# EDGAR Filing Document

**Accession Number:** 0001178449
**File Stem:** 0001178449-23-000002
**Filing Date:** 2023-2
**Character Count:** 19596
**Document Hash:** e83a96e101c5ddc16ce6fa2f1bf32722
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001178449-23-000002.hdr.sgml**: 20230217

**ACCESSION NUMBER**: 0001178449-23-000002

**CONFORMED SUBMISSION TYPE**: X-17A-5

**PUBLIC DOCUMENT COUNT**: 2

**CONFORMED PERIOD OF REPORT**: 20221231

**FILED AS OF DATE**: 20230217

**DATE AS OF CHANGE**: 20230217

**EFFECTIVENESS DATE**: 20230217

**PERIOD START**: 20220101

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** COLCHESTER PARTNERS LLC
- **CENTRAL INDEX KEY:** 0001178449
- **IRS NUMBER:** 460467676
- **STATE OF INCORPORATION:** MA
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** X-17A-5
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 008-65464
- **FILM NUMBER:** 23641734

**BUSINESS ADDRESS:**
- **STREET 1:** 53 STATE STREET
- **STREET 2:** SUITE 1304
- **CITY:** BOSTON
- **STATE:** MA
- **ZIP:** 02109
- **BUSINESS PHONE:** 617-896-0203

**MAIL ADDRESS:**
- **STREET 1:** 53 STATE STREET
- **STREET 2:** SUITE 1304
- **CITY:** BOSTON
- **STATE:** MA
- **ZIP:** 02109

### Attached PDF Documents

**Attachment 1:** `cp2022sofcpub1.pdf`

PUBLIC

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

| OMB APPROVAL |
| --- |
| OMB Number: 3235-0123 |
| Expires: Oct. 31, 2023 |
| Estimated average burden hours per response: 12 |

# **ANNUAL REPORTS**
**FORM X-17A-5**
**PART III**

| SEC FILE NUMBER |
| --- |
| 8-65464 |

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 01/01/2022 AND ENDING 12/31/2022
MM/DD/YY MM/DD/YY

A. REGISTRANT IDENTIFICATION

NAME OF FIRM: Colchester Partners, LLC

TYPE OF REGISTRANT (check all applicable boxes):

☑ Broker-dealer ☐ Security-based swap dealer ☐ Major security-based swap participant
☐ Check here if respondent is also an OTC derivatives dealer

ADDRESS OF PRINCIPAL PLACE OF BUSINESS: (Do not use a P.O. box no.)

53 State Street Suite 1304

(No. and Street)

Boston

MA

02109

(City)

(State)

(Zip Code)

PERSON TO CONTACT WITH REGARD TO THIS FILING

Eric Andrew

(617) 896-0202

eandrew@colchesterpartners.com

(Name)

(Area Code - Telephone Number)

(Email Address)

B. ACCOUNTANT IDENTIFICATION

INDEPENDENT PUBLIC ACCOUNTANT whose reports are contained in this filing*

Rolleri & Sheppard CPAS, LLP

(Name - if individual, state last, first, and middle name)

2150 Post Road 5th Fl

Fairfield

CT

06824

(Address)

(City)

(State)

(Zip Code)

(Date of Registration with PCAOB)(if applicable)

(PCAOB Registration Number, if applicable)

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 CFR 240.17a-5(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 OMB control number.

# OATH OR AFFIRMATION

I, Eric Andrew, swear (or affirm) that, to the best of my knowledge and belief, the financial report pertaining to the firm of Colchester Partners, LLC, as of 12/31, 2022, 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.

![img-0.jpeg](img-0.jpeg)

![img-1.jpeg](img-1.jpeg)

This filing** contains (check all applicable boxes):

(a) Statement of financial condition.
(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 S-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 240.15c3-1 or 17 CFR 240.18a-1, as applicable.
(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.
(1) Computation for Determination of PAB Requirements under Exhibit A to § 240.15c3-3.
(m) Information relating to possession or control requirements for customers under 17 CFR 240.15c3-3.
(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.
(0) 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 240.18a-2, as applicable, and the reserve requirements under 17 CFR 240.15c3-3 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.
(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.
(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 240.15c3-1e or 17 CFR 240.17a-12, as applicable.
(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).
(2) 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.

COLCHESTER PARTNERS, LLC

# STATEMENT OF FINANCIAL  
CONDITION

FOR THE YEAR ENDED DECEMBER 31, 2022

# COLCHESTER PARTNERS, LLC

# TABLE OF CONTENTS

DECEMBER 31, 2022

|  | Page |
| --- | --- |
| REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM | 1 |
| FINANCIAL STATEMENTS |  |
| Statement of Financial Condition | 2 |
| Notes to Financial Statements | 3 - 6 |

Rolleri & Sheppard CPAS, LLP

Rolleri & Sheppard CPAS, LLP

John M. Rolleri, CPA, CFE

Ryan C. Sheppard, CPA, CFF

# REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

To the Members

of Colchester Partners, LLC

# Opinion on the Financial Statement

We have audited the accompanying statement of financial condition of Colchester Partners, LLC 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 Colchester Partners, LLC 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 Colchester Partners, LLC's management. Our responsibility is to express an opinion on Colchester Partners, LLC'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 Colchester Partners, 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 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.

