# GILMARTIN FINANCIAL LLC X-17A-5 (2023-03-27) — Broker-dealer annual report - Company: GILMARTIN FINANCIAL LLC - Form: X-17A-5 - Filed: 2023-03-27 - Period: 2022-12-31 - Accession: 0001859599-23-000004 - CIK: 1859599 - File #: 8-70713 - Type: Broker-dealer - Material weakness: No - Auditor: Ernst Wintter & Associates LLP - Auditor location: Walnut Creek, CA - Contact: Tom Brennan - Phone: 415-937-5400 - Email: david.brant@acaglobal.com - Website: acaglobal.com - Signed by: Lynn Lewis (CEO) Original filing: https://www.sec.gov/Archives/edgar/data/1859599/000185959923000004/public1.pdf --- {0}------------------------------------------------ # GILMARTIN FINANCIAL LLC (SEC ID No. 8-70713) # ANNUAL AUDIT REPORT ## DECEMBER 31, 2022 Public Document Filed Pursuant to Rule l 7-A-5(e)(3) as a Public Document {1}------------------------------------------------ PU **IC** **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 FI LE NUMBER | | |------------------|--| | 8-70713 | | **FACING PAGE Information Required Pursuant to Rules 17a-5, 17a-12, and 18a-7 under the Securities Exchange Act of 1934** 5/1/2022 12/31/2022 FILING FOR THE PERIOD BEGINNING \_\_\_\_\_\_\_\_ AND ENDING \_\_\_\_\_\_\_\_ \_ MM/DD/VY MM/DD/VY **A. REGISTRANT IDENTIFICATION** NAME OF FIRM: Gilmartin Financial TYPE OF REGISTRANT (check all applicable boxes): ii Broker-dealer D Security-based swap dealer D Major security-based swap participant D Check here if respondent is also an OTC derivatives dealer ADDRESS OF PRINCIPAL PLACE OF BUSINESS: (Do not use a P.O. box no.) 60 E Sir Francis Drake Blvd Ste 208 Larkspur (City) (No. and Street) CA (State) PERSON TO CONTACT WITH REGARD TO THIS FILING 94939 (Zip Code) David Brant (402) 215-1352 david.brant@acaglobal.com (Name) (Area Code - Telephone Number) (Email Address) **8. ACCOUNTANT IDENTIFICATION** INDEPENDENT PUBLIC ACCOUNTANT whose reports are contained in this filing\* Ernst Wintter & Associates LLP (Name - if individua l, state last, first, and middle name) 675 Ygnacio Valley Road, Suite A200 Walnut Creek CA (Address) 02/24/2009 (City) (State) 3438 94596 (Zip Code) **FOR OFFICIAL USE ONLY** {PCAOB Reg;ma,;oo N,mbec, **;f** appHcable) 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)(l)(il), 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.** {2}------------------------------------------------ # **PUBLIC** #### **OATH OR AFFIRMATION** | 1 | Lynn Lewis | |---|------------| | | | I, Lynn Lewis • swear (or affirm) that, to the best of my knowledge and belief, the financial report pertaining to the firm of Gilmartin Financial as of December 31 , 2 022 , 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_2_Picture_5.jpeg) | Signat
Title:
CEO | cc'~ | | |-------------------------|------|--| Notary Public #### **This filing\*\* contains (check all applicable boxes):** - **121**(a) Statement of financial condition. - **121**(b) Notes to consolidated statement of financial condition. - □ (c) 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 5-X). - □ (d) Statement of cash flows. - □ (e) Statement of changes in stockholders' or partners' or sole proprietor's equity. - □ (f) Statement of changes in liabilities subordinated to claims of creditors. - □ (g) Notes to consolidated financial statements. - □ (h) Computation of net capital under 17 CFR 240.15c3-l or 17 CFR 240.18a-l, as applicable. - D (i) Computation of tangible net worth under 17 CFR 240.18a-2. - □ (j) Computation for determination of customer reserve requirements pursuant to Exhibit A to 17 CFR 240.15c3-3. - □ (k) 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. - D (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 240.15c3-3. - D (n) Information relating to possession or control requirements for security-based swap customers under 17 CFR 240.15c3-3(p)(2) or 17 CFR 240.18a-4, as applicable. - □ (o) Reconciliations, inciuding 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 240.18a-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. - 121 (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. - □ (s) Exemption report in accordance with 17 CFR 240.17a-5 or 17 CFR 240.18a-7, as applicable. - **121**(t) Independent public accountant's report based on an examination of the statement of financial condition. - □ (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. - □ (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. - □ (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. - □ (x) Supplemental reports on applying agreed-upon procedures, in accordance with 17 CFR 240.15c3-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 statement that no material inadequacies exist, under 17 CFR 240.17a-12(k). □ (z) Other: \_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_ \_ *\*\*To* request confidential treatment of certain portions of this filing, see 17 CFR 240.17a-5(e)(3) or 17 CFR 240.18a-7(d)(2}, as applicable. {3}------------------------------------------------ # GILMARTIN FINANCIAL LLC DECEMBER 31, 2022 # TABLE OF CONTENTS | Report of Independent Registered Public Accounting Firm 2 | | |------------------------------------------------------------|--| | Statement of Financial Condition 3 | | | Notes to the Financial Statement 4-6 | | {4}------------------------------------------------ *675 Ygnacio Valley Road, Suite A200 Wa lnut Creek, CA 94596* *(925) 933-2626 Fax (925) 944-6333* #### **Report of Independent Registered Public Accounting Firm** To the Member of Gilmartin Financial LLC #### **Opinion on the Financial Statement** We have audited the accompanying statement of financial condition of Gilmartin Financial LLC (the "Company") as of December 31 , 2022, and the related notes ( collectively referred to as the financial statement). In our opinion, the financial statement presents fairly, in all material respects, the financial position of the Company as of December 31, 2022 in conformity with accounting principles generally accepted in the United States of America. #### **Basis for Opinion** This financial statement is the responsibility of the Company's management. Our responsibility is to express an opinion on the Company's financial statement based on our audit. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (PCAOB) and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB. We conducted our audit in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statement is free of material misstatement, whether due to error or fraud. Our audit included performing procedures to assess the risks of material misstatement of the financial statement, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial 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. We have served as Gilmartin Financial LLC's auditor since 2021. Walnut Creek, California March 20, 2023 {5}------------------------------------------------ #### GILMARTIN FINANCIAL LLC STATEMENT OF FINANCIAL CONDITION DECEMBER 31 , 2022 #### ASSETS | Cash | | \$ 377,534 | |---------------------|---------------------------------|------------| | Accounts receivable | | 30,005 | | Prepaid expenses | | 24 167 | | | | | | Total assets | | \$ 431 706 | | | | | | | LIABILITIES AND MEMBER'S EQUITY | | | Accounts payable and accrued expenses
Payable to affiliate | \$ 27,917
261,119 | |---------------------------------------------------------------|----------------------| | Total liabilities | 289,036 | | Member's equity | 142,670 | | Total liabilities and member's equity | \$ 431 706 | The accompanying notes are an integral part of this statement. {6}------------------------------------------------ #### GILMARTIN FINANCIAL LLC NOTES TO FINANCIAL STATEMENT #### 1. Nature of Company and Summary of Significant Accounting Policies #### Business Description Gilmartin Financial LLC (the "Company") was organized as a California limited liability company in February 2021 . The Company operates in Larkspur and San Diego, California and New York City. The Company offers investment banking services to public, middle market and early-stage companies in the biotech and healthcare related sectors. The Company is a securities broker dealer and registered with the Securities and Exchange Commission ("SEC") and the Financial Industry Regulatory Authority ("FINRA") in May 2022. The Company is a start-up and will receive funds from the Member in order to continue operating for the next twelve months from the date of this report. The Member has sufficient capital to fund the Company. ### Method of Accounting The financial statements are presented in accordance with accounting principals generally accepted in the United States of America ("GAAP") #### Cash and Cash Equivalents The Company considers all demand deposits held in banks and certain highly liquid investments with original maturities of three months or less, other than those held for sale in the ordinary course of business, to be cash equivalents. There were no cash equivalents at December 31 , 2022. #### Accounts Receivable Accounts receivable represent amounts that have been earned and billed to clients in accordance with the terms of the Company's engagement letters with respective clients that have not yet been collected. The Company accounts for estimated credit losses on financial assets measured at an amortized cost basis and certain off-balance sheet credit exposure in accordance with FASB ASC 326-20. Financial Instruments - Credit Losses. F ASB ASC 326-20 requires the Company to estimate expected credit