# EUROLINK SECURITIES LLC X-17A-5 (2020-02-26) — Broker-dealer annual report - Company: EUROLINK SECURITIES LLC - Form: X-17A-5 - Filed: 2020-02-26 - Period: 2019-12-31 - Accession: 0001554726-20-000001 - CIK: 1554726 - File #: 8-69131 - Material weakness: No - Auditor: DAVID LUNDGREN AND COMPANY, CPA - Auditor location: OLATHE, KS - Contact: CURTIS WEEKS - Phone: 678-679-8642 - Signed by: PATRICK ODDOUX (PRESIDENT & CEO) Original filing: https://www.sec.gov/Archives/edgar/data/1554726/000155472620000001/eurolinkaudit.pdf --- {0}------------------------------------------------ UNITEDSTA TES SECURITIESANDEXCRANGECOMMISSION Washington, D.C. 20549 # **ANNUAL AUDITED REPORT FORM X·17A·5 PARTIII** OMB APPROVAL OMB Number: 3235-0123 Expires: August 31, 2020 Estimated average burden hours perresoonse ..•... 12.00 # SEC FILE NUMBER S-69131 FACING PAGE Information Required of Brokers and Dealers Pursuant to Section 17 of the Securities Exchange Act of 1934 and Rule t 7a-5 Thereunder | REPORT FOR THE PERIOD BEGINNING | 01/01/2019 | | 12/31
AND ENDING | /2019 | | |-------------------------------------------------------------------------------------------------------|------------------------------|--------------------------------------------------------|---------------------|-------------------------------|--| | | | MM/OD/YY | | MM/OD/YY | | | | A. REGISTRANT IDENTIFICATION | | | | | | NAME or BROKER-DEALER: | Securities
Eurolink | LLC | | OFFICIAL USE ONLY | | | ADDRESS OF PRINCIPAL PLACE OF BUSINESS: (Do not use P.O. Box No.) | | | | FIRM I.D. NO. | | | 1
Radisson | Suite
701
Plaza, | | | | | | | | (No. and Street) | | | | | | | NY | | 10801 | | | (City) | | (State) | | (Zip Code) | | | NAME AND TELEPHONE NUMBER OF PERSON TO CONTACT IN REGARD TO nus REPORT
Curtis Weeks | 678-679-8642 | | | | | | | | | | (Area Code- Telephone Number) | | | | B. ACCOUNTANT IDENTIFICATION | | | | | | INDEPENDENT PUBLIC ACCOUNT ANT whose opinion is contained in this Report*
David
Lundgren
and | CPA
Company, | | | | | | | | (Name - if individual. state last, first, middle name) | | | | | 505
N
Mur-Len
Rd | Olathe | | KS | 66062 | | | (Address) | (City) | | (State) | (Zip Code) | | | CHECK ONE: | | | | | | | jcertified Public
j
/
Accountant | | | | | | | DPublic Accountant | | | | | | | D
Accountant not resident in United States or any of its possessions. | | | | | | | | | FOR OFFICIAL USE ONLY | | | | | | | | | | | | | | | | | | | | | | | | | *\*Claims for exemption from therequirement that theQ1111U(Jf report be covered by theopinion of an independent public accountant must besupported by astatement of facts and circumstances relied on as the basis for the exemption. See Section 240.17a-S(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) {1}------------------------------------------------ ### **OATH OR AFFIRMATION** | , swear (or affirm) that, to the best of | | |---------------------------------------------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------| | | as | | 20 19 | | | | | | | | | | | | President & CEO
Title | | | | | | Notary Public • State of New York
Quilllfied in Westchester County
(d) Statement of Changes in Financial Condition. | my knowledge and belief the accompanying financial statement and supporting schedules pertaining to the firm of
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are true and correct I further swear (or affirm) that
neither the company nor any partner, proprietor, principal officer or director has any proprietary interest in any account
classified solely as that of a customer, except as follows:
3, 2023
in Stockholders' Equity or Partners' or Sole Proprietors' Capital.
ies Subordinated to Claims of Creditors .
