any single asset where the initial cost and cost of installation exceeds \$2,500. Depreciation is recognized using the straight-line method over the estimated useful lives of the assets.** **Management reviews fixed assets for impairment whenever events or changes in circumstances indicate the carrying amount of the assets may not be recoverable. All fixed assets were fully depreciated as of December 31, 2021. There was no depreciation expense in 2021.** {12}------------------------------------------------ #### *Revenue Recognition* **Transaction-based sales commissions are recognized as revenue on a trade-date basis, which is when the Company's performance obligations in generating the commissions have been substantially completed. The Company settles a significant volume of transactions that are initiated directly between its representatives and product sponsors, particularly regarding mutual fund, 529 education savings plan, fixed and variable annuity, and insurance products. As a result, management must estimate a portion of its commission revenues earned from clients for purchases and sales of these products at the end of each accounting period for which the proceeds have not yet been received. These estimates are based on the amount of commissions earned from transactions in these products in prior periods.** **Trailing commission revenues include mutual fund, 529 education savings plans, and fixed and variable product trailing fees that are recurring in nature. These trailing fees are earned by the Company based on a percentage of the current market value of clients' investment holdings in trail-eligible assets and recognized over the period during which services are performed. Because trailing commission revenues are generally paid in arrears, management estimates trailing revenues earned at the end of each period.** ### *Commitments and Contingencies* **The Company recognizes a liability with regard to loss contingencies when it believes it is probable a liability has occurred, and the amount can be reasonably estimated. If some amount within a range of loss appears at the time to be a better estimate than any other amount within the range, the Company accrues that amount. When no amount within the range is a better estimate than any other amount, however, the Company accrues the minimum amount in the range.** **The Company, as a rule will establish an accrual for those legal proceedings and regulatory matters for which a loss is both probable and the amount can be reasonably estimated, except as otherwise covered by third-party insurance or self-insurance.** **The Company is subject to litigation in the normal course of business. The Company was the subject of litigation, as defendant, that had been settled at December 31, 2021. The resolution of this matter through a settlement agreement did not have a significant adverse effect on its financial position.** {13}------------------------------------------------ ### *Guarantees* **The Company occasionally enters into certain types of contracts that contingently require it to indemnify certain parties against third-party claims. The terms of these obligations vary and because a maximum obligation is not explicitly stated, the Company has determined that it is not possible to make an estimate of the amount that it could be obligated to pay under such contracts.** **The Company provides guarantees to securities clearing houses and exchanges under their standard membership agreements, which require a member to guarantee the performance of other members. Under these agreements, if a member becomes unable to satisfy its obligations to the clearing houses and exchanges, all other members would be required to meet any shortfall. The Company's liability under these arrangements is not quantifiable and may exceed the cash and securities it has posted as collateral. However, the potential requirement for the Company to make payments under these agreements is remote. Accordingly, no liability has been recognized for these transactions.