losses over the life of its financials assets and certain off-balance sheet exposures as of the reporting date based on relevant information about past events, current conditions, and reasonable and supportable forecasts. The Company records the estimate of expected credit losses as an allowance for credit losses. For financial assets measured at an amortized cost basis the allowance for credit losses is reported as a valuation account on the balance sheet that is deducted from the asset's amortized cost basis. Changes in the allowance for credit losses are reported as credit losses on the Statement of Operations. Per management's analysis, no allowance for credit losses was considered necessary as of December 31 , 2022. #### Fair Value of Financial Instruments Unless otherwise indicated, the fair values of all reported assets and liabilities that represent financial instruments approximate the carrying values of such amounts. No assets or liabilities are required to be carried at fair value as of December 31 , 2022. The Company has no financial instruments required to be reported at fair value on a recurring basis. {7}------------------------------------------------ ### GILMARTIN FINANCIAL LLC NOTES TO FINANCIAL STATEMENTS #### 1. Nature of Company and Summary of Significant Accounting Policies (Continued) #### Use of Estimates The preparation of the 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 disclosure of contingent assets and liabilities at the date of the financial statements. Estimates also affect the reported amounts of revenue and expenses during the reporting period. Actual results could differ from those estimates. #### 2. Contracts with Customers #### Contract Balances A receivable is recognized when a performance obligation is met prior to receiving payment by the customer. Receivables related to revenue from contracts with customers totaled \$0 and \$30,005 as of May 1, 2022 and December 31 , 2022, respectively. Alternatively, fees received prior to the completion of the performance obligation are recorded as deferred revenue on the statement of financial condition until such time when the performance obligation is met. Deferred revenue would primarily relate to retainer fees received in investment banking engagements. As of May 1, 2022 and December 31 , 2022 there were no amounts of revenue deferred. #### 3. Net Capital As a broker dealer, the Company is subject to the Securities and Exchange Commission's regulations and operating guidelines, which require the Company to maintain a specified amount of net capital, as defined, and a ratio of aggregate indebtedness to net capital as derived, not exceeding 8 to 1. The Company's net capital is computed under Rule 15c3-1 , was \$88,498 at December 31 , 2022, which exceeded required net capital of \$36,130 by \$52,368. The ratio of aggregate indebtedness to net capital at December 31, 2022 was 3.27 to 1. {8}------------------------------------------------ #### GILMARTIN FINANCIAL LLC NOTES TO FINANCIAL STATEMENTS ### 4. Concentration of Credit Risk At times during the year, the Company had cash balances in financial institutions that exceed Federal depository insurance limits. The amount of uninsured cash as of December 31 , 2022 was \$127,534. Management believes that credit risk related to these deposits is minimal. At December 31 , 2022, 100% of accounts receivable was from two customers. 5. Related Party Transactions The Company has an expense sharing agreement with Gilmartin Group LLC ("Group"), a company under common control. The Company does not employ any personnel and Group incurs substantially all of the expenses on behalf of the Company. Under an office and administrative services agreement, Group provides office space and administrative service to the Company. The Company pays it proportional share of office rent, compensation and other overhead costs Group incurred in providing administrative services. At December 31 , 2022, the Company owed Group \$261 ,119. The Company's results of operations and financial position could differ significantly from those that would have been obtained if the entities were autonomous. The Company is not party to a lease as of December 31 , 2022. As mentioned above, the Company is party to an office and administrative services agreement with Group resulting in the allocation of certain occupancy expenses to the Company. 6. Subsequent Events The Company has evaluated events through March 20, 2023, the date which the financial statements were issued. There are no material subsequent events that require disclosure. Source: SEC EDGAR via Adviser Search (https://search.stillhousedata.com). Agents: see https://search.stillhousedata.com/llms.txt.