EX-31.1

Exhibit 31.1

CERTIFICATION PURSUANT TO RULE 13a-14(a) OR RULE 15d-14(a)
OF THE SECURITIES EXCHANGE ACT OF 1934
AS ADOPTED PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, Dean L. Cash, certify that:

1. I have reviewed this quarterly report on Form 10-Q of ATEL Capital Equipment Fund IX, LLC;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: August 13, 2014

/s/ Dean L. Cash

Dean L. Cash
President and Chief Executive Officer of
ATEL Financial Services, LLC (Managing Member)

EX-31.2

Exhibit 31.2

CERTIFICATION PURSUANT TO RULE 13a-14(a) OR RULE 15d-14(a)
OF THE SECURITIES EXCHANGE ACT OF 1934
AS ADOPTED PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, Paritosh K. Choksi, certify that:

1. I have reviewed this quarterly report on Form 10-Q of ATEL Capital Equipment Fund IX, LLC;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: August 13, 2014

/s/ Paritosh K. Choksi

Paritosh K. Choksi
Executive Vice President and Chief Financial
Officer and Chief Operating Officer of
ATEL Financial Services, LLC (Managing Member)

EX-32.1

Exhibit 32.1

CERTIFICATION PURSUANT TO 18 U.S.C. §1350,
AS ADOPTED PURSUANT TO
§906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Quarterly Report of ATEL Capital Equipment Fund IX, LLC (the “Company”) on Form 10-Q for the period ended June 30, 2014 as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, Dean L. Cash, President and Chief Executive Officer of ATEL Financial Services, LLC, Managing Member of the Company, hereby certify, pursuant to 18 U.S.C. §1350, as adopted pursuant to §906 of the Sarbanes-Oxley Act of 2002, that:

1. The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2. The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Date: August 13, 2014

/s/ Dean L. Cash

Dean L. Cash
President and Chief Executive Officer of
ATEL Financial Services, LLC (Managing Member)

A signed original of this written statement required by Section 906 has been provided to the Company and will be retained by the Company and furnished to the Securities and Exchange Commission or its staff upon request.

EX-32.2

Exhibit 32.2

CERTIFICATION PURSUANT TO 18 U.S.C. §1350,
AS ADOPTED PURSUANT TO
§906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Quarterly Report of ATEL Capital Equipment Fund IX, LLC (the “Company”) on Form 10-Q for the period ended June 30, 2014 as filed with the Securities and Exchange Commission on the date hereof (the “Report”), I, Paritosh K. Choksi, Executive Vice President and Chief Financial Officer and Chief Operating Officer of ATEL Financial Services, LLC, Managing Member of the Company, hereby certify, pursuant to 18 U.S.C. §1350, as adopted pursuant to §906 of the Sarbanes-Oxley Act of 2002, that:

1. The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2. The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Date: August 13, 2014

/s/ Paritosh K. Choksi

Paritosh K. Choksi
Executive Vice President and Chief Financial
Officer and Chief Operating Officer of
ATEL Financial Services, LLC (Managing Member)

A signed original of this written statement required by Section 906 has been provided to the Company and will be retained by the Company and furnished to the Securities and Exchange Commission or its staff upon request.

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Investment in Equipment and Leases, Net (Investment in Leases) (Details) (USD $) In Thousands, unless otherwise specified	6 Months Ended
	Jun. 30, 2014	Dec. 31, 2013
Leases Disclosure [Line Items]
Balance December 31, 2013	$ 19,890
Reclassifications, Additions/Dispositions and Impairment Losses	(1,061)
Depreciation/ Amortization Expense or Amortization of Leases	(1,696)
Balance June 30, 2014	17,133
Initial direct costs, accumulated amortization	88	83
Operating Leases [Member]
Leases Disclosure [Line Items]
Balance December 31, 2013	8,406
Reclassifications, Additions/Dispositions and Impairment Losses	(727)
Depreciation/ Amortization Expense or Amortization of Leases	(749)
Balance June 30, 2014	6,930
Direct Financing Leases [Member]
Leases Disclosure [Line Items]
Balance December 31, 2013	10,810
Reclassifications, Additions/Dispositions and Impairment Losses	3
Depreciation/ Amortization Expense or Amortization of Leases	(942)
Balance June 30, 2014	9,871
Assets Held-for-sale or Lease[Member]
Leases Disclosure [Line Items]
Balance December 31, 2013	656
Reclassifications, Additions/Dispositions and Impairment Losses	(337)
Balance June 30, 2014	319
Initial Direct Cost [Member]
Leases Disclosure [Line Items]
Balance December 31, 2013	18
Depreciation/ Amortization Expense or Amortization of Leases	(5)
Balance June 30, 2014	$ 13

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Members' Capital (Distributions to Other Members) (Details) (USD $) In Thousands, except Share data, unless otherwise specified	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013	Dec. 31, 2013
Members' Capital [Abstract]
Distributions declared	$ 1,206	$ 1,808	$ 3,014	$ 3,616	$ 7,233
Weighted average number of Units outstanding	12,055,016	12,055,016	12,055,016	12,055,016
Weighted average distributions per Unit	$ 0.10	$ 0.15	$ 0.25	$ 0.30	$ 0.60

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Commitments and Contingencies (Narrative) (Details) (USD $) In Thousands, unless otherwise specified	6 Months Ended
	Jun. 30, 2014 item
Gain Contingencies [Line Items]
Gain contingency, number of vessels	3
Gain contingency, percentage of gross proceeds	10.00%
Gain contingency	$ 2,800
ATEL Capital Equipment Fund IX, LLC [Member]
Gain Contingencies [Line Items]
Gain contingency	$ 350

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Allowance for Credit Losses (Narrative) (Details) (USD $)		6 Months Ended
	Dec. 31, 2013	Jun. 30, 2014 Minimum [Member]	Jun. 30, 2014 Maximum [Member]
Notes receivable, period for non-accrual status		90 days
Accounts receivable, period for non-accrual status		90 days
Accounts receivable, period of review for impairment			90 days
Notes receivable, allowance for credit losses

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Non-Recourse Debt (Tables)

6 Months Ended

Jun. 30, 2014

Non-Recourse Debt [Abstract]

Future Minimum Payments of Non-Recourse Debt

Future minimum payments of non-recourse debt are as follows (in thousands):

		Principal		Interest		Total
Six months ending December 31, 2014	$	2,321	$	326	$	2,647
Year ending December 31, 2015		4,616		420		5,036
2016		3,743		133		3,876
2017		178		1		179
	$	10,858	$	880	$	11,738

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Fair Value Measurements (Reconciliation of Level 3 Assets) (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended	6 Months Ended
	Jun. 30, 2014	Jun. 30, 2014
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Unrealized loss on warrants, net recorded during the period	$ (75)	$ (92)
Level 3 Estimated Fair Value [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Balance at December 31, 2013		177
Unrealized loss on warrants, net recorded during the period		(92)
Balance at June 30, 2014	$ 85	$ 85

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Investment in Equipment and Leases, Net (Future Minimum Lease Payments Receivable) (Details) (USD $) In Thousands, unless otherwise specified	Jun. 30, 2014
Operating Leases
Six months ending December 31, 2014	$ 1,743
Year ending December 31, 2015	2,103
2016	391
2017	345
2018	182
2019	182
Thereafter	46
Operating leases, future minimum payments receivable	4,992
Direct Financing Leases
Six months ending December 31, 2014	2,226
Year ending December 31, 2015	4,453
2016	3,686
2017	1
2018
2019
Thereafter
Capital leases, future minimum payments receivable	10,366
Total
Six months ending December 31, 2014	3,969
Year ending December 31, 2015	6,556
2016	4,077
2017	346
2018	182
2019	182
Thereafter	46
Operating and capital leases, future minimum payments receivable	$ 15,358

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Allowance for Credit Losses (Net Investment in Financing Receivables by Age) (Details) (USD $) In Thousands, unless otherwise specified	Jun. 30, 2014	Dec. 31, 2013
Financing Receivable Recorded Investment Past Due [Line Items]
31-60 Days Past Due
61-90 Days Past Due
Greater Than 90 Days
Total Past Due
Current	10,298	11,336
Total Financing Receivable	10,298	11,336
Recorded Investment > 90 Days and Accruing
Notes Receivable [Member]
Financing Receivable Recorded Investment Past Due [Line Items]
31-60 Days Past Due
61-90 Days Past Due
Greater Than 90 Days
Total Past Due
Current	427	526
Total Financing Receivable	427	526
Recorded Investment > 90 Days and Accruing
Finance Leases [Member]
Financing Receivable Recorded Investment Past Due [Line Items]
31-60 Days Past Due
61-90 Days Past Due
Greater Than 90 Days
Total Past Due
Current	9,871	10,810
Total Financing Receivable	9,871	10,810
Recorded Investment > 90 Days and Accruing

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Fair Value Measurements (Summary of Valuation Techniques and Significant Unobservable Inputs Used) (Details) (USD $)	6 Months Ended	12 Months Ended
	Jun. 30, 2014	Dec. 31, 2013
Fair Value, Measurements, Nonrecurring [Member] | Off-Lease Equipment [Member] | Market Approach Valuation Technique [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Fair value inputs, third party agents' pricing quotes per equipment		$ 500
Fair value inputs, third party agents' pricing quotes, total		$ 2,500
Minimum [Member] | Recurring [Member] | Warrant [Member] | Black-Scholes Model [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Stock price	$ 1.12	$ 1.12
Exercise price	$ 0.16	$ 0.16
Time to maturity (in years)	3 months 29 days	7 months 13 days
Risk-free interest rate	0.04%	0.11%
Annualized volatility	16.51%	17.80%
Maximum [Member] | Recurring [Member] | Warrant [Member] | Black-Scholes Model [Member]
Fair Value Measurements, Recurring and Nonrecurring, Valuation Techniques [Line Items]
Stock price	$ 50.94	$ 50.94
Exercise price	$ 50.94	$ 50.94
Time to maturity (in years)	5 years 7 months 28 days	7 years
Risk-free interest rate	1.79%	2.28%
Annualized volatility	100.00%	100.00%

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Members' Capital (Narrative) (Details)	6 Months Ended	12 Months Ended
	Jun. 30, 2014	Dec. 31, 2013
Other Members Capital Account [Line Items]
Other Members capital account, units issued	12,055,016	12,055,016
Other Members capital account, units outstanding	12,055,016	12,055,016
Other Members capital account, units authorized	15,000,000	15,000,000
Potential repurchase price of Units as percentage of holder's capital account	100.00%
Other Members [Member]
Other Members Capital Account [Line Items]
Allocation of net income or net losses	92.50%
Managing Member [Member]
Other Members Capital Account [Line Items]
Managing members account, units issued	50	50
Allocation of net income or net losses	7.50%

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Summary of Significant Accounting Policies

6 Months Ended

Jun. 30, 2014

Summary of Significant Accounting Policies [Abstract]

Summary of Significant Accounting Policies

2.  Summary of significant accounting policies:

Basis of presentation:

The accompanying unaudited financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) for interim financial information and with the instructions to Form 10-Q as mandated by the Securities and Exchange Commission. The unaudited interim financial statements reflect all adjustments which are, in the opinion of the Managing Member, necessary for a fair statement of financial position and results of operations for the interim periods presented. All such adjustments are of a normal recurring nature. Operating results for the three and six months ended June 30, 2014 are not necessarily indicative of the results to be expected for the full year. 

