Net Capital Requirements

3 Months Ended

Dec. 31, 2015

Banking and Thrift [Abstract]

Net Capital Requirements

NET CAPITAL REQUIREMENTS

National Securities is subject to the SEC Uniform Net Capital Rule (Rule 15c3-1) ("the Rule"), which, among other things, requires the maintenance of minimum net capital. At December 31, 2015, National Securities had net capital of $5,808,027 which was $5,558,027 in excess of its required net capital of $250,000. National Securities is exempt from the provisions of the SEC's Rule 15c3-3 since it is an introducing broker-dealer that clears all transactions on a fully disclosed basis and promptly transmits all customer funds and securities to clearing brokers.

vFinance Investments is also subject to the Rule, which, among other things, 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 31, 2015, vFinance Investments had net capital of $2,493,789 which was $1,493,789 in excess of its required net capital of $1,000,000. vFinance Investments percentage of aggregate indebtedness to net capital was 197.5%. vFinance Investments is exempt from the provisions of the SEC's Rule 15c3-3 since it is an introducing broker-dealer that clears all transactions on a fully disclosed basis and promptly transmits all customer funds and securities to clearing brokers.

Advances, dividend payments and other equity withdrawals from its Broker-Dealer Subsidiaries are restricted by the regulations of the SEC, and other regulatory agencies. These regulatory restrictions may limit the amounts that a subsidiary may dividend or advance to the Company.