UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 10-Q

[X]
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE

SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended June 30, 2020March 31, 2021

[  ]
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE

SECURITIES EXCHANGE ACT OF 1934

For the transition period from ___________ to ______________

Commission file number 814-01253

Venture Lending & Leasing IX, Inc.
(Exact Name of Registrant as specified in its charter)
Maryland82-2040715
(State or other jurisdiction of incorporation or organization)(I.R.S. Employer Identification No.)
104 La Mesa Drive, Suite 102, Portola Valley, CA94028
(Address of principal executive offices)(Zip Code)

(650) 234-4300
(Registrant’s telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act: None

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes [x]  No [ ]

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes [ ]   No [ ]

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company.  See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
Large accelerated filer [ ]Accelerated filer [ ]Non-accelerated filer [x]Smaller reporting company [ ]
Emerging growth company [ ]
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. [ ]


Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).  Yes [ ] No [x]
Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date:
ClassOutstanding as of AugustMay 13, 20202021
Common Stock, $0.001 par value100,000



VENTURE LENDING & LEASING IX, INC.
INDEX
PART I — FINANCIAL INFORMATION
Item 1.Financial Statements
Condensed Statements of Assets and Liabilities (Unaudited)
As of June 30, 2020March 31, 2021 and December 31, 20192020
Condensed Statements of Operations (Unaudited)
For the three and six months ended June 30,March 31, 2021 and 2020 and 2019
Condensed Statements of Changes in Net Assets (Unaudited)
For the three and six months ended June 30,March 31, 2021 and 2020 and 2019
Condensed Statements of Cash Flows (Unaudited)
For the sixthree months ended June 30,March 31, 2021 and 2020 and 2019
Condensed Schedules of Investments (Unaudited)
As of June 30, 2020March 31, 2021 and December 31, 20192020
Condensed Schedules of Derivative Instruments (Unaudited)
As of June 30, 2020March 31, 2021 and December 31, 20192020
Notes to Condensed Financial Statements (Unaudited)
Item 2.Management’s Discussion and Analysis of Financial Condition and Results of Operations
Item 3.Quantitative and Qualitative Disclosures About Market Risk
Item 4.Controls and Procedures
PART II — OTHER INFORMATION
Item 1.Legal Proceedings
Item 1A.Risk Factors
Item 2.Unregistered Sales of Equity Securities and Use of Proceeds
Item 3.Defaults Upon Senior Securities
Item 4.Mine Safety Disclosures
Item 5.Other Information
Item 6.Exhibits
SIGNATURES



PART I - FINANCIAL INFORMATION

Item 1. Financial Statements

VENTURE LENDING & LEASING IX, INC.

CONDENSED STATEMENTS OF ASSETS AND LIABILITIES (UNAUDITED)
AS OF JUNE 30, 2020MARCH 31, 2021 AND DECEMBER 31, 20192020


 March 31, 2021
December 31, 2020(a)
ASSETS
Loans, at estimated fair value
   (cost of $367,146,680 and $323,011,028)$355,521,027 $310,522,149 
Derivative asset191,822 — 
Cash and cash equivalents5,318,574 12,497,243 
Dividend and interest receivables4,976,157 3,856,598 
Deferred bank fees2,602,166 428,638 
Other assets532,516 257,168 
Total assets369,142,262 327,561,796 
  
LIABILITIES
Borrowings under debt facility184,700,000 140,000,000 
Accrued management fees1,811,250 1,811,250 
Derivative liability1,036,650 1,254,214 
Accounts payable and other accrued liabilities1,353,468 1,169,497 
Total liabilities188,901,368 144,234,961 
  
NET ASSETS$180,240,894 $183,326,835 
  
Analysis of Net Assets: 
  
Capital paid in on shares of capital stock$257,125,000 $243,125,000 
Total distributable losses(76,884,106)(59,798,165)
Net assets (equivalent to $1,802.41 and $1,833.27 per share based on 100,000 shares of capital stock outstanding - See Note 5 and Note 11)$180,240,894 $183,326,835 
Commitments & Contingent Liabilities:
Unexpired unfunded commitments (See Note 10)$85,450,000 $83,200,000 
(a) Certain prior period information has been disclosed to conform to current presentation.

 June 30, 2020 December 31, 2019
ASSETS   
Loans, at estimated fair value   
   (cost of $266,512,433 and $204,215,179)$259,423,657
 $203,311,245
Cash and cash equivalents7,996,482
 10,754,759
Dividend and interest receivables3,159,757
 2,701,713
Other assets805,052
 939,716
Total assets271,384,948
 217,707,433
    
LIABILITIES   
Borrowings under debt facility120,000,000
 100,000,000
Accrued management fees1,840,000
 1,840,000
Derivative liability1,972,891
 825,574
Accounts payable and other accrued liabilities850,363
 1,209,486
Total liabilities124,663,254
 103,875,060
    
NET ASSETS$146,721,694
 $113,832,373
    
Analysis of Net Assets:   
    
Capital paid in on shares of capital stock$181,125,000
 $148,125,000
Total distributable losses(34,403,306) (34,292,627)
Net assets (equivalent to $1,467.22 and $1,138.32 per share based on 100,000 shares of capital stock outstanding - See Note 5 and Note 11)$146,721,694
 $113,832,373
    
Commitments & Contingent Liabilities:   
Unexpired unfunded commitments (See Note 10)$77,533,333
 $77,950,000











See notes to condensed financial statements.statements (unaudited).
3


VENTURE LENDING & LEASING IX, INC.

CONDENSED STATEMENTS OF OPERATIONS (UNAUDITED)
FOR THE THREE ENDED MARCH 31, 2021 AND SIX MONTHS ENDED JUNE 30, 2020 AND 2019


 For the Three Months Ended March 31, 2021For the Three Months Ended March 31, 2020
 
INVESTMENT INCOME:
Interest on loans$14,687,248 $10,346,918 
       Other interest and other income21,555 500,696 
Total investment income14,708,803 10,847,614 
 
EXPENSES:
Management fees1,811,250 1,840,000 
Interest expense1,213,164 1,229,785 
Banking and professional fees101,759 65,016 
Other operating expenses30,644 32,259 
Total expenses3,156,817 3,167,060 
Net investment income11,551,986 7,680,554 
 
Net realized loss from loans(119,127)— 
Net realized loss from derivative instruments(315,702)(86,059)
Net change in unrealized gain (loss) from loans863,226 (6,431,712)
Net change in unrealized gain (loss) from derivative instruments409,386 (1,130,595)
Net realized and change in unrealized gain (loss) from loans and derivative instruments837,783 (7,648,366)
 
Net increase in net assets resulting from operations$12,389,769 $32,188 
Amounts per common share:
Net increase in net assets resulting from operations per share$123.90 $0.32 
Weighted average shares outstanding100,000 100,000 
 For the Three Months Ended June 30, 2020 For the Three Months Ended June 30, 2019 For the Six Months Ended June 30, 2020 For the Six Months Ended June 30, 2019
        
INVESTMENT INCOME:       
Interest on loans$9,308,799
 $5,405,804
 $19,655,717
 $9,370,411
       Other interest and other income11,308
 93,128
 512,004
 144,366
Total investment income9,320,107
 5,498,932
 20,167,721
 9,514,777
        
EXPENSES:       
Management fees1,840,000
 1,811,250
 3,680,000
 3,622,500
Interest expense921,686
 895,339
 2,151,471
 1,611,904
Banking and professional fees191,921
 116,612
 256,937
 292,203
Other operating expenses26,329
 30,210
 58,587
 64,175
Total expenses2,979,936
 2,853,411
 6,146,995
 5,590,782
Net investment income6,340,171
 2,645,521
 14,020,726
 3,923,995
        
Net realized loss from derivative instruments(254,229) (3,995) (340,288) (4,914)
Net change in unrealized gain (loss) from loans246,869
 12,314
 (6,184,843) —
Net change in unrealized loss from derivative instruments(16,721) (597,571) (1,147,317) (900,934)
Net realized and change in unrealized loss from loans and derivative instruments(24,081) (589,252) (7,672,448) (905,848)
        
Net increase in net assets resulting from operations$6,316,090
 $2,056,269
 $6,348,278
 $3,018,147
        
Amounts per common share:       
Net increase in net assets resulting from operations per share$63.16
 $20.56
 $63.48
 $30.18
Weighted average shares outstanding100,000
 100,000
 100,000
 100,000














See notes to condensed financial statements.statements (unaudited).
4


VENTURE LENDING & LEASING IX, INC.

CONDENSED STATEMENTS OF CHANGES IN NET ASSETS (UNAUDITED)
FOR THE THREE AND SIX MONTHS ENDED JUNE 30,MARCH 31, 2021 AND 2020 AND 2019
Common Stock
 SharesPar ValueAdditional Paid-in CapitalTotal Distributable Earnings (Loss)Net Assets
Balance at December 31, 2019100,000 $100 $148,124,900 $(34,292,627)$113,832,373 
Net increase in net assets resulting from operations— — — 32,188 32,188 
Distributions to shareholder— — — (4,220,856)(4,220,856)
Contributions from shareholder— — 33,000,000 — 33,000,000 
Balance at March 31, 2020100,000 $100 $181,124,900 $(38,481,295)$142,643,705 
Balance at December 31, 2020100,000 $100 $243,124,900 $(59,798,165)$183,326,835 
Net increase in net assets resulting from operations— — — 12,389,769 12,389,769 
Distributions to shareholder— — — (29,475,710)(29,475,710)
Contributions from shareholder— — 14,000,000 — 14,000,000 
Balance at March 31, 2021100,000 $100 $257,124,900 $(76,884,106)$180,240,894 
 Common Stock      
 SharesPar Value Additional Paid-in Capital Total Distributable Earnings (Loss) Net Assets
Balance at March 31, 2019100,000
$100
 $92,524,900
 $(25,608,200) $66,916,800
Net increase in net assets resulting from operations—
—
 —
 2,056,269
 2,056,269
Distributions to shareholder—
—
 —
 (3,079,321) (3,079,321)
Contributions from shareholder—
—
 10,000,000
 —
 10,000,000
Balance at June 30, 2019100,000
$100
 $102,524,900
 $(26,631,252) $75,893,748
         
Balance at March 31, 2020100,000
$100
 $181,124,900
 $(38,481,295) $142,643,705
Net increase in net assets resulting from operations—
—
 —
 6,316,090
 6,316,090
Distributions to shareholder—
—
 —
 (2,238,101) (2,238,101)
Contributions from shareholder—
—
 —
 —
 —
Balance at June 30, 2020100,000
$100
 $181,124,900
 $(34,403,306) $146,721,694

        
Balance at December 31, 2018100,000
$100
 $82,524,900
 $(8,436,273) $74,088,727
Net increase in net assets resulting from operations—
—
 —
 3,018,147
 3,018,147
Distributions to shareholder—
—
 —
 (21,213,126) (21,213,126)
Contributions from shareholder—
—
 20,000,000
 —
 20,000,000
Balance at June 30, 2019100,000
$100
 $102,524,900
 $(26,631,252) $75,893,748
         
Balance at December 31, 2019100,000
$100
 $148,124,900
 $(34,292,627) $113,832,373
Net increase in net assets resulting from operations—
—
 —
 6,348,278
 6,348,278
Distributions to shareholder—
—
 —
 (6,458,957) (6,458,957)
Contributions from shareholder—
—
 33,000,000
 —
 33,000,000
Balance at June 30, 2020100,000
$100
 $181,124,900
 $(34,403,306) $146,721,694





























See notes to condensed financial statements.statements (unaudited).
5


VENTURE LENDING & LEASING IX INC.

CONDENSED STATEMENTS OF CASH FLOWS (UNAUDITED)
FOR THE SIXTHREE MONTHS ENDED JUNE 30,MARCH 31, 2021 AND 2020 AND 2019


For the Six Months Ended June 30, 2020 For the Six Months Ended June 30, 2019 For the Three Months Ended March 31, 2021
For the Three Months Ended March 31, 2020(a)
CASH FLOWS FROM OPERATING ACTIVITIES:   CASH FLOWS FROM OPERATING ACTIVITIES: 
Net increase in net assets resulting from operations$6,348,278
 $3,018,147
Net increase in net assets resulting from operations$12,389,769 $32,188 
Adjustments to reconcile net increase in net assets resulting from operations to net cash used in operating activities:   Adjustments to reconcile net increase in net assets resulting from operations to net cash used in operating activities: 
Net realized loss from loansNet realized loss from loans119,127 — 
Net realized loss from derivative instruments340,288
 4,914
Net realized loss from derivative instruments315,702 86,059 
Net change in unrealized loss from loans6,184,843
 —
Net change in unrealized loss from derivative instruments1,147,317
 900,934
Net change in unrealized (gain) loss from loansNet change in unrealized (gain) loss from loans(863,226)6,431,712 
Net change in unrealized (gain) loss from derivative instrumentsNet change in unrealized (gain) loss from derivative instruments(409,386)1,130,595 
Amortization of deferred costs related to borrowing facility214,319
 211,610
Amortization of deferred costs related to borrowing facility143,722 107,159 
Net increase in dividend and interest receivables(458,043) (747,239)Net increase in dividend and interest receivables(1,119,559)(178,989)
Net increase in other assets(79,655) (63,355)Net increase in other assets(275,348)(188,758)
Net (increase) decrease in accounts payable, other accrued liabilities and accrued management fees(359,123) 1,430,266
Net (increase) decrease in accounts payable, other accrued liabilities and accrued management fees183,971 (1,984,916)
Origination of loans(97,216,667) (63,900,000)Origination of loans(73,625,000)(59,383,334)
Principal payments on loans34,354,421
 11,978,871
Principal payments on loans26,060,785 25,300,240 
Accretion of discount on loansAccretion of discount on loans3,283,148 2,025,631 
Acquisition of equity securities(5,893,967) (4,450,608)Acquisition of equity securities(9,349,422)(4,159,722)
Net cash used in operating activities(55,417,989) (51,616,460)Net cash used in operating activities(43,145,717)(30,782,135)
   
CASH FLOWS FROM FINANCING ACTIVITIES:   CASH FLOWS FROM FINANCING ACTIVITIES: 
Cash distributions to shareholder—
 (16,000,000)Cash distributions to shareholder(20,100,000)— 
Contributions from shareholder33,000,000
 20,000,000
Contributions from shareholder14,000,000 33,000,000 
Borrowings under debt facility52,500,000
 60,500,000
Borrowings under debt facility52,700,000 20,500,000 
Repayments of borrowings under debt facility(32,500,000) (10,000,000)Repayments of borrowings under debt facility(8,000,000)(29,000,000)
Payments made for derivative instruments(340,288) (4,914)Payments made for derivative instruments(315,702)(86,059)
Payments of bank facility fees and costsPayments of bank facility fees and costs(2,317,250)— 
Net cash provided by financing activities52,659,712
 54,495,086
Net cash provided by financing activities35,967,048 24,413,941 
   
Net increase (decrease) in cash and cash equivalents(2,758,277) 2,878,626
Net decrease in cash and cash equivalentsNet decrease in cash and cash equivalents(7,178,669)(6,368,194)
   
CASH AND CASH EQUIVALENTS:   CASH AND CASH EQUIVALENTS: 
Beginning of period10,754,759
 832,815
Beginning of period12,497,243 10,754,759 
End of period$7,996,482
 $3,711,441
End of period$5,318,574 $4,386,565 
   
SUPPLEMENTAL DISCLOSURES:   SUPPLEMENTAL DISCLOSURES: 
CASH PAID DURING THE PERIOD:   
  CASH PAID DURING THE PERIOD:   
Interest - Debt facility$2,031,760
 $1,282,796
Interest - Debt facility$921,922 $1,136,840 
NON-CASH OPERATING AND FINANCING ACTIVITIES:   
  NON-CASH OPERATING AND FINANCING ACTIVITIES:   
Distributions of equity securities and convertible note to shareholder$6,458,958
 $5,213,126
Receipt of equity securities and convertible note as repayment of loans$564,991
 $762,518
Distributions of equity securities to shareholderDistributions of equity securities to shareholder$9,375,710 $4,220,856 
Receipt of equity securities as repayment of loansReceipt of equity securities as repayment of loans$26,288 $61,134 
(a) Certain prior period information has been disclosed to conform to current presentation.
(a) Certain prior period information has been disclosed to conform to current presentation.
See notes to condensed financial statements.

statements (unaudited).
6

VENTURE LENDING & LEASING IX, INC.