(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 the Computation ofNet Capital Under Rule 15c3-l and the
Computation for Determination of the Reserve Requirements Under Exhibit A of Rule 15c3-3.
(k) A Reconciliation between the audited and unaudited Statements of Financial Condition with respect to methods of | {2}------------------------------------------------ # EUROLINK SECURITIES LLC FINANCIAL STATEMENTS AND SCHEDULES For the Year Ended December 31, 2019 With Independent Auditor's Report {3}------------------------------------------------ #### DAVID LUNDGREN & COMPANY CERTIAEO PUBLIC ACCOUNTANTS, CHARTERED 505 NORTH MUR·LEN ROAD OLATHE, KANSAS 66062 DAVID 8. LUNDGREN, MBA, CPA CATHERINE LUNDGREN MBA. CPA TELEPHONE (9 t 3) 782-9530 FACSIMILE (9t 3) 782-9564 ### REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM To the Board of Directors and Members of Eurolink Securities, LLC ### Opinion on the Financial Statements We have audited the accompanying statement of financial condition of Eurolink Securities, LLC as of December 31, 2019, the related statements of operations, changes in member's equity, and cash flows for the year then ended, and the related notes and schedules (collectively referred to as the financial statements). In our opinion, the financial statements present fairly, in all material respects, the financial position of Eurolink Securities, LLC as of December 31, 2019, 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 ftnanctal statements are the responsibility of Eurolink Securities, LLC's management. Our responsibility is to express an opinion on Eurolink Securities, LLC'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 Eurolink Securities, 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. 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. ### Supplemental Information The Schedules I, II, and Ill have been subjected to audit procedures performed in conjunction with the audit of Eurolink Securities, LLC's financial statements. The supplemental information is the responsibility of EuroJink Securities, LLC'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 17 C.F.R. §240.17a-5. In our opinion, the Schedules I, II, and Ill are fairly stated, in all material respects, in relation to the financial statements as a whole. Z?.��l:itorsince2018. Olathe, Kansas February 21, 2020 {4}------------------------------------------------ # **EUROLINK SECURITIES LLC STATEMENT OF FINANCIAL CONDITION December 31, 2019** ### ASSETS | Cash and cash equivalents
Accounts receivable
Prepaid expenses and deposits | \$
28,243
,000
1
5,575 | |-----------------------------------------------------------------------------------|------------------------------------| | Total assets | \$
34,818 | | LIABILITIES AND MEMBER'S EQUITY | | | Liabilities
Accounts payable
Accrued payroll taxes | \$
5,226
514 | | Total liabilities | 5,740 | | Member's equity | 29,078 | | Total liabilities and member's equity | \$
34,818 | {5}------------------------------------------------ # **EUROLINK SECURITIES LLC STATEMENT OF OPERATIONS For the Year Ended December 31, 2019** | REVENUES | | |--------------------------|---------------| | Research revenue | \$
126,423 | | Total revenue | 126,423 | | EXPENSES | | | Compensation | 30,634 | | Professional fees | 17,452 | | Regulatory fees | 5,080 | | Occupancy | 14,600 | | Research | 28,841 | | Other operating expenses | 18,891 | | Total expenses | 115,498 | | NET INCOME | \$
10,925 | {6}------------------------------------------------ # **EUROLINK SECURITIES LLC STATEMENT OF MEMBER'S EQUITY For the Year Ended December 31, 2019** | Balance, December 31, 2018 | \$
55,153 | |----------------------------|----------------| | Member Distributions | \$
(37,000) | | Net Income | \$
10,925 | | Balance, December 31, 2019 | \$
29,078 | {7}------------------------------------------------ # **EUROLINK SECURITIES LLC STATEMENT OF CASH FLOWS For the Year Ended December 31, 2019** | CASH FLOWS FROM OPERATING ACTIVITIES: | | |-----------------------------------------------------------------------------------|--------------| | Net income | \$
10,925 | | Adjustments to reconcile net income to net cash provided by operating activities: | | | Increase in prepaids and deposits | (314) | | Decrease in receivables | 24,344 | | Decrease in accounts payable and accrued liabilities | (8,230) | | Net cash provided by operating activities | 26,725 | | CASH FLOWS FROM FINANCING ACTIVITIES: | | | Member distributions | (37,000) | | Net cash used by financing activities | (37,000) | | NET DECREASE IN CASH | (10,275) | | CASH AND CASH EQUIVALENTS: | | | Beginning of period | 38,518 | | End of period | \$