R & S CPAS, LLP

Rolleri & Sheppard CPAS, LLP

We have served as Colchester Partners, LLC's auditor since 2021.

Fairfield, Connecticut

February 14, 2023

1

2150 Post Road, 5th Floor • Fairfield, CT 06824

p:203.259.2727 • f:203.256.2727 www.rollerisheppardcpas.com

American Institute of Certified Public Accountants • Connecticut Society of Certified Public Accountants

Public Company Accounting Oversight Board • New York State Society of Certified Public Accountants • Massachusetts Society of CPAs

# COLCHESTER PARTNERS, LLC

# STATEMENT OF FINANCIAL CONDITION

DECEMBER 31, 2022

# ASSETS

# CURRENT ASSETS

| Cash | $1,506,788 |
| --- | --- |
| Accounts receivable, less allowance for doubtful accounts of $31,307 | 183,485 |
| TOTAL CURRENT ASSETS | 1,690,273 |

# EQUIPMENT & IMPROVEMENTS

| Computer equipment | 42,231 |
| --- | --- |
| Office equipment | 10,449 |
| Furniture and fixtures | 25,040 |
| Leasehold improvements | 68,597 |
| Operating lease right-of-use asset | 268,206 |
| TOTAL EQUIPMENT & IMPROVEMENTS, COST | 414,523 |

| Less accumulated depreciation | (73,030) |
| --- | --- |
| TOTAL EQUIPMENT & IMPROVEMENTS, NET | 341,493 |

# OTHER ASSETS

| Rent deposit | 59,856 |
| --- | --- |
| TOTAL OTHER ASSETS | 59,856 |

| TOTAL ASSETS | $2,091,622 |
| --- | --- |

# LIABILITIES AND MEMBERS' EQUITY

# CURRENT LIABILITIES

| Accounts payable and accrued expenses | $317,166 |
| --- | --- |
| Lease liability | 239,673 |
| Deferred revenue | 445,000 |
| TOTAL CURRENT LIABILITIES | 1,001,839 |

| LONG TERM PORTION OF LEASE LIABILITY | 62,203 |
| --- | --- |

| TOTAL LIABILITIES | 1,064,042 |
| --- | --- |

| MEMBERS' EQUITY | 1,027,580 |
| --- | --- |

| TOTAL LIABILITIES AND MEMBERS' EQUITY | $2,091,622 |
| --- | --- |

2

# **COLCHESTER PARTNERS, LLC**  
**NOTES TO FINANCIAL STATEMENTS**  
**DECEMBER 31, 2022**

# **NOTE 1** *NATURE OF BUSINESS*

Colchester Partners, LLC (the “Company”) is a broker-dealer registered with the Securities and Exchange Commission (“SEC”) and is a member of Financial Industry Regulatory Authority (“FINRA”). The Company is an investment banking and strategic advisory firm organized to serve the needs of investment management organizations and their professionals throughout the United States of America.

# **NOTE 2** *SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES*

# **Use of Estimates**

The preparation of financial statements and related disclosures in conformity with accounting principles generally accepted in the United States of America requires management 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 revenues and expenses during the period reported. Actual results could differ from those estimates.

# **Revenue Recognition**

The Company adheres to the guidance under ASC Topic 606, Revenue from Contracts with Customers (“ASC Topic 606”). The revenue recognition guidance requires that an entity recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expect to be entitled in exchange for those goods or services. The guidance requires an entity to follow a five-step model to (a) identify the contract(s) with a customer, (b) identify the performance obligations in the contract, (c) determine the transaction price, (d) allocate the transaction price to the performance obligations in the contract, and (e) recognize revenue when (or as) the entity satisfies a performance obligation.

The Company provides corporate advisory services. Revenue for advisory arrangements is generally recognized at a point in time that performance under the arrangement is completed (the closing date of the transaction) or the contract is cancelled. However, for certain contracts, revenue is recognized over time for advisory arrangements in which the performance obligations are simultaneously provided by the Company and consumed by the customer. In some circumstances, significant judgment is needed to determine the timing and measure of progress appropriate for revenue recognition under a specific contract. Retainers and other fees received from customers prior to recognizing revenue are reflected as contract liabilities on the statement of financial condition.

3

# **COLCHESTER PARTNERS, LLC**

# **NOTES TO FINANCIAL STATEMENTS (CONTINUED)**

**DECEMBER 31, 2022**

# **NOTE 2 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (CONTINUED)**

# **Revenue Recognition (Continued)**

There were no contract assets as of January 1, 2022 and December 21, 2022. There are $445,000 of contract liabilities as of December 31, 2022. There are accounts receivable of $71,983 and $183,485 as of January 1, 2022 and December 31, 2022 respectively.

# **Cash and Cash Equivalents**

The Company considers all liquid investment instruments with original maturities of ninety days or less to be cash equivalents. Cash equivalents are carried at cost, which approximates market value.