CONDENSED SCHEDULE OF INVESTMENTS (UNAUDITED)
AS OF JUNE 30, 2020MARCH 31, 2021


IndustryBorrowerPercent of Net Assets (a)CollateralInterest Rate (b)End of Term Payment (c)PrincipalCostFair ValueMaturity Date
Biotechnology
Antheia, Inc.Senior Secured11.5%$1,081,509 $1,051,563 $1,051,563 12/1/2022
Antheia, Inc.Senior Secured11.5%1,082,586 1,071,635 1,071,635 12/1/2022
Antheia, Inc. Subtotal2,164,095 2,123,1982,123,198 
Driver Bioengineering, Inc.Senior Secured11.0%790,221 775,894 775,894 6/1/2023
Driver Bioengineering, Inc.Senior Secured11.0%316,327 285,027 285,027 4/1/2023
Driver Bioengineering, Inc. Subtotal1,106,548 1,060,9211,060,921 
GLO Pharma, Inc.Senior Secured10.5%2,965,000 2,860,538 2,860,538 12/1/2024
Quartzy, Inc.Senior Secured12.0%1,112,854 1,088,018 1,088,018 5/1/2024
Quartzy, Inc.Senior Secured12.0%664,148 601,485 601,485 8/1/2023
Quartzy, Inc.Senior Secured12.0%1,113,248 1,086,280 1,086,280 7/1/2024
Quartzy, Inc. Subtotal2,890,250 2,775,783 2,775,783 
Biotechnology Total4.9%$9,125,893 $8,820,440 $8,820,440 
Enterprise Networking
Diamanti, Inc.Senior Secured12.3%$5,439,664 $4,877,181 $4,877,181 5/1/2024
Diamanti, Inc.Senior Secured12.3%494,664 470,507 470,507 7/1/2024
Diamanti, Inc. Subtotal5,934,328 5,347,688 5,347,688 
Enterprise Networking Total3.0%$5,934,328 $5,347,688 $5,347,688 
Computers & Storage
Canary Connect, Inc.Senior Secured12.8%$2,036,659 $1,990,134 $1,990,134 3/1/2023
Canary Connect, Inc.Senior Secured12.0%7,916,235 7,476,106 7,476,106 3/1/2024
Canary Connect, Inc.Senior Secured12.0%1,979,778 1,928,620 1,928,620 3/1/2024
Canary Connect, Inc. Subtotal11,932,672 11,394,860 11,394,860 
Fetch Robotics, Inc.Senior Secured12.0%7,416,476 7,131,426 7,131,426 6/1/2024
Fetch Robotics, Inc.Senior Secured12.0%1,484,984 1,454,080 1,454,080 6/1/2024
Fetch Robotics, Inc. Subtotal8,901,460 8,585,506 8,585,506 
Computers & Storage Total11.1%$20,834,132 $19,980,366 $19,980,366 
Internet
Ainsly, Inc. ** ^Senior Secured12.5%$149,459 $149,459 $149,459 8/1/2022
Ainsly, Inc. ** ^Senior Secured12.5%448,345 426,896 426,896 8/1/2022
Ainsly, Inc. ** ^Senior Secured12.5%247,256 221,415 221,415 9/1/2023
Ainsly, Inc. Subtotal ** ^845,060 797,770 797,770 
iZENEtech, Inc. ** ^Senior Secured12.3%5,000,000 4,704,4894,704,489 9/1/2024
Lukla, Inc.Senior Secured12.5%361,882 327,333327,333 12/1/2022
Lukla, Inc.Senior Secured12.5%225,800 217,661 217,661 6/1/2023
Lukla, Inc. Subtotal587,682 544,994 544,994 
Merchbar, Inc.Senior Secured11.8%406,810 390,336 390,336 3/1/2023
MyPizza Technologies, Inc.Senior Secured11.5%2,471,027 2,439,629 2,439,629 2/1/2024
MyPizza Technologies, Inc.Senior Secured11.5%4,941,392 4,802,055 4,802,055 12/1/2023
MyPizza Technologies, Inc. Subtotal7,412,419 7,241,684 7,241,684 
7

IndustryBorrower Percent of Net Assets (a) Collateral Interest Rate (b) End of Term Payment (c) Principal Cost Fair Value Maturity Date
                  
Biotechnology                 
 Antheia, Inc.   Senior Secured 11.5%   $1,484,156
 $1,463,369
 $1,463,369
 12/1/2022
 Antheia, Inc.   Senior Secured 11.5%   1,482,679
 1,426,110
 1,426,110
 12/1/2022
 Antheia, Inc. Subtotal         2,966,835
 2,889,479
 2,889,479
  
 Driver Bioengineering, Inc.   Senior Secured 11.0%   866,712
 844,484
 844,484
 6/1/2023
 Driver Bioengineering, Inc.   Senior Secured 11.0%   371,515
 319,318
 319,318
 4/1/2023
 Driver Bioengineering, Inc. Subtotal         1,238,227
 1,163,802
 1,163,802
  
 Quartzy, Inc.   Senior Secured 12.0%   742,027
 645,116
 645,116
 8/1/2023
Biotechnology Total  3.2%       $4,947,089
 $4,698,397
 $4,698,397
  
                  
Computers & Storage                 
 Canary Connect, Inc.   Senior Secured 12.8%   $2,471,020
 $2,390,465
 $2,390,465
 3/1/2023
 Fetch Robotics, Inc.   Senior Secured 12.0%   7,423,631
 7,053,862
 7,053,862
 6/1/2024
Computers & Storage Total  6.4%       $9,894,651
 $9,444,327
 $9,444,327
  
                  
Internet                 
 Ainsly, Inc. ** ^   Senior Secured 12.5%   $218,547
 $218,547
 $218,547
 8/1/2022
 Ainsly, Inc. ** ^   Senior Secured 12.5%   655,595
 610,032
 610,032
 8/1/2022
 Ainsly, Inc. Subtotal ** ^         874,142
 828,579
 828,579
  
 Amino Payments, Inc.   Senior Secured 10.8%   492,264
 468,252 468,252
 3/1/2022
 Cesium, Inc.   Senior Secured 10.3%   247,656
 232,824 232,824
 1/1/2023
 Cesium, Inc.   Senior Secured 10.3%   123,870
 121,714
 121,714
 1/1/2023
 Cesium, Inc. Subtotal         371,526
 354,538
 354,538
  
 Lukla, Inc.   Senior Secured 12.5%   494,434
 430,687
 430,687
 12/1/2022
 Lukla, Inc.   Senior Secured 12.5%   245,052
 232,102
 232,102
 6/1/2023
 Lukla, Inc. Subtotal         739,486
 662,789
 662,789
  
 Marley Spoon, Inc. ** ^   Senior Secured 12.0% 2.5% 3,710,038
 2,792,320
 2,792,320
 5/1/2023
 Masse, Inc.   Senior Secured 18.0%   1,703,002
 691,508
 467,293
 *
 Merchbar, Inc.   Senior Secured 11.8%   494,654
 466,125
 466,125
 3/1/2023
 MyPizza Technologies, Inc.   Senior Secured 11.5%   2,473,404
 2,430,359
 2,430,359
 2/1/2024
 MyPizza Technologies, Inc.   Senior Secured 11.5%   4,946,199
 4,749,774
 4,749,774
 12/1/2023
 MyPizza Technologies, Inc. Subtotal         7,419,603
 7,180,133
 7,180,133
  
 Nimble Rx, Inc.   Senior Secured 12.0%   1,236,479
 1,104,553
 1,104,553
 2/1/2023
 OneLocal, Inc. ** ^   Senior Secured 12.3%   329,900
 323,280
 323,280
 3/1/2023
 OneLocal, Inc. ** ^   Senior Secured 12.3%   329,823
 302,028
 302,028
 3/1/2023
 OneLocal, Inc. Subtotal ** ^         659,723
 625,308
 625,308
  
 Osix Corporation   Senior Secured 12.3%   62,924
 57,016
 57,016
 12/1/2021
 RenoFi, Inc.   Senior Secured 12.0%   247,449
 226,872
 226,872
 6/1/2023
 Residently USA, LLC ** ^   Senior Secured 12.0%   989,598
 869,398
 869,398
 2/1/2023
 Serface Care, Inc.   Senior Secured 12.3%   173,167
 170,056 68,618
 2/1/2022
 Serface Care, Inc.   Senior Secured 12.3%   519,374
 495,122 199,785
 2/1/2022
 Serface Care, Inc. Subtotal         692,541
 665,178
 268,403
  
 Shadow, PBC   Senior Secured 11.5%   508,638
 465,897
 465,897
 10/1/2022


IndustryBorrowerPercent of Net Assets (a)CollateralInterest Rate (b)End of Term Payment (c)PrincipalCostFair ValueMaturity Date
Nimble Rx, Inc.Senior Secured12.0%1,236,553 1,194,266 1,194,266 11/1/2023
Nimble Rx, Inc.Senior Secured12.0%979,848 904,916904,916 2/1/2023
Nimble Rx, Inc. Subtotal2,216,401 2,099,1822,099,182 
OneLocal, Inc. ** ^Senior Secured12.3%271,631 266,921266,921 3/1/2023
OneLocal, Inc. ** ^Senior Secured12.3%271,620 267,814 267,814 3/1/2023
OneLocal, Inc. ** ^Senior Secured12.3%271,555 255,390 255,390 3/1/2023
OneLocal, Inc. Subtotal ** ^814,806 790,125790,125 
Osix CorporationSenior Secured12.3%32,900 31,19631,196 12/1/2021
RenoFi, Inc.Senior Secured12.0%989,587 950,386950,386 12/1/2023
RenoFi, Inc.Senior Secured12.0%225,874 221,644221,644 6/1/2023
RenoFi, Inc.Senior Secured12.0%225,750 212,839212,839 6/1/2023
RenoFi, Inc. Subtotal1,441,211 1,384,869 1,384,869 
Residently USA, LLC ** ^Senior Secured12.0%784,214 715,748 715,748 2/1/2023
Residently USA, LLC ** ^Senior Secured12.0%371,172 371,172371,172 12/1/2023
Residently USA, LLC Subtotal ** ^1,155,386 1,086,920 1,086,920 
RetailerX, Inc.Senior Secured12.0%989,574 933,505933,505 5/1/2024
Serface Care, Inc.Senior Secured12.3%961,139 548,61712,289 *
Shadow, PBCSenior Secured11.5%412,053 390,030390,030 10/1/2022
Starface World, Inc.Senior Secured12.0%494,784 483,254483,254 1/1/2024
Starface World, Inc.Senior Secured11.3%2,476,244 2,317,9142,317,914 10/1/2024
Starface World, Inc.Senior Secured12.0%989,267 933,283933,283 11/1/2023
Starface World, Inc. Subtotal3,960,295 3,734,451 3,734,451 
Stay Alfred, Inc.Senior Secured18.0%6,061,856 4,548,360 1,078,860 *
Verishop, Inc.Senior Secured12.0%2,297,296 2,207,6192,207,619 12/1/2023
Verishop, Inc.Senior Secured12.0%2,298,166 2,268,5122,268,512 12/1/2023
Verishop, Inc. Subtotal4,595,462 4,476,1314,476,131 
VineBox Inc.Senior Secured12.0%2,956,000 2,795,245 2,795,245 9/1/2024
Internet Total18%$39,849,054 $36,497,904 $32,492,076 
Medical Devices
Ablacon, Inc.Senior Secured11.0%$2,033,124 $2,006,546 $2,006,546 3/1/2023
Ablacon, Inc.Senior Secured11.0%2,032,375 1,961,252 1,961,252 3/1/2023
Ablacon, Inc. Subtotal4,065,499 3,967,7983,967,798 
Anutra Medical, Inc.Senior Secured12.0%165,114 160,268 160,268 10/1/2022
CytoVale, Inc.Senior Secured12.0%481,855 473,967 473,967 11/1/2023
CytoVale, Inc.Senior Secured12.0%306,281 303,702303,702 6/1/2022
CytoVale, Inc.Senior Secured12.0%248,603 241,962241,962 3/1/2022
CytoVale, Inc.Senior Secured12.0%468,852 448,057448,057 10/1/2023
CytoVale, Inc.Senior Secured12.0%260,096 257,762257,762 7/1/2022
CytoVale, Inc.Senior Secured12.0%1,979,584 1,864,8401,864,840 9/1/2024
CytoVale, Inc.Senior Secured12.0%990,000 960,525960,525 11/1/2024
CytoVale, Inc. Subtotal4,735,271 4,550,8154,550,815 
eXo Imaging, Inc.Senior Secured11.8%1,978,185 1,857,0521,857,052 9/1/2023
eXo Imaging, Inc.Senior Secured11.8%1,979,953 1,941,4381,941,438 9/1/2023
eXo Imaging, Inc. Subtotal3,958,138 3,798,490 3,798,490 
Medrobotics Corporation, Inc.Senior Secured18.0%10,000,000 8,793,564 3,275,463 *
Siren Care, Inc.Senior Secured12.5%988,793 971,529971,529 10/1/2023
Siren Care, Inc.Senior Secured12.5%1,977,097 1,895,8331,895,833 10/1/2023
8

IndustryBorrower Percent of Net Assets (a) Collateral Interest Rate (b) End of Term Payment (c) Principal Cost Fair Value Maturity DateIndustryBorrowerPercent of Net Assets (a)CollateralInterest Rate (b)End of Term Payment (c)PrincipalCostFair ValueMaturity Date
Stay Alfred, Inc. Senior Secured 18.0% 6,061,856
 4,546,662
 634,813
 *
Verishop, Inc. Senior Secured 12.0% 2,473,674
 2,429,650
 2,429,650
 12/1/2023
Verishop, Inc. Senior Secured 12.0% 2,472,793
 2,340,327
 2,340,327
 12/1/2023
Verishop, Inc. Subtotal   4,946,467
 4,769,977
 4,769,977
 
Internet Total 15.2%   $31,210,390
 $26,775,105
 $22,242,266
 
         
Medical Devices         
Ablacon, Inc. Senior Secured 11.0% $2,475,332
 $2,351,563
 $2,351,563
 3/1/2023
Ablacon, Inc. Senior Secured 11.0% 2,476,220
 2,429,716
 2,429,716
 3/1/2023
Ablacon, Inc. Subtotal   4,951,552
 4,781,279
 4,781,279
 
Anutra Medical, Inc. Senior Secured 12.0% 233,078
 223,395
 223,395
 10/1/2022
CytoVale, Inc. Senior Secured 12.0% 494,795
 463,625 463,625
 10/1/2023
CytoVale, Inc. Senior Secured 12.0% 389,196
 383,951 383,951
 7/1/2022
CytoVale, Inc. Senior Secured 12.0% 494,995
 483,343 483,343
 11/1/2023
CytoVale, Inc. Senior Secured 12.0% 469,270
 463,208
 463,208
 6/1/2022
CytoVale, Inc. Senior Secured 12.0% 416,515
 398,198
 398,198
 3/1/2022
CytoVale, Inc. Subtotal   2,264,771
 2,192,325
 2,192,325
 
eXo Imaging, Inc. Senior Secured 11.8% 1,980,023
 1,800,578
 1,800,578
 9/1/2023
Medrobotics Corporation, Inc. Senior Secured 18.0% 10,000,000
 8,793,564
 7,734,794
 *
NeuMoDx Molecular, Inc. Senior Secured 12.0% 3,456,883
 3,290,972
 3,290,972
 4/1/2023
NeuMoDx Molecular, Inc. Senior Secured 12.0% 3,460,548
 3,413,930
 3,413,930
 4/1/2023Siren Care, Inc. Subtotal2,965,890 2,867,3622,867,362 
NeuMoDx Molecular, Inc. Senior Secured 12.0% 2,967,451
 2,908,792
 2,908,792
 4/1/2023SVN Med, LLCSenior Secured15.0%1,972,662 1,572,9811,572,981 12/1/2023
NeuMoDx Molecular, Inc. Subtotal   9,884,882
 9,613,694
 9,613,694
 SVN Med, LLCSenior Secured15.0%986,574 780,841 780,841 12/1/2023
Siren Care, Inc. Senior Secured 12.5% 1,979,142
 1,861,088
 1,861,088
 10/1/2023SVN Med, LLC Subtotal2,959,236 2,353,822 2,353,822 
Medical Devices Total 19.2%   $31,293,448
 $29,265,923
 $28,207,153
 Medical Devices Total11.6%$28,849,148 $26,492,119 $20,974,018 
         
Other Healthcare         Other Healthcare
Artisan Development Labs, Inc. Senior Secured 12.3% $494,824
 $415,716
 $415,716
 4/1/2023Artisan Development Labs, Inc.Senior Secured12.3%$422,276 $374,394 $374,394 4/1/2023
Caredox, Inc. Senior Secured 11.8% 785,090
 765,956
 675,786
 7/1/2022Caredox, Inc.Senior Secured11.8%735,428 725,747 725,747 7/1/2022
Discover Echo, Inc. Senior Secured 11.0% 165,323
 162,203
 162,203
 12/1/2020GoForward, Inc.Senior Secured11.5%6,179,248 5,797,554 5,797,554 9/1/2023
GoForward, Inc. Senior Secured 11.5% 6,185,050
 5,619,100
 5,619,100
 9/1/2023GoForward, Inc.Senior Secured11.5%3,094,102 3,012,457 3,012,457 6/1/2024
Grin, Inc. Senior Secured 12.0% 494,833
 482,988
 482,988
 1/1/2024GoForward, Inc. Subtotal9,273,350 8,810,011 8,810,011 
Grin, Inc. Senior Secured 12.0% 989,770
 932,213
 932,213
 10/1/2023Grin, Inc.Senior Secured12.0%937,887 899,516 899,516 10/1/2023
Grin, Inc. Subtotal   1,484,603
 1,415,201
 1,415,201
 Grin, Inc.Senior Secured12.0%494,584 485,983 485,983 1/1/2024
Hello Heart Inc. Senior Secured 11.0% 990,481
 972,854
 972,854
 4/1/2023Grin, Inc. Subtotal1,432,471 1,385,499 1,385,499 
Hello Heart Inc. Senior Secured 11.0% 1,237,765
 1,169,801
 1,169,801
 4/1/2023Hello Heart Inc.Senior Secured11.0%1,053,878 1,013,739 1,013,739 4/1/2023
Hello Heart Inc. Subtotal   2,228,246
 2,142,655
 2,142,655
 Hello Heart Inc.Senior Secured11.0%1,981,241 1,938,852 1,938,852 6/1/2025
HumanAPI, Inc. Senior Secured 11.8% 1,398,093
 1,331,293
 1,331,293
 10/1/2022Hello Heart Inc.Senior Secured11.0%742,616 731,614 731,614 11/1/2023
HumanAPI, Inc. Senior Secured 11.8% 494,755
 487,180
 487,180
 1/1/2023Hello Heart Inc.Senior Secured11.0%1,981,241 1,815,954 1,815,954 6/1/2024
HumanAPI, Inc. Subtotal   1,892,848
 1,818,473
 1,818,473
 Hello Heart Inc.Senior Secured11.0%843,340 832,995 832,995 4/1/2023
Sparta Software Corporation Senior Secured 11.5% 2.2% 396,731
 384,865
 384,865
 5/1/2022Hello Heart Inc. Subtotal6,602,316 6,333,154 6,333,154 
Therapydia, Inc. Senior Secured 12.0% 1.7% 115,684
 108,056
 108,056
 3/1/2023Honeybee Health, Inc.Senior Secured11.0%990,820 856,421856,421 6/1/2024
Therapydia, Inc. Senior Secured 12.5% 1.7% 124,207
 124,207
 124,207
 6/1/2023HumanAPI, Inc.Senior Secured11.8%376,582 372,471372,471 1/1/2023
Therapydia, Inc. Subtotal   239,891
 232,263
 232,263
 HumanAPI, Inc.Senior Secured11.8%989,575 956,134956,134 10/1/2022
HumanAPI, Inc. Subtotal1,366,157 1,328,6051,328,605 
Oula Heath, Inc.Senior Secured12.0%742,344 690,582690,582 2/1/2024
PeerWell, Inc.Senior Secured12.0%989,411 921,316921,316 3/1/2024
Sparta Software CorporationSenior Secured11.5%2.2%256,637 251,667251,667 5/1/2022
Therapydia, Inc.Senior Secured12.5%1.7%97,822 97,82297,822 6/1/2023
Therapydia, Inc.Senior Secured12.0%1.7%88,466 84,03384,033 3/1/2023
Therapydia, Inc. Subtotal186,288 181,855181,855 
Tia, Inc.Senior Secured11.8%2,459,200 2,401,969 2,401,969 9/1/2024
Tia, Inc.Senior Secured11.8%1,979,457 1,728,4131,728,413 5/1/2024
Tia, Inc. Subtotal4,438,657 4,130,3824,130,382 
Vessel Health, Inc.Senior Secured12.0%618,343 567,283 567,283 3/1/2024
Vessel Health, Inc.Senior Secured12.0%618,429 618,429618,429 3/1/2024
Vessel Health, Inc. Subtotal1,236,772 1,185,7121,185,712 
Other Healthcare Total 8.8%   $13,872,606
 $12,956,432
 $12,866,262
 Other Healthcare Total15.1%$28,672,927 $27,175,345 $27,175,345 
         