28,243 | {8}------------------------------------------------ # **EUROLINK SECURITIES LLC NOTES TO FINANCIAL STATEMENTS December 31, 2019** ### NOTE 1 - NATURE OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES **Nature of Business:** Eurolink Securities LLC (the "Company") was organized as a New York Limited Liability Company in October 2012. The Company became an independent registered broker-dealer and a member of the Financial Industry Regulatory Authority ("FINRA") effective January 2014. The Company's business is to act as an investment banker in private placement transactions and mergers and acquisitions, and to sell research. **Income Taxes:** The Company has elected to be a Limited Liability Company that is taxed as a sole proprietorship under Internal Revenue Code regulations. Therefore, the income or losses of the Company flow through to and are taxable to its owner and no liability for income taxes is reflected in the accompanying financial statements. The Company has adopted the provisions of FASB Accounting Standards Codification 740-10, Accounting for Uncertainty in Income Taxes. Under ASC 740-10, the Company is required to evaluate each of its tax positions to determine if they are more likely than not to be sustained if the taxing authority examines the respective position. A tax position includes an entity's status, including its status as a pass-through entity, and the decision not to file a tax return. The Company has evaluated each of its tax positions and has determined that it has no uncertain tax positions. **Estimates:** The preparation of financial statements in accordance with generally accepted accounting principles requires the use of estimates in determining assets, liabilities, revenues and expenses. Actual results may differ from these estimates. **Cash and Cash Equivalents:** The Company maintains its bank accounts at a high credit quality bank in the United States. Balances, at times may exceed federally insured limits. Generally, these deposits may be redeemed upon demand and, therefore, bear minimal risk. The Company considers deposits with maturities of ninety-days or less to be cash and cash equivalents. **Basis of Accounting:** The Company maintains its books and records on the accrual basis of accounting for financial reporting purposes, which is in accordance with U.S. generally accepted accounting principles and as required by the SEC and FINRA. {9}------------------------------------------------ ### **EUROLINK SECURITIES LLC NOTES TO FINANCIAL STATEMENTS December 31, 2019** ### NOTE 1 - NATURE OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED) **Accounts Receivable:** Accounts receivableconsist of tradereceivables for investment banking and advisory services. The Company regularly reviewsits accounts receivable forany bad debts. Thereview for bad debts is based on an analysis of the Company's collection experience, customer worthiness, and current economic trends. The Company believes all receivables are collectibleand no allowanceis needed. **Subsequent Events:** Subsequent events were evaluated through February 21, 2020, which is the date the financial statements wereissued. The Company did not identify any material subsequent events requiring adjustments on disclosure to thosefinancial statements. **Revenue Recognition:** On January 1, 2018, the Company adopted ASU 2014-09 *Revenue from Contracts with Customers* and all subsequent amendments to the ASU (collectively, "ASC 606"), which creates a single framework for recognizing revenuefrom contracts with customers that fall within its scope. Revenueis measured based on a consideration specified in a contract with a customer. The Company recognizes revenue when it satisfies aperformance obligation by transferring control overgoods or service to a customer. Services within the scope of ASC 606 include investment banking, merger and acquisition (M&A) services and research. Investment banking, M&A services include agreements to provideadvisory services to customers forwhich they charge thecustomers fees. The Company provides advisory services *I* corporate finance activity including mergers and acquisitions, reorganizations, tender offers, leveraged buyouts, fundraising activity and thepricing of securities to be issued. Theagreement