Certain prior period amounts have been reclassified to conform to the current period presentation. These reclassifications had no significant impact on the reported financial position or results of operations.

Footnote and tabular amounts are presented in thousands, except as to Units and per Unit data.

In preparing the accompanying unaudited financial statements, the Managing Member has reviewed events that have occurred after June 30, 2014, up until the issuance of the financial statements. No events were noted which would require disclosure in the footnotes to the financial statements.

Use of estimates:

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Such estimates primarily relate to the determination of residual values at the end of the lease term and expected future cash flows used for impairment analysis purposes and for determination of the allowance for doubtful accounts and reserve for credit losses on notes receivable.

Segment reporting:

The Company is not organized by multiple operating segments for the purpose of making operating decisions or assessing performance. Accordingly, the Company operates in one reportable operating segment in the United States.

The primary geographic regions in which the Company seeks leasing opportunities are North America and Europe. The table below summarizes geographic information relating to the sources, by nation, of the Company’s total revenues for the six months ended June 30, 2014 and 2013 and long-lived tangible assets as of June 30, 2014 and December 31, 2013 (dollars in thousands):

		SixMonths Ended June 30,
		2014	% of Total		2013	% of Total
Revenue
United States	$	4,964	99%	$	5,287	96%
Canada		-	0%		127	2%
United Kingdom		53	1%		83	2%
Total International		53	1%		210	4%
Total	$	5,017	100%	$	5,497	100%
		As of June 30,			As of December 31,
		2014	% of Total		2013	% of Total
Long-lived assets
United States	$	17,046	99%	$	19,803	100%
United Kingdom		87	1%		87	0%
Total International		87	1%		87	0%
Total	$	17,133	100%	$	19,890	100%

Investment in securities:

Purchased securities

Purchased securities are generally not registered for public sale and are carried at cost. Such securities are adjusted to fair value if the fair value is less than the carrying value and such impairment is deemed by the Managing Member to be other than temporary. Factors considered by the Managing Member in determining fair value include, but are not limited to, available financial information, the issuer’s ability to meet its current obligations and indications of the issuer’s subsequent ability to raise capital. There were neither impaired securities at June 30, 2014 and December 31, 2013 nor investment securities sold or disposed of during the three and six months ended June 30, 2014 and 2013.

Warrants

Warrants owned by the Company are not registered for public sale, but are considered derivatives and are carried at an estimated fair value on the balance sheet at the end of the period, as determined by the Managing Member. During the three and six months ended June 30, 2014, the Company recorded unrealized losses of $75 thousand and $92 thousand, respectively, on fair valuation of its warrants. Such unrealized loss reduced the estimated fair value of the Company’s portfolio of warrants to $85 thousand at June 30, 2014 from $177 thousand at December 31, 2013. There were no unrealized gains or losses recorded during the first six months of 2013. A gain of $44 thousand was recognized on the net exercise of certain warrants during the second quarter of 2014. Such amount also represents total gain for the first six months of 2014. By comparison, there was no net exercise of warrants during the second quarter of 2013; and, total gain recognized on the net exercise of warrants was nominal during the first six months of 2013.

Other expense, net:

Other expense, net consisted solely of net losses on foreign exchange transactions.

Per Unit data:

Net income and distributions per Unit are based upon the weighted average number of Other Members’ Units outstanding during the period.

Recent accounting pronouncements:

Recent accounting standards updates as issued by the Financial Accounting Standards Board (FASB) were evaluated and determined to be not applicable to the Company.

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Related Party Transactions (Affiliates Earned Commissions and Billed for Reimbursements Pursuant to Operating Agreement (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Related Party Transactions [Abstract]
Costs reimbursed to Managing Member and/or affiliates	$ 141	$ 170	$ 281	$ 353
Asset management fees to Managing Member and/or affiliates	80	94	166	188
Total expenses from transactions with related party	$ 221	$ 264	$ 447	$ 541

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Summary of Significant Accounting Policies (Narrative) (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014 segment	Dec. 31, 2013
Summary of Significant Accounting Policies [Abstract]
Number of operating segments			1
Fair value of warrants	$ 85		$ 85	$ 177
Unrealized loss on fair valuation of warrants	(75)		(92)
Gain (loss) on exercise of warrants	$ 44	$ 0	$ 44

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Organization and Limited Liability Company Matters (Narrative) (Details) (USD $)	0 Months Ended	137 Months Ended	165 Months Ended
	Jan. 16, 2001	Jun. 30, 2014	Jun. 30, 2014	Dec. 31, 2013	Jan. 15, 2003	Apr. 03, 2001	Dec. 31, 2000	Apr. 03, 2001 Minimum [Member]	Feb. 21, 2001 Minimum [Member]	Dec. 31, 2000 Atel Financial Services LLC [Member]	Dec. 31, 2000 Member's Equity Contributions [Member] Atel Financial Services LLC [Member]
Organization, Consolidation and Presentation of Financial Statements Disclosure [Line Items]
Limited Liability Company, business cessation date			Dec. 31, 2020
Contributions of capital						$ 7,500,000	$ 600				$ 500
Capital investment										100
Public offering of Limited Liability Company Units	15,000,000
Public offering of Limited Liability Company Units, price per unit	$ 10
Sale of Limited Liability Company Units, number of units					12,065,266	753,050			120,000
Proceeds from sale of Limited Liability Company Units					120,700,000				1,200,000
Repurchase of units, number of units		10,250
Amount of aggregate subscriptions for Pennsylvania subscriptions to be released to the Fund								$ 7,500,000
Units issued		12,055,016	12,055,016	12,055,016
Units outstanding		12,055,016	12,055,016	12,055,016
Reinvestment period		6 years

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Non-Recourse Debt (Narrative) (Details) (USD $) In Millions, unless otherwise specified	6 Months Ended
	Jun. 30, 2014
Gross operating lease rentals and future payments on direct financing leases	$ 11.4
Carrying value of pledged assets	$ 11.8
Minimum [Member]
Fixed Interest rate on note	6.16%
Note maturity year	2015
Maximum [Member]
Fixed Interest rate on note	6.66%
Note maturity year	2017

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Summary of Significant Accounting Policies (Summary of Geographic Information Relating to Sources, by Nation, of Partnership's Total Revenue and Long-Lived Assets) (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013	Dec. 31, 2013
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenues	$ 1,963	$ 2,925	$ 5,017	$ 5,497
Percentage of total revenue			100.00%	100.00%
Long-lived assets	17,133		17,133		19,890
Percentage of long lived assets	100.00%		100.00%		100.00%
United States [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenues			4,964	5,287
Percentage of total revenue			99.00%	96.00%
Long-lived assets	17,046		17,046		19,803
Percentage of long lived assets	99.00%		99.00%		100.00%
United Kingdom [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenues			53	83
Percentage of total revenue			1.00%	2.00%
Long-lived assets	87		87		87
Percentage of long lived assets	1.00%		1.00%		0.00%
Canada [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenues				127
Percentage of total revenue			0.00%	2.00%
Total International [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenues			53	210
Percentage of total revenue			1.00%	4.00%
Long-lived assets	$ 87		$ 87		$ 87
Percentage of long lived assets	1.00%		1.00%		0.00%

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Notes Receivable, Net (Narrative) (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended	6 Months Ended
	Mar. 31, 2013	Jun. 30, 2014	Dec. 31, 2013	Jun. 30, 2012
Notes Receivable, Net [Abstract]
Notes receivable, net		$ 427	$ 526
Notes receivable, interest rate		8.50%
Notes maturity period		2016
Notes receivable deemed impaired or in non-accrual status		0	0
Fair value adjustments which reduced the cost basis of impaired loans				54
Gain on early settlement of notes receivable	$ 54

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Organization and Limited Liability Company Matters

6 Months Ended

Jun. 30, 2014

Organization and Limited Liability Company Matters [Abstract]

Organization and Limited Liability Company Matters

1.Organization and Limited Liability Company matters:

ATEL Capital Equipment Fund IX, LLC (the “Company” or the “Fund”) was formed under the laws of the State of California on September 27, 2000 for the purpose of engaging in the sale of limited liability company investment units and acquiring equipment to engage in equipment leasing, lending and sales activities, primarily in the United States. The Managing Member or Manager of the Company is ATEL Financial Services, LLC (“AFS”), a California limited liability company. The Company may continue until December 31, 2020. Contributions in the amount of $600 were received as of December 31, 2000, $100 of which represented AFS’s continuing interest, and $500 of which represented the initial Member’s capital investment.

The Company conducted a public offering of 15,000,000 Limited Liability Company Units (“Units”), at a price of $10 per Unit. On February 21, 2001, subscriptions for the minimum number of Units (120,000, representing $1.2 million) had been received (excluding subscriptions from Pennsylvania investors) and AFS requested that the subscriptions be released to the Company. On that date, the Company commenced operations in its primary business (acquiring equipment to engage in equipment leasing, lending and sales activities). As of April 3, 2001, the Company had received subscriptions for 753,050 Units ($7.5 million), thus exceeding the $7.5 million minimum requirement for Pennsylvania, and AFS requested that the remaining funds in escrow (from Pennsylvania investors) be released to the Company.

As of January 15, 2003, the offering was terminated. As of that date, the Company had received subscriptions for12,065,266 Units ($120.7 million). Subsequent to January 15, 2003, Units totaling 10,250 were rescinded or repurchased and funds returned to investors (net of distributions paid and allocated syndication costs, as applicable). As of June 30, 2014,  12,055,016 Units remain issued and outstanding.

The Company’s principal objectives are to invest in a diversified portfolio of equipment that (i) preserves, protects and returns the Company’s invested capital; (ii) generates regular distributions to the members of cash from operations and cash from sales or refinancing, with any balance remaining after certain minimum distributions to be used to purchase additional equipment during the reinvestment period (“Reinvestment Period”) (defined as six full years following the year the offering was terminated), which ended on December 31, 2009 and (iii) provides additional distributions following the Reinvestment Period and until all equipment has been sold. The Company is governed by the Limited Liability Company Operating Agreement (“Operating Agreement”), as amended. On January 1, 2010, the Company commenced liquidation phase activities pursuant to the guidelines of the Operating Agreement.

Pursuant to the terms of the Operating Agreement, AFS receives compensation and reimbursements for services rendered on behalf of the Company (See Note 6). The Company is required to maintain reasonable cash reserves for working capital, the repurchase of Units and contingencies. The repurchase of Units is solely at the discretion of AFS.

These unaudited interim financial statements should be read in conjunction with the financial statements and notes thereto contained in the report on Form 10-K for the year ended December 31, 2013, filed with the Securities and Exchange Commission.