Other Technology         Other Technology
Aclima, Inc. Senior Secured 11.9% $1,687,778
 $1,503,778
 $1,503,778
 4/1/20228E14 NetworksSenior Secured13.0%$296,569 $223,778 $223,778 9/1/2023
Antitoxin Technologies Inc. ** ^ Senior Secured 11.5% 451,680
 425,197
 425,197
 9/1/20228E14 NetworksSenior Secured13.0%296,677 296,677 296,677 12/1/2023
8E14 Networks Subtotal593,246 520,455 520,455 
8i CorporationSenior Secured12.0%1,484,552 1,397,6141,397,614 12/1/2023
Aclima, Inc.Senior Secured12.0%1,979,196 1,763,9861,763,986 10/1/2023
Aclima, Inc.Senior Secured11.9%777,204 726,793726,793 4/1/2022
Aclima, Inc. Subtotal2,756,400 2,490,7792,490,779 
Antitoxin Technologies Inc. ** ^Senior Secured12.0%989,530 860,686860,686 12/1/2023
Antitoxin Technologies Inc. ** ^Senior Secured11.5%313,844 301,007301,007 9/1/2022
Antitoxin Technologies Inc. Subtotal ** ^1,303,374 1,161,6931,161,693 
ATeam Army, Inc.Senior Secured12.0%1,055,250 1,009,9691,009,969 4/1/2023
Beanfields, PBCSenior Secured12.5%712,361 687,954687,954 3/1/2023
9

IndustryBorrower Percent of Net Assets (a) Collateral Interest Rate (b) End of Term Payment (c) Principal Cost Fair Value Maturity Date
 Apollo Flight Research Inc.   Senior Secured 11.0%   247,622
 243,370
 243,370
 1/1/2023
 Apollo Flight Research Inc.   Senior Secured 11.0%   406,585
 392,525
 392,525
 6/1/2022
 Apollo Flight Research Inc. Subtotal         654,207
 635,895
 635,895
  
 ATeam Army, Inc.   Senior Secured 12.0%   1,237,112
 1,160,880
 1,160,880
 4/1/2023
 Beanfields, PBC   Senior Secured 12.5%   864,769
 822,582
 822,582
 3/1/2023
 Beanfields, PBC   Senior Secured 12.5%   618,350
 602,027
 602,027
 3/1/2023
 Beanfields, PBC Subtotal         1,483,119
 1,424,609
 1,424,609
  
 Belong Home, Inc.   Senior Secured 12.0%   2,969,000
 2,812,510
 2,812,510
 3/1/2024
 Benson Hill Bio, Inc.   Senior Secured 12.5%   9,890,818
 9,073,838
 9,073,838
 5/1/2024
 Brightside Benefit, Inc.   Senior Secured 12.4%   919,513
 905,550
 905,550
 3/1/2023
 Brightside Benefit, Inc.   Senior Secured 12.1%   580,635
 552,066
 552,066
 9/1/2022
 Brightside Benefit, Inc. Subtotal         1,500,148
 1,457,616
 1,457,616
  
 BW Industries, Inc.   Senior Secured 11.8%   1,978,600
 1,801,704
 1,801,704
 5/1/2023
 BW Industries, Inc.   Senior Secured 11.8%   1,978,505
 1,936,660
 1,936,660
 6/1/2023
 BW Industries, Inc. Subtotal         3,957,105
 3,738,364
 3,738,364
  
 Coterie Applications, Inc.   Senior Secured 12.5%   989,236
 851,415
 851,415
 9/1/2023
 DOSH Holdings, Inc.   Senior Secured 11.0%   1,016,562
 1,003,950
 1,003,950
 6/1/2022
 DOSH Holdings, Inc.   Senior Secured 11.0%   4,065,086
 3,926,782
 3,926,782
 6/1/2022
 DOSH Holdings, Inc. Subtotal         5,081,648
 4,930,732
 4,930,732
  
 Fitplan, Inc. ** ^   Senior Secured 12.5%   1,266,870
 1,115,236
 1,087,026
 *
 Flo Water, Inc.   Senior Secured 11.8%   1,979,812
 1,860,231
 1,860,231
 12/1/2023
 Higher Ground Education, Inc.   Senior Secured 12.5%   1,482,539
 1,457,079
 1,457,079
 4/1/2023
 Higher Ground Education, Inc.   Senior Secured 12.5%   494,378
 484,308
 484,308
 8/1/2023
 Higher Ground Education, Inc.   Senior Secured 12.5%   494,251
 485,213
 485,213
 5/1/2023
 Higher Ground Education, Inc.   Senior Secured 12.5%   2,343,659
 2,225,460
 2,225,460
 1/1/2023
 Higher Ground Education, Inc. Subtotal         4,814,827
 4,652,060
 4,652,060
  
 Hint, Inc.   Senior Secured 12.0%   4,948,170
 4,305,927
 4,305,927
 6/1/2023
 Hint, Inc.   Senior Secured 11.0%   1,239,605
 1,179,831
 1,179,831
 8/1/2021
 Hint, Inc. Subtotal         6,187,775
 5,485,758
 5,485,758
  
 Kobo360, Inc. ** ^   Senior Secured 11.3%   64,470
 64,470
 64,470
 9/1/2020
 Kogniz, Inc.   Senior Secured 12.8%   236,625
 207,890
 207,890
 3/1/2022
 Lambda School, Inc.   Senior Secured 11.3%   4,950,870
 4,627,885
 4,627,885
 7/1/2023
 Lambda School, Inc.   Senior Secured 11.3%   2,475,797
 2,475,797
 2,475,797
 8/1/2023
 Lambda School, Inc. Subtotal         7,426,667
 7,103,682
 7,103,682
  
 Make School, Inc.   Senior Secured 11.3%   496,581
 484,654
 484,654
 8/1/2021
 Nevada Nanotech Systems, Inc.   Senior Secured 12.0%   431,573
 415,451
 415,451
 6/1/2021
 NewGlobe Schools, Inc. ** ^   Senior Secured 12.5%   3,494,736
 3,375,547
 3,375,547
 8/1/2022
 NewGlobe Schools, Inc. ** ^   Senior Secured 12.5%   3,462,233
 3,276,362
 3,276,362
 8/1/2023
 NewGlobe Schools, Inc. Subtotal ** ^         6,956,969
 6,651,909
 6,651,909
  
 Noteleaf, Inc.   Senior Secured 12.5%   1,482,170
 1,420,578
 1,420,578
 4/1/2023
 Noteleaf, Inc.   Senior Secured 12.5%   989,137
 969,059
 969,059
 9/1/2023
 Noteleaf, Inc. Subtotal         2,471,307
 2,389,637
 2,389,637
  
 Opya, Inc.   Senior Secured 12.0%   989,171
 948,572
 948,572
 7/1/2023
 Ozy Media, Inc.   Senior Secured 12.8%   2,967,775
 2,716,639
 2,716,639
 6/1/2023
 Ozy Media, Inc.   Senior Secured 12.8%   2,472,322
 2,357,051 2,357,051
 6/1/2023


IndustryBorrowerPercent of Net Assets (a)CollateralInterest Rate (b)End of Term Payment (c)PrincipalCostFair ValueMaturity Date
Beanfields, PBCSenior Secured12.5%509,389 499,982499,982 3/1/2023
Beanfields, PBC Subtotal1,221,750 1,187,9361,187,936 
Benson Hill Bio, Inc.Senior Secured12.5%9,880,113 9,275,2249,275,224 5/1/2024
Brightside Benefit, Inc.Senior Secured12.1%404,315 390,454390,454 9/1/2022
Brightside Benefit, Inc.Senior Secured12.4%698,764 690,814690,814 3/1/2023
Brightside Benefit, Inc. Subtotal1,103,079 1,081,2681,081,268 
BW Industries, Inc.Senior Secured11.8%1,663,889 1,638,4591,638,459 6/1/2023
BW Industries, Inc.Senior Secured11.8%1,610,005 1,503,6431,503,643 5/1/2023
BW Industries, Inc. Subtotal3,273,894 3,142,1023,142,102 
Content Adjacent, Inc.Senior Secured12.0%1,979,095 1,893,9511,893,951 6/1/2024
Coterie Applications, Inc.Senior Secured12.5%494,618 494,618494,618 6/1/2024
Coterie Applications, Inc.Senior Secured12.5%988,676 891,440891,440 9/1/2023
Coterie Applications, Inc.Senior Secured12.5%989,356 989,356989,356 3/1/2024
Coterie Applications, Inc. Subtotal2,472,650 2,375,4142,375,414 
Equestrian Labs, Inc.Senior Secured12.0%1,484,984 1,358,3141,358,315 6/1/2024
Fakespot, Inc.Senior Secured12.0%490,500 424,343424,343 8/1/2024
Fitplan, Inc. ** ^Senior Secured12.5%1,266,870 1,086,3261,058,116 *
Flo Water, Inc.Senior Secured11.8%1,838,910 1,757,9651,757,965 12/1/2023
Higher Ground Education, Inc.Senior Secured12.5%1,168,102 1,153,2621,153,262 4/1/2023
Higher Ground Education, Inc.Senior Secured12.5%442,792 436,379436,379 8/1/2023
Higher Ground Education, Inc.Senior Secured12.5%4,947,758 4,677,0384,677,038 2/1/2025
Higher Ground Education, Inc.Senior Secured12.5%402,950 397,562397,562 5/1/2023
Higher Ground Education, Inc.Senior Secured12.5%1,738,929 1,674,2421,674,242 1/1/2023
Higher Ground Education, Inc. Subtotal8,700,531 8,338,4838,338,483 
Hint, Inc.Senior Secured11.0%461,000 451,804451,804 8/1/2021
Hint, Inc.Senior Secured12.0%4,943,314 4,522,4854,522,485 6/1/2023
Hint, Inc. Subtotal5,404,314 4,974,2894,974,289 
Jiko Group, Inc.Senior Secured12.0%3,161,965 3,040,9373,040,937 6/1/2023
Lambda School, Inc.Senior Secured11.3%2,402,127 2,402,1272,402,127 8/1/2023
Lambda School, Inc.Senior Secured11.3%4,659,050 4,452,5724,452,572 7/1/2023
Lambda School, Inc. Subtotal7,061,177 6,854,6996,854,699 
Make School, Inc.Senior Secured11.3%215,114 213,295213,295 3/1/2022
Mavenform, Inc.Senior Secured11.5%990,176 928,307928,307 6/1/2024
Merlin Labs, Inc.Senior Secured11.0%264,445 258,459258,459 6/1/2022
Merlin Labs, Inc.Senior Secured11.0%188,052 185,752185,752 1/1/2023
Merlin Labs, Inc. Subtotal452,497 444,211 444,211 
Momentus, Inc.Senior Secured12.0%24,750,000 18,100,80818,100,808 3/1/2022
Natomas Labs, Inc.Senior Secured12.3%2,968,339 2,757,2852,757,285 2/1/2024
Nevada Nanotech Systems, Inc.Senior Secured12.0%112,771 111,432 111,432 6/1/2021
NewGlobe Schools, Inc. ** ^Senior Secured12.5%3,360,144 3,237,9653,237,965 8/1/2023
NewGlobe Schools, Inc. ** ^Senior Secured12.5%4,945,117 4,838,9954,838,995 12/1/2023
NewGlobe Schools, Inc. ** ^Senior Secured12.5%2,389,961 2,334,313 2,334,313 8/1/2022
NewGlobe Schools, Inc. Subtotal ** ^10,695,222 10,411,27310,411,273 
Noteleaf, Inc.Senior Secured12.5%2,277,124 1,985,310852,531 *
OnePointOne, Inc.Senior Secured12.0%1,979,333 1,927,938 1,927,938 2/1/2024
OnePointOne, Inc.Senior Secured12.0%1,979,190 1,821,704 1,821,704 2/1/2024
10

IndustryIndustryBorrowerPercent of Net Assets (a)CollateralInterest Rate (b)End of Term Payment (c)PrincipalCostFair ValueMaturity Date
OnePointOne, Inc. Subtotal3,958,523 3,749,6423,749,642 
Opya, Inc.Senior Secured12.0%963,723 937,111 937,111 11/1/2023
IndustryBorrower Percent of Net Assets (a) Collateral Interest Rate (b) End of Term Payment (c) Principal Cost Fair Value Maturity Date
Ozy Media, Inc.Senior Secured12.8%1,483,305 1,432,264 1,432,264 9/1/2023
Ozy Media, Inc.Senior Secured12.8%1,807,034 1,807,034 1,807,034 6/1/2023
Ozy Media, Inc.Senior Secured12.8%2,709,596 2,551,449 2,551,449 6/1/2023
Ozy Media, Inc.Senior Secured12.8%2,257,195 2,185,0622,185,062 6/1/2023
Ozy Media, Inc. Subtotal8,257,130 7,975,8097,975,809 
Percepto, Inc.Senior Secured12.2%1,457,157 1,396,4861,396,486 4/1/2023
Ozy Media, Inc. Subtotal   5,440,097
 5,073,690
 5,073,690
 Pitzi, Ltd. ** ^Senior Secured12.0%1,483,234 1,440,8241,440,824 4/1/2024
Percepto, Inc. Senior Secured 12.2% 1,982,767
 1,868,646
 1,868,646
 4/1/2023Plant Prefab, Inc.Senior Secured11.0%868,324 835,869835,869 8/1/2022
Pitzi, Ltd. ** ^ Senior Secured 12.0% 494,621
 361,158
 361,158
 11/1/2023Platform Science, Inc.Senior Secured12.0%496,844 482,590482,590 2/1/2022
Pitzi, Ltd. ** ^ Senior Secured 12.0% 1,484,670
 1,426,089
 1,426,089
 4/1/2024Platform Science, Inc.Senior Secured11.5%3,959,375 3,786,6313,786,631 10/1/2023
Pitzi, Ltd. Subtotal ** ^   1,979,291
 1,787,247
 1,787,247
 Platform Science, Inc. Subtotal4,456,219 4,269,2214,269,221 
Plant Prefab, Inc. Senior Secured 11.0% 1,155,071
 1,120,894 1,120,894
 8/1/2022Plethora, Inc.Senior Secured11.5%939,528 896,340896,340 7/1/2022
Platform Science, Inc. Senior Secured 12.0% 864,790
 822,636 822,636
 2/1/2022Plethora, Inc.Senior Secured11.5%1,485,605 1,425,2561,425,256 9/1/2024
Plethora, Inc. Senior Secured 11.5% 1,027,724
 953,714
 953,714
 3/1/2022Plethora, Inc. Subtotal2,425,133 2,321,5962,321,596 
Redaptive, Inc. Senior Secured 12.0% 4,944,155
 4,760,519
 4,760,519
 12/1/2022Prenda, Inc.Senior Secured11.8%494,986 373,472373,472 4/1/2024
Romaine Empire, Inc. Senior Secured 12.3% 5,927,887
 5,629,714 5,629,714
 7/1/2023Privoro Holdings, Inc.Senior Secured12.0%1,978,988 1,851,4781,851,478 4/1/2024
Saber es Poder, Inc. Senior Secured 10.5% 195,517
 196,062
 196,062
 5/1/2022Reali Inc.Senior Secured12.5%3,954,704 3,800,1043,800,104 9/1/2023
Saber es Poder, Inc. Senior Secured 10.5% 360,060
 347,698
 347,698
 3/1/2022Reali Inc.Senior Secured12.5%2,968,655 2,797,2602,797,260 3/1/2024
Saber es Poder, Inc. Subtotal   555,577
 543,760
 543,760
 Reali Inc. Subtotal6,923,359 6,597,3646,597,364 
Saltbox, Inc. Senior Secured 12.3% 494,333
 473,434
 473,434
 6/1/2023Romaine Empire, Inc.Senior Secured12.3%5,206,035 5,014,5555,014,555 7/1/2023
Strong Arm Technologies, Inc. Senior Secured 12.0% 447,175
 438,534
 438,534
 5/1/2021Saltbox, Inc.Senior Secured12.3%387,145 374,471374,471 6/1/2023
Sustainable Living Partners, LLC Senior Secured 12.5% 4,943,780
 4,306,502
 4,306,502
 8/1/2023SMS OPCO LLCSenior Secured8.0%36,125 17,37517,375 *
Theatro Labs, Inc. Senior Secured 12.0% 1,122,965
 1,098,804
 1,098,804
 8/1/2022Strong Arm Technologies, Inc.Senior Secured12.0%84,987 84,56684,566 5/1/2021
Thras.io, Inc. Senior Secured 12.0% 47.3% 94,758
 94,758
 94,758
 8/1/2024Sustainable Living Partners, LLCSenior Secured12.5%4,120,218 3,713,248 3,713,248 8/1/2023
Thras.io, Inc. Senior Secured 12.0% 45.1% 287,676
 287,676
 287,676
 6/1/2024The Safe and Fair Food Company LLCSenior Secured12.3%2,474,418 2,095,0592,095,059 9/1/2024
Thras.io, Inc. Senior Secured 12.0% 45.1% 292,930
 264,489
 264,489
 4/1/2024TIER Mobility GmbH ** ^Senior Secured12.0%8,902,309 8,615,0358,615,035 4/1/2023
Thras.io, Inc. Senior Secured 12.0% 45.1% 194,359
 194,359
 194,359
 4/1/2024TomoCredit, Inc.Senior Secured12.5%395,686 395,686395,686 9/1/2023
Thras.io, Inc. Senior Secured 12.0% 45.1% 383,020
 383,020
 383,020
 6/1/2024TomoCredit, Inc.Senior Secured12.5%593,247 547,461547,461 9/1/2023
Thras.io, Inc. Senior Secured 12.0% 47.3% 476,705
 476,705
 476,705
 7/1/2024TomoCredit, Inc. Subtotal988,933 943,147943,147 
Thras.io, Inc. Senior Secured 12.0% 45.1% 193,170
 193,170
 193,170
 5/1/2024Umbra Lab, Inc.Senior Secured12.0%4,949,483 4,732,5634,732,563 6/1/2024
Thras.io, Inc. Subtotal   1,922,618
 1,894,177
 1,894,177
 Veev Group, Inc.Senior Secured12.5%3,386,012 3,337,2933,337,293 6/1/2023
TIER Mobility GmbH ** ^ Senior Secured 12.0% 8,892,000
 8,454,515
 8,454,515
 4/1/2023Veev Group, Inc.Senior Secured12.5%329,580 324,676 324,676 12/1/2021
Veev Group, Inc. Senior Secured 12.5% 3,709,635
 3,631,372
 3,631,372
 6/1/2023Veev Group, Inc.Senior Secured12.5%1,128,433 1,034,1351,034,135 6/1/2023
Veev Group, Inc. Senior Secured 12.5% 629,811
 612,441
 612,441
 12/1/2021Veev Group, Inc. Subtotal4,844,025 4,696,1044,696,104 
Veev Group, Inc. Senior Secured 12.5% 1,236,300
 1,087,308
 1,087,308
 6/1/2023Velo Holdings LimitedSenior Secured12.0%2,471,720 2,178,0971,911,057 *
Veev Group, Inc. Subtotal   5,575,746
 5,331,121
 5,331,121
 Welcome Tech, Inc.Senior Secured10.5%476,489 453,491453,491 5/1/2022
Velo Holdings Limited Senior Secured 12.0% 2,471,720
 2,368,342
 2,368,342
 6/1/2022Wheels Labs, Inc.Senior Secured12.5%2,688,422 2,640,4312,640,431 8/1/2022
Virtuix Holdings, Inc. Senior Secured 12.3% 188,420
 185,397
 131,035
 4/1/2022Wine Plum, Inc.Senior Secured12.5%629,770 612,987612,987 9/1/2022
Voodoo Manufacturing, Inc. Senior Secured 12.0% 271,105
 255,671
 255,671
 3/1/2022World Wrapps II, Inc.Senior Secured12.0%494,896 351,721351,721 6/1/2024
Wheels Labs, Inc. Senior Secured 12.5% 3,931,163
 3,828,188
 3,828,188
 8/1/2022World Wrapps II, Inc.Senior Secured12.0%494,928 494,928494,928 6/1/2024
Wine Plum, Inc. Senior Secured 12.5% 903,248
 868,632
 868,632
 9/1/2022World Wrapps II, Inc. Subtotal989,824 846,649846,649 
Other Technology Total 75.9%   $118,266,130
 $111,458,521
 $111,375,949
 Other Technology Total86.4%$171,510,576 $157,090,332 $155,662,304 
         
