Financial & Operational Principal Services

FinOp Support

Broker-dealer financial and operational requirements are dynamic and complex.   Broker-Dealers relying on an outsourced FinOp model must ensure the individual registering with their firm is appropriately trained and has the requisite experience with respect to the business lines of the broker dealer.

An outsourced FinOp must demonstrate that he / she has capacity to dedicate the appropriate amount of time and effort to each firm they support.   A FinOp that is registered with 15-20 broker-dealers, may be a red flag that your firm should consider before employing the services of such individual(s).

At Compliance Risk Concepts, we believe in benefits of an appropriate outsourced FinOp model and fulfill our role and associated responsibilities with extreme care.   CRC will never overextend any of our FinOp’s – ensuring our clients have the appropriate coverage model in place 24/7/365.

Our Client Profiles

Our experts are Series 27 licensed and have over 30 years of relevant industry experience supporting the following types of broker-dealers:

  • Large integrated services organizations
  • Institutional sales and trading shops
  • Full service investment banks
  • Private placement and mergers & acquisitions broker-dealers
  • Retail broker-dealers
  • Research broker-dealers

Delivery Model

Our experts can serve as an outsourced FinOP, or support your internal FinOp.   CRC’s service model is flexible and can also be leveraged on an hourly / “as-needed” basis – creating greater efficiency and significant cost savings for our clients.

We offer a full range of FinOp services, including:

  • Monitoring and reviewing the following reports:
    • General Ledger
    • Balance Sheet
    • Trial Balance
    • Income Statement
    • Reconciled Bank Statements
    • Accounts Payable Reports
    • Other reconcilements as deemed necessary
    • Any other reports needed for preparation of computations
  • Preparation of monthly net capital computation, utilizing information provided by the broker-dealer
  • Preparation and filing of monthly and/or quarterly FOCUS Reports with FINRA. (as required)
  • Preparation and filing of quarterly Form Custody, SSOI and any other supplemental reports required by FINRA
  • Preparation of reserve computation (weekly)
  • Calculation of Fidelity Bond Coverage (annually).
  • Preparation of required semi-annual and annual assessments, including but not limited to: SIPC
  • Prepare of annual financial statements with footnotes for audit
  • Assistance with annual audit
  • Periodic projections of net capital for senior management
  • Supervising additions to, and withdrawals from, the equity capital of company
  • Reporting borrowings and repayment of subordinated loans for capital purposes
  • Should the company become deficient in its net capital position, making the necessary reports to regulators and communicating any restrictions in business that may result
  • Maintaining ongoing dialogue with management team and outside accounting firm (to the extent necessary and appropriate)
  • Performing onsite visits on a periodic basis
  • Conducting regular in person or telephonic meetings (no less than monthly) with accounting and finance personnel

Compliance Risk Concepts provides the critical skills and expertise required to establish, maintain and enhance a balanced and effective financial and operational risk management program. Contact us for more information on how we can provide FinOP services for your organization.

Other Verticals & Services we offer are Financial Services ComplianceAnti-Corruption & Ethics, Research Supervisory Analyst, Enterprise Compliance Risk ManagementExpert Witness Service and Technology Industry Compliance.

Contact us to schedule a call/meeting to further determine your individualized needs and requirements.

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