** ### *Leval* **&** *Regulatory Matters* **The Company is subject to extensive regulation and supervision by United States federal and state agencies and various self-regulatory organizations. The Company and its representatives periodically engage with such agencies and organizations, in the context of examinations or otherwise, to respond to inquiries, informational requests, and investigations. From time to time, such engagements result in regulatory complaints or other matters, the resolution of which can include fines and other remediation. Assessing the probability of a loss occurring and the amount of any loss related to a legal proceeding or regulatory matter is inherently difficult. While the company exercises significant and complex judgements to make certain estimates presented in its financial statements, there are particular uncertainties and complexities involved when assessing the potential outcomes of legal proceedings and regulatory matters. The Company's assessment process considers a variety of factors and assumptions, which may include the procedural status of the matter and any recent developments; prior experience and the experience of others in similar matters; the size and nature of potential exposures; available defenses; the progress of fact discovery; the opinions of counsel and experts; potential opportunities for settlement and the status of any settlement discussions; as well as the potential for insurance coverage and indemnification, if available. The Company monitors these factors and assumptions for new developments and reassesses the likelihood that a loss will occur and the estimated range or amount of loss, if those amounts can be reasonably determined.** {14}------------------------------------------------ ### *Leval* **&** *Regulatory Matters (Continued)* **The Company maintains third-party insurance coverage for certain potential legal proceedings, including those involving client claims. With respect to client claims, the estimated losses on many of the pending matters may be less than the applicable deductibles of the insurance policies.** ### *Income Ton,* **The Company is taxed as a Partnership for federal income tax purposes. Therefore, the financial statements do not include a provision for income taxes since the Company is not a taxable entity. The Company's partners will pay taxes on the Company's earnings. The Company files a separate pass-through income tax return for federal and state purposes. At the year ended December 31, 2021, management has determined the Company had no uncertain tax positions requiring recognition and reporting. This determination will always be subject to ongoing reevaluation as facts and circumstances may require. The Company's open tax years (2018 through 2021) remain subject to income tax audits.** #### *Fair Value of Financial Instruments* **The Company measures its financial assets and liabilities in accordance with generally accepted accounting principles. For many of the Company's financial instruments, including cash, receivables, prepaid and other assets, accounts payable, commissions payable and other payables, the carrying amount of these instruments reflect the approximate fair value due to their short maturities.** ### *Concentrations* **The Company generated \$5,215,376 or approximately 62% of total revenue from the sale of variable annuities. Approximately 23% of the Company's total revenue came from products sold as provided through one variable annuity product provider.** #### **NOTE 3 - FINANCIAL INSTRUMENTS AND CONCENTRATION OF RISK** **Financial instruments subject to concentration risk are cash and cash equivalents. The Company maintains depository cash with one banking institution. Depository accounts are insured by the Federal Depository Insurance Company ("FDIC") to a maximum of \$250,000, per bank, per depositor. The total cash and cash equivalents for the Company exceeding the FDIC insured limit is \$239,978 as ofDecember 31, 2021.** {15}------------------------------------------------ #### **NOTE 4 - RELATED PARTY TRANSACTIONS** **The Company has related party transactions with Peak Reps, LLC, its parent entity who provides certain services to the Company under an expense sharing agreement. The Company paid approximately \$916,000 for occupancy, technology and personnel expenses in 2021.** **The Company recorded an override investment advisory income in the amount of \$75,000 from a related entity, Independent Solutions Wealth Management; and an override investment advisory income in the amount of\$73,042 from a related entity, The Retirement Guys Formula.** **The Company received and transmitted deposits in the amount of \$117,480 and \$341,813 on behalf ofrelated entities, Blackridge Asset Management and Top Advisors Group, respectively.** ### **NOTE 5 - NET CAPITAL REQUIREMENTS** **The Company is subject to the Securities and Exchange Commission's Uniform Net Capital Rule 15c3-1 ("Rule"), requiring the maintenance of minimum net capital. The Rule prohibits the Company from engaging in securities transactions during any time the Company's net capital, as defined by the Rule, is less than five thousand dollars (\$5,000), or, if the ratio of aggregate indebtedness to net capital, both as defined, exceed 15:1 (and the rule of "applicable" exchange provides that equity capital may not be withdrawn, or cash dividends be paid, if the resulting net capital ratio exceeds 12:1.) The net capital rules also provide that the broker-dealer's capital may not be withdrawn if resulting net capital would be less than minimum requirements. Additionally, certain withdrawals require the approval of the SEC and FINRA to the extent they exceed defined levels, even though such withdrawals would not cause net capital to be less than minimum requirements. Net capital and the related net capital requirement may fluctuate daily.