Document_And_Entity_Informatio
Document And Entity Information | 9 Months Ended | |
Sep. 30, 2014 | Nov. 10, 2014 | |
Document Information [Line Items] | ' | ' |
Entity Registrant Name | 'BKF CAPITAL GROUP INC | ' |
Entity Central Index Key | '0000009235 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Smaller Reporting Company | ' |
Trading Symbol | 'BKFG | ' |
Entity Common Stock, Shares Outstanding | ' | 7,471,593 |
Document Type | '10-Q | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 30-Sep-14 | ' |
Document Fiscal Period Focus | 'Q3 | ' |
Document Fiscal Year Focus | '2014 | ' |
CONSOLIDATED_STATEMENTS_OF_FIN
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Assets | ' | ' |
Cash and cash equivalents | $4,183 | $5,898 |
Investment in Qualstar | 478 | 902 |
Marketable securities | 2,123 | 50 |
Prepaid expenses and other assets | 30 | 35 |
Total assets | 6,814 | 6,885 |
Liabilities and Stockholders' Equity | ' | ' |
Accrued expenses | 23 | 33 |
Total liabilities | 23 | 33 |
Commitments and contingencies | ' | ' |
Stockholders' equity | ' | ' |
Common stock, $1 par value, authorized — 15,000,000 shares, 7,471,593 issued and outstanding as of September 30, 2014 and as of December 31, 2013 | 7,472 | 7,472 |
Additional paid-in capital | 68,270 | 68,270 |
Accumulated other comprehensive income/(loss) | 814 | 0 |
Accumulated deficit | -69,765 | -68,890 |
Total stockholders' equity | 6,791 | 6,852 |
Total liabilities and stockholders' equity | $6,814 | $6,885 |
CONSOLIDATED_STATEMENTS_OF_FIN1
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (Parenthetical) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
Common stock, par value (in dollars per share) | $1 | $1 |
Common stock, shares authorized | 15,000,000 | 15,000,000 |
Common stock, shares issued | 7,471,593 | 7,471,593 |
Common stock, shares outstanding | 7,471,593 | 7,471,593 |
CONSOLIDATED_STATEMENTS_OF_OPE
CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Non Operating Income | ' | ' | ' | ' |
Interest income | $3 | $3 | $5 | $10 |
Realized gains | 0 | 0 | 35 | 0 |
Other income | 0 | 7 | 0 | 20 |
Total revenues | 3 | 10 | 40 | 30 |
Expenses: | ' | ' | ' | ' |
Employee compensation and benefits | 33 | 48 | 83 | 146 |
Occupancy and equipment rental | 2 | 23 | 12 | 56 |
Other operating expenses | 41 | 143 | 108 | 454 |
Total expenses | 76 | 214 | 203 | 656 |
Other income (loss) | ' | ' | ' | ' |
Loss on equity investment | -156 | -629 | -711 | -1,471 |
Other income | ' | 395 | ' | 395 |
Total other income (loss) | -156 | -234 | -711 | -1,076 |
Net income/(loss) | -229 | -438 | -874 | -1,702 |
Other comprehensive income (loss) net of tax | ' | ' | ' | ' |
Unrealized gains (loss) on investments | 208 | 0 | 814 | 0 |
Comprehensive income (loss) | ($21) | ($438) | ($60) | ($1,702) |
Net income/(loss) per share: | ' | ' | ' | ' |
Basic and Diluted (in dollars per share) | ($0.03) | ($0.06) | ($0.11) | ($0.23) |
Weighted average common shares outstanding (in shares) | 7,471,593 | 7,463,441 | 7,471,593 | 7,452,271 |
CONSOLIDATED_STATEMENTS_OF_CAS
CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 |
Cash flows from operating activities | ' | ' |
Net loss | ($874) | ($1,702) |
Changes in operating assets and liabilities: | ' | ' |
Stock compensation expenses | 0 | 19 |
Realized gains | -35 | 0 |
Loss on equity investment | 711 | 1,471 |
(Increase)/Decrease in prepaid expenses and other assets | 5 | -1 |
(Decrease)/Increase in accrued expenses | -10 | -14 |
Net cash used in operating activities | -203 | -227 |
Cash flows from investing activities | ' | ' |
Purchase of investment securities | -1,512 | 0 |
Net cash used in investing activities | -1,512 | 0 |
Net decrease in cash and cash equivalents | -1,715 | -227 |
Cash and cash equivalents at the beginning of the period | 5,898 | 6,597 |
Cash and cash equivalents at the end of the period | 4,183 | 6,370 |
Supplemental disclosure of cash flow information | ' | ' |
Cash paid for interest | 0 | 0 |
Cash paid for income taxes | $0 | $0 |
Organization_and_Summary_of_Si
Organization and Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Organization, Consolidation and Presentation of Financial Statements Disclosure and Significant Accounting Policies [Text Block] | ' |
1. Organization and Summary of Significant Accounting Policies | |
Organization and Basis of Presentation | |
The Company operates through its wholly-owned subsidiaries, BKF Investment Group, Inc., formerly known as BKF Management Co., Inc. ("BIG") and BKF Asset Holdings, Inc. (“BKF Holdings”) all of which are collectively referred to herein as the "Company" or "BKF." The Company trades on the over the counter market under the symbol ("BKFG"). Currently, the Company plans to engage in the asset management business through its subsidiary BKF Advisors, Inc., which is a registered investment advisor in the States of Florida and California. BKF is also seeking to consummate an acquisition, merger or business combination with an operating entity to enhance BKF's revenues and increase shareholder value. | |