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Notes Receivable, Net (Minimum Future Payments Receivable) (Details) (USD $) In Thousands, unless otherwise specified	Jun. 30, 2014	Dec. 31, 2013
Notes Receivable, Net [Abstract]
Six months ending December 31, 2014	$ 110
Year ending December 31, 2015	166
2016	188
Notes receivable, gross	464
Less: portion representing unearned interest income	(37)	(57)
Notes receivable, net	$ 427	$ 526

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Investment in Equipment and Leases, Net (Property on Operating Leases) (Details) (USD $) In Thousands, unless otherwise specified	6 Months Ended
	Jun. 30, 2014
Property Subject to or Available for Operating Lease [Line Items]
Balance December 31, 2013	$ 8,406
Additions	(749)
Reclassifications or Dispositions	(727)
Balance June 30, 2014	6,930
Transportation, Rail [Member]
Property Subject to or Available for Operating Lease [Line Items]
Balance December 31, 2013	11,635
Additions
Reclassifications or Dispositions	549
Balance June 30, 2014	12,184
Marine Vessels [Member]
Property Subject to or Available for Operating Lease [Line Items]
Balance December 31, 2013	11,200
Additions
Reclassifications or Dispositions
Balance June 30, 2014	11,200
Marine Transportation/Transportation, Other [Member]
Property Subject to or Available for Operating Lease [Line Items]
Balance December 31, 2013	4,639
Additions
Reclassifications or Dispositions
Balance June 30, 2014	4,639
Manufacturing [Member]
Property Subject to or Available for Operating Lease [Line Items]
Balance December 31, 2013	2,174
Additions
Reclassifications or Dispositions	(447)
Balance June 30, 2014	1,727
Materials Handling [Member]
Property Subject to or Available for Operating Lease [Line Items]
Balance December 31, 2013	1,383
Additions
Reclassifications or Dispositions	(255)
Balance June 30, 2014	1,128
Agriculture [Member]
Property Subject to or Available for Operating Lease [Line Items]
Balance December 31, 2013	1,151
Additions
Reclassifications or Dispositions
Balance June 30, 2014	1,151
Construction [Member]
Property Subject to or Available for Operating Lease [Line Items]
Balance December 31, 2013	759
Additions
Reclassifications or Dispositions	(189)
Balance June 30, 2014	570
Natural Gas Compressors [Member]
Property Subject to or Available for Operating Lease [Line Items]
Balance December 31, 2013	1,671
Additions
Reclassifications or Dispositions	(1,671)
Other Properties [Member]
Property Subject to or Available for Operating Lease [Line Items]
Balance December 31, 2013	57
Additions
Reclassifications or Dispositions	(40)
Balance June 30, 2014	17
Total Property Subject To Or Available For Operating Lease [Member]
Property Subject to or Available for Operating Lease [Line Items]
Balance December 31, 2013	34,669
Additions
Reclassifications or Dispositions	(2,053)
Balance June 30, 2014	32,616
Less Accumulated Depreciation [Member]
Property Subject to or Available for Operating Lease [Line Items]
Balance December 31, 2013	(26,263)
Additions	(749)
Reclassifications or Dispositions	1,326
Balance June 30, 2014	$ (25,686)

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Fair Value Measurements (Estimated Fair Values of Financial Instruments) (Details) (USD $) In Thousands, unless otherwise specified	Jun. 30, 2014	Dec. 31, 2013
Financial assets:
Cash and cash equivalents	$ 5,134	$ 4,738
Notes receivable, net	427	526
Investment in securities	5	5
Warrants	85	177
Financial liabilities:
Non-recourse debt	11,194	13,575
Carrying Amount
Financial assets:
Cash and cash equivalents	5,134	4,738
Notes receivable, net	427	526
Investment in securities	5	5
Warrants	85	177
Financial liabilities:
Non-recourse debt	10,858	13,105
Estimated Fair Value | Level 1 Estimated Fair Value [Member]
Financial assets:
Cash and cash equivalents	5,134	4,738
Notes receivable, net
Investment in securities
Warrants
Financial liabilities:
Non-recourse debt
Estimated Fair Value | Level 2 Estimated Fair Value [Member]
Financial assets:
Cash and cash equivalents
Notes receivable, net
Investment in securities
Warrants
Financial liabilities:
Non-recourse debt
Estimated Fair Value | Level 3 Estimated Fair Value [Member]
Financial assets:
Notes receivable, net	427	526
Investment in securities	5	5
Warrants	85	177
Financial liabilities:
Non-recourse debt	$ 11,194	$ 13,575

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Balance Sheets (USD $) In Thousands, unless otherwise specified	Jun. 30, 2014	Dec. 31, 2013
ASSETS
Cash and cash equivalents	$ 5,134	$ 4,738
Accounts receivable, net of allowance for doubtful accounts of $1 at June 30, 2014 and $3 at December 31, 2013	591	585
Notes receivable, net of unearned interest income of $37 at June 30, 2014 and $57 at December 31, 2013	427	526
Prepaid expenses and other assets	51	58
Investment in securities	5	5
Fair value of warrants	85	177
Investments in equipment and leases, net of accumulated depreciation of $26,020 June 30, 2014 and $28,006 at December 31, 2013	17,133	19,890
Total assets	23,426	25,979
Accounts payable and accrued liabilities:
Managing Member	43	35
Other	197	306
Non-recourse debt	10,858	13,105
Unearned operating lease income	133	186
Total liabilities	11,231	13,632
Commitments and contingencies
Members' capital:
Managing Member
Other Members	12,195	12,347
Total Members' capital	12,195	12,347
Total liabilities and Members' capital	$ 23,426	$ 25,979

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Non-Recourse Debt (Future Minimum Payments of Non-Recourse Debt) (Details) (USD $) In Thousands, unless otherwise specified	Jun. 30, 2014
Principal
Six months ending December 31, 2014	$ 2,321
Year ending December 31, 2015	4,616
2016	3,743
2017	178
Long-term debt, total	10,858
Interest
Six months ending December 31, 2014	326
Year ending December 31, 2015	420
2016	133
2017	1
Long-term debt interest, total	880
Total
Six months ending December 31, 2014	2,647
Year ending December 31, 2015	5,036
2016	3,876
2017	179
Long-term debt principal and interest, total	$ 11,738

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Statements of Changes in Members' Capital (Parenthetical) (USD $)	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013	Dec. 31, 2013
Statements of Changes in Members' Capital [Abstract]
Distributions to Other Members, per unit	$ 0.10	$ 0.15	$ 0.25	$ 0.30	$ 0.60

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Allowance for Credit Losses (Recorded Investment in Financing Receivables) (Details) (USD $) In Thousands, unless otherwise specified	Jun. 30, 2014		Dec. 31, 2013
Allowances for credit losses:
Ending balance
Ending balance: individually evaluated for impairment
Ending balance: collectively evaluated for impairment
Ending balance: loans acquired with deteriorated credit quality
Notes Receivable, Net [Abstract]
Ending balance	10,306		11,349
Ending balance: individually evaluated for impairment	10,306		11,349
Ending balance: collectively evaluated for impairment
Ending balance: loans acquired with deteriorated credit quality
Notes Receivable [Member]
Allowances for credit losses:
Ending balance
Ending balance: individually evaluated for impairment
Ending balance: collectively evaluated for impairment
Ending balance: loans acquired with deteriorated credit quality
Notes Receivable, Net [Abstract]
Ending balance	427		526
Ending balance: individually evaluated for impairment	427		526
Ending balance: collectively evaluated for impairment
Ending balance: loans acquired with deteriorated credit quality
Finance Leases [Member]
Allowances for credit losses:
Ending balance
Ending balance: individually evaluated for impairment
Ending balance: collectively evaluated for impairment
Ending balance: loans acquired with deteriorated credit quality
Notes Receivable, Net [Abstract]
Ending balance	9,879	[1]	10,823	[2]
Ending balance: individually evaluated for impairment	9,879		10,823
Ending balance: collectively evaluated for impairment
Ending balance: loans acquired with deteriorated credit quality
Notes Receivable unamortized initial direct costs	$ 8		$ 13

[1] Includes $8 of unamortized initial direct costs

[2] Includes $13 of unamortized initial direct costs

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Allowance for Credit Losses (Tables)

6 Months Ended

Jun. 30, 2014

Allowance for Credit Losses [Abstract]

Activity in Allowance for Doubtful Accounts

The Company’s allowance for credit losses are as follows (in thousands):

		Accounts Receivable Allowance for Doubtful Accounts						Valuation Adjustments on Financing Receivables				Total Allowance for Credit Losses
		Notes Receivable		Finance Leases		Operating Leases		Notes Receivable		Finance Leases
Balance December 31, 2012	$	-	$	7	$	48	$	54	$	-	$	109
Reversal of provision		-		(7)		(45)		-		-		(52)
Asset disposal		-		-		-		(54)		-		(54)
Balance December 31, 2013		-		-		3		-		-		3
Reversal of provision		-		-		(2)		-		-		(2)
Balance June 30, 2014	$	-	$	-	$	1	$	-	$	-	$	1

Recorded Investment in Financing Receivables

As of June 30, 2014 and December 31, 2013, the Company’s allowance for credit losses (related solely to financing receivables) and its recorded investment in financing receivables were as follows (in thousands):

June 30, 2014		Notes Receivable		Finance Leases			Total
Allowance for credit losses:
Ending balance	$	-	$	-		$	-
Ending balance: individually evaluated for impairment	$	-	$	-		$	-
Ending balance: collectively evaluated for impairment	$	-	$	-		$	-
Ending balance: loans acquired with deteriorated credit quality	$	-	$	-		$	-
Financing receivables:
Ending balance	$	427	$	9,879	1	$	10,306
Ending balance: individually evaluated for impairment	$	427	$	9,879		$	10,306
Ending balance: collectively evaluated for impairment	$	-	$	-		$	-
Ending balance: loans acquired with deteriorated credit quality	$	-	$	-		$	-
1Includes $8 of unamortized initial direct costs

December 31, 2013		Notes Receivable		Finance Leases			Total
Allowance for credit losses:
Ending balance	$	-	$	-		$	-
Ending balance: individually evaluated for impairment	$	-	$	-		$	-
Ending balance: collectively evaluated for impairment	$	-	$	-		$	-
Ending balance: loans acquired with deteriorated credit quality	$	-	$	-		$	-
Financing receivables:
Ending balance	$	526	$	10,823	2	$	11,349
Ending balance: individually evaluated for impairment	$	526	$	10,823		$	11,349
Ending balance: collectively evaluated for impairment	$	-	$	-		$	-
Ending balance: loans acquired with deteriorated credit quality	$	-	$	-		$	-
2Includes $13 of unamortized initial direct costs

Financing Receivables by Credit Quality Indicator and by Class

At June 30, 2014 and December 31, 2013, the Company’s financing receivables by credit quality indicator and by class of financing receivables are as follows (excludes initial direct costs) (in thousands):