** **At December 31, 2021, the Company has net allowable capital of \$212,613, exceeding the requirement by \$165,281.** #### **NOTE 6 - SUBSEQUENT EVENTS** **Management has performed an evaluation of subsequent events through March 16, 2022, the date the financial statements were available to be issued. The evaluation did not result in any material subsequent events requiring adjustment and/or disclosure.** {16}------------------------------------------------ ### **SUPPLEMENTARY INFORMATION** {17}------------------------------------------------ ### **Peak Brokerage Services, LLC.** **Schedule I** **Supplemental Statement of Net Capital** **December 31, 2021** | COMPUTATION OF NET CAPITAL | | | |----------------------------------------------------------------------------------------------------|-----------------|--| | Total members' equity from statement of fmancial condition | \$
\$603,404 | | | Deduct members' Equity not allowable for net capital | | | | TOTAL MEMBERS' EQUITY | \$
\$603,404 | | | Add: | | | | Liabilities subordinated to claims of general creditors allowable in
computation of net capital | | | | Subordinated liabilities | | | | Other additions and/or credits | | | | Deduct: | | | | Non-allowable assets: | | | | Furniture & Equipment | | | | Other Current Assets | \$
390,791 | | | Other Assets | | | | Net Capital before haircuts on securities positions (tentative Net | 212,613 | | | Capital) | \$ | | | Contractual Securities Commitments | | | | Subordinated Securities Borrowings | | | | Trading and Investment Securities: | | | | Exempted Securities | | | | Debt Securities | | | | Options | | | | Other Securities | | | | Undue Concentrations | | | | Other | | | | NET CAPITAL | \$
212 613 | | {18}------------------------------------------------ ### **Peak Brokerage Services, LLC.** **Schedule I** #### **Supplemental Statement of Aggregate Indebtedness and Required Net Capital Under Rule 15c3-1** **December 31, 2021** | TOTAL AGGREGATE INDEBTEDNESS | | | | |------------------------------------------------------------------------------------------------|----|------------------|--| | Accounts payable and accrued expenses | \$ | 112,650 | | | Commissions payable | | 484,386 | | | Insurance financing payable | | 112,942 | | | AGGREGATE INDEBTEDNESS FROM STATEMENT OF | | | | | FINANCIAL CONDITION | \$ | 709;}78 | | | 120%, Min dollar net capital requirement of reporting broker-dealer | | 6,000 | | | 6-2/3% of Aggregate Indebtedness | | 47,332
47,332 | | | Net Capital requirement (greater of above) | \$ | | | | Excess Net Capital | \$ | 165,281 | | | AGGREGATE INDEBTEDNESS FROM STATEMENT OF
FINANCIAL CONDITION
Drafts for immediate credit | \$ | 709;}78 | | | Other unrecorded amounts | | | | | Total capital and allowable subordinated liabilities | \$ | 709;}78 | | | Ratio: Aggregate indebtedness to Net Capital
(3.34 to 1) | | 333.93% | | | RECONCILIATION WITH COMPANY'S COMPUTATION | | | | | Net Capita� as reported in the Company's Part II (unaudited) FOCUS Report | \$ | 325,555 | | | Net Audit Adjustments affecting net capital | | (112,942) | | | Net Capital per above | \$ | 212,613 | | {19}------------------------------------------------ # **Peak Brokerage Services, LLC.** ### **Supplemental Note - Supplemental Information Pursuant to Rule 17a-5 of the Securities and Exchange Act of 1934 December 31, 2021** **Peak Brokerage Services, LLC is claiming exemption under the provisions of SEC Rule 15c3-3(k)(2)(ii). Therefore, the following reports are not presented:** - **A. Computation for Determination of Reserve Requirements under Rule 15c3-3** - **B. Information Relating to the Possession or Control Requirements under Rule 15c3-3** {20}------------------------------------------------ ![](_page_20_Picture_0.jpeg) ### Report of Independent Registered Public Accounting Firm To the Members of Peak Brokerage Services, LLC We have reviewed management's statements, included in the accompanying *"Rule 15c3-3 Exemption Report",* in which (1) Peak Brokerage Services, LLC identified the following provisions of 17 C.F.R. §1 5c3-3(k) under which Peak Brokerage Services, LLC claimed an exemption from 17 C.F.R. §240.15c3-3 : (k)(2)(ii) (the "exemption provisions") and (2) Peak Brokerage Services, LLC stated that Peak Brokerage Services, LLC met the identified exemption provisions throughout the most recent fiscal year without exception. Peak Brokerage Services, LLC'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 Peak Brokerage Services, LLC '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 Rule 15c3-3 under the Securities Exchange Act of 1934. *� L-ri.,,. -A.