# FUNDOPOLIS SECURITIES, LLC X-17A-5 (2024-04-05) — Broker-dealer annual report - Company: FUNDOPOLIS SECURITIES, LLC - Form: X-17A-5 - Filed: 2024-04-05 - Period: 2023-12-31 - Accession: 0001780115-24-000001 - CIK: 1780115 - File #: 8-70362 - Type: Broker-dealer - Material weakness: No - Auditor: Morris & Morris, P.C. - Auditor location: Needham Hights, NJ - Contact: GARY CUCCIA - Phone: 732-713-9607 - Email: gary@finopcfo.com - Website: finopcfo.com - Signed by: John O'Keefe (CEO) Original filing: https://www.sec.gov/Archives/edgar/data/1780115/000178011524000001/edgarfundopolisxopt.pdf --- {0}------------------------------------------------ Financial Statements and Supplemental Schedules Required by the U.S. Securities and Exchange Commission Including Independent Registered Public Accountant's Report Thereon For the Year-Ended December 31, 2023 {1}------------------------------------------------ ## FINANCIAL STATEMENTS, FORM X-1 7A-5, PART II(, SUPPLEMENTAL INFORMATION, AND REPORTS OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM # DECEMBER 3 I, 2023 ## CONTENTS | 17A-S, PART Ill
FORM X- | PAGE
I -
2 | |--------------------------------------------------------------------------------------------|------------------| | REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM | 3 -
4 | | rfNANCIAL STATEMENTS | | | Statement of r
inancial Condition | 5 | | Statement of Operations | 6 | | Statement of Changes in Member's Equity | 7 | | Statement of Cash Flows | 8 | | Notes to Financial Statements | 9 -
I 0 | | SUPPLEMENTAL INFORMATION-
Schedule l
l'OMPLJ'lATION OF NFTC'APITAL UNDER RULE 15c3-1 | 11 | | REPORT OF INDEPENDENT R.bGISTERED PUBLIC ACCOUNTING FIRM , | 12 | | ASSERTION REGARDING EXEMPTION UNDER EXCHANGE ACT RULE 15C3-3 | 13 | {2}------------------------------------------------ | | UNITED STATES | | | | |---------------------------------------------------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------|--|-------------------------------------------------| | | SECURITIES AND EXCHANGE COMMISSION | | | 0MB Number: 3235-0123
Expires: Nov. 30, 2026 | | | Washington, D.C. 20549 | | | Estimated averase burden | | | | | | hours per response: 12 | | | ANNUAL REPORTS | | | SEC FILE NUMBER | | | FORM X-17A-S | | | 8-70362 | | | PART Ill | | | | | | | | | | | | FACING PAGE
Information Required Pursuant to Rules 17a-5, 17a-12, and 18a-7 under the Securities Exchange Act of 1934 | | | | | FILING FOR THE PERIOD BEGINNING 0 1 /Q 1 /23 | AND ENDING 12/31 /23 | | | | | | MM/DD/YY | | | MM/DD/YY | | | A. REGISTRANT IDENTIFICATION | | | | | | NAME oF FIRM: Fundopolis Securities, LLC | | | | | | | | | | | TYPE OF REGISTRANT (check all applicable boxes):
[!) Broker-dealer
D Check here If respondent Is also an OTC derivatives dealer | 0 Major security-based swap participant
□ Security-based swap dealer | | | | | | ADDRESS OF PRINCIPAL PLACE OF BUSINESS: (Do not use a P.O. box no.) | | | | | | | | | | | | 10 Converse Place, 2nd Fl Ad Meliora Suite | | | | | | (No. and Street) | | | | | Winchester | MA | | | 01890 | | (City) | (State) | | | (Zip Code) | | PERSON TO CONTACT WITH REGARD TO THIS FILING | | | | | | Gary Cuccia | 732-713-9607 | gary@finopcfo.com | | | | {Name) | (Area Code - Telephone Number) | (Email Address) | | | | | | | | | | | B. ACCOUNTANT IDENTIFICATION | | | | | | INDEPENDENT PUBLIC ACCOUNTANT whose reports are contained In this filing* | | | | | Morris & Morris, P.C. | | | | | | | (Name - If Individual, state last, first, and middle name) | | | | | 32 Kearney Rd | Needham Heights | MA | | 02494 | | (Address) | (City) | (State) | | (Zip Code) | | 1/6/2010 | | 4066 | | | | (Date of ReglsLrat,on with rCAOB)(lf annllcablcl | | | | (PCAOB Rccfsl rallon Number, If npplic,,ble) | | | FOR OFFICIAL USE ONLY | | | | | | | | | | | | • 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 | | | | 0MB APPROVAL CFR 240.17a-5(e)(l)(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}------------------------------------------------ #### CATH OR AT ISSALEDIN were for address that the this fish their been being with the first form for the first Production of the 2000 11/42 +1 CALLERS BER are and expert personing to the fact to the fact of nate and a want and the counter the afferred the afficial the summer the comments of the comments of the comments of the comments of the comments of the count 12:03 parted, alliam literature se superior, a logized may ha ha manusiana i listen manastala interest management and c Section of a Liciol Production Address Pack in Tirlan 10-10-14-1 ![](_page_3_Figure_2.jpeg) # the filing + genealers (check a) application hourn) - The Triplement of Products of Production of Confidered - на может вз сехьологии контролети от грепсан также сайтельные - In the finance of the works on it there is annuel street stories to the problems to the perioding of the problems. 