Security         Security
Axonius, Inc. Senior Secured 12.0% $265,789
 $259,702
 $259,702
 9/1/2021ArecaBay, Inc.Senior Secured11.0%$1,485,524 $1,424,990 $1,424,990 8/1/2023
Nok Nok Labs, Inc. Senior Secured 12.5% 698,840
 687,374
 687,374
 6/1/2022Axonius, Inc.Senior Secured12.0%111,098 109,958 109,958 9/1/2021
Safetrust Holdings, Inc. Senior Secured 12.5% 249,930
 194,010
 194,010
 6/1/2021Nok Nok Labs, Inc.Senior Secured12.5%456,907 452,013 452,013 6/1/2022
Security Total 0.8%   $1,214,559
 $1,141,086
 $1,141,086
 
         Popily, Inc.Senior Secured12.5%1,483,623 1,483,622 1,483,622 12/1/2023
Semiconductors & Equipment         
ETA Compute, Inc. Senior Secured 12.0% $894,907
 $872,137
 $872,137
 11/1/2021Popily, Inc.Senior Secured12.5%988,793 881,419 881,419 12/1/2023
Semiconductors & Equipment Total 0.6%   $894,907
 $872,137
 $872,137
 
         Popily, Inc. Subtotal2,472,416 2,365,0412,365,041 
Safetrust Holdings, Inc.Senior Secured12.5%158,625 129,668 129,668 8/1/2021
11

IndustryBorrower Percent of Net Assets (a) Collateral Interest Rate (b) End of Term Payment (c) Principal Cost Fair Value Maturity DateIndustryBorrowerPercent of Net Assets (a)CollateralInterest Rate (b)End of Term Payment (c)PrincipalCostFair ValueMaturity Date
Security TotalSecurity Total2.5%$4,684,570 $4,481,670 $4,481,670 
Semiconductors & EquipmentSemiconductors & Equipment
ETA Compute, Inc.Senior Secured12.0%$440,010 $434,277 $434,277 11/1/2021
Semiconductors & Equipment TotalSemiconductors & Equipment Total0.2%$440,010 $434,277 $434,277 
Software         Software
Alkanza Inc. Senior Secured 18.0% $—
 $—
 $59,963
 *Afero, Inc.Senior Secured12.3%$2,473,406 $2,164,766 $2,164,766 1/1/2024
ArborMetrix, Inc. Senior Secured 12.5% 1,483,117
 1,409,128
 1,409,128
 9/1/2023ArborMetrix, Inc.Senior Secured12.5%1,367,253 1,318,903 1,318,903 9/1/2023
ArborMetrix, Inc. Senior Secured 12.5% 742,103
 716,477
 716,477
 9/1/2023ArborMetrix, Inc.Senior Secured12.5%684,161 667,454667,454 9/1/2023
ArborMetrix, Inc. Subtotal   2,225,220
 2,125,605
 2,125,605
 ArborMetrix, Inc. Subtotal2,051,414 1,986,3571,986,357 
BackboneAI Inc. Senior Secured 12.3% 490,302
 413,711
 413,711
 6/1/2023BackboneAI Inc.Senior Secured12.3%451,805 442,659442,659 6/1/2023
Blockdaemon, Inc. Senior Secured 11.3% 203,416
 197,185
 197,185
 6/1/2022BackboneAI Inc.Senior Secured12.3%451,585 402,659402,659 6/1/2023
Blockdaemon, Inc. Senior Secured 11.3% 124,139
 117,566
 117,566
 8/1/2021BackboneAI Inc. Subtotal903,390 845,318845,318 
Blockdaemon, Inc. Subtotal   327,555
 314,751
 314,751
 Bizly, Inc.Senior Secured11.5%346,614 278,391278,391 12/1/2024
Canary Technologies Corporation Senior Secured 11.5% 247,486
 230,581
 230,581
 6/1/2023Blockdaemon, Inc.Senior Secured12.0%989,897 923,050923,050 3/1/2024
Censia Inc. Senior Secured 11.0% 932,061
 887,745
 887,745
 10/1/2022Blockdaemon, Inc.Senior Secured11.3%46,208 45,19445,194 8/1/2021
Cloudleaf, Inc. Senior Secured 12.0% 1,484,039
 1,372,478
 1,372,478
 8/1/2023Blockdaemon, Inc.Senior Secured11.3%132,419 129,765129,765 6/1/2022
Dynamics, Inc. Senior Secured 12.5% 3,749,311
 3,469,290
 3,469,290
 8/1/2021Blockdaemon, Inc. Subtotal1,168,524 1,098,0091,098,009 
Eskalera, Inc. Senior Secured 10.5% 990,540
 955,381
 955,381
 3/1/2023BriteCo LLCSenior Secured12.0%395,200 321,811321,811 7/1/2024
ICX Media, Inc. Senior Secured 12.5% 247,342
 241,625
 241,625
 7/1/2023Canary Technologies Corp.Senior Secured11.5%225,666 215,108215,108 6/1/2023
ICX Media, Inc. Senior Secured 12.5% 247,302
 241,944
 241,944
 5/1/2023Censia Inc.Senior Secured11.0%658,016 635,910635,910 10/1/2022
ICX Media, Inc. Senior Secured 12.5% 392,418
 369,805
 369,805
 5/1/2022Cloudleaf, Inc.Senior Secured12.0%742,297 728,958728,958 9/1/2024
ICX Media, Inc. Subtotal   887,062
 853,374
 853,374
 Cloudleaf, Inc.Senior Secured12.0%1,328,282 1,256,7881,256,788 8/1/2023
Invoice2Go, Inc. Senior Secured 12.0% 989,469
 948,068
 948,068
 6/1/2023Cloudleaf, Inc. Subtotal2,070,579 1,985,7461,985,746 
Invoice2Go, Inc. Senior Secured 12.0% 989,667
 937,249
 937,249
 6/1/2024Dynamics, Inc.Senior Secured12.5%1,541,995 1,498,1081,498,108 2/1/2022
Invoice2Go, Inc. Senior Secured 12.0% 960,412
 948,896 948,896
 11/1/2022Eskalera, Inc.Senior Secured10.5%812,378 792,272792,272 3/1/2023
Invoice2Go, Inc. Senior Secured 12.0% 722,512
 663,597 663,597
 3/1/2022ICX Media, Inc.Senior Secured12.5%218,471 215,219215,219 5/1/2023
Invoice2Go, Inc. Senior Secured 12.0% 843,832
 834,726
 834,726
 7/1/2022ICX Media, Inc.Senior Secured12.5%249,894 240,612240,612 5/1/2022
Invoice2Go, Inc. Senior Secured 12.0% 989,779
 768,453 768,453
 3/1/2024ICX Media, Inc.Senior Secured12.5%232,948 229,298229,298 7/1/2023
Invoice2Go, Inc. Senior Secured 12.0% 989,168
 975,019
 975,019
 3/1/2023ICX Media, Inc. Subtotal701,313 685,129685,129 
Invoice2Go, Inc. Subtotal   6,484,839
 6,076,008
 6,076,008
 Invoice2Go, Inc.Senior Secured12.0%902,686 876,884 876,884 6/1/2023
Ipolipo, Inc. Senior Secured 12.0% 2,091,340
 1,933,509
 1,515,517
 6/1/2022Invoice2Go, Inc.Senior Secured12.0%989,168 949,015949,015 6/1/2024
Lucideus, Inc. Senior Secured 12.0% 494,680
 458,834
 458,834
 2/1/2023Invoice2Go, Inc.Senior Secured12.0%563,925 559,874559,874 7/1/2022
Medable, Inc. Senior Secured 12.0% 989,275
 972,909
 972,909
 2/1/2023Invoice2Go, Inc.Senior Secured12.0%813,955 805,837 805,837 3/1/2023
Medable, Inc. Senior Secured 12.0% 1,978,302
 1,850,469
 1,850,469
 2/1/2023Invoice2Go, Inc.Senior Secured12.0%988,822 826,814826,814 3/1/2024
Medable, Inc. Subtotal   2,967,577
 2,823,378
 2,823,378
 Invoice2Go, Inc.Senior Secured12.0%431,242 409,650409,650 3/1/2022
Metawave Corporation Senior Secured 12.0% 778,277
 756,907
 756,907
 7/1/2022Invoice2Go, Inc.Senior Secured12.0%691,427 685,519685,519 11/1/2022
Migo Money, Inc. ** ^ Senior Secured 12.5% 361,812
 361,812 361,812
 3/1/2022Invoice2Go, Inc. Subtotal5,381,225 5,113,5935,113,593 
Migo Money, Inc. ** ^ Senior Secured 12.3% 471,807
 450,188
 450,188
 12/1/2021Ipolipo, Inc.Senior Secured12.0%2,053,054 1,959,9421,493,583 9/1/2022
Migo Money, Inc. Subtotal ** ^   833,619
 812,000
 812,000
 Medable, Inc.Senior Secured12.0%783,953 774,811774,811 2/1/2023
OrderGroove, Inc. Senior Secured 12.0% 1,236,039
 1,218,285
 1,218,285
 6/1/2023Medable, Inc.Senior Secured12.0%1,567,705 1,495,6711,495,671 2/1/2023
OrderGroove, Inc. Senior Secured 12.0% 2,470,382
 2,376,310
 2,376,310
 6/1/2023Medable, Inc. Subtotal2,351,658 2,270,4822,270,482 
OrderGroove, Inc. Senior Secured 12.0% 1,236,330
 1,217,028
 1,217,028
 6/1/2023Metawave CorporationSenior Secured12.0%520,116 510,571510,571 7/1/2022
OrderGroove, Inc. Subtotal   4,942,751
 4,811,623
 4,811,623
 Migo Money, Inc. ** ^Senior Secured12.3%246,678 240,545240,545 12/1/2021
Owl Cameras, Inc. Senior Secured 18.0% 782,506
 487,626
 442,320
 *Migo Money, Inc. ** ^Senior Secured12.5%216,332 216,332216,332 3/1/2022
PlushCare, Inc. Senior Secured 11.8% 588,084
 578,197
 578,197
 5/1/2022Migo Money, Inc. Subtotal ** ^463,010 456,877456,877 
PlushCare, Inc. Senior Secured 11.8% 783,462
 754,684
 754,684
 5/1/2022OrderGroove, Inc.Senior Secured12.0%4,710,187 4,415,4184,415,418 4/1/2024
PlushCare, Inc. Subtotal   1,371,546
 1,332,881
 1,332,881
 Owl Cameras, Inc.Senior Secured18.0%584,878 289,998381,679 *
Reciprocity, Inc. Senior Secured 12.0% 1,286,729
 1,160,399
 1,160,399
 3/1/2023Pixlee, Inc.Senior Secured12.3%1,483,723 1,412,5011,412,501 1/1/2024
Resilio, Inc. Senior Secured 12.8% 82,589
 75,807
 75,807
 3/1/2021PlushCare, Inc.Senior Secured11.8%373,517 369,516369,516 5/1/2022
Resilio, Inc. Senior Secured 12.8% 99,899
 99,899
 99,899
 5/1/2021PlushCare, Inc.Senior Secured11.8%497,610 485,905485,905 5/1/2022
Resilio, Inc. Subtotal   182,488
 175,706
 175,706
 PlushCare, Inc. Subtotal871,127 855,421855,421 
Splitwise, Inc. Senior Secured 12.3% 494,441
 474,044
 474,044
 12/1/2022
Stitch Labs, Inc. Senior Secured 12.3% 1,828,901
 1,770,714
 1,687,675
 9/1/2022
Swivel, Inc. Senior Secured 12.0% 214,838
 214,838
 214,838
 10/1/2022
Swivel, Inc. Senior Secured 12.0% 201,396
 189,836
 189,836
 8/1/2022
12

IndustryIndustryBorrowerPercent of Net Assets (a)CollateralInterest Rate (b)End of Term Payment (c)PrincipalCostFair ValueMaturity Date
Resilio, Inc.Senior Secured12.8%19,038 19,03819,038 5/1/2021
Safe Securities Inc.Senior Secured12.0%392,010 371,782371,782 2/1/2023
IndustryBorrower Percent of Net Assets (a) Collateral Interest Rate (b) End of Term Payment (c) Principal Cost Fair Value Maturity Date
Sonatus, IncSenior Secured12.5%988,914 877,992877,992 9/1/2023
Splitwise, Inc.Senior Secured12.3%361,581 350,738350,738 12/1/2022
Swiftly Systems, Inc.Senior Secured11.5%4,949,736 4,042,0664,042,066 10/1/2024
Swiftly Systems, Inc.Senior Secured11.5%2,475,788 2,325,3442,325,344 1/1/2025
Swiftly Systems, Inc. Subtotal7,425,524 6,367,4106,367,410 
Swivel, Inc.Senior Secured12.0%137,492 132,079132,079 8/1/2022
Swivel, Inc.Senior Secured12.0%152,194 152,193152,193 10/1/2022
Swivel, Inc. Subtotal289,686 284,272284,272 
Swivel, Inc. Subtotal   416,234
 404,674
 404,674
 Trendalytics Innovation Labs, Inc.Senior Secured12.8%160,002 151,341130,417 6/1/2022
Trendalytics Innovation Labs, Inc. Senior Secured 12.8% 244,512
 224,575
 76,758
 6/1/2022Truthset, Inc.Senior Secured10.5%293,201 278,293278,293 2/1/2023
Truthset, Inc. Senior Secured 10.5% 371,538
 371,538
 371,538
 5/1/2023Truthset, Inc.Senior Secured10.5%327,292 327,292327,292 5/1/2023
Truthset, Inc. Senior Secured 10.5% 371,449
 344,841
 344,841
 2/1/2023Truthset, Inc. Subtotal620,493 605,585605,585 
Truthset, Inc. Subtotal   742,987
 716,379
 716,379
 Workspot, Inc.Senior Secured12.0%166,636 163,410163,410 9/1/2021
Venuetize, LLC Senior Secured 12.3% 173,834
 161,407
 161,407
 4/1/2022Workspot, Inc.Senior Secured12.0%986,667 925,659925,659 3/1/2024
Workspot, Inc. Senior Secured 12.0% 398,658
 381,570
 381,570
 9/1/2021Workspot, Inc.Senior Secured12.0%495,298 487,751487,751 10/1/2022
Workspot, Inc. Senior Secured 12.0% 655,429
 614,973
 614,973
 8/1/2022Workspot, Inc.Senior Secured12.0%447,460 428,496428,496 8/1/2022
Workspot, Inc. Senior Secured 12.0% 699,169
 684,027
 684,027
 10/1/2022Workspot, Inc.Senior Secured12.0%2,968,771 2,814,2512,814,251 11/1/2023
Workspot, Inc. Subtotal   1,753,256
 1,680,570
 1,680,570
 Workspot, Inc. Subtotal5,064,832 4,819,5674,819,567 
Software Total 24.7%   $39,204,093
 $36,884,150
 $36,249,959
 Software Total24.0%$47,089,553 $43,639,453 $43,243,851 
         