# **Concentrations of Credit Risk**

The Company maintains its cash in a commercial bank. The balances are insured by the Federal Deposit Insurance Corporation (“FDIC”) up to $250,000. At times during the year ended December 31, 2022 balances in deposit accounts exceeded FDIC insured limits, including at December 31, 2022 with a balance of $1,506,788. The Company monitors its exposure and has not experienced any losses in such accounts.

Concentration of credit risk related to trade accounts receivable is limited due to a client base of companies and individuals with high net worth. The Company performs credit evaluations of its clients’ financial condition and does not require collateral, since management does not anticipate nonperformance of payment.

# **Fair Value**

All current assets and current liabilities, because of their short-term nature, are stated at cost or face value, which approximates market value.

# **Equipment and Improvements**

Equipment and improvements are stated at cost. Depreciation and amortization are computed principally using the straight-line method over the estimated economic or useful lives of the applicable assets. Leasehold improvements are amortized over the lesser of the remaining life of the lease or the useful life of the improvements. The cost of maintenance and repairs are expensed as incurred.

Depreciation for the Company related to equipment and improvements was $43,980 for December 31, 2022.

4

# **COLCHESTER PARTNERS, LLC**

# **NOTES TO FINANCIAL STATEMENTS (CONTINUED)**

# **DECEMBER 31, 2022**

# **NOTE 3 ACCOUNTS RECEIVABLE AND ALLOWANCE FOR DOUBTFUL ACCOUNTS**

The Company's accounts receivable are client obligations due under normal trade terms carried at their face value, less provisions for bad debts. The Company evaluates the carrying amount of its accounts receivable on an ongoing basis and establishes a valuation allowance based on a number of factors, including specific client circumstances, historical rate of write-offs and the past due status of the accounts. At the end of each reporting period, the allowance is reviewed and analyzed for adequacy, and if relevant, is adjusted accordingly. The allowance is increased through a reduction of revenues and/or an increase in bad debt expense. At December 31, 2022, management recorded an allowance for doubtful accounts of $31,307.

# **NOTE 4 LEASES**

The Company leases office space from an unrelated party under an agreement that expires on March 31, 2024 and requires monthly rental payments of $19,952, with a $1 per square foot escalation per year, for the remainder of the lease term. The Company recorded a security deposit of $59,856 as of December 31, 2022.

Rent expense for the year ended December 31, 2022 was $219,306. The lease asset and liability were calculated using a discount rate of 2.75%.

| Year Ended December 31, | Amount |
| --- | --- |
| 2023 | $245,659 |
| 2024 | 62,350 |
| Total lease payments | 308,009 |
| Less: interest | (6,133) |
| Present value of lease liability | $301,876 |

# **NOTE 5 COMMITMENTS AND CONTINGENCIES**

The Company may from time to time become involved in various legal proceedings, litigation and threatened litigation arising in the ordinary course of business. As of the date of these financial statements, there are no legal proceedings or similar matters, which individually or in the aggregate have a material effect on net capital, the financial position, results of operations or cash flows of the company.

5

# **COLCHESTER PARTNERS, LLC**

# **NOTES TO FINANCIAL STATEMENTS (CONTINUED)**

# **FOR THE YEAR ENDED DECEMBER 31, 2022**

# **NOTE 6 SUBSEQUENT EVENTS**

Management has evaluated subsequent events through February 14, 2023, the date which the financial statements were available to be issued. No events occurred subsequent to the statement of financial condition date that would require adjustment to or disclosure in the financial statements.

6

### UNITED STATES SECURITIES AND EXCHANGE COMMISSION
**Washington, D.C. 20549**

## FORM X-17A-5

### ANNUAL AUDITED REPORT

### Filer Information

**Filer CIK:** 0001178449

**Filer CCC:** XXXXXXXX

**Is this a LIVE or TEST filing?:** LIVE

**Would you like a Return Copy?:** No

### Submission Information

**Report Period Begin Date:** 01-01-2022

**Report Period End Date:** 12-31-2022

**Type of Registrant:** Broker-dealer

**Any material weaknesses identified?:** No

### Registrant Identification

**Name of Broker-Dealer:** COLCHESTER PARTNERS LLC

**Business Address:** 53 STATE STREET, SUITE 1304, BOSTON, MA, 02109

**Contact Person:** Eric Andrew

**Contact Phone:** 617-896-0202

### Independent Public Accountant Identification

**Accountant Name:** Rolleri & Sheppard CPAS, LLP

**Accountant Address:** 2150 Post Road 5th Floor, Fairfield, CT, 06824

**Accountant Type:** Certified Public Accountant

### OATH OR AFFIRMATION

I, **Eric Andrew**, swear (or affirm) that, to the best of my knowledge and belief, the accompanying financial statements and supporting schedules pertaining to the firm of **COLCHESTER PARTNERS LLC**, as of **12-31-2022**, are true and correct.

**Signature:** Eric Andrew

**Title:** Managing Director / FINOP

**Notarized:** Yes