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W and State - w . If Exemployee report or are productive with 17 OFF 243 Size 17 OFA TAX 189 7 as entercacio - · [] [religneding public accused and on at all explointed of the University of financial SIMPLAS - at the belogical pating a vous and the letter hand the an exemplated the firences sequilt or felaxind station of the Sh CHARAD CHE CLE CENTER SECTION CLEAN THE CLEAN THE BE RECORD COLLECTION COLLECTION COLLECTION COLLECTION COLLECTION COLLECTION COLLECTION COLLECTION COLLECTION COLLECTION COLL - pp intension public account of the port cannot of anymount of collain trailing on the complansity report while 17 【年】【第】【官】【官】【官】【官】【官】【官】【官】【官】【官】【官】【 - a be independent public accounted in topen many of the experience imprecuration and expectively \$ 1.5% (F.1.5 mg 11 中文 (10) 12 20 11 11 11 2000 1000 - (4) (4) Superiental Hiports an estimale sered successfort, in Australian Rich E. (1) Statis 2402223 (4) 17 E.) 2005 Ele F AL 2017 - 18:30 - ] [s] Fegall inscriberg urg miztenal bandsgasces from the per 10 familian have the date of the ove a statures and that the misterials within security with and the 2017 a 2017 AFF RANSES - \*\* In would collection of except of not of the program per to the 17 09 2001 Personal concern of the and and the {4}------------------------------------------------ ![](_page_4_Picture_0.jpeg) April 2, 2024 # **TO THE DIRECTORS AND EQUITY OWNER OF FUNDOPOLIS SECURITIES, LLC** 1 0 Converse Place Winchester, MA 01890 # *Opinion on the Financial Statements* We have audited the accompanying statement of financial condition ofFundopolis Securities, LLC (the "Company") as of December 31, 2023, the related statements of operations, changes in member's equity, and cash flows for the year then ended, and the related notes (collectively referred to as the "financial statements"). Jn our opinion, the financial statements present fairly, in all material respects, the financial position of the Company as of December 31, 2023, 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/or 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 audH. 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 fmancial 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. \_:;2 Kcarm·y Road • Needhiim Heights, **MA** U21t11,979 | |-------------------------------------------------------|--------------| | Prepaid expenses and other assets | 15,630 | | TOT AL ASSETS | \$
27,609 | | LIABILITIES AND MLMJ3f;R'S EQUITY | | | LIABILITIES
Accrued expenses and other liabilities | \$
577 | | TOTAL LlABILlTrES | 577 | | MEMBERS EQUITY | 27,032 | | TOTAL LIABILITIES AND MEMBER'S EQUITY | \$
27,609 | J he accompanying notes arc an integral part of lhcsc financial statements. {7}------------------------------------------------ #### STATEMENT OF OPERATIONS # FOR nm YEAR ENDED DECEMBER 31, 2023 | REVENUES | | |----------------------------------|----------------| | Placement and Advisory Fees | \$ | | | | | TOT AL REVENUES | | | EXPENSES | | | Occupancy and equipment expenses | 4,000 | | Regulatory Fees | 23,161 | | Technology | 12,215 | | Professional fees | 40,833 | | Other expense | 1,690 | | 1 OTAL £:XPENSBS | 81,899 | | | | | NET LOSS | \$
(81,899) | The accompanying notes are an integral part of these financial statements. {8}------------------------------------------------ ### STATEMENT OF CHANGES IN MEMBER'S EQU LTY ## FOR THE YEAR ENDED DECEMBER 31, 2023 | BALANCE -
BEGINNING OF YEAR | \$
32,985 | |--------------------------------|--------------| | Net LOSS | (81,899) | | Contributions | 76,746 | | Distribution | (800) | | BALANCE - END OF YEAR | \$
27,032 | See accompanying notes to the financial statements. {9}------------------------------------------------ #### STATEMENT OF CASH FLOWS #### FOR THE YEAR ENDED DECEMBER 31, 2023 | OPERA TING ACTfVlTIBS | | |-------------------------------------------------------------------------------|----------------| | Net loss | {81,899)
\$ | | Adjustments to reconcile net income to net cash used in operating activities: | | | Decrease in operating assets: | | | Prepaid expenses and other assets | 1,586 | | Increase/(Decrease) in operating liabilities: | | | Payable to affiliate | (1,927) | | Accrued expenses and other liabilities | 577 | | TOT AL ADJUSTMENTS | 236 | | NET CASH USED IN OPERA TING ACTIVITIES | (81,663) | | FINANCING ACTIVITIES | | | Member contributions | 76,746 | | Member distribution | (800) | | NET CASH PROVIDE BY FINANCING ACTlVITIES | 75,946 | | NET DECREASE IN CASH AND CASH EQUIVALENTS | (5,717) | | CASH AND CASH EQUIVALENTS -
BEGINNING OF YEAR | 17,696 | | END OF YEAR
CASH AND CASH EQUJV ALENTS - | \$