contains nonrefundableretainer fees or success fees, which may be fixed orrepresent apercentage of value that the customer receives if and when thecorporate finance activity iscompleted ("success fees"). In some cases, thereis also an "announcement fee" that is calculated on the date a transaction is announced based on theprice included in the underlying saleagreement. Theretainer fees, announcement fee, or other milestonefees reduce any success fee subsequently invoiced and received upon thecompletion of the corporate finance activity. The Company has evaluated its nonrefundableretainerpayments, to ensureits feerelates to the transfer of agood or service, as a direct distinct performanceobligation, inexchangefor theretainer. If apromised good or service is not distinct, the Company combines that good or service with otherpromised goods or services until it identifies a bundleof goods or services that is distinct. Payment for themajority of our research services is considered to bevariableconsideration, as theamount of revenues we expect to receiveissubject to factors outsideof our control, including market conditions. Variableconsideration isonly included in revenue when amounts are not subject to significant reversal, which isgenerally when uncertainty around the amount of revenue to bereceived is resolved. Revenuefrom research services isrecognized as theresearch isreported as used by theclient. {10}------------------------------------------------ ### EUROLINK SECURITIES LLC NOTES TO FINANCIAL STATEMENTS December 31, 2019 #### NOTE 2 - NET CAPITAL REQUIREMENTS The Company is subject to the Securities and Exchange Commission Uniform Net Capital Rule (Rule 15c3-l), which requires the maintenance of minimum net capital and requires that the ratio of aggregate indebtedness to net capital, both as defined, shall not exceed 15 to 1. At December 3 I, 2019, the Company had net capital of \$22,503, which was \$ I 7,503 more than its required net capital of \$5,000 and the ratio of aggregate indebtedness to net capital was .255 to 1.0. # NOTE 3 -RELATED PARTY TRANSACTIONS The Company's office is co-located with a company related by common ownership (the "affiliated company") which share limited administrative expenses which are defined, along with the expense allocation methodology to be used, in an expense sharing agreement. The Company leases its office space under an operating lease with a month-to-month term from its affiliated company. Rent expense under this lease was \$14,600 for the year ended December 31, 2019. #### NOTE 4 - CONCENTRATION The top four customers comprised approximately 72% of revenue for the year 2019. #### NOTE *5 -* CONTINGENCIES AND CLAIMS The Company does not have any commitments, guarantees, or contingencies, including arbitration or other litigation claims that may result in a loss or future obligation. #### NOTE 6 - FUTURE ACCOUNTING PRONOUNCEMENT In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842). The new standard establishes a right-of-use ("ROU") model that requires a lessee to record a ROU asset and a lease liability oo the balance sheet for all leases with terms longer than 12 months. Leases will be classified as either finance or operating, with classification affecting the pattern of expense recognition in the income statement. The new standard is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. A modified retrospective transition approach is required for lessees for capital and operating leases existing at, or entered into after, the beginning of the earliest comparative period presented in the financial statements, with certain practical expedients available. The standard was effective for us on January I, 2019. The Company does not have any leases which meet the criteria and therefore no impact was noted to the financial statements as of December 31, 2019. Other accounting standards that have been issued or proposed by the F ASB or other standards-setting bodies that do not require adoption until a future date are not expected to have a material impact on the Company's financial statements upon adoption. {11}------------------------------------------------ ### **EUROLINK SECURITIES LLC** **Supplementary Information Pursuant to rule 17(a)-5 of the Securities Exchange Act of 1934** ### **December 31, 2019** The accompanying schedule is prepared in accordance with the requirements and general format of FOCUS Form X-17 A-5. {12}------------------------------------------------ #### **EUROLINK SECURITIES LLC** # **SCHEDULE I COMPUTATION OF NET CAPITAL UNDER RULE 15c3-1 OF THE SECURITIES AND EXCHANGE COMMISSION ACT OF 1934** #### **December 31, 2019** | Net Capital | | |-----------------------------------------------------|--------------| | Total member's equity qualified for net capital | \$