The consolidated financial statements of BKF include BIG and BIG's two wholly owned subsidiaries BKF Advisors, Inc. (“BKF Advisors”) and BKF Asset Management, Inc., ("BAM") and BAM's two wholly-owned subsidiaries, BKF GP, Inc. (“BKF GP”) and LEVCO Securities, Inc. ("LEVCO Securities"). On November 27, 2012 LEVCO Securities was dissolved. All intercompany accounts have been eliminated. | |
BAM was an investment advisor which was registered under the Investment Advisers Act of 1940, as amended; it withdrew its registration on December 19, 2006. BAM had no operations during 2014 and 2013. | |
Services | |
During the quarters ended September 30, 2014 and September 30, 2013, the Company did not provide any investment advisory or asset management services nor did the Company act as a broker dealer. | |
The Company, through BKF GP, continues to act as the managing general partner of several private investment partnerships, established prior to 2005, which are in the process of being liquidated and dissolved. | |
Use of Estimates | |
The preparation of the consolidated financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the reported amount of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. | |
Recent Accounting Developments | |
There are no new accounting standards that are expected to have a significant impact on the Company. | |
Cash and Cash Equivalents | |
Investments in money market funds are valued at net asset value. The Company maintains substantially all of its cash and cash equivalents in interest bearing instruments at two nationally recognized financial institutions, which at times may exceed federally insured limits. As a result the Company is exposed to credit risk related to the money market funds and the market rate inherent in the money market funds. | |
Other Comprehensive Income | |
The Company presents other comprehensive income in accordance with ASC Topic 220, Comprehensive Income. This section requires that an enterprise (a) classify items of other comprehensive income by their nature in a financial statement and (b) display the accumulated balance of other comprehensive income separately from retained earnings and additional paid in capital in the equity section of a statement of position. | |
Fair Values of Financial Instruments | |
The Company adopted FASB ASC 820-10-50, “Fair Value Measurements”. This guidance defines fair value, establishes a three-level valuation hierarchy for disclosures of fair value measurement and enhances disclosure requirements for fair value measures. The three levels are defined as follows: | |
Level 1 inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets. | |
Level 2 inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument. | |
Level 3 inputs to valuation methodology are unobservable and significant to the fair measurement. | |
The carrying amounts reported in the balance sheets for cash and cash equivalents, and current liabilities each qualify as financial instruments and are a reasonable estimate of fair value because of the short period of time between the origination of such instruments and their expected realization and their current market rate of interest. Marketable securities are valued using Level 1 inputs. | |
Investment
Investment | 9 Months Ended |
Sep. 30, 2014 | |
Investments, Debt and Equity Securities [Abstract] | ' |
Investments in Available for Sale Securities [Text Block] | ' |
2. Investment | |
a) Investment in Qualstar: | |
On July 3, 2013, Steven N. Bronson, BKF’s Chairman, CEO, and majority shareholder, was appointed Chairman, Chief Executive Officer and President of Qualstar Corporation (“Qualstar”). This resulted in the 18.3% of the Company’s ownership in Qualstar to be accounted for using the equity method, a change from available for sale, on the basis that BKF can assert significant influence over the operations of Qualstar. | |
The investment in Qualstar is accounted for using the equity method as prescribed by Accounting Standard Codification Section 323, under which the Company’s carrying amount of its investment in common stock of Qualstar is the initial cost adjusted for the Company’s share of Qualstar’s earnings and losses, and further adjusted for any distributions or dividends. At September 30, 2014 the Company held 2,815,120 common shares of Qualstar, representing approximately 22.97% of the outstanding shares. The investment in Qualstar was approximately $478,000 at September 30, 2014. The market value of the Company’s shares in Qualstar was approximately $3.4 million at September 30, 2014. | |
During the quarter ended September 30, 2014, the Company recorded a loss on its investment in Qualstar of approximately $156,000. These losses do not include the quarterly results of Qualstar as of September 30, 2014, as Qualstar’s financial statements are not typically available at the time we prepare our financial statements. Therefore, all balances related to the Company’s investment in Qualstar are recorded on a three month (quarterly) lag. This lag is consistent from period to period. The financial results for Qualstar’s quarter ended September 30, 2014 were not available prior to the preparation of our financial statements. | |