Technology Services         Technology Services
Callisto Media, Inc. Senior Secured 10.0% $2,478,814
 $2,431,219
 $2,431,219
 9/1/2023iLearningEngines Inc.Senior Secured11.5%$7,921,812 $6,863,347 $6,863,347 12/1/2023
Callisto Media, Inc. Senior Secured 10.3% 2,477,676
 2,213,581
 2,213,581
 6/1/2023Klar Holdings Limited ** ^Senior Secured12.5%165,366 144,368144,368 10/1/2022
Callisto Media, Inc. Subtotal   4,956,490
 4,644,800
 4,644,800
 Klar Holdings Limited ** ^Senior Secured14.2%4.0%235,769 224,677224,677 7/1/2023
Keyo AI Inc. Senior Secured 10.0% 390,674
 376,935
 223,598
 8/1/2022Klar Holdings Limited Subtotal ** ^401,135 369,045369,045 
Klar Holdings Limited ** ^ Senior Secured 12.5% 233,034
 192,421
 192,421
 10/1/2022Leap Services, Inc.Senior Secured12.0%265,791 259,081259,081 6/1/2022
Leap Services, Inc. Senior Secured 12.0% 407,233
 391,561
 391,561
 6/1/2022Liftit, Inc. ** ^Senior Secured12.0%330,120 326,449326,449 10/1/2022
Lifit, Inc. ** ^ Senior Secured 12.0% 436,807
 410,816
 410,816
 8/1/2022Liftit, Inc. ** ^Senior Secured12.0%298,208 286,030286,030 8/1/2022
Lifit, Inc. ** ^ Senior Secured 12.0% 466,001
 458,627
 458,627
 10/1/2022Liftit, Inc. Subtotal ** ^628,328 612,479612,479 
Lifit, Inc. Subtotal ** ^   ��902,808
 869,443
 869,443
 Loansnap Holdings Inc. **Senior Secured11.0%1,983,028 1,889,8721,776,416 12/1/2022
Loansnap Holdings Inc. ** Senior Secured 11.0% 2,643,980
 2,503,268
 2,131,008
 12/1/2022Relimetrics, Inc.Senior Secured11.3%135,446 133,056133,056 1/1/2022
Relimetrics, Inc. Senior Secured 11.3% 246,998
 239,260
 239,260
 1/1/2022Riffyn, Inc.Senior Secured11.5%1,979,957 1,901,5511,901,551 2/1/2024
Solugen, Inc. Senior Secured 11.0% 1,238,389
 1,214,042
 1,214,042
 1/1/2023Riffyn, Inc.Senior Secured11.5%1,980,631 1,951,9971,951,997 4/1/2024
Solugen, Inc. Senior Secured 11.0% 1,237,787
 1,218,803
 1,218,803
 1/1/2023Riffyn, Inc. Subtotal3,960,588 3,853,5483,853,548 
Solugen, Inc. Senior Secured 11.0% 2,475,088
 2,328,821
 2,328,821
 1/1/2023Solugen, Inc.Senior Secured11.0%1,879,651 1,799,9071,799,907 1/1/2023
Solugen, Inc. Subtotal   4,951,264
 4,761,666
 4,761,666
 Solugen, Inc.Senior Secured11.0%940,012 929,747929,747 1/1/2023
Thrive Financial, Inc. ** Senior Secured 9.3% 248,071
 248,071
 248,071
 11/1/2023Solugen, Inc.Senior Secured11.0%940,473 927,298927,298 1/1/2023
Thrive Financial, Inc. ** Senior Secured 11.5% 932,094
 888,819
 888,819
 10/1/2022Solugen, Inc. Subtotal3,760,136 3,656,9523,656,952 
Thrive Financial, Inc. Subtotal **   1,180,165
 1,136,890
 1,136,890
 Thrive Financial, Inc. **Senior Secured9.3%247,934 247,934247,934 11/1/2023
Zanbato, Inc. Senior Secured 11.0% 3,467,266
 3,315,974
 3,315,974
 9/1/2023Thrive Financial, Inc. **Senior Secured11.5%659,173 637,541637,541 10/1/2022
Zeel Networks, Inc. Senior Secured 11.0% 2,049,602
 1,979,182
 1,814,545
 3/1/2022Thrive Financial, Inc. Subtotal **907,107 885,475 885,475 
Zanbato, Inc.Senior Secured11.0%3,464,454 3,363,4013,363,401 9/1/2023
Zeel Networks, Inc.Senior Secured11.0%2,038,752 1,999,8641,835,226 6/1/2023
Technology Services Total 13.4%   $21,429,514
 $20,411,400
 $19,721,166
 Technology Services Total13.0%$25,466,577 $23,886,120 $23,608,026 
         
Wireless         Wireless
AirVine Scientific, Inc. Senior Secured 12.0% $112,901
 $106,850
 $106,850
 9/1/2022AirVine Scientific, Inc.Senior Secured12.0%$78,638 $77,352 $77,352 9/1/2022
AirVine Scientific, Inc. Senior Secured 12.0% 112,980
 110,313
 110,313
 9/1/2022AirVine Scientific, Inc.Senior Secured10.8%619,215 571,833571,833 6/1/2024
AirVine Scientific, Inc. Subtotal   225,881
 217,163
 217,163
 AirVine Scientific, Inc.Senior Secured12.0%78,583 75,646 75,646 9/1/2022
Parallel Wireless, Inc. Senior Secured 11.8% 3,217,103
 3,151,845
 3,151,845
 8/1/2023AirVine Scientific, Inc. Subtotal776,436 724,831724,831 
Parallel Wireless, Inc. Senior Secured 11.8% 6,432,796
 6,086,404
 6,086,404
 6/1/2023MeshPlusPlus, Inc.Senior Secured12.5%741,927 676,769676,769 3/1/2024
Parallel Wireless, Inc. Senior Secured 11.8% 3,217,537
 3,149,543
 3,149,543
 9/1/2023
Parallel Wireless, Inc. Subtotal   12,867,436
 12,387,792
 12,387,792
 
Wireless Total 8.6%   $13,093,317
 $12,604,955
 $12,604,955
 
Grand Total 176.8%   $285,320,704
 $266,512,433
 $259,423,657
 
13

IndustryBorrowerPercent of Net Assets (a)CollateralInterest Rate (b)End of Term Payment (c)PrincipalCostFair ValueMaturity Date
Parallel Wireless, Inc.Senior Secured11.8%5,867,085 5,651,0225,651,022 6/1/2023
Parallel Wireless, Inc.Senior Secured11.8%3,214,551 3,169,1533,169,153 9/1/2023
Parallel Wireless, Inc.Senior Secured11.8%3,121,728 3,079,191 3,079,191 8/1/2023
Parallel Wireless, Inc. Subtotal12,203,364 11,899,366 11,899,366 
Wireless Total7.4%$13,721,727 $13,300,966 $13,300,966 
Grand Total197.2%$396,178,495 $367,146,680 $355,521,027 

* As of June 30, 2020,March 31, 2021, loans with a cost basis of $15.6$19.4 million and a fair value of $10.4$8.6 million were classified as non-accrual. These loans have been accelerated from their original maturity and are due in their entirety. During the period for which these loans have been on non-accrual status, no income has been recognized.



**Indicates assets that the Fund deems “non-qualifying assets." As of June 30, 2020, 10.7%March 31, 2021, 9.5% of the Fund’s total assets represented non-qualifying assets. Under Section 55(a) of the 1940 Act, the Fund is prohibited from acquiring any additional non-qualifying assets unless, at the time of acquisition, certain specified qualifying assets (e.g., securities issued by an "eligible portfolio company," as defined in Section 2(a)(46)) represent at least 70% of its total assets. As part of this calculation, the numerator consists of the value of the Fund's investments in all eligible portfolio companies, and the denominator consists of total assets less those assets described in Section 55(a)(7) of the 1940 Act.

^ Entity is not domiciled in the United States and does not have its principal place of business in the United States.

(a) The percentage of net assets that each industry group represents is shown with the industry totals (the sum of the percentages does not equal 100% because the percentages are based on net assets as opposed to total loans).

(b) The interest rate is the designated annual interest rate exclusive of any original issue discount, fees or end of term payment.

(c) The end of term payments are contractually due on the maturity date and are in addition to the interest rate shown. End of term payments are the percentage of the final payment divided by the original loan amount and are amortized over the full term of the loan.

As of June 30, 2020,March 31, 2021, all loans were made to non-affiliates.























See notes to condensed financial statements.statements (unaudited).
14


VENTURE LENDING & LEASING IX, INC.

CONDENSED SCHEDULE OF INVESTMENTS (UNAUDITED)
AS OF DECEMBER 31, 20192020


IndustryBorrower
Percent of Net Assets (a)
CollateralInterest Rate (b)End of Term Payment (c)PrincipalCostFair ValueMaturity Date
Biotechnology
Antheia, Inc.Senior Secured11.5%$1,219,076 $1,181,003 $1,181,003 12/1/2022
Antheia, Inc.Senior Secured11.5%1,220,291 1,206,345 1,206,345 12/1/2022
Antheia, Inc. Subtotal2,439,367 2,387,348 2,387,348 
Driver Bioengineering, Inc.Senior Secured11.0%866,600 849,310 849,310 6/1/2023
Driver Bioengineering, Inc.Senior Secured11.0%349,662 311,553 311,553 4/1/2023
Driver Bioengineering, Inc. Subtotal1,216,262 1,160,863 1,160,863 
Quartzy, Inc.Senior Secured12.0%1,113,593 1,083,782 1,083,782 7/1/2024
Quartzy, Inc.Senior Secured12.0%722,540 648,418 648,418 8/1/2023
Quartzy, Inc.Senior Secured12.0%1,113,211 1,085,490 1,085,490 5/1/2024
Quartzy, Inc. Subtotal2,949,344 2,817,690 2,817,690 
Biotechnology Total3.5%$6,604,973 $6,365,901 $6,365,901 
Computers & Storage
Canary Connect, Inc.Senior Secured12.8%$2,256,808 $2,199,490 $2,199,490 3/1/2023
Canary Connect, Inc.Senior Secured12.0%7,918,698 7,426,948 7,426,948 3/1/2024
Canary Connect, Inc. Subtotal10,175,506 9,626,438 9,626,438 
Fetch Robotics, Inc.Senior Secured12.0%7,418,932 7,104,656 7,104,656 6/1/2024
Computers & Storage Total9.1%$17,594,438 $16,731,094 $16,731,094 
Enterprise Networking
Diamanti, Inc.Senior Secured12.3%$5,441,469 $4,811,921 $4,811,921 5/1/2024
Diamanti, Inc.Senior Secured12.3%494,824 467,988 467,988 7/1/2024
Diamanti, Inc. Subtotal5,936,293 5,279,909 5,279,909 
Enterprise Networking Total2.9%$5,936,293 $5,279,909 $5,279,909 
Internet
Ainsly, Inc. ** ^Senior Secured12.5%$519,587 $490,896 $490,896 8/1/2022
Ainsly, Inc. ** ^Senior Secured12.5%173,207 173,207 173,207 8/1/2022
Ainsly, Inc. ** ^Senior Secured12.5%247,340 217,309 217,309 9/1/2023
Ainsly, Inc. Subtotal ** ^940,134 881,412 881,412 
Amino Payments, Inc.Senior Secured10.8%471,215 449,064 380,130 *
Cesium, Inc.Senior Secured10.3%105,348 103,881 103,881 1/1/2023
Cesium, Inc.Senior Secured10.3%210,624 200,481 200,481 1/1/2023
Cesium, Inc. Subtotal315,972 304,362 304,362 
iZENEtech, Inc. ** ^Senior Secured12.3%5,000,000 4,674,880 4,674,880 9/1/2024
Lukla, Inc.Senior Secured12.5%247,208 237,422 237,422 6/1/2023
Lukla, Inc.Senior Secured12.5%407,447 363,867 363,867 12/1/2022
Lukla, Inc. Subtotal654,655 601,289 601,289 
Masse, Inc.Senior Secured18.0%304,001 144,008 10,000 *
Merchbar, Inc.Senior Secured11.8%451,293 430,995 430,995 3/1/2023
MyPizza Technologies, Inc.Senior Secured11.5%4,943,040 4,784,039 4,784,039 12/1/2023
MyPizza Technologies, Inc.Senior Secured11.5%2,471,842 2,436,444 2,436,444 2/1/2024
MyPizza Technologies, Inc. Subtotal7,414,882 7,220,483 7,220,483 
Nimble Rx, Inc.Senior Secured12.0%1,091,906 999,055 999,055 2/1/2023
Nimble Rx, Inc.Senior Secured12.0%1,236,949 1,188,381 1,188,381 11/1/2023
Nimble Rx, Inc. Subtotal2,328,855 2,187,436 2,187,436 
15

IndustryBorrower 
Percent of Net Assets (a)
 Collateral Interest Rate (b) End of Term Payment (c) Principal Cost Fair Value Maturity Date
                  
Biotechnology                 
 Antheia, Inc.   Senior Secured 11.5%   $1,483,639
 $1,408,221
 $1,408,221
 12/1/2022
 Antheia, Inc.   Senior Secured 11.5%   1,485,034
 1,457,221
 1,457,221
 12/1/2022
 Antheia, Inc. Subtotal         2,968,673
 2,865,442
 2,865,442
  
 Quartzy, Inc.   Senior Secured 12.0%   742,489
 624,980
 624,980
 8/1/2023
Biotechnology Total  3.1%       $3,711,162
 $3,490,422
 $3,490,422
  
                  
Computers & Storage                 
 Canary Connect, Inc.   Senior Secured 12.8%   $2,472,801
 $2,370,284
 $2,370,284
 3/1/2023
Computers & Storage Total  2.1%       $2,472,801
 $2,370,284
 $2,370,284
  
                  
Enterprise Networking                 
 SnapRoute, Inc.   Senior Secured 18.0%   $2,556,019
 $112,500
 $112,500
 *
Enterprise Networking Total  0.1%       $2,556,019
 $112,500
 $112,500
  
                  
Internet                 
 Ainsly, Inc.**^   Senior Secured 12.5%   $741,853
 $677,056
 $677,056
 8/1/2022
 Ainsly, Inc.**^   Senior Secured 12.5%   247,301
 247,301
 247,301
 8/1/2022
 Ainsly, Inc.**^ Subtotal         989,154
 924,357
 924,357
  
 Amino Payments, Inc.   Senior Secured 10.8%   532,709
 499,394
 499,394
 3/1/2022
 Cesium, Inc.   Senior Secured 10.3%   247,773
 228,311
 228,311
 1/1/2023
 Cesium, Inc.   Senior Secured 10.3%   123,007
 120,175
 120,175
 1/1/2023
 Cesium, Inc. Subtotal         370,780
 348,486
 348,486
  
 FindShadow, PBC   Senior Secured 11.5%   582,658
 552,638
 552,638
 4/1/2022
 Lukla, Inc.   Senior Secured 12.5%   494,770
 411,213
 411,213
 12/1/2022
 Marley Spoon, Inc.**^   Senior Secured 12.0% 2.5% 3,712,354
 2,605,484
 2,605,484
 5/1/2023
 Masse, Inc.   Senior Secured 11.5%   371,266
 340,411
 340,411
 10/1/2022
 Masse, Inc.   Senior Secured 11.5%   371,367
 362,237
 362,237
 1/1/2023
 Masse, Inc. Subtotal         742,633
 702,648
 702,648
  
 Merchbar, Inc.   Senior Secured 11.8%   494,959
 458,681
 458,681
 3/1/2023
 MyPizza Technologies, Inc.   Senior Secured 11.5%   2,474,878
 2,419,067
 2,419,067
 2/1/2023
 MyPizza Technologies, Inc.   Senior Secured 11.5%   4,949,181
 4,687,370
 4,687,370
 12/1/2022
 My Pizza Technologies, Inc. Subtotal         7,424,059
 7,106,437
 7,106,437
  
 Nimble Rx, Inc.   Senior Secured 12.0%   1,237,263
 1,068,622
 1,068,622
 2/1/2023
 Osix Corporation   Senior Secured 12.3%   81,469
 71,706
 71,706
 12/1/2021
 Protecht, Inc.   Senior Secured 12.5%   814,144
 782,670
 782,670
 12/1/2021
 Serface Care, Inc.   Senior Secured 12.3%   655,700
 617,093
 466,871
 2/1/2022
 Serface Care, Inc.   Senior Secured 12.3%   218,620
 213,641
 161,633
 2/1/2022
 Serface Care, Inc. Subtotal         874,320
 830,734
 628,504
  
 Stay Alfred, Inc.   Senior Secured 12.0%   4,948,899
 4,567,733
 4,567,733
 7/1/2023
 Thrive Market, Inc.   Senior Secured 12.3%   6,444,148
 6,285,233
 6,285,233
 4/1/2022
 Verishop, Inc.   Senior Secured 12.0%   2,470,833
 2,419,085
 2,419,085
 12/1/2023
 Verishop, Inc.   Senior Secured 12.0%   2,474,370
 2,315,633
 2,315,633
 12/1/2023
 Verishop, Inc. Subtotal         4,945,203
 4,734,718
 4,734,718
  
Internet Total  27.9%       $34,689,522
 $31,950,754
 $31,748,524
  
                  


OneLocal, Inc. ** ^Senior Secured12.3%301,162 295,353 295,353 3/1/2023
OneLocal, Inc. ** ^Senior Secured12.3%301,078 281,207 281,207 3/1/2023
OneLocal, Inc. ** ^Senior Secured12.3%301,150 296,454 296,454 3/1/2023
OneLocal, Inc. Subtotal ** ^903,390 873,014 873,014 
Osix CorporationSenior Secured12.3%43,214 40,350 40,350 12/1/2021
RenoFi, Inc.Senior Secured12.0%247,427 242,330 242,330 6/1/2023
RenoFi, Inc.Senior Secured12.0%989,893 945,226 945,226 12/1/2023
RenoFi, Inc.Senior Secured12.0%247,292 231,778 231,778 6/1/2023
RenoFi, Inc. Subtotal1,484,612 1,419,334 1,419,334 
Residently USA, LLC ** ^Senior Secured12.0%873,899 789,139 789,139 2/1/2023
Residently USA, LLC ** ^Senior Secured12.0%371,000 371,000 371,000 12/1/2023
Residently USA, LLC Subtotal ** ^1,244,899 1,160,139 1,160,139 
RetailerX, Inc.Senior Secured12.0%989,881 927,856 927,856 5/1/2024
Serface Care, Inc.Senior Secured12.3%961,139 566,912 21,201 *
Shadow, PBCSenior Secured11.5%470,556 441,930 441,930 10/1/2022
Starface World, Inc.Senior Secured12.0%494,938 481,875 481,875 1/1/2024
Starface World, Inc.Senior Secured12.0%989,583 925,385 925,385 11/1/2023
Starface World, Inc. Subtotal1,484,521 1,407,260 1,407,260 
Stay Alfred, Inc.Senior Secured18.0%6,061,856 4,548,360 635,170 *
Verishop, Inc.Senior Secured12.0%2,472,054 2,437,550 2,437,550 12/1/2023
Verishop, Inc.Senior Secured12.0%2,471,119 2,366,934 2,366,934 12/1/2023
Verishop, Inc. Subtotal4,943,173 4,804,484 4,804,484 
Internet Total15.5%$36,468,248 $33,083,568 $28,421,725 
Medical Devices
Ablacon, Inc.Senior Secured11.0%$2,256,537 $2,168,756 $2,168,756 3/1/2023
Ablacon, Inc.Senior Secured11.0%2,257,368 2,224,508 2,224,508 3/1/2023
Ablacon, Inc. Subtotal4,513,905 4,393,264 4,393,264 
Anutra Medical, Inc.Senior Secured12.0%188,448 182,138 182,138 10/1/2022
CytoVale, Inc.Senior Secured12.0%304,420 301,225 301,225 7/1/2022
CytoVale, Inc.Senior Secured12.0%362,240 358,640 358,640 6/1/2022
CytoVale, Inc.Senior Secured12.0%306,253 296,276 296,276 3/1/2022
CytoVale, Inc.Senior Secured12.0%1,978,667 1,856,409 1,856,409 9/1/2024
CytoVale, Inc.Senior Secured12.0%494,475 470,113 470,113 10/1/2023
CytoVale, Inc.Senior Secured12.0%494,687 485,502 485,502 11/1/2023
CytoVale, Inc. Subtotal3,940,742 3,768,165 3,768,165 
eXo Imaging, Inc.Senior Secured11.8%1,978,816 1,837,427 1,837,427 9/1/2023
eXo Imaging, Inc.Senior Secured11.8%1,974,541 1,930,965 1,930,965 9/1/2023
eXo Imaging, Inc. Subtotal3,953,357 3,768,392 3,768,392 
Medrobotics Corporation, Inc.Senior Secured18.0%10,000,000 8,793,564 3,275,463 *
Siren Care, Inc.Senior Secured12.5%1,977,800 1,883,794 1,883,794 10/1/2023
Siren Care, Inc.Senior Secured12.5%989,137 969,133 969,133 10/1/2023
Siren Care, Inc. Subtotal2,966,937 2,852,927 2,852,927 
SVN Med, LLCSenior Secured15.0%1,973,663 1,525,305 1,525,305 12/1/2023
SVN Med, LLCSenior Secured15.0%987,065 756,382 756,382 12/1/2023
SVN Med, LLC Subtotal2,960,728 2,281,687 2,281,687 
Medical Devices Total11.2%$28,524,117 $26,040,137 $20,522,036 
Other Healthcare
Artisan Development Labs, Inc.Senior Secured12.3%$466,116 $408,000 $408,000 4/1/2023
Caredox, Inc.Senior Secured11.8%775,417 762,534 762,534 7/1/2022
GoForward, Inc.Senior Secured11.5%6,181,238 5,735,573 5,735,573 9/1/2023
GoForward, Inc.Senior Secured11.5%3,094,971 3,004,838 3,004,838 6/1/2024
GoForward, Inc. Subtotal9,276,209 8,740,411 8,740,411 
Grin, Inc.Senior Secured12.0%989,140 944,177 944,177 10/1/2023
Grin, Inc.Senior Secured12.0%494,743 484,898 484,898 1/1/2024
Grin, Inc. Subtotal1,483,883 1,429,075 1,429,075 
Hello Heart Inc.Senior Secured11.0%1,974,944 1,930,315 1,930,315 6/1/2025
16