29,078 | | Deduction for non-allowable assets: | | | Accounts receivable - non-allowable | (1,000) | | Prepaid expenses and deposits | (5,575) | | Net capital before haircuts | 22,503 | | Less haircuts | 0 | | | | | Net capital | \$
22,503 | | Minimum net capital required | \$
5,000 | | Aggregate Indebtedness: | | | Liabilities | \$
5,739 | | | | | Minimum net capital based on aggregate indebtedness | \$
383 | | Ratio of aggregate indebtedness to net capital | .255 to 1.0 | | Excess net capital | \$
17,503 | RECONCILIATION WITH COMPANY'S COMPUTATION OF NET CAPITAL INCLUDED IN PART IlA OF FORM X-17A-5 AS OF DECEMBER 31, 2019. There was no significant difference between net capital in Part UA of Form X-17 A-5 and net captial above. {13}------------------------------------------------ ### EUROLINK SECURITIES LLC # SCHEDULE II COMPUTATION FOR DETERMINATION OF THE RESERVE REQUIREMENTS UNDER THE SECURITIES AND EXCHANGE COMMISSION RULE 15c3-3 December 31, 2019 The Company is not required to file the above schedule as it is exempt from Securities and Exchange Commission Rule 15c3-3 under paragraph (k)(2)(i) of the rule and does not hold customers' monies or securities. # SCHEDULE III INFORMATION RELATING TO THE POSSESSION OR CONTROL REQUIREMENTS UNDER THE SECURITIES AND EXCHANGE COMMISSION RULE 15c3-3 December 31, 2019 The Company is not required to file the above schedule as it is exempt from Securities and Exchange Commission Rule 15c3-3 under paragraph (k)(2)(i) of the rule and does not hold customers' monies or securities. {14}------------------------------------------------ DAVID LUNDGREN & COMPANY CERTIFIED PUBLIC ACCOUNTANTS, CHARTERED 505 NORTH MUR·LEN ROAD OLATHE, KANSAS 66062 DAVID B. LuNDGRE:N, MBA, CPA CATHERINE LUNDGREN MBA, CPA TELEPHONE (913) 782-9530 FACSIMILE (913) 782-9564 #### REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM To the Board of Directors and Members of Eurolink Securities,-LLC We have reviewed management's statements, included in the accompanying Exemption Report for year ended December 31, 2019, in which (1) Eurolink Securities, LLC identified the following provisions of 17 C.F.R. §15c3-3(k) under which Eurolink Securities, LLC claimed an exemption from 17 C.F.R. §240.15c3- 3: (k)(2)(i) (exemption provisions} and (2) Eurolink Securities, LLC stated that Eurolink Securities, LLC met the identified exemption provisions throughout the most recent fiscal year without exception. Eurolink Securities, 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·(U11ited States) and, accordingly, included inquiries and other required procedures to obtain evidence about Eurolirik Securities, 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 falrly stated, in all material respects, based on the provisions set forth in paragraph {k)(2)(i) of Rule 15c3-3 under the Securities Exchange Act of 1934. / *7)J*�*I' .* Olathe, Kansas February 21, 2020 {15}------------------------------------------------ ![](_page_15_Picture_0.jpeg) # **EXEMPTION REPORT** ## **YEAR ENDED DECEMBER 31, 2019** Eurolink Securities LLC (the Company) is a registered broker-dealer subject to Rule 17a-5 promulgated by the Securities and Exchange Commission (17 C.F.R §240.17a-5. "Reports to be made by certain brokers and dealers"). This Exemption Report was prepared as required by 17 C.F.R §240.17a-5(d)(1) and (4). To the best of its knowledge and belief, the Company states the following: 1. The Company claimed an exemption from 17 C.F.R §15c3-3 under the following provisions of 17 C.F.R §240.15c3-3: (k)(2)(i) and 2. The Company met the identified exemption provisions in 17 C.F.R §240.15c3-3 (k)(2)(i) throughout the most recent fiscal year ended December 31, 2019 without exception. I affirm that, to the best of my knowledge and belief, this Exemption Report is true and correct. President & CEO By: Title: Name: �P�at�rick �O�dd�oux ������ �� Date: February 15, 2020 Eurolink Securities LLC., 1 Radisson Plaza - Suite 701, New Rochelle, NY 10801 poddoux@eurolinksecurities.com Tel: 646 331 2808 Source: SEC EDGAR via Adviser Search (https://search.stillhousedata.com). Agents: see https://search.stillhousedata.com/llms.txt.