		Notes Receivable				Finance Leases
		June 30, 2014		December 31, 2013		June 30, 2014		December 31, 2013
Pass	$	427	$	526	$	9,871	$	10,810
Special mention		-		-		-		-
Substandard		-		-		-		-
Doubtful		-		-		-		-
Total	$	427	$	526	$	9,871	$	10,810

Net Investment in Financing Receivables by Age

At June 30, 2014 and December 31, 2013, the investment in financing receivables is aged as follows (in thousands):

June 30, 2014		31-60 Days Past Due		61-90 Days Past Due		Greater Than 90 Days		Total Past Due		Current		Total Financing Receivables		Recorded Investment > 90 Days and Accruing
Notes receivable	$	-	$	-	$	-	$	-	$	427	$	427	$	-
Finance leases		-		-		-		-		9,871		9,871		-
Total	$	-	$	-	$	-	$	-	$	10,298	$	10,298	$	-

December 31, 2013		31-60 Days Past Due		61-90 Days Past Due		Greater Than 90 Days		Total Past Due		Current		Total Financing Receivables		Recorded Investment > 90 Days and Accruing
Notes receivable	$	-	$	-	$	-	$	-	$	526	$	526	$	-
Finance leases		-		-		-		-		10,810		10,810		-
Total	$	-	$	-	$	-	$	-	$	11,336	$	11,336	$	-

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Allowance for Credit Losses (Financing Receivables by Credit Quality Indicator and by Class) (Details) (USD $) In Thousands, unless otherwise specified	Jun. 30, 2014	Dec. 31, 2013
Financing Receivable, Recorded Investment [Line Items]
Finance Leases	$ 9,871	$ 10,810
Notes Receivable	427	526
Pass [Member]
Financing Receivable, Recorded Investment [Line Items]
Finance Leases	9,871	10,810
Notes Receivable	427	526
Special Mention [Member]
Financing Receivable, Recorded Investment [Line Items]
Finance Leases
Notes Receivable
Substandard [Member]
Financing Receivable, Recorded Investment [Line Items]
Finance Leases
Notes Receivable
Doubtful [Member]
Financing Receivable, Recorded Investment [Line Items]
Finance Leases
Notes Receivable

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Related Party Transactions (Tables)

6 Months Ended

Jun. 30, 2014

Related Party Transactions [Abstract]

Affiliates Earned Commissions and Billed for Reimbursements Pursuant to Operating Agreement

During the three and six months ended June 30, 2014 and 2013, AFS and/or affiliates earned fees and billed for reimbursements pursuant to the Operating Agreement as follows (in thousands):

		Three Months Ended				Six Months Ended
		June 30,				June 30,
		2014		2013		2014		2013
Costs reimbursed to Managing Member and/or affiliates	$	141	$	170	$	281	$	353
Asset management fees to Managing Member and/or affiliates		80		94		166		188
	$	221	$	264	$	447	$	541

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Statements of Cash Flows (USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Operating activities:
Net income	$ 1,040	$ 1,517	$ 3,107	$ 2,491
Adjustment to reconcile net income to cash provided by operating activities:
Gain on sales of lease assets and early termination of notes receivable	(49)	(644)	(1,081)	(874)
Gain on sales or dispositions of securities and warrants	(44)		(44)	(1)
Unrealized loss on fair valuation of warrants	75		92
Depreciation of operating lease assets	369	598	749	1,285
Amortization of initial direct costs	3	4	6	9
Reversal of provision for credit losses	(2)	(26)	(2)	(26)
Impairment losses		156		156
Changes in operating assets and liabilities:
Accounts receivable	(44)	214	40	326
Prepaid expenses and other assets	2	4	7	9
Accounts payable, Managing Member	(25)	(16)	8	(17)
Accounts payable, other	(52)	(120)	(109)	(121)
Unearned operating lease income	(20)	(56)	(53)	(134)
Net cash provided by operating activities	1,253	1,631	2,720	3,103
Investing activities:
Proceeds from sales of lease assets and early termination of notes receivable	315	1,712	2,141	2,604
Proceeds from sales or dispositions of securities and warrants				1
Principal payments received on direct financing leases	486	398	942	777
Principal payments received on notes receivable	46	74	99	202
Net cash provided by investing activities	847	2,184	3,182	3,584
Financing activities:
Repayments of non-recourse debt	(1,133)	(1,061)	(2,247)	(2,104)
Net cash used in financing activities	(2,437)	(3,015)	(5,506)	(6,013)
Net (decrease) increase in cash and cash equivalents	(337)	800	396	674
Cash and cash equivalents at beginning of period	5,471	5,091	4,738	5,217
Cash and cash equivalents at end of period	5,134	5,891	5,134	5,891
Supplemental disclosures of cash flow information:
Cash paid during the period for interest	191	262	400	542
Cash paid during the period for taxes	50	76	56	76
Other Members [Member]
Operating activities:
Net income			2,862
Financing activities:
Distributions to Members	(1,206)	(1,808)	(3,014)	(3,616)
Managing Member [Member]
Operating activities:
Net income			245
Financing activities:
Distributions to Members	$ (98)	$ (146)	$ (245)	$ (293)

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Balance Sheets (Parenthetical) (USD $) In Thousands, unless otherwise specified	Jun. 30, 2014	Dec. 31, 2013
Balance Sheets [Abstract]
Accounts receivable, allowance for doubtful accounts	$ 1	$ 3
Notes receivable, unearned interest income	37	57
Investments in equipment and leases, accumulated depreciation	$ 26,020	$ 28,006

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Members' Capital

6 Months Ended

Jun. 30, 2014

Members' Capital [Abstract]

Members' Capital

10.  Members’ capital:

As of June 30, 2014 and December 31, 2013,  12,055,016 Units were issued and outstanding. The Company was authorized to issue up to 15,000,000 Units in addition to the Units issued to the initial Members  (50 Units).

The Company has the right, exercisable at the Manager’s discretion, but not the obligation, to repurchase Units of a Unitholder who ceases to be a U.S. Citizen, for a price equal to 100% of the holder’s capital account. The Company is otherwise permitted, but not required, to repurchase Units upon a holder’s request. The repurchase of Fund Units is made in accordance with Section 13 of the Amended and Restated Limited Liability Company Operating Agreement. The repurchase would be at the discretion of the Manager on terms it determines to be appropriate under given circumstances, in the event that the Manager deems such repurchase to be in the best interest of the Company; provided,the Company is never required to repurchase any Units. Upon the repurchase of any Units by the Fund, the tendered Units are cancelled. Units repurchased in prior periods were repurchased at amounts representing the original investment less cumulative distributions made to the Unitholder with respect to the Units. All Units repurchased during a quarter are deemed to be repurchased effective the last day of the preceding quarter, and are not deemed to be outstanding during, or entitled to allocations of net income, net loss or distributions for the quarter in which such repurchase occurs.

As defined in the Operating Agreement, the Company’s Net Income, Net Losses, and Distributions are to be allocated 92.5% to the Members and 7.5% to AFS. In accordance with the terms of the Operating Agreement, additional allocations of income were made to AFS during the three and six months ended June 30, 2014 and 2013. The amounts allocated were determined to bring AFS’s ending capital account balance to zero at the end of each period.

Distributions to the Other Members were as follows (in thousands, except as to Units and per Unit data):

		Three Months Ended				Six Months Ended
		June 30,				June 30,
		2014		2013		2014		2013
Distributions declared	$	1,206	$	1,808	$	3,014	$	3,616
Weighted average number of Units outstanding		12,055,016		12,055,016		12,055,016		12,055,016
Weighted average distributions per Unit	$	0.10	$	0.15	$	0.25	$	0.30

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Document and Entity Information	6 Months Ended
	Jun. 30, 2014	Jul. 31, 2014
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2014
Document Fiscal Year Focus	2014
Document Fiscal Period Focus	Q2
Entity Registrant Name	ATEL CAPITAL EQUIPMENT FUND IX LLC
Entity Central Index Key	0001125264
Current Fiscal Year End Date	--12-31
Entity Filer Category	Smaller Reporting Company
Trading Symbol	zzhjc
Entity Units Outstanding		12,055,016

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Fair Value Measurements

6 Months Ended

Jun. 30, 2014

Fair Value Measurements [Abstract]

Fair Value Measurements

11.  Fair value measurements:

Fair value measurements and disclosures are based on a fair value hierarchy as determined by significant inputs used to measure fair value. The three levels of inputs within the fair value hierarchy are defined as follows:

Level 1 – Quoted prices in active markets for identical assets or liabilities. An active market for the asset or liability is a market in which transactions for the asset or liability occur with sufficient frequency and volume to provide pricing information on an ongoing basis, generally on a national exchange.

Level 2 – Quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active, and model-based valuations in which all significant inputs are observable in the market.

Level 3 – Valuation is modeled using significant inputs that are unobservable in the market. These unobservable inputs reflect the Company's own estimates of assumptions that market participants would use in pricing the asset or liability.

At June 30, 2014 and December 31, 2013, only the Company’s warrants were measured on a recurring basis. There were no non-recurring fair value adjustments as of June 30, 2014. By comparison, the Company recorded non-recurring adjustments to reflect the fair values of certain impaired lease and off-lease assets during 2013. Amounts at December 31, 2013 reflect the fair value of the then existing impaired assets.

The Company’s valuation policy is determined by members of the Asset Management, Credit and Accounting departments. Whenever possible, the policy is to obtain quoted market prices in active markets to estimate fair values for recognition and disclosure purposes. Where quoted market prices in active markets are not available, fair values are estimated using discounted cash flow analyses, broker quotes, information from third party remarketing agents, third party appraisals of collateral and/or other valuation techniques. These techniques are significantly affected by certain of the Company’s assumptions, including discount rates and estimates of future cash flows. Potential taxes and other transaction costs are not considered in estimating fair values. As the Company is responsible for determining fair value, an analysis is performed on prices obtained from third parties. Such analysis is performed by asset management and credit department personnel who are familiar with the Company’s investments in equipment, notes receivable and equity securities of venture companies. The analysis may include a periodic review of price fluctuations and validation of numbers obtained from a specific third party by reference to multiple representative sources.

The measurement methodologies are as follows:

Warrants (recurring)

Warrants owned by the Company are not registered for public sale, but are considered derivatives and are carried on the balance sheet at an estimated fair value at the end of the period. The valuation of the warrants was determined using a Black-Scholes formulation of value based upon the stock price(s), the exercise price(s), the volatility of comparable venture companies, and a risk free interest rate for the term(s) of the warrant exercise(s). As of June 30, 2014 and December 31, 2013, the calculated fair value of the Fund’s warrant portfolio approximated $85 thousand and $177 thousand, respectively. Such valuations are classified within Level 3 of the valuation hierarchy.

The following table reconciles the beginning and ending balances of the Company’s Level 3 recurring assets (in thousands):

		Level 3 Assets
Balance at December 31, 2013	$	177
Unrealized loss on warrants, net recorded during the period		(92)
Balance at June 30, 2014	$	85

Impaired off-lease equipment (non-recurring)

The Company had no fair value adjustments relative to impaired equipment during the respective three and six months ended June 30, 2014.