b) Marketable Securities | |
As of September 30, 2014, the Company held shares of Interlink Electronics. The fair market value of these shares was approximately $2,123,000 at September 30, 2014. For the three and nine months ended September 30, 2014, the unrealized gains on these shares reported in other comprehensive income, was approximately $208,000 and $814,000, respectively. During the nine months ended September 30, 2014, the Company sold 4,975 shares for net proceeds of approximately $44,000 resulting in realized gains of approximately $35,000. Steven Bronson, BKF’s Chairman, CEO and majority shareholder is also the Chief Executive Officer of Interlink Electronics. | |
Concentrations
Concentrations | 9 Months Ended |
Sep. 30, 2014 | |
Risks and Uncertainties [Abstract] | ' |
Concentration Risk Disclosure [Text Block] | ' |
3. Concentrations | |
The Company had amounts in excess of $250,000 in a single bank during the year. Amounts over $250,000 are not insured by the Federal Deposit Insurance Corporation. These balances fluctuate during the year and can exceed this $250,000 limit. Management regularly monitors the financial institution, together with its cash balances, and tries to keep this potential risk to a minimum. | |
Commitments_and_Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2014 | |
Commitments and Contingencies Disclosure [Abstract] | ' |
Commitments and Contingencies Disclosure [Text Block] | ' |
4. Commitments and Contingencies | |
The Company could be subject to a variety of claims, suits and proceedings that arise from time to time, including actions with respect to contracts, regulatory compliance and public disclosure. These actions may be commenced by a number of different constituents, including vendors, former employees, regulatory agencies, and stockholders. The following is a discussion of the more significant matters involving the Company. | |
The Company is a defendant in a lawsuit for claims for alleged services in the amount of approximately $171,000. The complaint was filed in the New York State Supreme Court and alleges a claim for breach of contract against BAM for alleged goods and services delivered to BAM. The Company is vigorously defending this action. The Company has no specific reserve for this action. | |
Control
Control | 9 Months Ended |
Sep. 30, 2014 | |
Control [Abstract] | ' |
Schedule Of Control [Text Block] | ' |
5. Control | |
As of September 30, 2014 Mr. Bronson beneficially owns 4,410,649 shares of the Company's common stock. Mr. Bronson's beneficial ownership represents approximately 59% of the Company's issued and outstanding shares of common stock. Accordingly, Mr. Bronson has effective control of the Company. In the election of directors, stockholders are not entitled to cumulate their votes for nominees. Thus, as a practical matter, Mr. Bronson may be able to elect all of the Company's directors and otherwise direct the affairs of the Company. | |
Organization_and_Summary_of_Si1
Organization and Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Organization and Basis of Presentation, Policy [Policy Text Block] | ' |
Organization and Basis of Presentation | |
The Company operates through its wholly-owned subsidiaries, BKF Investment Group, Inc., formerly known as BKF Management Co., Inc. ("BIG") and BKF Asset Holdings, Inc. (“BKF Holdings”) all of which are collectively referred to herein as the "Company" or "BKF." The Company trades on the over the counter market under the symbol ("BKFG"). Currently, the Company plans to engage in the asset management business through its subsidiary BKF Advisors, Inc., which is a registered investment advisor in the States of Florida and California. BKF is also seeking to consummate an acquisition, merger or business combination with an operating entity to enhance BKF's revenues and increase shareholder value. | |
The consolidated financial statements of BKF include BIG and BIG's two wholly owned subsidiaries BKF Advisors, Inc. (“BKF Advisors”) and BKF Asset Management, Inc., ("BAM") and BAM's two wholly-owned subsidiaries, BKF GP, Inc. (“BKF GP”) and LEVCO Securities, Inc. ("LEVCO Securities"). On November 27, 2012 LEVCO Securities was dissolved. All intercompany accounts have been eliminated. | |
BAM was an investment advisor which was registered under the Investment Advisers Act of 1940, as amended; it withdrew its registration on December 19, 2006. BAM had no operations during 2014 and 2013. | |
Asset Management Services [Policy Text Block] | ' |
Services | |
During the quarters ended September 30, 2014 and September 30, 2013, the Company did not provide any investment advisory or asset management services nor did the Company act as a broker dealer. | |
The Company, through BKF GP, continues to act as the managing general partner of several private investment partnerships, established prior to 2005, which are in the process of being liquidated and dissolved. | |
Use of Estimates, Policy [Policy Text Block] | ' |