IndustryBorrower 
Percent of Net Assets (a)
 Collateral Interest Rate (b) End of Term Payment (c) Principal Cost Fair Value Maturity Date
Medical Devices                 
 Ablacon, Inc.   Senior Secured 11.0%   $2,476,651
 $2,318,784
 $2,318,784
 3/1/2023
 Anutra Medical, Inc.   Senior Secured 12.0%   247,474
 234,112
 234,112
 10/1/2022
 CytoVale, Inc.   Senior Secured 12.0%   570,096
 561,077
 561,077
 6/1/2022
 CytoVale, Inc.   Senior Secured 12.0%   520,387
 491,789
 491,789
 3/1/2022
 CytoVale, Inc.   Senior Secured 12.0%   469,059
 461,375
 461,375
 7/1/2022
 CytoVale, Inc. Subtotal         1,559,542
 1,514,241
 1,514,241
  
 Medrobotics Corporation, Inc.   Senior Secured 12.0%   9,879,965
 8,717,603
 8,717,603
 6/1/2021
 NeuMoDx Molecular, Inc.   Senior Secured 12.0%   3,462,834
 3,402,907
 3,402,907
 4/1/2023
 NeuMoDx Molecular, Inc.   Senior Secured 12.0%   3,459,382
 3,247,068
 3,247,068
 4/1/2023
 NeuMoDx Molecular, Inc.   Senior Secured 12.0%   2,969,337
 2,893,992
 2,893,992
 4/1/2023
 NeuMoDx Molecular, Inc. Subtotal         9,891,553
 9,543,967
 9,543,967
  
Medical Devices Total  19.6%       $24,055,185
 $22,328,707
 $22,328,707
  
                  
Other Healthcare                 
 Caredox, Inc.   Senior Secured 11.8%   $941,631
 $909,177
 $909,177
 10/1/2021
 Discover Echo, Inc.   Senior Secured 11.0%   321,838
 310,782
 310,782
 12/1/2020
 GoForward, Inc.   Senior Secured 11.5%   6,188,651
 5,511,946
 5,511,946
 9/1/2023
 Hello Heart Inc.   Senior Secured 11.0%   1,238,420
 1,152,819
 1,152,819
 4/1/2023
 HumanAPI, Inc.   Senior Secured 11.8%   495,054
 485,091
 485,091
 1/1/2023
 HumanAPI, Inc.   Senior Secured 11.8%   1,484,721
 1,392,560
 1,392,560
 10/1/2022
 HumanAPI, Inc. Subtotal         1,979,775
 1,877,651
 1,877,651
  
 Sparta Software Corporation   Senior Secured 11.5% 2.2% 483,127
 465,420
 465,420
 5/1/2022
 Therapydia, Inc.   Senior Secured 12.5% 1.7% 123,953
 123,953
 123,953
 6/1/2023
 Therapydia, Inc.   Senior Secured 12.0% 1.7% 124,078
 114,085
 114,085
 3/1/2023
 Therapydia, Inc. Subtotal         248,031
 238,038
 238,038
  
Other Healthcare Total  9.2%       $11,401,473
 $10,465,833
 $10,465,833
  
                  
Other Technology                 
 Aclima, Inc.   Senior Secured 12.0%   $2,487,792
 $2,434,107
 $2,434,107
 *
 Antitoxin Technologies Inc.**^   Senior Secured 11.5%   495,197
 458,025
 458,025
 9/1/2022
 Apollo Flight Research Inc.   Senior Secured 11.0%   495,063
 474,151
 474,151
 6/1/2022
 AvantStay, Inc.   Senior Secured 11.0%   990,006
 950,646
 950,646
 6/1/2022
 Beanfields, PBC   Senior Secured 12.5%   865,388
 811,782
 811,782
 3/1/2023
 Brightside Benefit, Inc.   Senior Secured 12.4%   989,026
 970,529
 970,529
 3/1/2023
 Brightside Benefit, Inc.   Senior Secured 12.1%   689,624
 649,139
 649,139
 9/1/2022
 Brightside Benefit, Inc. Subtotal         1,678,650
 1,619,668
 1,619,668
  
 BW Industries, Inc.   Senior Secured 11.8%   1,979,730
 1,927,230
 1,927,230
 6/1/2023
 BW Industries, Inc.   Senior Secured 11.8%   1,979,819
 1,757,319
 1,757,319
 5/1/2023
 BW Industries, Inc. Subtotal         3,959,549
 3,684,549
 3,684,549
  
 DOSH Holdings, Inc.   Senior Secured 11.0%   1,237,779
 1,218,953
 1,218,953
 6/1/2022
 DOSH Holdings, Inc.   Senior Secured 11.0%   4,949,699
 4,743,974
 4,743,974
 6/1/2022
 DOSH Holdings, Inc. Subtotal         6,187,478
 5,962,927
 5,962,927
  
 Fitplan, Inc.**^   Senior Secured 12.5%   451,727
 437,616
 437,616
 3/1/2022
 Fitplan, Inc.**^   Senior Secured 12.5%   677,222
 647,498
 647,498
 3/1/2022
 Fitplan, Inc.**^   Senior Secured 12.5%   225,795
 225,795
 225,795
 3/1/2022
 Fitplan, Inc.**^ Subtotal         1,354,744
 1,310,909
 1,310,909
  
 Higher Ground Education, Inc.   Senior Secured 12.5%   2,471,753
 2,313,924
 2,313,924
 1/1/2023
 Higher Ground Education, Inc.   Senior Secured 12.5%   1,483,595
 1,450,927
 1,450,927
 4/1/2023


Hello Heart Inc.Senior Secured11.0%1,164,939 1,115,829 1,115,829 4/1/2023
Hello Heart Inc.Senior Secured11.0%1,974,944 1,796,427 1,796,427 6/1/2024
Hello Heart Inc.Senior Secured11.0%932,214 919,531 919,531 4/1/2023
Hello Heart Inc.Senior Secured11.0%742,816 730,145 730,145 11/1/2023
Hello Heart Inc. Subtotal6,789,857 6,492,247 6,492,247 
HumanAPI, Inc.Senior Secured11.8%421,960 416,785 416,785 1/1/2023
HumanAPI, Inc.Senior Secured11.8%1,129,747 1,086,210 1,086,210 10/1/2022
HumanAPI, Inc. Subtotal1,551,707 1,502,995 1,502,995 
Oula Heath, Inc.Senior Secured12.0%742,000 685,839 685,839 2/1/2024
PeerWell, Inc.Senior Secured12.0%989,722 913,704 913,704 3/1/2024
Sparta Software CorporationSenior Secured11.5%2.2%304,794 297,802 297,802 5/1/2022
Therapydia, Inc.Senior Secured12.0%1.7%97,822 92,394 92,394 3/1/2023
Therapydia, Inc.Senior Secured12.5%1.7%106,892 106,892 106,892 6/1/2023
Therapydia, Inc. Subtotal204,714 199,286 199,286 
Tia, Inc.Senior Secured11.8%1,980,051 1,703,424 1,703,424 5/1/2024
Vessel Health, Inc.Senior Secured12.0%618,622 618,622 618,622 3/1/2024
Vessel Health, Inc.Senior Secured12.0%618,539 561,586 561,586 3/1/2024
Vessel Health, Inc. Subtotal1,237,161 1,180,208 1,180,208 
Other Healthcare Total13.3%$25,801,631 $24,315,525 $24,315,525 
Other Technology
8E14 NetworksSenior Secured13.0%$296,533 $296,533 $296,533 12/1/2023
8E14 NetworksSenior Secured13.0%296,678 213,094 213,094 9/1/2023
8E14 Networks Subtotal593,211 509,627 509,627 
8i CorporationSenior Secured12.0%1,476,000 1,378,649 1,378,649 12/1/2023
Aclima, Inc.Senior Secured11.9%1,089,754 1,004,091 1,004,091 4/1/2022
Aclima, Inc.Senior Secured12.0%1,979,808 1,731,899 1,731,899 10/1/2023
Aclima, Inc. Subtotal3,069,562 2,735,990 2,735,990 
Antitoxin Technologies Inc. ** ^Senior Secured11.5%361,110 344,164 344,164 9/1/2022
Antitoxin Technologies Inc. ** ^Senior Secured12.0%989,838 843,946 843,946 12/1/2023
Antitoxin Technologies Inc. Subtotal ** ^1,350,948 1,188,110 1,188,110 
Apollo Flight Research Inc.Senior Secured11.0%210,893 207,995 207,995 1/1/2023
Apollo Flight Research Inc.Senior Secured11.0%313,128 304,774 304,774 6/1/2022
Apollo Flight Research Inc. Subtotal524,021 512,769 512,769 
ATeam Army, Inc.Senior Secured12.0%1,165,134 1,109,842 1,109,842 4/1/2023
Beanfields, PBCSenior Secured12.5%564,609 553,012 553,012 3/1/2023
Beanfields, PBCSenior Secured12.5%789,585 759,532 759,532 3/1/2023
Beanfields, PBC Subtotal1,354,194 1,312,544 1,312,544 
Belong Home, Inc.Senior Secured12.0%2,968,459 2,834,624 2,834,624 3/1/2024
Benson Hill Bio, Inc.Senior Secured12.5%9,883,793 9,205,314 9,205,314 5/1/2024
Brightside Benefit, Inc.Senior Secured12.1%464,870 446,579 446,579 9/1/2022
Brightside Benefit, Inc.Senior Secured12.4%774,623 764,814 764,814 3/1/2023
Brightside Benefit, Inc. Subtotal1,239,493 1,211,393 1,211,393 
BW Industries, Inc.Senior Secured11.8%1,823,172 1,792,512 1,792,512 6/1/2023
BW Industries, Inc.Senior Secured11.8%1,770,873 1,642,182 1,642,182 5/1/2023
BW Industries, Inc. Subtotal3,594,045 3,434,694 3,434,694 
Content Adjacent, Inc.Senior Secured12.0%1,979,710 1,885,861 1,885,861 6/1/2024
Coterie Applications, Inc.Senior Secured12.5%988,889 988,888 988,888 3/1/2024
Coterie Applications, Inc.Senior Secured12.5%989,023 875,966 875,966 9/1/2023
Coterie Applications, Inc. Subtotal1,977,912 1,864,854 1,864,854 
DOSH Holdings, Inc.Senior Secured—%700,000 514,745 514,745 *
Fitplan, Inc. ** ^Senior Secured12.5%1,266,870 1,086,326 1,058,116 *
Flo Water, Inc.Senior Secured11.8%1,978,592 1,884,544 1,884,544 12/1/2023
17

IndustryBorrower 
Percent of Net Assets (a)
 Collateral Interest Rate (b) End of Term Payment (c) Principal Cost Fair Value Maturity Date
 Higher Ground Education, Inc.   Senior Secured 12.5%   494,598
 483,148
 483,148
 5/1/2023
 Higher Ground Education, Inc.   Senior Secured 12.5%   494,718
 482,359
 482,359
 8/1/2023
 Higher Ground Education, Inc. Subtotal         4,944,664
 4,730,358
 4,730,358
  
 Hint, Inc.   Senior Secured 11.0%   1,724,265
 1,610,424
 1,610,424
 8/1/2021
 Kobo360, Inc.**^   Senior Secured 11.3%   188,120
 188,120
 188,120
 9/1/2020
 Kobo360, Inc.**^   Senior Secured 11.3%   127,168
 125,342
 125,342
 6/1/2020
 Kobo360, Inc.**^ Subtotal         315,288
 313,462
 313,462
  
 Kogniz, Inc.   Senior Secured 12.8%   271,626
 225,274
 225,274
 9/1/2021
 Make School, Inc.   Senior Secured 11.3%   690,328
 667,484
 667,484
 8/1/2021
 Nevada Nanotech Systems, Inc.   Senior Secured 12.0%   628,788
 595,193
 595,193
 6/1/2021
 NewGlobe Schools, Inc.   Senior Secured 12.5%   3,954,583
 3,784,146
 3,784,146
 8/1/2022
 Noteleaf, Inc.   Senior Secured 12.5%   1,483,247
 1,404,471
 1,404,471
 4/1/2023
 Opya, Inc.   Senior Secured 12.0%   989,594
 936,064
 936,064
 1/1/2023
 Percepto, Inc.   Senior Secured 11.8%   1,485,000
 1,390,197
 1,390,197
 11/1/2022
 Pitzi, Ltd.**^   Senior Secured 12.0%   494,932
 337,890
 337,890
 11/1/2023
 Plant Prefab, Inc.   Senior Secured 11.0%   436,815
 429,152
 429,152
 2/1/2022
 Plant Prefab, Inc.   Senior Secured 11.0%   495,230
 485,444
 485,444
 8/1/2022
 Plant Prefab, Inc.   Senior Secured 11.0%   436,736
 408,403
 408,403
 2/1/2022
 Plant Prefab, Inc. Subtotal         1,368,781
 1,322,999
 1,322,999
  
 Platform Science, Inc.   Senior Secured 12.0%   1,092,405
 1,025,274
 1,025,274
 2/1/2022
 Plethora, Inc.   Senior Secured 11.5%   1,143,203
 1,040,015
 1,040,015
 3/1/2022
 Redaptive, Inc.   Senior Secured 12.0%   4,947,392
 4,702,878
 4,702,878
 12/1/2022
 Romaine Empire, Inc.   Senior Secured 11.0% 4.1% 2,989,549
 2,821,203
 2,821,203
 2/1/2023
 Romaine Empire, Inc.   Senior Secured 12.3% 3.6% 2,984,037
 2,923,783
 2,923,783
 2/1/2023
 Romaine Empire, Inc. Subtotal         5,973,586
 5,744,986
 5,744,986
  
 Saber es Poder, Inc.   Senior Secured 10.5%   451,402
 431,977
 431,977
 3/1/2022
 Saber es Poder, Inc.   Senior Secured 10.5%   240,399
 241,229
 241,229
 5/1/2022
 Saber es Poder, Inc. Subtotal         691,801
 673,206
 673,206
  
 Saltbox, Inc.   Senior Secured 12.3%   494,667
 468,114
 468,114
 6/1/2023
 SkyKick, Inc.   Senior Secured 11.0%   4,949,290
 4,766,396
 4,766,396
 6/1/2022
 Strong Arm Technologies, Inc.   Senior Secured 12.0%   671,229
 652,092
 652,092
 5/1/2021
 Sustainable Living Partners, LLC   Senior Secured 12.5%   4,947,179
 4,164,487
 4,164,487
 8/1/2023
 Theatro Labs, Inc.   Senior Secured 12.0%   1,343,387
 1,308,538
 1,308,538
 8/1/2022
 Thras.io, Inc.   Senior Secured 12.0% 45.1% 185,880
 185,880
 185,880
 5/1/2024
 Thras.io, Inc.   Senior Secured 12.0% 45.1% 281,514
 250,101
 250,101
 4/1/2024
 Thras.io, Inc.   Senior Secured 12.0% 45.1% 186,943
 186,943
 186,943
 4/1/2024
 Thras.io, Inc.   Senior Secured 12.0% 47.3% 91,070
 91,070
 91,070
 8/1/2024
 Thras.io, Inc.   Senior Secured 12.0% 45.1% 368,336
 368,336
 368,336
 6/1/2024
 Thras.io, Inc.   Senior Secured 12.0% 45.1% 276,852
 276,852
 276,852
 6/1/2024
 Thras.io, Inc.   Senior Secured 12.0% 47.3% 457,896
 457,896
 457,896
 7/1/2024
 Thras.io, Inc. Subtotal         1,848,491
 1,817,078
 1,817,078
  
 Veev Group, Inc.   Senior Secured 12.5%   814,961
 785,872
 785,872
 12/1/2021
 Velo Holdings Limited   Senior Secured 12.0%   2,473,358
 2,326,791
 2,326,791
 6/1/2022
 Virtuix Holdings, Inc.   Senior Secured 12.3%   232,911
 228,261
 228,261
 4/1/2022
 Voodoo Manufacturing, Inc.   Senior Secured 12.0%   338,714
 314,676
 314,676
 3/1/2022
 Wheels Labs, Inc.   Senior Secured 12.5%   4,448,446
 4,301,016
 4,301,016
 8/1/2022
 Wine Plum, Inc.   Senior Secured 12.5%   989,226
 940,635
 940,635
 9/1/2022
Other Technology Total  61.7%       $74,265,209
 $70,285,041
 $70,285,041
  
                  
Security                 
 Axonius, Inc.   Senior Secured 12.0%   $361,483
 $350,280
 $350,280
 9/1/2021