* SALBERG & COMPANY, P.A. Boca Raton, Florida March 16, 2022 {21}------------------------------------------------ # **Rule 1 5c3-3 Exemption Report** **Peak Brokerage Services, LLC** (the "Company") is a registered broker-dealer subject to Rule 1 7a-5 promulgated by the Securities and Exchange Commission (17 C.F.R. 240.1 7a-5,"Reports to be made by certain brokers and dealers"). This Exemption Report was prepared as required by 17 CFR 240.1 7a-5(d)(a) 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. 240.1 5c3-3 under the following provisions of 17 C.F.R. 240.1 5c3-3(k): - (i.) Maintain a minimum net capital requirement of \$5,000 pursuant to SEC Rule 1 5c3- 1 (a)(2)(vi) (the Net Capital Rule). - (ii.) Operate pursuant to SEC Rule 1 5c3-3(k)(2)(ii) with transactions cleared through another broker-dealer, Raymond James. Peak Brokerage Services, LLC does not hold customer funds or safekeep customer securities. During the fiscal year ended December 31 , 2021 , Peak Brokerage Services, LLC met without exception the aforementioned exemption provisions from 17 C.F.R. 240.1 5c3- 3. I, Matt A. Myers, affirm that, to my best knowledge and belief, this Exemption Report is true and correct. Title: CEO & President Date: *1/z\_::;.(2-0 2--*L-- {22}------------------------------------------------ ![](_page_22_Picture_0.jpeg) #### **Report of Independent Registered Public Accounting Firm on Applying Agreed-Upon Procedures** **To the Members of: Peak Brokerage Services, LLC** **We have performed the procedures included in Rule 17a-5( e )( 4) under the Securities Exchange Act of 1934 and in the Securities Investor Protection Corporation (SIPC) Series 600 Rules, which are enumerated below on the accompanying General Assessment Reconciliation (Form SIPC-7) for the year ended December 31, 2021. Management of Peak Brokerage Services, LLC (Company) is responsible for its Form SIPC-7 and for its compliance with the applicable instructions on Form SIPC-7.** **Management of the Company has agreed to and acknowledged that the procedures performed are appropriate to meet the intended purpose of assisting you and SIPC in evaluating the Company's compliance with the applicable instructions on Form SIPC-7 for the year ended December 31, 2021. Additionally, SIPC has agreed to and acknowledged that the procedures performed are appropriate for their intended purpose. This report may not be suitable for any other purpose. The procedures performed may not address all the items of interest to a user of this report and may not meet the needs of all users of this report and, as such, users are responsible for determining whether the procedures performed are appropriate for their purposes. The sufficiency of these procedures is solely the responsibility of those parties specified in this report. Consequently, we make no representation regarding the sufficiency of the procedures described below either for the purpose for which this report has been requested or for any other purpose. The procedures we performed and our findings are as follows:** - **1. Compared the listed assessment payments in Form SIPC-7, with respective cash disbursement records entries, noting no differences;** - **2. Compared the Total Revenue amount reported on the Annual Audited Report Form X-17A-5 Part III for the year ended December 31, 2021 with the Total Revenue amount reported in Form SIPC-7, for the year ended December 31, 2021, noting no differences;** - **3. Compared any adjustments reported in Form SIPC-7, with supporting schedules and working papers, noting no differences;** - **4. Recalculated the arithmetical accuracy of the calculations reflected in Form SIPC-7, and in the related schedules and working papers supporting the adjustments, noting no differences; and** - **5. Compared the amount of any overpayment applied to the current assessment with the Form SIPC-7, on which it was originally computed, noting no differences.** **We were engaged by the Company to perform this agreed-upon procedures engagement and conducted our engagement in accordance with attestation standards established by the AICP A and in accordance with the standards of the Public Company Accounting Oversight Board (United States). We were not engaged to and did not conduct an examination or a review engagement, the objective of which would be the expression of an opinion or conclusion, respectively, on the Company's Form SIPC-7 and for its compliance with the applicable instructions on Form SIPC-7 for the year ended December 31, 2021. Accordingly, we do not express such an opinion or conclusion. Had we performed additional procedures, other matters might have come to our attention that would have been reported to you.