Commitments and Contingencies

9 Months Ended

Sep. 30, 2022

Commitments and Contingencies Disclosure [Abstract]

Commitments and Contingencies

Note 8. Commitments and Contingencies

As of September 30, 2022 and December 31, 2021, the Company had an aggregate of $4.1 million and $11.3 million, respectively, of unfunded commitments to provide debt financing to its portfolio companies. As of each of September 30, 2022 and December 31, 2021, there were no capital calls or draw requests made by the portfolio companies to fund these commitments. Such commitments are generally up to the Company’s discretion to approve or are subject to the satisfaction of certain financial and nonfinancial covenants and involve, to varying degrees, elements of credit risk in excess of the amount recognized in the Company’s consolidated statement of assets and liabilities and are not reflected in the Company’s consolidated statements of assets and liabilities.

A summary of the composition of the unfunded commitments as of September 30, 2022 is shown in the table below:

		As of
	Expiration Date (1)	September 30, 2022
ARC Falcon I Inc.	3/30/2023	$	636,943
Aveanna Healthcare LLC DDTL	7/15/2023		792,990
Medical Solutions L.L.C.	11/2/2023		690,000
Vocus Group	6/18/2023		2,000,000
Total unfunded commitments		$	4,119,933

(1) Commitments are generally subject to borrowers meeting certain criteria such as compliance with covenants and certain operational metrics. These amounts may remain outstanding until the commitment period of an applicable loan expires, which may be shorter than its maturity.

A summary of the composition of the unfunded commitments as of December 31, 2021 is shown in the table below:

	Expiration Date (1)	As of December 31, 2021
ARC Falcon I Inc.	3/30/2023	$	636,943
Aveanna Healthcare LLC DDTL	7/15/2023		754,717
Culligan Water	1/30/2023		706,667
Medical Solutions L.L.C.	11/2/2023		800,000
National Mentor Holdings, Inc.	3/2/2022		430,398
PT Intermediate Holdings III LLC	4/7/2022		2,140,000
RSC Acquisition, Inc.	11/12/2023		3,237,952
Sovos Compliance, LLC	8/12/2023		589,041
Vocus Group	6/18/2023		2,000,000
Total unfunded commitments		$	11,295,718

(1) Commitments are generally subject to borrowers meeting certain criteria such as compliance with covenants and certain operational metrics. These amounts may remain outstanding until the commitment period of an applicable loan expires, which may be shorter than its maturity.

From time to time, the Company may become a party to certain legal proceedings incidental to the normal course of its business. As of September 30, 2022, management is not aware of any pending or threatened litigation.