During the second quarter of 2013, the Company deemed certain off-lease equipment to be impaired and recorded fair value adjustments totaling $156 thousand. Such amounts also represent the total fair value adjustments for the six months ended June 30, 2013.  The adjustments were non-recurring. Under the Fair Value Measurements Topic of the FASB Accounting Standards Codification, the fair values of such impaired equipment are classified within Level 3 of the valuation hierarchy as the data sources utilized for the valuation of the assets reflect significant inputs that are unobservable in the market. Such valuation utilizes a market approach technique and uses inputs that reflect the sales price of similar assets sold by affiliates and/or information from third party remarketing agents not readily available in the market. As of December 31, 2013, all impaired lease equipment was either disposed of or were re-categorized to off-lease equipment.

The following table presents the fair value measurement of assets measured at fair value on a non-recurring basis and the level within the hierarchy in which the fair value measurements fall at December 31, 2013 (in thousands):

		December 31, 2013		Level 1 Estimated Fair Value		Level 2 Estimated Fair Value		Level 3 Estimated Fair Value
Assets measured at fair value on a non-recurring basis:
Impaired off-lease equipment	$	3	$	-	$	-	$	3

The following tables summarize the valuation techniques and significant unobservable inputs used for the Company’s recurring and non-recurring fair value adjustments categorized as Level 3 in the fair value hierarchy at June 30, 2014 and December 31, 2013:

June 30, 2014
Name	Valuation Frequency	Valuation Technique	Unobservable Inputs	Range of Input Values
Warrants	Recurring	Black-Scholes Model	Stock price	$1.12 - $50.94
			Exercise price	$0.16 - $50.94
			Time to maturity (in years)	0.33 - 5.66
			Risk-free interest rate	0.04% - 1.79%
			Annualized volatility	16.51% - 100.00%

December 31, 2013
Name	Valuation Frequency	Valuation Technique	Unobservable Inputs	Range of Input Values
Warrants	Recurring	Black-Scholes Model	Stock price	$1.12 - $50.94
			Exercise price	$0.16 - $50.94
			Time to maturity (in years)	0.62 - 7.00
			Risk-free interest rate	0.11% - 2.28%
			Annualized volatility	17.80% - 100.00%
Off-lease Equipment	Non-recurring	Market Approach	Third Party Agents' Pricing Quotes - per equipment	$500 (total of $2,500)
			Equipment Condition	Poor to Average

The following disclosure of the estimated fair value of financial instruments is made in accordance with the guidance provided by the Financial Instruments Topic of the FASB Accounting Standards Codification. Fair value estimates, methods and assumptions, set forth below for the Company’s financial instruments, are made solely to comply with the requirements of the Financial Instruments Topic.

The Company has determined the estimated fair value amounts by using market information and valuation methodologies that it considers appropriate and consistent with the fair value accounting guidance. Considerable judgment is required to interpret market data to develop the estimates of fair value. The use of different market assumptions and/or estimation methodologies may have a material effect on the estimated fair value amounts.

Cash and cash equivalents

The recorded amounts of the Company’s cash and cash equivalents approximate fair value because of the liquidity and short-term maturity of these instruments.

Notes receivable

The fair value of the Company’s notes receivable is generally estimated based upon various methodologies deployed by financial and credit management including, but not limited to, credit analysis, third party appraisal and/or discounted cash flow analysis based upon current market valuation techniques and market rates for similar types of lending arrangements, which may consider adjustments for impaired loans as deemed necessary.

Investment in securities

The Company’s investment securities are not registered for public sale and are carried at cost which management believes approximates fair value, as appropriately adjusted for impairment.

Non-recourse debt

The fair value of the Company’s non-recourse debt is estimated using discounted cash flow analyses, based upon current market borrowing rates for similar types of borrowing arrangements.

Commitments and Contingencies

Management has determined that the fair value of contingent liabilities (or guarantees) is not considered material because management believes there has been no event that has occurred wherein a guarantee liability has been incurred or will likely be incurred.

The following tables present estimated fair values of the Company’s financial instruments in accordance with the guidance provided by the Financial Instruments Topic of the FASB Accounting Standards Codification at June 30, 2014 and December 31, 2013 (in thousands):

		Fair Value Measurements at June 30, 2014
		Carrying Amount		Level 1		Level 2		Level 3		Total
Financial assets:
Cash and cash equivalents	$	5,134	$	5,134	$	-	$	-	$	5,134
Notes receivable, net		427		-		-		427		427
Investment in securities		5		-		-		5		5
Warrants		85		-		-		85		85
Financial liabilities:
Non-recourse debt		10,858		-		-		11,194		11,194

		Fair Value Measurements at December 31, 2013
		Carrying Amount		Level 1		Level 2		Level 3		Total
Financial assets:
Cash and cash equivalents	$	4,738	$	4,738	$	-	$	-	$	4,738
Notes receivable, net		526		-		-		526		526
Investment in securities		5		-		-		5		5
Warrants		177		-		-		177		177
Financial liabilities:
Non-recourse debt		13,105		-		-		13,575		13,575

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Statements of Income (USD $) In Thousands, except Share data, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013
Leasing and lending activities:
Operating leases	$ 1,259	$ 1,498	$ 2,612	$ 2,940
Direct financing leases	628	743	1,284	1,513
Interest on notes receivable	10	15	20	35
Gain on sales of lease assets and early termination of notes receivable	49	644	1,081	874
Unrealized loss on fair valuation of warrants	(75)		(92)
Gain on sales or dispositions of securities and warrants	44		44	1
Other revenue	48	25	68	134
Total revenues	1,963	2,925	5,017	5,497
Expenses:
Depreciation of operating lease assets	369	598	749	1,285
Asset management fees to Managing Member and/or affiliates	80	94	166	188
Cost reimbursements to Managing Member and/or affiliates	141	170	281	353
Reversal of provision for credit losses	(2)	(26)	(2)	(26)
Impairment losses		156		156
Amortization of initial direct costs	3	4	6	9
Other management fees	6	7	14	20
Interest expense	185	257	388	531
Professional fees	18	12	81	62
Outside services	14	17	34	31
Insurance	11	16	26	32
Marine vessel maintenance and other operating costs		8		110
Railcar and equipment maintenance	37	27	78	86
Franchise fees and state taxes	17	30	2	70
Other	44	36	84	98
Total operating expenses	923	1,406	1,907	3,005
Other expense, net		(2)	(3)	(1)
Net income	1,040	1,517	3,107	2,491
Net income:
Managing Member	98	146	245	293
Other Members	942	1,371	2,862	2,198
Net income	$ 1,040	$ 1,517	$ 3,107	$ 2,491
Net income per Limited Liability Company Unit (Other Members)	$ 0.08	$ 0.11	$ 0.24	$ 0.18
Weighted average number of Units outstanding	12,055,016	12,055,016	12,055,016	12,055,016

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Investment in Equipment and Leases, Net

6 Months Ended

Jun. 30, 2014

Investment in Equipment and Leases, Net [Abstract]

Investment in Equipment and Leases, Net

5.Investment in equipment and leases, net:

The Company’s investment in equipment leases consists of the following (in thousands):

		Balance December 31, 2013		Reclassifications, Additions / Dispositions and Impairment Losses		Depreciation/ Amortization Expense or Amortization of Leases		Balance June 30, 2014
Net investment in operating leases	$	8,406	$	(727)	$	(749)	$	6,930
Net investment in direct financing leases		10,810		3		(942)		9,871
Assets held for sale or lease, net		656		(337)		-		319
Initial direct costs, net of accumulated   amortization of $88 at June 30, 2014 and $83 at December 31, 2013		18		-		(5)		13
Total	$	19,890	$	(1,061)	$	(1,696)	$	17,133

Impairment of investments in leases and assets held for sale or lease:

Management periodically reviews the carrying values of its assets on leases and assets held for lease or sale.The fair value of the assets is determined based on the sum of the discounted estimated future cash flows of the assets. Impairment losses are recorded as an adjustment to the net investment in operating leases. As a result of these reviews, management determined that no impairment losses existed during the three and six months ended June 30, 2014. By comparison, during the second quarter of 2013, the Company deemed certain off-lease equipment to be impaired and recorded fair value adjustment totaling $156 thousand to reduce the cost basis of the equipment. Such amount also represents the total fair value adjustments for the six months ended June 30, 2013.  

As of June 30, 2014 and December 31, 2013, there were no lease contracts placed in non-accrual status. As of the same dates, the Company had certain other leases that have related accounts receivables aged 90 days or more that had not been placed on non-accrual status. In accordance with Company policy, the related accounts receivables are fully reserved. Management continues to closely monitor these leases for any actual change in collectability status and indication of necessary valuation adjustments.

The Company utilizes a straight line depreciation method for equipment in all of the categories currently in its portfolio of operating lease transactions. Depreciation expense on the Company’s equipment was approximately $369 thousand and $598 thousand for the respective three months ended June 30, 2014 and 2013, and was $749 thousand and $1.3 million for the respective six months ended June 30, 2014 and 2013. Initial direct costs amortization expense related to the Company’s operating and direct financing leases totaled $3 thousand and $4 thousand for the respective three months ended June 30, 2014 and 2013,and was $6 thousand and $9 thousand for the respective six months ended June 30, 2014 and 2013.

All of the leased property was acquired in years beginning with 2002 through 2010.

Operating leases:

Property on operating leases consists of the following (in thousands):

		Balance December 31, 2013		Additions		Reclassifications or Dispositions		Balance June 30, 2014
Transportation, rail	$	11,635	$	-	$	549	$	12,184
Marine vessels		11,200		-		-		11,200
Transportation, other		4,639		-		-		4,639
Manufacturing		2,174		-		(447)		1,727
Materials handling		1,383		-		(255)		1,128
Agriculture		1,151		-		-		1,151
Construction		759		-		(189)		570
Natural gas compressors		1,671		-		(1,671)		-
Other		57		-		(40)		17
		34,669		-		(2,053)		32,616
Less accumulated depreciation		(26,263)		(749)		1,326		(25,686)
Total	$	8,406	$	(749)	$	(727)	$	6,930

The average estimated residual value for assets on operating leases was 15% and 17% of the assets’ original cost at June 30, 2014 and December 31, 2013, respectively.  There were no operating leases placed in non-accrual status as of June 30, 2014 and December 31, 2013.

The Company may earn revenues from its containers, marine vessel and certain other assets based on utilization of such assets or a fixed-term lease. Contingent rentals (i.e., short-term, operating charter hire payments) and the associated expenses are recorded when earned and/or incurred. The revenues associated with these rentals are included as a component of Operating Lease Revenues and totaled $55 thousand and $29 thousand for the respective three months ended June 30, 2014 and 2013, and $97 thousand and $42 thousand for the respective six months ended June 30, 2014 and 2013.