11,979 | See accompanying notes to the financial statements. {10}------------------------------------------------ ### FUNDOPOLIS SECURITIES, LLC Notes to Financial Statements For the Year Ended December 31, 2023 #### NATURE OF OPERATIONS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES #### Note 1: Organization and Nature of business Nature of Operations . Fundopolis Securities LI.C was formed in May 2019 and is a Delaware limited liability company. The Company is a broker-dealer which acts as a placement agent in connection with private placement transactions. The Company is a Member of the Financial Industry Regulatory Authority (FINRA) pursuant to its Membership Agreement dated June 2020. The Company is a Member of the Securities Investor Protection Corp. (SIPC). The Company is a wholly owned subsidiary of Fundopolis LLC (the Parent). #### Note 2: Summary of significant accounting nolicies Method of Accounting - The financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America, as established by the Financial Accounting Standards Board (FASB), utilizing the accrual-basis of accounting. Cash and Cash Equivalents - Includes deposits with a maturity of three months or less. Income Taxes - The Company is a Limited Liability Company. Accordingly, net income is allocated and taxed to the individual member. No income tax provision has been included in the determination of net income. The Company follows the provisions of Accounting for Uncertainly in Income Taxes as provided for in the Income Taxes topic of the FASB Accounting Standards Codification. This statement clarifies the criteria that an individual tax position must satisfy for some or all of the benefits of that position to be recognized in an entity's financial statements. It also prescribes a recognition threshold of more likely-than-not, and a measurement attribute for all tax positions taken or expected to be taken on a tax return, in order for those tax positions to be recognized in the financial statements. There was no cumulative effect on the Company's financial statements related to following these provisions, and no interest or peralties related to uncertain tax positions were accrued. The Company is subject to routine audits by taxing jurisdictions; bowever, there are currently no audits for tax periods in progress. Commission Revenue - Commissions earned in connection with private placements are recognized at the closing of funds raised delivery of funds to the Issuer. The Company has adopted Accounting Standards Codification (ASC) 606 which established a new single revenue framework to recognize revenue from contracts with customers and offers expanded disclosures for revenue transactions. {11}------------------------------------------------ ### FUNDOPOLIS SECURITIES, LLC Notes to Financial Statements For the Year Ended December 31, 2023 Use of Estimates - In preparing financial statements, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Fair Value of Financial Instruments - The carrying amount of any financial instruments, including cash, prepaids, other current assets, accounts payable, and accrued expenses, approximate fair value due to the short maturity of these instruments. Other Assets - Included in other assels are the Company's FINRA Year 2023 Amual Renewal payment which is amortized in 1/12th increments on a monthly basis. Subsequent events - The Company has evaluated subsequent events through April 2, 2024 which is the date the financial statements were available to be issued. #### Note 3: Net capital requirements The Company is subject to the Securities and Exchange Commission (SEC) Rule 15c3-1, 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. On December 31, 2023, the Company had net capital of \$11,402, which was \$6,402 in excess of its required net capital of \$5,000. The Company's net capital ratio was 5.05 to 1. on December 31, 2023. #### Note 4: Concentration of credit risk Cash - The Company maintains cash balances at a financial institution insured by the Federal Deposit Insurance Corporation. There were no uninsured cash balances on December 31. 2023. #### Note 5: Statement of cash flows For the year ended December 31, 2023, the Company did not have any significant non-cash investing or financing activities. #### Note 6: Securities Exchange Act (SEALExemption, The Company is not claiming an exemption from SEA 15c3-3, in reliance on footnote 74 to SFC Release 34-70073 and as discussed in Q&A 8 of the related FAQ issued by the SEC staff. In order to avail itself of this option, the Company has represented that it does not, and will not, hold customer funds or securities. and that its business activities are, and will remain, limited to the Private Placements of Securities. {12}------------------------------------------------ # **Schedule 1 Computation of Net Capital Under SEC rule 15c3-1** **December 31, 2023** ltfflmffdllfflf ll1tt1tllll111Mlll1111111111111-lllllllllllllll11!11111Hllffllll11110tU | MEMBERS' EQUITY | \$