Higher Ground Education, Inc.Senior Secured12.5%442,838 436,301 436,301 5/1/2023
Higher Ground Education, Inc.Senior Secured12.5%1,946,804 1,865,641 1,865,641 1/1/2023
Higher Ground Education, Inc.Senior Secured12.5%1,289,010 1,270,861 1,270,861 4/1/2023
Higher Ground Education, Inc.Senior Secured12.5%481,455 473,834 473,834 8/1/2023
Higher Ground Education, Inc. Subtotal4,160,107 4,046,637 4,046,637 
Hint, Inc.Senior Secured12.0%4,944,981 4,446,656 4,446,656 6/1/2023
Hint, Inc.Senior Secured11.0%727,671 706,141 706,141 8/1/2021
Hint, Inc. Subtotal5,672,652 5,152,797 5,152,797 
Jiko Group, Inc.Senior Secured12.0%3,463,686 3,318,065 3,318,065 6/1/2023
Kogniz, Inc.Senior Secured12.8%220,052 203,327 203,327 3/1/2022
Lambda School, Inc.Senior Secured11.3%4,948,041 4,701,574 4,701,574 7/1/2023
Lambda School, Inc.Senior Secured11.3%2,474,403 2,474,403 2,474,403 8/1/2023
Lambda School, Inc. Subtotal7,422,444 7,175,977 7,175,977 
Make School, Inc.Senior Secured11.3%291,677 287,406 287,406 8/1/2021
Natomas Labs, Inc.Senior Secured12.3%2,969,286 2,732,463 2,732,463 2/1/2024
Nevada Nanotech Systems, Inc.Senior Secured12.0%222,226 217,658 217,658 6/1/2021
NewGlobe Schools, Inc. ** ^Senior Secured12.5%2,769,725 2,695,080 2,695,080 8/1/2022
NewGlobe Schools, Inc. ** ^Senior Secured12.5%3,459,803 3,315,571 3,315,571 8/1/2023
NewGlobe Schools, Inc. ** ^Senior Secured12.5%4,946,802 4,825,816 4,825,816 12/1/2023
NewGlobe Schools, Inc. Subtotal ** ^11,176,330 10,836,467 10,836,467 
Noteleaf, Inc.Senior Secured12.5%2,277,124 2,161,761 1,028,982 *
OnePointOne, Inc.Senior Secured12.0%1,960,000 1,783,411 1,783,411 2/1/2024
Opya, Inc.Senior Secured12.0%989,171 958,214 958,214 11/1/2023
Ozy Media, Inc.Senior Secured12.8%2,965,665 2,775,884 2,775,884 6/1/2023
Ozy Media, Inc.Senior Secured12.8%1,483,826 1,424,222 1,424,222 9/1/2023
Ozy Media, Inc.Senior Secured12.8%1,977,806 1,977,807 1,977,807 6/1/2023
Ozy Media, Inc.Senior Secured12.8%2,470,510 2,383,782 2,383,782 6/1/2023
Ozy Media, Inc. Subtotal8,897,807 8,561,695 8,561,695 
Percepto, Inc.Senior Secured12.2%1,799,336 1,721,548 1,721,548 4/1/2023
Pitzi, Ltd. ** ^Senior Secured12.0%482,870 376,812 376,812 11/1/2023
Pitzi, Ltd. ** ^Senior Secured12.0%1,483,727 1,435,741 1,435,741 4/1/2024
Pitzi, Ltd. Subtotal ** ^1,966,597 1,812,553 1,812,553 
Plant Prefab, Inc.Senior Secured11.0%1,045,516 999,473 999,473 8/1/2022
Platform Science, Inc.Senior Secured11.5%3,960,517 3,760,439 3,760,439 10/1/2023
Platform Science, Inc.Senior Secured12.0%623,171 601,043 601,043 2/1/2022
Platform Science, Inc. Subtotal4,583,688 4,361,482 4,361,482 
Plethora, Inc.Senior Secured11.5%997,774 945,362 945,362 7/1/2022
Privoro Holdings, Inc.Senior Secured12.0%1,979,606 1,836,871 1,836,871 4/1/2024
Reali Inc.Senior Secured12.5%3,956,094 3,775,549 3,775,549 9/1/2023
Romaine Empire, Inc.Senior Secured12.3%5,454,020 5,227,539 5,227,539 7/1/2023
Saltbox, Inc.Senior Secured12.3%423,968 408,719 408,719 6/1/2023
SMS OPCO LLCSenior Secured8.0%36,875 18,125 18,125 *
Strong Arm Technologies, Inc.Senior Secured12.0%209,338 207,281 207,281 5/1/2021
Sustainable Living Partners, LLCSenior Secured12.5%4,479,984 3,999,116 3,999,116 8/1/2023
Theatro Labs, Inc.Senior Secured12.0%888,982 873,903 873,903 8/1/2022
TIER Mobility GmbH ** ^Senior Secured12.0%8,905,182 8,561,180 8,561,180 4/1/2023
TomoCredit, Inc.Senior Secured12.5%395,819 395,819 395,819 9/1/2023
TomoCredit, Inc.Senior Secured12.5%593,454 540,134 540,134 9/1/2023
TomoCredit, Inc. Subtotal989,273 935,953 935,953 
Veev Group, Inc.Senior Secured12.5%1,235,419 1,122,426 1,122,426 6/1/2023
Veev Group, Inc.Senior Secured12.5%3,707,038 3,648,364 3,648,364 6/1/2023
Veev Group, Inc.Senior Secured12.5%432,783 424,481 424,481 12/1/2021
Veev Group, Inc. Subtotal5,375,240 5,195,271 5,195,271 
18

Velo Holdings LimitedSenior Secured12.0%2,471,720 2,252,248 1,985,209 *
IndustryBorrower 
Percent of Net Assets (a)
 Collateral Interest Rate (b) End of Term Payment (c) Principal Cost Fair Value Maturity Date
Virtuix Holdings, Inc.Senior Secured12.3%141,134 139,438 117,049 4/1/2022
Welcome Tech, Inc.Senior Secured10.5%578,778 545,308 545,308 5/1/2022
Wheels Labs, Inc.Senior Secured12.5%3,115,612 3,051,198 3,051,198 8/1/2022
Wine Plum, Inc.Senior Secured12.5%723,778 701,625 701,625 9/1/2022
World Wrapps II, Inc.Senior Secured12.0%494,667 342,954 342,954 6/1/2024
Other Technology TotalOther Technology Total69.1%$135,461,668 $128,018,460 $126,568,043 
SecuritySecurity
ArecaBay, Inc.Senior Secured11.0%$1,485,917 $1,417,675 $1,417,675 8/1/2023
Axonius, Inc.Senior Secured12.0%164,208 161,820 161,820 9/1/2021
Nok Nok Labs, Inc.Senior Secured12.5%540,071 533,246 533,246 6/1/2022
Popily, Inc.Senior Secured12.5%989,137 867,450 867,450 12/1/2023
Popily, Inc.Senior Secured12.5%1,484,125 1,484,125 1,484,125 12/1/2023
Nok Nok Labs, Inc. Senior Secured 12.5% 848,037
 831,014
 831,014
 6/1/2022Popily, Inc. Subtotal2,473,262 2,351,575 2,351,575 
Safetrust Holdings, Inc. Senior Secured 12.5% 314,927
 295,554
 295,554
 6/1/2021Safetrust Holdings, Inc.Senior Secured12.5%249,930 186,010 186,010 8/1/2021
Security Total 1.3% $1,524,447
 $1,476,848
 $1,476,848
 Security Total2.5%$4,913,388 $4,650,326 $4,650,326 
       
Semiconductors & Equipment       Semiconductors & Equipment
ETA Compute, Inc. Senior Secured 12.0% $1,176,312
 $1,137,034
 $1,137,034
 11/1/2021ETA Compute, Inc.Senior Secured12.0%$596,190 $585,915 $585,915 11/1/2021
Semiconductors & Equipment Total 1.0% $1,176,312
 $1,137,034
 $1,137,034
 Semiconductors & Equipment Total0.3%$596,190 $585,915 $585,915 
       
Software       Software
Alkanza Inc. Senior Secured 18.0% $677,531
 $317,479
 $160,154
 *Afero, Inc.Senior Secured12.3%$2,474,202 $2,127,019 $2,127,019 1/1/2024
ArborMetrix, Inc. Senior Secured 12.5% 1,484,138
 1,392,854
 1,392,854
 6/1/2023Airbrake Technologies, Inc.Senior Secured12.5%989,466 898,541 898,541 10/1/2023
Blockdaemon, Inc. Senior Secured 11.3% 247,542
 238,275
 238,275
 6/1/2022ArborMetrix, Inc.Senior Secured12.5%1,482,031 1,424,994 1,424,994 9/1/2023
Blockdaemon, Inc. Senior Secured 11.3% 172,574
 160,080
 160,080
 8/1/2021ArborMetrix, Inc.Senior Secured12.5%741,595 721,872 721,872 9/1/2023
Blocdaemon, Inc. Subtotal 420,116
 398,355
 398,355
 ArborMetrix, Inc. Subtotal2,223,626 2,146,866 2,146,866 
Canary Technologies Corporation Senior Secured 11.5% 247,445
 227,240
 227,240
 6/1/2023BackboneAI Inc.Senior Secured12.3%494,779 483,764 483,764 6/1/2023
Censia Inc. Senior Secured 11.0% 990,325
 929,044
 929,044
 10/1/2022BackboneAI Inc.Senior Secured12.3%494,537 435,999 435,999 6/1/2023
Cloudleaf, Inc. Senior Secured 12.0% 1,484,964
 1,348,759
 1,348,759
 8/1/2023BackboneAI Inc. Subtotal989,316 919,763 919,763 
Dynamics, Inc. Senior Secured 12.5% 5,196,946
 4,670,012
 4,670,012
 8/1/2021Blockdaemon, Inc.Senior Secured11.3%72,916 70,543 70,543 8/1/2021
Eskalera, Inc. Senior Secured 10.5% 991,021
 946,027
 946,027
 3/1/2023Blockdaemon, Inc.Senior Secured11.3%156,750 153,047 153,047 6/1/2022
ICX Media, Inc. Senior Secured 12.5% 480,312
 446,415
 446,415
 5/1/2022Blockdaemon, Inc. Subtotal229,666 223,590 223,590 
Interana, Inc. Senior Secured 11.3% 1,880,980
 1,838,925
 1,838,925
 6/1/2021Canary Technologies CorporationSenior Secured11.5%247,338 234,633 234,633 6/1/2023
Invoice2Go, Inc. Senior Secured 12.0% 902,694
 811,358
 811,358
 3/1/2022Censia Inc.Senior Secured11.0%751,876 723,062 723,062 10/1/2022
Invoice2Go, Inc. Senior Secured 12.0% 988,950
 975,628
 975,628
 7/1/2022Cloudleaf, Inc.Senior Secured12.0%739,000 724,597 724,597 9/1/2024
Invoice2Go, Inc. Senior Secured 12.0% 989,381
 973,707
 973,707
 11/1/2022Cloudleaf, Inc.Senior Secured12.0%1,445,065 1,360,260 1,360,260 8/1/2023
Invoice2Go, Inc. Senior Secured 12.0% 989,795
 971,709
 971,709
 3/1/2023Cloudleaf, Inc. Subtotal2,184,065 2,084,857 2,084,857 
Invoice2Go, Inc. Senior Secured 12.0% 988,333
 938,608
 938,608
 6/1/2023Dynamics, Inc.Senior Secured12.5%2,208,811 2,106,703 2,106,703 8/1/2021
Invoice2Go, Inc. Subtotal 4,859,153
 4,671,010
 4,671,010
 Eskalera, Inc.Senior Secured10.5%902,496 877,642 877,642 3/1/2023
Ipolipo, Inc. Senior Secured 12.0% 2,181,071
 2,058,285
 2,058,285
 6/1/2022ICX Media, Inc.Senior Secured12.5%247,171 242,813 242,813 7/1/2023
Lucideus, Inc. Senior Secured 12.0% 494,988
 448,935
 448,935
 2/1/2023ICX Media, Inc.Senior Secured12.5%298,886 285,701 285,701 5/1/2022
Medable, Inc. Senior Secured 12.0% 989,897
 968,703
 968,703
 2/1/2023ICX Media, Inc.Senior Secured12.5%240,098 236,153 236,153 5/1/2023
Medable, Inc. Senior Secured 12.0% 1,979,560
 1,815,140
 1,815,140
 2/1/2023ICX Media, Inc. Subtotal786,155 764,667 764,667 
Medable, Inc. Subtotal 2,969,457
 2,783,843
 2,783,843
 Invoice2Go, Inc.Senior Secured12.0%660,026 654,481 654,481 7/1/2022
Metawave Corporation Senior Secured 12.0% 937,979
 906,739
 906,739
 7/1/2022Invoice2Go, Inc.Senior Secured12.0%989,486 944,616 944,616 6/1/2024
Migo Money, Inc.**^ Senior Secured 12.5% 451,529
 451,529
 451,529
 3/1/2022Invoice2Go, Inc.Senior Secured12.0%989,150 806,149 806,149 3/1/2024
Migo Money, Inc.**^ Senior Secured 12.3% 610,858
 574,763
 574,763
 12/1/2021Invoice2Go, Inc.Senior Secured12.0%988,822 957,755 957,755 6/1/2023
Migo Money, Inc.**^ Subtotal 1,062,387
 1,026,292
 1,026,292
 Invoice2Go, Inc.Senior Secured12.0%902,702 892,679 892,679 3/1/2023
OrderGroove, Inc. Senior Secured 12.0% 2,472,099
 2,352,429
 2,352,429
 6/1/2023Invoice2Go, Inc.Senior Secured12.0%531,244 498,925 498,925 3/1/2022
OrderGroove, Inc. Senior Secured 12.0% 1,236,848
 1,214,197
 1,214,197
 6/1/2023Invoice2Go, Inc.Senior Secured12.0%783,778 776,169 776,169 11/1/2022
OrderGroove, Inc. Senior Secured 12.0% 1,237,122
 1,212,501
 1,212,501
 6/1/2023Invoice2Go, Inc. Subtotal5,845,208 5,530,774 5,530,774 
OrderGroove, Inc. Subtotal 4,946,069
 4,779,127
 4,779,127
 Ipolipo, Inc.Senior Secured12.0%2,066,199 1,943,196 1,476,836 6/1/2022
Owl Cameras, Inc. Senior Secured 18.0% 3,461,552
 2,866,672
 2,322,293
 *Lucideus, Inc.Senior Secured12.0%436,842 411,722 411,722 2/1/2023
PlushCare, Inc. Senior Secured 11.8% 721,024
 706,066
 706,066
 5/1/2022Medable, Inc.Senior Secured12.0%1,746,992 1,657,497 1,657,497 2/1/2023
PlushCare, Inc. Senior Secured 11.8% 960,569
 917,175
 917,175
 5/1/2022Medable, Inc.Senior Secured12.0%873,608 862,217 862,217 2/1/2023
PlushCare, Inc. Subtotal 1,681,593
 1,623,241
 1,623,241
 Medable, Inc. Subtotal2,620,600 2,519,714 2,519,714 
Ready Education Inc.**^ Senior Secured 11.5% 180,541
 180,541
 180,541
 9/1/2021Metawave CorporationSenior Secured12.0%608,751 595,704 595,704 7/1/2022
Ready Education Inc.**^ Senior Secured 11.5% 349,214
 349,214
 349,214
 9/1/2021
Ready Education, Inc.**^ Subtotal 529,755
 529,755
 529,755
 
Resilio, Inc. Senior Secured 12.8% 149,688
 149,688
 149,688
 5/1/2021
Resilio, Inc. Senior Secured 12.8% 133,441
 116,663
 116,663
 3/1/2021
Resilio, Inc. Subtotal 283,129
 266,351
 266,351
 
Splitwise, Inc. Senior Secured 12.3% 494,768
 467,646
 467,646
 12/1/2022
Stitch Labs, Inc. Senior Secured 12.0% 1,310,479
 1,234,947
 1,234,947
 2/1/2022
Stitch Labs, Inc. Senior Secured 12.3% 741,828
 728,702
 728,702
 6/1/2022
19

Migo Money, Inc. ** ^Senior Secured12.3%324,019 313,653 313,653 12/1/2021
IndustryBorrower 
Percent of Net Assets (a)
 Collateral Interest Rate (b) End of Term Payment (c) Principal Cost Fair Value Maturity Date
Migo Money, Inc. ** ^Senior Secured12.5%266,341 266,341 266,341 3/1/2022
Migo Money, Inc. Subtotal ** ^590,360 579,994 579,994 
OrderGroove, Inc.Senior Secured12.0%4,755,473 4,424,662 4,424,662 4/1/2024
Owl Cameras, Inc.Senior Secured18.0%605,050 310,170 308,414 *
Pixlee, Inc.Senior Secured12.3%1,484,210 1,403,678 1,403,678 1/1/2024
PlushCare, Inc.Senior Secured11.8%447,140 441,430 441,430 5/1/2022
PlushCare, Inc.Senior Secured11.8%595,693 579,013 579,013 5/1/2022
PlushCare, Inc. Subtotal1,042,833 1,020,443 1,020,443 
Resilio, Inc.Senior Secured12.8%28,407 27,431 27,431 3/1/2021
Resilio, Inc.Senior Secured12.8%46,851 46,850 46,850 5/1/2021
Resilio, Inc. Subtotal75,258 74,281 74,281 
Sonatus, IncSenior Secured12.5%989,255 860,419 860,419 9/1/2023
Splitwise, Inc.Senior Secured12.3%407,224 393,457 393,457 12/1/2022
Stitch Labs, Inc. Subtotal 2,052,307
 1,963,649
 1,963,649
 Swiftly Systems, Inc.Senior Secured11.5%4,951,149 3,962,224 3,962,224 10/1/2024
Swivel, Inc. Senior Secured 12.0% 247,319
 247,319
 247,319
 10/1/2022Swivel, Inc.Senior Secured12.0%173,702 173,702 173,702 10/1/2022
Swivel, Inc. Senior Secured 12.0% 240,927
 224,342
 224,342
 8/1/2022Swivel, Inc.Senior Secured12.0%159,432 152,178 152,178 8/1/2022
Swivel, Inc. Subtotal 488,246
 471,661
 471,661
 Swivel, Inc. Subtotal333,134 325,880 325,880 
Talla, Inc. Senior Secured 12.5% 480,218
 448,442
 448,442
 5/1/2022Trendalytics Innovation Labs, Inc.Senior Secured12.8%189,070 177,064 156,140 6/1/2022
Trendalytics Innovation Labs, Inc. Senior Secured 12.8% 296,547
 267,283
 267,283
 6/1/2022Truthset, Inc.Senior Secured10.5%360,505 360,505 360,505 5/1/2023
Truthset, Inc. Senior Secured 10.5% 371,714
 371,714
 371,714
 5/1/2023Truthset, Inc.Senior Secured10.5%327,294 308,736 308,736 2/1/2023
Truthset, Inc. Senior Secured 10.5% 371,630
 337,302
 337,302
 2/1/2023Truthset, Inc. Subtotal687,799 669,241 669,241 
Truthset, Inc. Subtotal 743,344
 709,016
 709,016
 Venuetize, Inc.Senior Secured12.3%130,209 123,167 123,167 4/1/2022
Venuetize, LLC Senior Secured 12.3% 214,880
 195,955
 195,955
 4/1/2022Workspot, Inc.Senior Secured12.0%246,296 239,558 239,558 9/1/2021
Workspot, Inc. Senior Secured 12.0% 742,358
 721,400
 721,400
 10/1/2022Workspot, Inc.Senior Secured12.0%518,863 493,458 493,458 8/1/2022
Workspot, Inc. Senior Secured 12.0% 742,204
 684,512
 684,512
 8/1/2022Workspot, Inc.Senior Secured12.0%565,294 555,453 555,453 10/1/2022
Workspot, Inc. Senior Secured 12.0% 542,189
 510,896
 510,896
 9/1/2021Workspot, Inc.Senior Secured12.0%2,969,690 2,792,441 2,792,441 11/1/2023
Workspot, Inc. Subtotal 2,026,751
 1,916,808
 1,916,808
 Workspot, Inc. Subtotal4,300,143 4,080,910 4,080,910 
Software Total 35.3% $44,057,972
 $40,915,820
 $40,214,116
 Software Total22.9%$46,105,784 $42,514,043 $42,025,003 
       
