Note 8. Commitments and Contingencies

 

The Company had an aggregate of $186,282 and $147,928, respectively, of unfunded commitments to provide debt financing to its portfolio companies as of December 31, 2024 and December 31, 2023. Such commitments are generally subject to the satisfaction of certain financial and nonfinancial covenants and certain operational metrics. The commitment period for these amounts may be shorter than the maturity date if drawn or funded. These commitments are not reflected in the Company’s consolidated statement of assets and liabilities. Consequently, such commitments result in an element of credit risk in excess of the amount recognized in the Company’s consolidated statement of assets and liabilities.

A summary of the composition of the unfunded commitments as of December 31, 2024 and 2023 is shown in the table below.

  

   As of   As of 
   December 31,
2024
   December 31,
2023
 
Alcami Corporation (Alcami)  $1,447   $2,543 
Allcat Claims Service, LLC   10,803    5,370 
Allentown, LLC   663    785 
American Equipment Holdings LLC   2,922    483 
American Soccer Company, Incorporated (SCORE)   2,601    2,601 
Arborworks Acquisition LLC   1,792    1,872 
MRC Keystone Acquisition LLC (Automated Handing Solutions)   3,864    
-
 
Basel U.S. Acquisition Co., Inc. (IAC)   2,930    1,622 
BCI Burke Holding Corp.   
-
    4,659 
OAO Acquisitions, Inc. (BearCom)   2,482    6,982 
Bloomington Holdco, LLC (BW Fusion)   6,421    
-
 
BLP Buyer, Inc. (Bishop Lifting Products)   2,878    6,548 
BR PJK Produce, LLC (Keany)   
-
    2,870 
Carton Packaging Buyer, Inc.   2,848    2,848 
CCFF Buyer, Inc (California Custom Fruits & Flavors, LLC)   9,812    
-
 
CGI Automated Manufacturing, LLC   2,242    2,390 
City Line Distributors, LLC   2,530    5,322 
Curio Brands, LLC   1,719    1,719 
DISA Holdings Corp. (DISA)   3,331    6,142 
Diverzify Intermediate, LLC   3,155    
-
 
DRS Holdings III, Inc. (Dr. Scholl’s)   310    310 
Eastern Wholesale Fence   198    1,332 
EIS Legacy, LLC   
-
    6,922 
Energy Acquisition LP (Electrical Components International, Inc. - ECI)   1,442    
-
 
Envirotech Services, LLC   6,746    
-
 
Eppinger Technologies, LLC   1,145    1,450 
FCA, LLC (FCA Packaging)   
-
    2,670 
Fastener Distribution Holdings, LLC   7,502    
-
 
Foundation Consumer Brands   577    577 
Fralock Buyer LLC   
-
    300 
Guardian Dentistry Partners   773    
-
 
Guided Practice Solutions: Dental, LLC (GPS)   
-
    10,299 
Gulf Pacific Holdings, LLC   1,798    10,153 
Gusmer Enterprises, Inc.   3,676    3,676 
Home Brands Group Holdings, Inc. (ReBath)   2,099    2,099 
I.D. Images Acquisition, LLC   2,020    2,020 
IF&P Foods, LLC (FreshEdge)   2,813    1,656 
Improving Acquisition LLC   1,672    1,672 
Krayden Holdings, Inc.   5,438    5,438 
Superior Intermediate LLC (Landmark Structures)   10,006    
-
 
Light Wave Dental Management LLC   4,171    827 
LSL Industries, LLC (LSL Healthcare)   5,224    15,224 
MacNeill Pride Group   1,798    3,877 
ML Buyer, LLC (Mama Lycha Foods, LLC)   3,991    
-
 
NMA Holdings, LLC (Neuromonitoring Associates)   7,459    
-
 
Phoenix YW Buyer, Inc. (Elida Beauty)   1,960    
-
 
Pixel Intermediate, LLC   1,482    
-
 
PMFC Holding, LLC   
-
    137 
Redwood MSO, LLC   2,784    
-
 
Refocus Management Services, LLC   6,269    
-
 
Regiment Security Partners LLC   104    104 
The Robinette Company   5,047    
-
 
Ruff Roofers Buyer, LLC   7,138    10,966 
SGA Dental Partners Holdings, LLC   
-
    5,087 
Siegel Egg Co., LLC   501    537 
Silk Holdings III Corp. (Suave)   6,667    
-
 
Speedstar Holding LLC   666    
-
 
Sundance Holdings Group, LLC   
-
    439 
Tapco Buyer LLC   9,435    
-
 
Trademark Global LLC   480    480 
US Anchors Group, Inc. (Mechanical Plastics Corp.)   2,819    
-
 
United Safety & Survivability Corporation (USSC)   
-
    469 
USALCO, LLC   
-
    1,494 
Vehicle Accessories, Inc.   2,064    1,671 
Workholding US Holdings, LLC (Forkardt Hardinge)   3,144    
-
 
Worldwide Produce Acquisition, LLC   424    1,286 
Total unfunded commitments  $186,282   $147,928 

 

From time to time, the Company may become a party to certain legal proceedings incidental to the normal course of its business. As of December 31, 2024 and 2023, management was not aware of any material pending or threatened litigation that would require accounting recognition or financial statement disclosure. 

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Historical Timeline

Fiscal YearFiled
2024Mar 3, 2025Showing above
2023Feb 29, 2024

About Commitments Disclosures

Commitments and contingencies disclosures catalog a company's off-balance-sheet obligations and legal exposures — purchase commitments, guarantee arrangements, pending litigation, and regulatory proceedings. These items represent potential future cash outflows that may not appear as liabilities on the balance sheet until they become probable and estimable.

Key signals: litigation reserves and disclosed loss ranges quantify management's estimate of legal exposure, but unquantified "reasonably possible" losses often represent the larger risk. Watch for changes in language around pending cases — shifts from "remote" to "reasonably possible" or increases in estimated loss ranges signal deteriorating outcomes. Unconditional purchase obligations and take-or-pay contracts create fixed cost structures that reduce operational flexibility. Guarantee arrangements for subsidiaries or joint ventures can create cascading obligations. Compare the total commitment schedule against projected free cash flow to assess whether the company can meet its obligations without additional financing.