Direct financing leases:

As of June 30, 2014 investment in direct financing leases consists of material handling and mining equipment. As of December 31, 2013, such investment primarily consisted of mining equipment. The following lists the components of the Company’s investment in direct financing leases as of June 30, 2014 and December 31, 2013 (in thousands):

		June 30,		December 31,
		2014		2013
Total minimum lease payments receivable	$	10,366	$	12,584
Estimated residual values of leased equipment (unguaranteed)		3,543		3,542
Investment in direct financing leases		13,909		16,126
Less unearned income		(4,038)		(5,316)
Net investment in direct financing leases	$	9,871	$	10,810

There was no investment in direct financing lease assets in non-accrual status at June 30, 2014 and December 31, 2013.  

At June 30, 2014, the aggregate amounts of future minimum lease payments receivable are as follows (in thousands):

		Operating Leases		Direct Financing Leases		Total
Six months ending December 31, 2014	$	1,743	$	2,226	$	3,969
Year ending December 31, 2015		2,103		4,453		6,556
2016		391		3,686		4,077
2017		345		1		346
2018		182		-		182
2019		182		-		182
Thereafter		46		-		46
	$	4,992	$	10,366	$	15,358

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Allowance for Credit Losses

6 Months Ended

Jun. 30, 2014

Allowance for Credit Losses [Abstract]

Allowance for Credit Losses

4.Allowance for credit losses:

The Company’s allowance for credit losses are as follows (in thousands):

		Accounts Receivable Allowance for Doubtful Accounts						Valuation Adjustments on Financing Receivables				Total Allowance for Credit Losses
		Notes Receivable		Finance Leases		Operating Leases		Notes Receivable		Finance Leases
Balance December 31, 2012	$	-	$	7	$	48	$	54	$	-	$	109
Reversal of provision		-		(7)		(45)		-		-		(52)
Asset disposal		-		-		-		(54)		-		(54)
Balance December 31, 2013		-		-		3		-		-		3
Reversal of provision		-		-		(2)		-		-		(2)
Balance June 30, 2014	$	-	$	-	$	1	$	-	$	-	$	1

Accounts receivable

Accounts receivable represent the amounts billed under operating and direct financing lease contracts, and notes receivable which are currently due to the Company.

Allowances for doubtful accounts are typically established based upon their aging and historical charge off and collection experience and the creditworthiness of specifically identified lessees and borrowers, and invoiced amounts. Accounts receivable deemed uncollectible are generally charged off against the allowance on a specific identification basis. Recoveries of amounts that were previously written-off are recorded as other income in the period received.

Accounts receivable are generally placed in a non-accrual status (i.e., no revenue is recognized) when payments are more than 90 days past due. Additionally, management periodically reviews the creditworthiness of companies with lease or note payments outstanding less than 90 days. Based upon management’s judgment, such leases or notes may be placed in non-accrual status. Leases or notes placed on non-accrual status are only returned to an accrual status when the account has been brought current and management believes recovery of the remaining unpaid receivable is probable. Until such time, revenues on operating leases are recognized on a cash basis. All payments received on amounts billed under direct financing leases contracts and notes receivable are applied only against outstanding principal balances.

Financing receivables

In addition to the allowance established for delinquent accounts receivable, the total allowance related solely to financing receivables also includes anticipated impairment charges on notes receivable and direct financing leases.

Notes are considered impaired when, based on current information and events, it is probable that the Company will be unable to collect the scheduled payments of principal and/or interest when due according to the contractual terms of the note agreement. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest when due. If it is determined that a loan is impaired with regard to scheduled payments, the Company will perform an analysis of the note to determine if an impairment valuation reserve is necessary. This analysis considers the estimated cash flows from the note, or the collateral value of the property underlying the note when note repayment is collateral dependent. Any required valuation reserve is charged to earnings when determined; and notes are charged off to the allowance as they are deemed uncollectible.

The asset underlying a direct financing lease contract is considered impaired if the estimated undiscounted future cash flows of the asset are less than its net book value. The estimated undiscounted future cash flows are the sum of the estimated residual value of the asset at the end of the asset’s expected holding period and estimates of undiscounted future rents. The residual value assumes, among other things, that the asset is utilized normally in an open, unrestricted and stable market. Short-term fluctuations in the market place are disregarded and it is assumed that there is no necessity either to dispose of a significant number of the assets, if held in quantity, simultaneously or to dispose of the asset quickly. Impairment is measured as the difference between the fair value (as determined by a valuation method using discounted estimated future cash flows, third party appraisals or comparable sales of similar assets as applicable based on asset type) of the asset and its carrying value on the measurement date.

As of June 30, 2014 and December 31, 2013, the Company’s allowance for credit losses (related solely to financing receivables) and its recorded investment in financing receivables were as follows (in thousands):

June 30, 2014		Notes Receivable		Finance Leases			Total
Allowance for credit losses:
Ending balance	$	-	$	-		$	-
Ending balance: individually evaluated for impairment	$	-	$	-		$	-
Ending balance: collectively evaluated for impairment	$	-	$	-		$	-
Ending balance: loans acquired with deteriorated credit quality	$	-	$	-		$	-
Financing receivables:
Ending balance	$	427	$	9,879	1	$	10,306
Ending balance: individually evaluated for impairment	$	427	$	9,879		$	10,306
Ending balance: collectively evaluated for impairment	$	-	$	-		$	-
Ending balance: loans acquired with deteriorated credit quality	$	-	$	-		$	-
1Includes $8 of unamortized initial direct costs

December 31, 2013		Notes Receivable		Finance Leases			Total
Allowance for credit losses:
Ending balance	$	-	$	-		$	-
Ending balance: individually evaluated for impairment	$	-	$	-		$	-
Ending balance: collectively evaluated for impairment	$	-	$	-		$	-
Ending balance: loans acquired with deteriorated credit quality	$	-	$	-		$	-
Financing receivables:
Ending balance	$	526	$	10,823	2	$	11,349
Ending balance: individually evaluated for impairment	$	526	$	10,823		$	11,349
Ending balance: collectively evaluated for impairment	$	-	$	-		$	-
Ending balance: loans acquired with deteriorated credit quality	$	-	$	-		$	-
2Includes $13 of unamortized initial direct costs

The Company evaluates the credit quality of its financing receivables on a scale equivalent to the following quality indicators related to corporate risk profiles:

Pass – Any account whose lessee/debtor, co-lessee/debtor or any guarantor has a credit rating on publicly traded or privately placed debt issues as rated by Moody’s or S&P for either Senior Unsecured debt, Long Term Issuer rating or Issuer rating that are in the tiers of ratings generally recognized by the investment community as constituting an Investment Grade credit rating; or, has been determined by the Manager to be an Investment Grade Equivalent or High Quality Corporate Credit per its Credit Policy or has a Not Rated internal rating by the Manager and the account is not considered by the Chief Credit Officer of the Manager to fall into one of the three risk profiles below.

Special Mention – Any traditional corporate type account with potential weaknesses (e.g. large net losses or major industry downturns) or, any growth capital account that has less than three months of cash as of the end of the calendarquarter to fund their continuing operations. These accounts deserve management’s close attention. If left uncorrected, those potential weaknesses may result in deterioration of the Fund’s receivable at some future date.

Substandard – Any account that is inadequately protected by the current worth and paying capacity of the borrower or of the collateral pledged, if any. Accounts that are so classified have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the Fund will sustain some loss as the likelihood of fully collecting all receivables may be questionable if the deficiencies are not corrected. Such accounts are on the Manager’s Credit Watch List.

Doubtful – Any account where the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. Accordingly, an account that is so classified is on the Manager’s Credit Watch List, and has been declared in default and the Manager has repossessed, or is attempting to repossess, the equipment it financed.This category includes impaired notes and leases as applicable.

At June 30, 2014 and December 31, 2013, the Company’s financing receivables by credit quality indicator and by class of financing receivables are as follows (excludes initial direct costs) (in thousands):

		Notes Receivable				Finance Leases
		June 30, 2014		December 31, 2013		June 30, 2014		December 31, 2013
Pass	$	427	$	526	$	9,871	$	10,810
Special mention		-		-		-		-
Substandard		-		-		-		-
Doubtful		-		-		-		-
Total	$	427	$	526	$	9,871	$	10,810

At June 30, 2014 and December 31, 2013, the investment in financing receivables is aged as follows (in thousands):

June 30, 2014		31-60 Days Past Due		61-90 Days Past Due		Greater Than 90 Days		Total Past Due		Current		Total Financing Receivables		Recorded Investment > 90 Days and Accruing
Notes receivable	$	-	$	-	$	-	$	-	$	427	$	427	$	-
Finance leases		-		-		-		-		9,871		9,871		-
Total	$	-	$	-	$	-	$	-	$	10,298	$	10,298	$	-

December 31, 2013		31-60 Days Past Due		61-90 Days Past Due		Greater Than 90 Days		Total Past Due		Current		Total Financing Receivables		Recorded Investment > 90 Days and Accruing
Notes receivable	$	-	$	-	$	-	$	-	$	526	$	526	$	-
Finance leases		-		-		-		-		10,810		10,810		-
Total	$	-	$	-	$	-	$	-	$	11,336	$	11,336	$	-

The Company had neither financing receivables in non-accrual status nor impaired financing receivables at both June 30, 2014 and December 31, 2013. Likewise, there were no investments in financing receivables with related accounts receivable past due more than 90 days which were still on an accrual basis at June 30, 2014 and December 31, 2013.

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Investment in Equipment and Leases, Net (Tables)

6 Months Ended

Jun. 30, 2014

Investment in Equipment and Leases, Net [Abstract]

Investment in Leases

The Company’s investment in equipment leases consists of the following (in thousands):

		Balance December 31, 2013		Reclassifications, Additions / Dispositions and Impairment Losses		Depreciation/ Amortization Expense or Amortization of Leases		Balance June 30, 2014
Net investment in operating leases	$	8,406	$	(727)	$	(749)	$	6,930
Net investment in direct financing leases		10,810		3		(942)		9,871
Assets held for sale or lease, net		656		(337)		-		319
Initial direct costs, net of accumulated   amortization of $88 at June 30, 2014 and $83 at December 31, 2013		18		-		(5)		13
Total	$	19,890	$	(1,061)	$	(1,696)	$	17,133

Property on Operating Leases

Property on operating leases consists of the following (in thousands):

		Balance December 31, 2013		Additions		Reclassifications or Dispositions		Balance June 30, 2014
Transportation, rail	$	11,635	$	-	$	549	$	12,184
Marine vessels		11,200		-		-		11,200
Transportation, other		4,639		-		-		4,639
Manufacturing		2,174		-		(447)		1,727
Materials handling		1,383		-		(255)		1,128
Agriculture		1,151		-		-		1,151
Construction		759		-		(189)		570
Natural gas compressors		1,671		-		(1,671)		-
Other		57		-		(40)		17
		34,669		-		(2,053)		32,616
Less accumulated depreciation		(26,263)		(749)		1,326		(25,686)
Total	$	8,406	$	(749)	$	(727)	$	6,930

