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Portfolio Companies Business Development Companies

Eversheds Sutherland (US) LLP

New SBA tax blocker exception for BDCs with dropdown SBICs

On January 19, 2024, the US Small Business Administration (SBA) created a new exception applicable to business development companies (BDCs) with wholly owned small business investment companies (SBICs) that will allow use of...more

Dechert LLP

Strategies for BDCs to Manage Their Loan Portfolios during the COVID-19 Pandemic

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Given the volatile economic environment caused by the COVID-19 pandemic, business development companies (“BDCs”) need to proactively manage their loan portfolio companies to mitigate risk and avoid surprises that may arise in...more

Skadden, Arps, Slate, Meagher & Flom LLP

SEC Relief Permits BDCs To Incur Additional Leverage and Co-Invest With Affiliated Private Funds

The U.S. Securities and Exchange Commission (SEC) has issued an order intended to facilitate the ability of business development companies (BDCs) to borrow under their existing credit agreements and issue new debt and...more

Dechert LLP

SEC Takes Targeted Action to Assist BDCs in Light of COVID-19 Coronavirus Pandemic

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The Securities and Exchange Commission issued an order on April 8, 2020, providing relief to business development companies whose operations may be affected by the COVID-19 coronavirus outbreak (Order). In the Order, the SEC...more

Troutman Pepper

Description of the Small Business Investment Company Debenture Program - September 2019

Troutman Pepper on

A Small Business Investment Company (SBIC) is a privately owned and operated company that makes long-term investments in American small businesses and is licensed by the United States Small Business Administration (SBA)....more

Dechert LLP

SEC Enforcement Staff Takes Aim at the BDC Space in Two Recent Actions

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In December 2018, the SEC announced two enforcement actions involving business development companies (BDCs) – one against Fifth Street Management, LLC, the former external registered investment adviser to two BDCs, and the...more

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