** {23}------------------------------------------------ We are required to be independent of the Company and to meet our other ethical responsibilities in accordance with the relevant ethical requirements related to our agreed-upon procedures engagement. This report is intended solely for the information and use of the Company and SIPC and is not intended to be and should not be used by anyone other than these specified parties. *A L1, .,J>.A.* SALBERG & COMPANY, P.A. Boca Raton, Florida March 16, 2022 {24}------------------------------------------------ ### **Peak Brokerage Services, LLC.** *SIPC-7 Report December 31, 2021* | General Assessment per Form SIPC-7, including interest | \$
924 | | |--------------------------------------------------------|-----------|--| | Less payments made with Form SIPC-6 | 567 | | | Amount paid with Form SIPC-7 | \$
357 | | {25}------------------------------------------------ | | | | CND AMENDMENT | | | | | | | |--------------------------------------------------------|------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------|-----------------|---------|-----------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------|------------------------------------------| | | SIPC-7 | S ECUR
ITI | ES IN
VESTOR P ROTECT
P.O. Box 92 1 8 5 Washington , D.C. 20090-2 1 8 5 | 2 02-37 1 -8300 | ION COR | PORATION | | SIPC-7 | | | General Assessment Reconciliation
(36-R EV 1 2/1 8) | | | | | | | | (36- REV 1 2/1 8) | | | | | | For the fiscal year ended December 31• 2021
(Read carefully the instructions in your Working Copy before completing this Form)
TO BE FILED BY ALL SIPC MEMB | | | ERS WITH FISCAL YEAR EN | DINGS | | | | | | 1. Name of Member, add ress, Designated Exami ning Authority, 1 934 Act regi st rati on no. and month in which fi scal year ends for
pu rposes of the audit requirement of SEC Rule 1 7a-5: | | | | | | | >­
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FINRA
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PEAK BROKERAGE SERVICES, LLC
770 US HIGHWAY ONE, STE 205 E
PALM BEACH GARDENS, FL 33408 | 845****************MIXED AADC 220 | | 7 | indicate on the form filed. | Note: If any of the information shown on the
any corrections to form@sipc.org and so
Name and telephone number of person to
contact respecti ng this form. | mailing label requires correction, please e-mail
_J ANTHONY DIAMOS: {404) 536-6984 3,: | c.:,
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===-==
CC:
O | | | | 2. A. General Assessment {item 2e from page 2) | | | | | | | | | | | B. Less payment made with SIPC-6 filed (exclude interest)
07/29/2021 | | | | | | | | | | | Date P aid
C. Less prior overpayment applied | | | | | | | | | | | D. Assessment balance due or {overpayment) | | | | | 357 | | | | | | E. I nterest computed on late payment (see instruction E) for ___ days at 20% per annum | | | | | | | | | | | F. Total assessment balance and interest due (or overpaym ent carri ed forward) | | | | | | | | | | G. PAYM ENT; | ✓ the box
Check mailed to P.O. B ox (2] Fu nds Wired
Total {must be same as F above} | O
ACH | 0\$
357 | | __________ _ | | | | | | | H. Overpayment carried forward | | | | \$( ________ _ | | | | | | | 3. Subsidiaries {S) and p redecessors (P) i ncluded in this form (give name and 1 934 Act registration n umber): | | | | | | | | | | and complete. | The SIPC member subm itting this form and the
person by whom it is executed represent thereby
that all i nformation contained herein is true, correct | | | | | | | | | | Dated the 8th | day of February | , 20E.,_. | | | PRINCIPAL | | | | | | | | | | | (Title) | | | | **This form and the assessment payment is due 60 days after the end of the fi scal year. Retain the Working Copy of this form for a period of not less than 6 years, the latest 2 y ears** in **an easily accessible place.** | :s:: | ffi Dates:
Postmarked | Received | Reviewed | | |--------------|-------------------------------|----------|--------------------|---------------------| | LL.I
LL.I | > Calculations __ _ | | Documentation __ _ | Forward C opy ___ _ | | | c:.,:, Exceptions: | | | | | | en Disposition of exceptions: | | 1 | | {26}------------------------------------------------ ### **DETERMINATION OF "SIPC N ET OPERATI NG REVENU ES" AND GEN ERAL ASSESSM E NT** Amounts for the fiscal period beginning **JANUARY 1, 2021** and ending **DEC 31 2Q21** | Item No.