Components of Company's Investment in Direct Financing Leases

As of June 30, 2014 investment in direct financing leases consists of material handling and mining equipment. As of December 31, 2013, such investment primarily consisted of mining equipment. The following lists the components of the Company’s investment in direct financing leases as of June 30, 2014 and December 31, 2013 (in thousands):

		June 30,		December 31,
		2014		2013
Total minimum lease payments receivable	$	10,366	$	12,584
Estimated residual values of leased equipment (unguaranteed)		3,543		3,542
Investment in direct financing leases		13,909		16,126
Less unearned income		(4,038)		(5,316)
Net investment in direct financing leases	$	9,871	$	10,810

Future Minimum Lease Payments Receivable

At June 30, 2014, the aggregate amounts of future minimum lease payments receivable are as follows (in thousands):

		Operating Leases		Direct Financing Leases		Total
Six months ending December 31, 2014	$	1,743	$	2,226	$	3,969
Year ending December 31, 2015		2,103		4,453		6,556
2016		391		3,686		4,077
2017		345		1		346
2018		182		-		182
2019		182		-		182
Thereafter		46		-		46
	$	4,992	$	10,366	$	15,358

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Summary of Significant Accounting Policies (Policy)

6 Months Ended

Jun. 30, 2014

Summary of Significant Accounting Policies [Abstract]

Basis of Presentation

Basis of presentation:

The accompanying unaudited financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) for interim financial information and with the instructions to Form 10-Q as mandated by the Securities and Exchange Commission. The unaudited interim financial statements reflect all adjustments which are, in the opinion of the Managing Member, necessary for a fair statement of financial position and results of operations for the interim periods presented. All such adjustments are of a normal recurring nature. Operating results for the three and six months ended June 30, 2014 are not necessarily indicative of the results to be expected for the full year. 

Certain prior period amounts have been reclassified to conform to the current period presentation. These reclassifications had no significant impact on the reported financial position or results of operations.

Footnote and tabular amounts are presented in thousands, except as to Units and per Unit data.

In preparing the accompanying unaudited financial statements, the Managing Member has reviewed events that have occurred after June 30, 2014, up until the issuance of the financial statements. No events were noted which would require disclosure in the footnotes to the financial statements.

Use of Estimates

Use of estimates:

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Such estimates primarily relate to the determination of residual values at the end of the lease term and expected future cash flows used for impairment analysis purposes and for determination of the allowance for doubtful accounts and reserve for credit losses on notes receivable.

Segment Reporting

Segment reporting:

The Company is not organized by multiple operating segments for the purpose of making operating decisions or assessing performance. Accordingly, the Company operates in one reportable operating segment in the United States.

The primary geographic regions in which the Company seeks leasing opportunities are North America and Europe. The table below summarizes geographic information relating to the sources, by nation, of the Company’s total revenues for the six months ended June 30, 2014 and 2013 and long-lived tangible assets as of June 30, 2014 and December 31, 2013 (dollars in thousands):

		SixMonths Ended June 30,
		2014	% of Total		2013	% of Total
Revenue
United States	$	4,964	99%	$	5,287	96%
Canada		-	0%		127	2%
United Kingdom		53	1%		83	2%
Total International		53	1%		210	4%
Total	$	5,017	100%	$	5,497	100%
		As of June 30,			As of December 31,
		2014	% of Total		2013	% of Total
Long-lived assets
United States	$	17,046	99%	$	19,803	100%
United Kingdom		87	1%		87	0%
Total International		87	1%		87	0%
Total	$	17,133	100%	$	19,890	100%

Investment in Securities

Investment in securities:

Purchased securities

Purchased securities are generally not registered for public sale and are carried at cost. Such securities are adjusted to fair value if the fair value is less than the carrying value and such impairment is deemed by the Managing Member to be other than temporary. Factors considered by the Managing Member in determining fair value include, but are not limited to, available financial information, the issuer’s ability to meet its current obligations and indications of the issuer’s subsequent ability to raise capital. There were neither impaired securities at June 30, 2014 and December 31, 2013 nor investment securities sold or disposed of during the three and six months ended June 30, 2014 and 2013.

Warrants

Warrants owned by the Company are not registered for public sale, but are considered derivatives and are carried at an estimated fair value on the balance sheet at the end of the period, as determined by the Managing Member. During the three and six months ended June 30, 2014, the Company recorded unrealized losses of $75 thousand and $92 thousand, respectively, on fair valuation of its warrants. Such unrealized loss reduced the estimated fair value of the Company’s portfolio of warrants to $85 thousand at June 30, 2014 from $177 thousand at December 31, 2013. There were no unrealized gains or losses recorded during the first six months of 2013. A gain of $44 thousand was recognized on the net exercise of certain warrants during the second quarter of 2014. Such amount also represents total gain for the first six months of 2014. By comparison, there was no net exercise of warrants during the second quarter of 2013; and, total gain recognized on the net exercise of warrants was nominal during the first six months of 2013.

Other Expense, Net

Other expense, net:

Other expense, net consisted solely of net losses on foreign exchange transactions.

Per Unit Data

Per Unit data:

Net income and distributions per Unit are based upon the weighted average number of Other Members’ Units outstanding during the period.

Recent Accounting Pronouncements

Recent accounting pronouncements:

Recent accounting standards updates as issued by the Financial Accounting Standards Board (FASB) were evaluated and determined to be not applicable to the Company.

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Commitments and Contingencies

6 Months Ended

Jun. 30, 2014

Commitments and Contingencies [Abstract]

Commitments and Contingencies

8.  Commitments and Contingencies:

At June 30,  2014, the Company had nocommitments to purchase lease assets or fund investments in notes receivable.

Gain Contingency

ATEL filed a claim on behalf of the Company and certain affiliated entities in Federal court in New Orleans for the under-reporting of revenue by a fleet manager of three marine vessels, seeking to recover an approximate amount of 10% of gross proceeds, which in the aggregate for all affiliated entities represents $2.8 million for the years 2005-2007 (of which the Company’s portion is an approximate $350 thousand). The annual allocable portion of the claim is not considered material to the Company in any given year. The trial was concluded during the first week of August 2012. In October 2012, the matter was remitted to the Federal Judge to render a decision on both the law and the facts. The decision of the Court was rendered at the end of June 2013 and the court found in favor of the defendants. The Company filed an appeal of the court’s decision and remainshopeful for a recovery of all or portion of its asserted claims.  As a result of the ruling, the defendants filed a claim for legal fees and costs, however, this was denied. Oral arguments for the appeal of the case in substance were heard June 2, 2014, and on June 6, 2014, the Fifth Circuit Appellate Court rendered its decision denying the appeal.

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Related Party Transactions

6 Months Ended

Jun. 30, 2014

Related Party Transactions [Abstract]

Related Party Transactions

6.Related party transactions:

The terms of the Operating Agreement provide that AFS and/or affiliates are entitled to receive certain fees for equipment management and resale and for management of the Company.

The Operating Agreement allows for the reimbursement of costs incurred by AFS for providing administrative services to the Company. Administrative services provided include Company accounting, finance/treasury, investor relations, legal counsel and lease and equipment documentation. AFS is not reimbursed for services whereby it is entitled to receive a separate fee as compensation for such services, such as management of equipment. The Company would be liable for certain future costs to be incurred by AFS to manage the administrative services provided to the Company.

Each of ATEL Leasing Corporation (“ALC”) and AFS is a wholly-owned subsidiary of ATEL Capital Group and performs services for the Company. Acquisition services, equipment management, lease administration and asset disposition services are performed by ALC; investor relations, communications and general administrative services for the Company are performed by AFS.

Cost reimbursements to the Managing Member are based on its costs incurred in performing administrative services for the Company. These costs are allocated to each managed entity based on certain criteria such as managed assets, number of investors or contributed capital based upon the type of cost incurred. The Operating Agreement places an annual limit and a cumulative limit for cost reimbursements to AFS and/or affiliates. Any reimbursable costs incurred by AFS and/or affiliates during the year exceeding the annual and/or cumulative limits cannot be reimbursed in the current year, though such costs may be recovered in future years to the extent of the cumulative limit. As of June 30, 2014, the Company has not exceeded the annual and/or cumulative limitations discussed above.

During the three and six months ended June 30, 2014 and 2013, AFS and/or affiliates earned fees and billed for reimbursements pursuant to the Operating Agreement as follows (in thousands):

		Three Months Ended				Six Months Ended
		June 30,				June 30,
		2014		2013		2014		2013
Costs reimbursed to Managing Member and/or affiliates	$	141	$	170	$	281	$	353
Asset management fees to Managing Member and/or affiliates		80		94		166		188
	$	221	$	264	$	447	$	541

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Non-Recourse Debt

6 Months Ended

Jun. 30, 2014

Non-Recourse Debt [Abstract]

Non-Recourse Debt

7.Non-recourse debt:

At June 30, 2014, non-recourse debt consists of notes payable to financial institutions. The notes are due in monthly installments. Interest on the notes is at fixed rates ranging from 6.16% to 6.66%. The notes are secured by assignments of lease payments and pledges of assets. At June 30, 2014, gross operating lease rentals and future payments on direct financing leases totaled approximately $11.4 million over the remaining lease terms; and the carrying value of the pledged assets is $11.8 million. The notes mature from 2015 through 2017.

The non-recourse debt does not contain any material financial covenants. The debt is secured by liens granted by the Company to the non-recourse lenders on (and only on) the discounted lease transactions. The lenders have recourse only to the following collateral: the specific leased equipment; the related lease chattel paper; the lease receivables; and proceeds of the foregoing items. The non-recourse obligation is payable solely out of the respective specific security and the Company does not guarantee (nor is the Company otherwise contractually responsible for) the payment of the non-recourse debt as a general obligation or liability of the Company. Although the Company does not have any direct or general liability in connection with the non-recourse debt apart from the security granted, the Company is directly and generally liable and responsible for certain representations, warranties, and covenants made to the lenders, such as warranties as to genuineness of the transaction parties' signatures, as to the genuineness of the respective lease chattel paper or the transaction as a whole, or as to the Company's good title to or perfected interest in the secured collateral, as well as similar representations, warranties and covenants typically provided by non-recourse borrowers and customary inthe equipment finance industry, and are viewed by such industry as being consistent with non-recourse discount financing obligations. Accordingly, as there are no financial covenants or ratios imposed on the Company in connection with the non-recourse debt, the Company has determined that there are no material covenants with respect to the non-recourse debt that warrant footnote disclosure.

Future minimum payments of non-recourse debt are as follows (in thousands):

		Principal		Interest		Total
Six months ending December 31, 2014	$	2,321	$	326	$	2,647
Year ending December 31, 2015		4,616		420		5,036
2016		3,743		133		3,876
2017		178		1		179
	$	10,858	$	880	$	11,738

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Guarantees

6 Months Ended

Jun. 30, 2014

Guarantees [Abstract]

Guarantees

9.  Guarantees:

The Company enters into contracts that contain a variety of indemnifications. The Company’s maximum exposure under these arrangements is unknown. However, the Company has not had prior claims or losses pursuant to these contracts and expects the risk of loss to be remote.