Use of Estimates | |
The preparation of the consolidated financial statements in conformity with accounting principles generally accepted in the United States requires management to make estimates and assumptions that affect the reported amount of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates. | |
New Accounting Pronouncements, Policy [Policy Text Block] | ' |
Recent Accounting Developments | |
There are no new accounting standards that are expected to have a significant impact on the Company. | |
Cash and Cash Equivalents, Policy [Policy Text Block] | ' |
Cash and Cash Equivalents | |
Investments in money market funds are valued at net asset value. The Company maintains substantially all of its cash and cash equivalents in interest bearing instruments at two nationally recognized financial institutions, which at times may exceed federally insured limits. As a result the Company is exposed to credit risk related to the money market funds and the market rate inherent in the money market funds. | |
Comprehensive Income, Policy [Policy Text Block] | ' |
Other Comprehensive Income | |
The Company presents other comprehensive income in accordance with ASC Topic 220, Comprehensive Income. This section requires that an enterprise (a) classify items of other comprehensive income by their nature in a financial statement and (b) display the accumulated balance of other comprehensive income separately from retained earnings and additional paid in capital in the equity section of a statement of position. | |
Fair Value of Financial Instruments, Policy [Policy Text Block] | ' |
Fair Values of Financial Instruments | |
The Company adopted FASB ASC 820-10-50, “Fair Value Measurements”. This guidance defines fair value, establishes a three-level valuation hierarchy for disclosures of fair value measurement and enhances disclosure requirements for fair value measures. The three levels are defined as follows: | |
Level 1 inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets. | |
Level 2 inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument. | |
Level 3 inputs to valuation methodology are unobservable and significant to the fair measurement. | |
The carrying amounts reported in the balance sheets for cash and cash equivalents, and current liabilities each qualify as financial instruments and are a reasonable estimate of fair value because of the short period of time between the origination of such instruments and their expected realization and their current market rate of interest. Marketable securities are valued using Level 1 inputs. | |
Investment_Details_Textual
Investment (Details Textual) (USD $) | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Jul. 03, 2013 | Sep. 30, 2014 | Sep. 30, 2014 | |
Qualstar Corporation [Member] | Qualstar Corporation [Member] | Interlink Electronics Inc [Member] | Interlink Electronics Inc [Member] | |||||
Chief Executive Officer [Member] | Chief Executive Officer [Member] | |||||||
Equity Method Investment, Ownership Percentage | ' | ' | ' | ' | ' | 18.30% | ' | ' |
Investment Owned, Balance, Shares (in shares) | ' | ' | ' | ' | 2,815,120 | ' | ' | ' |
Share-based Compensation Arrangement by Share-based Payment Award, Percentage of Outstanding Stock Maximum | ' | ' | ' | ' | 22.97% | ' | ' | ' |
Investment Owned, at Fair Value (in dollars) | ' | ' | ' | ' | $478,000 | ' | ' | ' |
Investment Owned, Face Amount (in dollars) | ' | ' | ' | ' | 3,400,000 | ' | ' | ' |
Income (Loss) from Equity Method Investments | -156,000 | -629,000 | -711,000 | -1,471,000 | 156,000 | ' | ' | ' |
Common Stock Held For Investment Value | ' | ' | ' | ' | ' | ' | 2,123,000 | 2,123,000 |
Other Comprehensive Income (Loss), Unrealized Holding Gain (Loss) on Securities Arising During Period, Net of Tax | 208,000 | 0 | 814,000 | 0 | ' | ' | 208,000 | 814,000 |
Development Stage Entities, Stock Issued, Shares, Issued for Cash | ' | ' | ' | ' | ' | ' | ' | 4,975 |
Proceeds from Issuance or Sale of Equity | ' | ' | ' | ' | ' | ' | ' | 44,000 |
Available-for-sale Securities, Gross Realized Gain (Loss) | ' | ' | ' | ' | ' | ' | ' | $35,000 |
Concentrations_Details_Textual
Concentrations (Details Textual) | 9 Months Ended |
Sep. 30, 2014 | |
Cash, FDIC in Single Bank Account, Description | 'The Company had amounts in excess of $250,000 in a single bank during the year. |
Cash, FDIC Not Insured, Anticipated Excess Amount, Description | 'Amounts over $250,000 are not insured by the Federal Deposit Insurance Corporation. |
Cash, FDIC Balances Fluctuate, Description | 'These balances fluctuate during the year and can exceed this $250,000 limit. |
Commitments_and_Contingencies_
Commitments and Contingencies (Details Textual) (USD $) | 9 Months Ended |
Sep. 30, 2014 | |
Loss Contingency, Damages Sought, Value | $171,000 |
Control_Details_Textual
Control (Details Textual) | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2014 |
Mr.Bronson [Member] | |||
Common Stock, Shares, Outstanding | 7,471,593 | 7,471,593 | 4,410,649 |
Common Stock Beneficial Ownership Percentage | ' | ' | 59.00% |