27,032 | |-----------------------------------------------------------|--------------| | LESS NON-ALLOWABLE ASSETS | 15,630 | | NET CAPITAL BEFORE HAIRCUTS ON SECURITIES | 11,402 | | LESS HAIRCUTS | | | !NET CAPITAL | I
11,402 | | REQUIRED NET CAPITAL (GREATER OF \$5,000 OR 6 2/3% OF Al) | 5,000 | | EXCESS NET CAPITAL | 6,402 | | AGGREGATE INDEBTEDNESS | 577 | | AGGREGATE INDE.BTEDNESS TO NET CAPITAL | 5.06% | | | | Reconciliation with Company's computation included in Part II of Form X-17A-5 as of December 31 , 2023 | Net Capital as reported In the Company's Part II
(unaudited) FOCUS report as amended | \$11,402 | |-----------------------------------------------------------------------------------------|----------| | Net Capital per abo-.e | \$11.402 | There are no material differences between the abow calculation and calculation Included in the Company's most recent FOCUS Report filed as of December 31, 2023. See Report of Independent Registered Public Accounting Firm {13}------------------------------------------------ ![](_page_13_Picture_0.jpeg) # **REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM ON EXEMPTION REPORT** April 2, 2024 ## **TO THE DIRECTORS AND EQUITY OWNER OF FUNDOPOLIS SECURITIES, LLC** IO Converse Place Winchester, MA 01890 We have reviewed management's statement, included in the accompanying Assertion Regarding Exemption Report under Exchange Act Rule 15c3-3, in which (1) Fundopolis Securities, LLC did not claim an exemption under paragraph (k) of 17 C.F.R. §240 15c3-3, and (2) Fundopolis Securities, LLC is filing this Exemption Report relying on Footnote 74 of the SEC Release No. 34-70073 adopting amendments to 17 C.F.R. §240. 17a-5 because the Company limits its business activities exclusively to private placement of securities. In addition, Fundopolis Securities, LLC did not directly or indirectly receive, hold, or otherwise owe funds or securities for or to customers throughout the most recent fiscal year ended December 31, 2023, without exception. Fundopolis 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 (United States) and, accordingly, included inquiries and other required procedures to obtain evidence about the Company'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 th.at should be made to management's statements referred to above for them to be fairly stated, in all material respects, based upon Fundopolis Securities, LLC's business activities contemplated by Footnote 74 of the SEC Release No. 34-70073 adopting amendments to 17 C.F.R. the conditions set forth in Footnote 74 of the SEC Release No. 34-70073 §240.17a-5, and related SEC Staff Frequently Asked Questions. */1:(&fl/r 11//o'il/~/.'l* Certified Public Accountants j2 Kt'arney Road • Needham Heights, MA 02494 • (781) 45'5-6900 • Fax (781) ·1'55-6t)()2 ![](_page_13_Picture_10.jpeg) The CPA Never Underestimate the ValueY• {14}------------------------------------------------ # Fundopolis Securities, LLC # Assertations Regarding Exemption Provisions I, **as Financial and Operations Principal of Fundopolis Securities, LLC** (the "Company") am responsible for compliance with the annual reporting requirements under Rule 17a-5 of the Securities Exchange Act of 1934. Those requirements compel a broker or dealer to file annual reports with the Securities and Exchange Commission (SEC) and the broker or dealers designated examining authority (DEA}. One of the reports to be included in the annual filing is an exemption report prepared by an independent public accountant based upon a review of assertions provided by the broker or dealer. Pursuant to that requirement, the management of the Company hereby makes the following assertions: To the best of Its knowledge and belief, the Company states the following: - 1. The Company is not claiming an exemption from SEA 15c3-3, in reliance on footnote 7 4 to SEC Release 34-70073 and as discussed in Q&A 8 of the related FAQ issued by the SEC staff. In order to avail itself of this option, the Company has represented that it does not, and will not, hold customer funds or securities, and that its business activities are, and will remain, limited to the Private Placements of Securities. - 2. The Company has met the identified exemption provisions m its FINRA Membership Agreement dated June 8, 2020 throughout the most recent fiscal year without exception. # Fundopoljs Securities. # LLC Name of Company l,\_John O'Keefe\_, swear (or affirm) that, to my best knowledge and belief, this Exemption Report is true and correct. By: **Title: CEO** **Date:** December 31 , 2023 Source: SEC EDGAR via Adviser Search (https://search.stillhousedata.com). Agents: see https://search.stillhousedata.com/llms.txt.