The Managing Member knows of no facts or circumstances that would make the Company’s contractual commitments outside standard mutual covenants applicable to commercial transactions between businesses. Accordingly, the Company believes that these indemnification obligations are made in the ordinary course of business as part of standard commercial and industry practice, and that any potential liability under the Company’s similar commitments is remote. Should any such indemnification obligation become payable, the Company would separately record and/or disclose such liability in accordance with GAAP.

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Allowance for Credit Losses (Activity in Allowance for Doubtful Accounts) (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013	Dec. 31, 2013
Accounts, Notes, Loans and Financing Receivable [Line Items]
Beginning Balance			$ 3	$ 109	$ 109
Reversal of provision	(2)	(26)	(2)	(26)	(52)
Asset disposal					(54)
Ending Balance	1		1		3
Allowance For Doubtful Accounts [Member] | Operating Leases [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Beginning Balance			3	48	48
Reversal of provision			(2)		(45)
Ending Balance	1		1		3
Allowance For Doubtful Accounts [Member] | Finance Leases [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Beginning Balance				7	7
Reversal of provision					(7)
Valuation Adjustments on Financing Receivables [Member] | Notes Receivable [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Beginning Balance				54	54
Asset disposal					(54)
Valuation Adjustments on Financing Receivables [Member] | Finance Leases [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Beginning Balance
Reversal of provision
Asset disposal
Ending Balance

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Fair Value Measurements (Fair Value Measurement of Assets and Liabilities Measured at Fair Value on a Non-Recurring Basis) (Details) (USD $) In Thousands, unless otherwise specified	Dec. 31, 2013
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired off-lease equipment	$ 3
Level 1 Estimated Fair Value [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired off-lease equipment
Level 2 Estimated Fair Value [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired off-lease equipment
Level 3 Estimated Fair Value [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired off-lease equipment	$ 3

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Notes Receivable, Net (Tables)

6 Months Ended

Jun. 30, 2014

Notes Receivable, Net [Abstract]

Minimum Future Payments Receivable

As of June 30, 2014, the minimum future payments receivable are as follows (in thousands):

Six months ending December 31, 2014	$	110
Year ending  December 31, 2015		166
2016		188
		464
Less: portion representing unearned interest income		(37)
Notes receivable, net	$	427

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Members' Capital (Tables)

6 Months Ended

Jun. 30, 2014

Members' Capital [Abstract]

Distributions to Other Members

Distributions to the Other Members were as follows (in thousands, except as to Units and per Unit data):

		Three Months Ended				Six Months Ended
		June 30,				June 30,
		2014		2013		2014		2013
Distributions declared	$	1,206	$	1,808	$	3,014	$	3,616
Weighted average number of Units outstanding		12,055,016		12,055,016		12,055,016		12,055,016
Weighted average distributions per Unit	$	0.10	$	0.15	$	0.25	$	0.30

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Fair Value Measurements (Narrative) (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended	6 Months Ended
	Jun. 30, 2013	Jun. 30, 2013	Jun. 30, 2014	Dec. 31, 2013
Fair Value Measurements [Abstract]
Fair value adjustment on notes receivable	$ 156
Impairment losses on equipment	156	156
Fair value of warrants			$ 85	$ 177

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Investment in Equipment and Leases, Net (Components of Investment in Direct Financing Leases) (Details) (USD $) In Thousands, unless otherwise specified	Jun. 30, 2014	Dec. 31, 2013
Investment in Equipment and Leases, Net [Abstract]
Total minimum lease payments receivable	$ 10,366	$ 12,584
Estimated residual values of leased equipment (unguaranteed)	3,543	3,542
Investment in direct financing leases	13,909	16,126
Less unearned income	(4,038)	(5,316)
Net investment in direct financing leases	$ 9,871	$ 10,810

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Statements of Changes in Members' Capital (USD $) In Thousands, except Share data, unless otherwise specified	3 Months Ended	6 Months Ended		12 Months Ended
	Jun. 30, 2014	Jun. 30, 2014	Jun. 30, 2013	Dec. 31, 2013
Beginning Balance		$ 12,347	$ 14,940	$ 14,940
Distributions to Other Members	(1,206)	(3,014)	(3,616)	(7,233)
Distributions to Managing Member		(245)		(586)
Net income	1,040	3,107	2,491	5,226
Ending Balance	12,195	12,195		12,347
Other Members [Member]
Beginning Balance (in units)		12,055,016	12,055,016	12,055,016
Beginning Balance		12,347	14,940	14,940
Distributions to Other Members		(3,014)		(7,233)
Net income		2,862		4,640
Ending Balance (in units)	12,055,016	12,055,016		12,055,016
Ending Balance	12,195	12,195		12,347
Managing Member [Member]
Distributions to Managing Member		(245)		(586)
Net income		$ 245		$ 586

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Notes Receivable, Net

6 Months Ended

Jun. 30, 2014

Notes Receivable, Net [Abstract]

Notes Receivable, Net

3.Notes receivable, net:

The Company has had various notes receivable from borrowers who have financed the purchase of equipment through the Company. The notes were secured by the equipment financed. As of June 30, 2014, only one note receivable remained unsettled with a net balance of $427 thousand outstanding. Such note bears an annual interest rate of 8.5% and matures in 2016.  

There were no notes receivable deemed impaired or in non-accrual status as of June 30, 2014 and December 31, 2013.

During the first quarter of 2013, the Company realized a $54 thousand gain on the full settlement of an impaired note prior to its scheduled maturity.Such note was originally deemed impaired during the second quarter of 2012, for which the Company recorded a fair value adjustment of $54 thousand to reduce the cost basis of the impaired note.  There have been no additional early terminations of notes receivable subsequent to the first quarter of 2013.

As of June 30, 2014, the minimum future payments receivable are as follows (in thousands):

Six months ending December 31, 2014	$	110
Year ending  December 31, 2015		166
2016		188
		464
Less: portion representing unearned interest income		(37)
Notes receivable, net	$	427

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Fair Value Measurements (Tables)

6 Months Ended

Jun. 30, 2014

Fair Value Measurements [Abstract]

Reconciliation of Level 3 Assets

The following table reconciles the beginning and ending balances of the Company’s Level 3 recurring assets (in thousands):

		Level 3 Assets
Balance at December 31, 2013	$	177
Unrealized loss on warrants, net recorded during the period		(92)
Balance at June 30, 2014	$	85

Fair Value Measurement of Assets Measured at Fair Value on a Non-Recurring Basis

The following table presents the fair value measurement of assets measured at fair value on a non-recurring basis and the level within the hierarchy in which the fair value measurements fall at December 31, 2013 (in thousands):

		December 31, 2013		Level 1 Estimated Fair Value		Level 2 Estimated Fair Value		Level 3 Estimated Fair Value
Assets measured at fair value on a non-recurring basis:
Impaired off-lease equipment	$	3	$	-	$	-	$	3

Summary of Valuation Techniques and Significant Unobservable Inputs Used

The following tables summarize the valuation techniques and significant unobservable inputs used for the Company’s recurring and non-recurring fair value adjustments categorized as Level 3 in the fair value hierarchy at June 30, 2014 and December 31, 2013:

June 30, 2014
Name	Valuation Frequency	Valuation Technique	Unobservable Inputs	Range of Input Values
Warrants	Recurring	Black-Scholes Model	Stock price	$1.12 - $50.94
			Exercise price	$0.16 - $50.94
			Time to maturity (in years)	0.33 - 5.66
			Risk-free interest rate	0.04% - 1.79%
			Annualized volatility	16.51% - 100.00%

December 31, 2013
Name	Valuation Frequency	Valuation Technique	Unobservable Inputs	Range of Input Values
Warrants	Recurring	Black-Scholes Model	Stock price	$1.12 - $50.94
			Exercise price	$0.16 - $50.94
			Time to maturity (in years)	0.62 - 7.00
			Risk-free interest rate	0.11% - 2.28%
			Annualized volatility	17.80% - 100.00%
Off-lease Equipment	Non-recurring	Market Approach	Third Party Agents' Pricing Quotes - per equipment	$500 (total of $2,500)
			Equipment Condition	Poor to Average

Estimated Fair Values of Financial Instruments

The following tables present estimated fair values of the Company’s financial instruments in accordance with the guidance provided by the Financial Instruments Topic of the FASB Accounting Standards Codification at June 30, 2014 and December 31, 2013 (in thousands):

		Fair Value Measurements at June 30, 2014
		Carrying Amount		Level 1		Level 2		Level 3		Total
Financial assets:
Cash and cash equivalents	$	5,134	$	5,134	$	-	$	-	$	5,134
Notes receivable, net		427		-		-		427		427
Investment in securities		5		-		-		5		5
Warrants		85		-		-		85		85
Financial liabilities:
Non-recourse debt		10,858		-		-		11,194		11,194

		Fair Value Measurements at December 31, 2013
		Carrying Amount		Level 1		Level 2		Level 3		Total
Financial assets:
Cash and cash equivalents	$	4,738	$	4,738	$	-	$	-	$	4,738
Notes receivable, net		526		-		-		526		526
Investment in securities		5		-		-		5		5
Warrants		177		-		-		177		177
Financial liabilities:
Non-recourse debt		13,105		-		-		13,575		13,575

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Investment in Equipment and Leases, Net (Narrative) (Details) (USD $) In Thousands, unless otherwise specified	3 Months Ended		6 Months Ended
	Jun. 30, 2014	Jun. 30, 2013	Jun. 30, 2014	Jun. 30, 2013	Dec. 31, 2013
IDC amortization expense related to operating leases and direct financing leases	$ 3	$ 4	$ 6	$ 9
Depreciation of operating lease assets	369	598	749	1,285
Average estimated residual value of assets on operating leases	15.00%		15.00%		17.00%
Revenues from contingent rentals	55	29	97	42
Impairment losses on equipment		$ 156		$ 156
Minimum [Member]
Accounts receivable, period for non-accrual status			90 days

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Summary of Significant Accounting Policies (Tables)

6 Months Ended

Jun. 30, 2014

Summary of Significant Accounting Policies [Abstract]

Summary of Geographic Information Relating to Sources, by Nation, of Partnership's Total Revenue and Long-Lived Assets

The table below summarizes geographic information relating to the sources, by nation, of the Company’s total revenues for the six months ended June 30, 2014 and 2013 and long-lived tangible assets as of June 30, 2014 and December 31, 2013 (dollars in thousands):

		SixMonths Ended June 30,
		2014	% of Total		2013	% of Total
Revenue
United States	$	4,964	99%	$	5,287	96%
Canada		-	0%		127	2%
United Kingdom		53	1%		83	2%
Total International		53	1%		210	4%
Total	$	5,017	100%	$	5,497	100%
		As of June 30,			As of December 31,
		2014	% of Total		2013	% of Total
Long-lived assets
United States	$	17,046	99%	$	19,803	100%
United Kingdom		87	1%		87	0%
Total International		87	1%		87	0%
Total	$	17,133	100%	$	19,890	100%