2a. Total revenue (FOCUS Line 1 2/Part IIA Line 9, Code 4030) | El i minate cents
\$ 8,425, 1 25 | |------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------| | 2b. Additions:
(1) Total revenues from the securities business of subsidiaries (except foreign subsidiaries) and
predecessors not included above. | | | (2) N et loss from principal transactions in securities in trading accounts. | | | (3) Net loss from principal transactions in commodities in trading accounts. | | | (4) Interest and dividend expense deducted in determining item 2a. | | | (5) Net loss from management of or participation in the underwriting or distribution of securities. | | | (6} Expenses other than advertising, printing, registration lees and legal fees deducted in determining net
profit from management of or participation in underwriting or distribution of securities. | | | (7) Net loss from securities in i nvestment accounts. | | | Total additions | | | 2c. Deductions:
(1) Revenues from the distribution of shares of a registered open end investment company or uni1
investment trust, from the sale of variable annuities, from the business of insurance, from investment
advisory services rendered to registered investment companies or insurance company separate
accounts, and from transactions in security tutu res products. | 6,91
1
,400 | | (2) Revenues from commodity transactions. | | | (3) Com
missions, floor brokerage and clearance paid to other SIPC members in connection with
securities transactions. | 99,51
8 | | (4) Reimbursements for postage in connection with proxy solicitation. | | | (5) Net gain from securities in investment accounts. | | | (6) 1 00% of commissions and markups earned from transactions in (i) cer1ificates of deposit and
(ii) Treasury bills, bankers acceptances or commercial paper that mature nine months or less
from issuance date. | | | (7) Direct exp�nses of printing advertising and legal fees incurred in connection with other revenue
related to the securities business (revenue defined by Section 1 6(9)(L) of the Act). | | | (8) Other revenue not related either directly or indirectly to the securities business.
(See Instruction C): | | | Rep Admin, E&O, Registration Fees Paid Collected, Mktg Reimbursements, Dealer Reallowance, Int Income | 798,332 | | (Deductions in excess of \$1
00,000 require documentation) | | | (9) (i) Total interest and dividend expense (FOCUS Line 22/PART IIA Line 1 3,
Code 4075 plus line 2b(4) above) bul not in excess
of total interest and dividend income.
\$ __________ _ | | | (ii) 40% of margin interest earned on customers securi1ies
accounts (40% of FOCUS line 5, Code 3960).
\$ _________ _ | | | Enter the greater of line (i} or (ii) | | | Total deductions | 7,809,250 | | 2d. SIPC Net Operating Revenues | 61
5,875
\$========== | | 2e. General Assessment
@ .0015 | 924
\$========== | | | (to page 1, line 2.A.) | Source: SEC EDGAR via Adviser Search (https://search.stillhousedata.com). Agents: see https://search.stillhousedata.com/llms.txt.