Technology Services       Technology Services
Callisto Media, Inc. Senior Secured 10.3% $2,475,086
 $2,171,160
 $2,171,160
 6/1/2023iLearningEngines Inc.Senior Secured11.5%$7,918,225 $6,762,096 $6,762,096 12/1/2023
Keyo AI Inc. Senior Secured 10.0% 436,352
 414,912
 414,912
 2/1/2022Klar Holdings Limited ** ^Senior Secured14.2%4.0%248,885 235,789 235,789 7/1/2023
Klar Holdings Limited**^ Senior Secured 12.5% 247,346
 192,549
 192,549
 10/1/2022Klar Holdings Limited ** ^Senior Secured12.5%188,627 161,586 161,586 10/1/2022
Leap Services, Inc. Senior Secured 12.0% 494,731
 471,508
 471,508
 6/1/2022Klar Holdings Limited Subtotal ** ^437,512 397,375 397,375 
Lifit, Inc.**^ Senior Secured 12.0% 494,641
 457,564
 457,564
 8/1/2022Leap Services, Inc.Senior Secured12.0%314,353 305,005 305,005 6/1/2022
Lifit, Inc.**^ Senior Secured 12.0% 494,791
 484,576
 484,576
 10/1/2022Lifit, Inc. ** ^Senior Secured12.0%345,793 329,478 329,478 8/1/2022
Lift, Inc.**^ Subtotal 989,432
 942,140
 942,140
 Lifit, Inc. ** ^Senior Secured12.0%376,772 371,984 371,984 10/1/2022
Loansnap Holdings Inc.** Senior Secured 11.0% 2,723,258
 2,610,640
 2,610,640
 6/1/2022Lifit, Inc. Subtotal ** ^722,565 701,462 701,462 
Relimetrics, Inc. Senior Secured 11.3% 316,328
 303,649
 303,649
 1/1/2022Loansnap Holdings Inc. **Senior Secured11.0%2,236,556 2,118,234 1,913,394 12/1/2022
Solugen, Inc. Senior Secured 11.0% 2,476,420
 2,284,875
 2,284,875
 1/1/2023Relimetrics, Inc.Senior Secured11.3%173,675 169,806 169,806 1/1/2022
Solugen, Inc. Senior Secured 11.0% 1,238,440
 1,213,420
 1,213,420
 1/1/2023Riffyn, Inc.Senior Secured11.5%1,980,521 1,892,277 1,892,277 2/1/2024
Solugen, Inc. Subtotal 3,714,860
 3,498,295
 3,498,295
 Solugen, Inc.Senior Secured11.0%2,107,961 2,007,714 2,007,714 1/1/2023
Thrive Financial, Inc.** Senior Secured 11.5% 990,014
 930,252
 930,252
 10/1/2022Solugen, Inc.Senior Secured11.0%1,054,189 1,041,250 1,041,250 1/1/2023
Zeel Networks, Inc. Senior Secured 11.0% 2,122,811
 2,039,447
 2,039,447
 3/1/2022Solugen, Inc.Senior Secured11.0%1,054,706 1,038,103 1,038,103 1/1/2023
Solugen, Inc. Subtotal4,216,856 4,087,067 4,087,067 
Thrive Financial, Inc. **Senior Secured9.3%247,981 247,981 247,981 11/1/2023
Thrive Financial, Inc. **Senior Secured11.5%752,761 724,584 724,584 10/1/2022
Thrive Financial, Inc. Subtotal **1,000,742 972,565 972,565 
Zanbato, Inc.Senior Secured11.0%3,465,417 3,347,061 3,347,061 9/1/2023
Zeel Networks, Inc.Senior Secured11.0%2,049,602 2,002,173 1,837,535 3/1/2022
Technology Services Total 11.9% $14,510,218
 $13,574,552
 $13,574,552
 Technology Services Total12.2%$24,516,024 $22,755,121 $22,385,643 
       
Wireless       Wireless
AirVine Scientific, Inc. Senior Secured 12.0% $123,714
 $115,226
 $115,226
 9/1/2022AirVine Scientific, Inc.Senior Secured12.0%$90,366 $86,490 $86,490 9/1/2022
Parallel Wireless, Inc. Senior Secured 11.8% 6,410,893
 5,992,158
 5,992,158
 6/1/2023AirVine Scientific, Inc.Senior Secured12.0%90,429 88,729 88,729 9/1/2022
Wireless Total 5.4% $6,534,607
 $6,107,384
 $6,107,384
 
Grand Total 178.6% $220,954,927
 $204,215,179
 $203,311,245
 
AirVine Scientific, Inc. Subtotal180,795 175,219 175,219 
Parallel Wireless, Inc.Senior Secured11.8%6,428,736 6,168,641 6,168,641 6/1/2023
20

Parallel Wireless, Inc.Senior Secured11.8%3,215,116 3,164,764 3,164,764 8/1/2023
Parallel Wireless, Inc.Senior Secured11.8%3,215,575 3,162,405 3,162,405 9/1/2023
Parallel Wireless, Inc. Subtotal12,859,427 12,495,810 12,495,810 
Wireless Total6.9%$13,040,222 $12,671,029 $12,671,029 
Grand Total169.4%$345,562,976 $323,011,028 $310,522,149 

*As of December 31, 2019,2020, loans with a cost basis of $5.7$20.8 million and a fair value of $5.0$9.2 million were classified as non-accrual. These loans have been accelerated from their original maturity and are due in their entirety. During the period for which these loans have been on non-accrual status, no income has been recognized.

**Indicates assets that the Fund deems “non-qualifying assets." As of December 31, 2019, 5.7%2020, 11.0% of the Fund’s total assets represented non-qualifying assets. Under Section 55(a) of the 1940 Act, the Fund is prohibited from acquiring any additional non-qualifying assets unless, at the time of acquisition, certain specified qualifying assets (e.g., securities issued by an "eligible portfolio company," as defined in Section 2(a)(46)) represent at least 70% of its total assets. As part of this calculation, the numerator consists of the value of the Fund's investments in all eligible portfolio companies, and the denominator consists of total assets less those assets described in Section 55(a)(7) of the 1940 Act.

^ Entity is not domiciled in the United States and does not have its principal place of business in the United States.

(a) The percentage of net assets that each industry group represents is shown with the industry totals (the sum of the percentages does not equal 100% because the percentages are based on net assets as opposed to total loans).

(b) The interest rate is the designated annual interest rate exclusive of any original issue discount, fees or end of term payment.



(c) The end of term payments are contractually due on the maturity date and are in addition to the interest rate shown. End of term payments are the percentage of the final payment divided by the original loan amount and are amortized over the full term of the loan.

As of December 31, 2019,2020, all loans were made to non-affiliates.


































See notes to condensed financial statements.

statements (unaudited).
21

VENTURE LENDING & LEASING IX, INC.

CONDENSED SCHEDULES OF DERIVATIVE INSTRUMENTS (UNAUDITED)
AS OF JUNE 30, 2020MARCH 31, 2021 AND DECEMBER 31, 20192020


Description and terms of payments to be received from another partyDescription and terms of payments to be paid to another partyCounterpartyMaturity DateAs of March 31, 2021
Notional AmountFair ValueUpfront payments/receiptsUnrealized appreciation/(depreciation)
(a)
Interest Rate Swap and Floor Agreements
Floating interest rate greater of USD-LIBOR-BBA or 0.00%, to be received monthlyFixed interest rate 2.520%, to be paid monthlyMUFG Union Bank, N.A.12/20/2021$35,000,000 $(612,123)$— $(612,123)
Floating interest rate greater of USD-LIBOR-BBA or 0.00%, to be received monthlyFixed interest rate 1.899%, to be paid monthlyMUFG Union Bank, N.A.12/20/202122,000,000 (284,652)— (284,652)
Interest Rate Collar
Floating interest rate of USD-LIBOR-BBA with a cap rate of 1.15%, to be received monthlyFloating interest rate of USD-LIBOR-BBA with a floor rate of 0.17% to be paid monthlyMUFG Union Bank, N.A.6/30/202520,000,000 191,822 — 191,822 
Floating interest rate of USD-LIBOR-BBA with a cap rate of 1.00% to be received monthlyFloating interest rate of USD-LIBOR-BBA with a floor rate of 0.35% to be paid monthlyZions Bancorporation, N.A.3/18/202430,000,000 (139,875)— (139,875)
.
Total$107,000,000 $(844,828)$— $(844,828)
Description and terms of payments to be received from another party Description and terms of payments to be paid to another party Counterparty Maturity Date As of June 30, 2020
    Notional Amount Value Upfront payments/receipts 
Unrealized appreciation/(depreciation)
(a)
               
Interest Rate Swap and Floor Agreements
               
Floating interest rate greater of USD-LIBOR-BBA or 0.00%, to be received monthly Fixed interest rate 2.520%, to be paid monthly MUFG Union Bank, N.A. 12/20/2021 $35,000,000
 $(1,228,214) $—
 $(1,228,214)
               
Floating interest rate greater of USD-LIBOR-BBA or 0.00%, to be received monthly Fixed interest rate 1.899%, to be paid monthly MUFG Union Bank, N.A. 12/20/2021 22,000,000
 (568,263) —
 (568,263)
               
Interest Rate Collar
               
Floating interest rate with a cap rate of 1.15%, to be received monthly Floating interest rate with a floor rate of 0.17% to be paid monthly MUFG Union Bank, N.A. 6/30/2025 20,000,000
 (176,414) —
 (176,414)
               
Total       $77,000,000
 $(1,972,891) $—
 $(1,972,891)


Description and terms of payments to be received from another party Description and terms of payments to be paid to another party Counterparty Maturity Date As of December 31, 2019Description and terms of payments to be received from another partyDescription and terms of payments to be paid to another partyCounterpartyMaturity DateAs of December 31, 2020
 Notional Amount Value Upfront payments/receipts 
Unrealized appreciation/(depreciation)
(a)
Notional AmountFair ValueUpfront payments/receiptsUnrealized appreciation/(depreciation)
(a)
        
Interest Rate Swap and Floor Agreements
        
Floating interest rate greater of USD-LIBOR-BBA or 0.00%, to be received monthly Fixed interest rate 2.520%, to be paid monthly MUFG Union Bank, N.A. 12/20/2021 $35,000,000
 $(668,876) $—
 $(668,876)Floating interest rate greater of USD-LIBOR-BBA or 0.00%, to be received monthlyFixed interest rate 2.520%, to be paid monthlyMUFG Union Bank, N.A.12/20/2021$35,000,000 $(818,923)$— $(818,923)
        
Floating interest rate greater of USD-LIBOR-BBA or 0.00%, to be received monthly Fixed interest rate 1.899%, to be paid monthly MUFG Union Bank, N.A. 12/20/2021 22,000,000
 (156,698) —
 (156,698)Floating interest rate greater of USD-LIBOR-BBA or 0.00%, to be received monthlyFixed interest rate 1.899%, to be paid monthlyMUFG Union Bank, N.A.12/20/202122,000,000 (380,548)— (380,548)
        
Interest Rate CollarInterest Rate Collar
Floating interest rate of USD-LIBOR-BBA with a cap rate of 1.15%, to be received monthlyFloating interest rate of USD-LIBOR-BBA with a cap rate of 1.15%, to be received monthlyFloating interest rate of USD-LIBOR-BBA with a floor rate of 0.17% to be paid monthlyMUFG Union Bank, N.A.6/30/202520,000,000 (54,743)— (54,743)
Total $57,000,000
 $(825,574) $—
 $(825,574)Total$77,000,000 $(1,254,214)$— $(1,254,214)
(a) The unrealized appreciation/depreciation were valued using prices or valuation based on observable inputs other than quoted price in active markets for identical assets and liabilities. See “Note 3. Fair Value Disclosures” for more information.






See notes to condensed financial statements.

statements (unaudited).
22

VENTURE LENDING & LEASING IX, INC.

NOTES TO CONDENSED FINANCIAL STATEMENTS (UNAUDITED)
1.ORGANIZATION AND OPERATIONS OF THE FUND
1.ORGANIZATION AND OPERATIONS OF THE FUND
Venture Lending & Leasing IX, Inc. (the “Fund”) was incorporated in Maryland on June 28, 2017 as a non-diversified, closed-end management investment company electing status as a business development company (“BDC”) under the Investment Company Act of 1940, as amended (the “1940 Act”) and is managed by Westech Investment Advisors, LLC (the “Manager” or “Management”). The Fund will be dissolved on December 31, 2028 unless the Board of Directors (the “Board”) opts to elect early dissolution. One hundred percent of the stock of the Fund is held by Venture Lending & Leasing IX, LLC (the “Company”). Prior to commencing operations on May 2, 2018, the Fund had no operations other than accruing organizational expenses and the sale to the Company of 100,000 shares of common stock, $0.001 par value for $25,000 in June 2017. This issuance of stock was a requirement to apply for a finance lender’s license from the California Commissioner of Corporations, which was obtained on September 22, 2017.

The Fund’s investment objective is to achieve superior risk-adjusted investment returns and it seeks to achieve that objective by providing debt financing to portfolio companies, most of which are private. The Fund generally receives warrants to acquire equity securities in connection with its portfolio investments and generally distributes these warrants to its shareholder upon receipt, or soon thereafter. The Fund also has guidelines for the percentages of total assets that are invested in different types of assets.

The portfolio investments of the Fund primarily consist of debt financing to early and expansion stage venture capital-backed technology companies.

In the Manager’s opinion, the accompanying condensed interim financial statements (hereafter referred to as “financial statements”) include all adjustments (consisting only of normal recurring adjustments) necessary for a fair presentation of financial position and results of operations for interim periods. Certain information and note disclosures normally included in audited annual financial statements prepared in accordance with United States Generally Accepted Accounting Principles (“U.S. GAAP”) have been omitted; however, the Fund believes that the disclosures made are adequate to make the information presented not misleading. The interim results for the sixthree months ended June 30, 2020March 31, 2021 are not necessarily indicative of what the results would be for a full year. These financial statements should be read in conjunction with the financial statements and the notes included in the Fund’s Annual Report on Form 10-K for the year ended December 31, 2019.2020.
2.SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
2.SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Basis of Accounting
The preparation of financial statements in conformity with U.S. 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. As an investment company, the Fund follows accounting and reporting guidance as set forth in Topic 946 (“Financial Services - Investment Companies”) of the Financial Accounting Standards Board’s (“FASB”) Accounting Standards Codification, as amended (“ASC”). Certain prior period information has been reclassified and/or disclosed to conform to current year presentation.
23


Cash and Cash Equivalents
Cash and cash equivalents consist of cash on hand and money market mutual funds with maturities of 90 days or less. Money market mutual funds held as cash equivalents are valued at their most recently traded net asset value. Within cash and cash equivalents, as of June 30, 2020,March 31, 2021, the Fund held 7,996,4825,289,074 units in the Blackrock Treasury Trust Institutional Fund valued at $1 per unit at a yield of 0.11%,0.03% and cash on hand of less than $1 million, which represented 5.5%3.0% of the net assets of the Fund. Within cash and cash equivalents, as of December 31, 2019,2020, the Fund held 10,754,75912,497,243 units in the Blackrock Treasury Trust Institutional Fund valued at $1 per unit at a yield of 1.6%0.01% - 0.02%, which represented 9.4%6.8% of the net assets of the Fund.
Interest Income
Interest income on loans is recognized on an accrual basis using the effective interest method including amounts resulting from the amortizationaccretion of equity securitiesdiscount on loans included as additional compensation as part of the loan agreements. Additionally, fees received as part of the transaction are added to the loan discount and amortizedaccreted over the life of the loan.

Realized Gains and Losses from Loans

Realized gains or losses on the sale of loans are computed using the difference between the amortized cost and the sales proceeds. Realized losses on loan write-offs are recognized when management determines a loan is uncollectible.

Investment Valuation

The Fund accounts for loans at fair value in accordance with the valuation methods below. All valuations are determined under the direction of the Manager, in accordance with the valuation methods.

As of June 30, 2020March 31, 2021 and December 31, 2019,2020, the financial statements included nonmarketable investments of $259.4$355.5 million and $203.3$310.5 million, respectively, (or 95.6%96.3% and 93.4%94.8% of total assets, respectively), with the fair values determined by the Manager in the absence of readily determinable market values. Because of the inherent uncertainty of these valuations, estimated fair values of such investments may differ significantly from the values that would have been used had a ready market for the securities existed, and the differences could be material. Below is the information used by the Manager in making these estimates.

Loans

The Fund defines fair value as the price that would be received to sell an asset or paid to lower a liability in an orderly transaction between market participants at the measurement date. Because there is no readily available market price and no secondary market for substantially all of the debtloan investments made by the Fund in its borrowing portfolio companies, Management determines fair value based on hypothetical markets, and on several factors related to each borrower, including, but not limited to, the borrower’s payment history, available cash and “burn rate,” revenues, net income or loss, the likelihood that the borrower will be able to secure additional financing in the future, and an evaluation of the general interest rate environment. The amount of any valuation adjustment considers the estimated amount and timing of cash payments of principal and interest from the borrower and/or liquidation analysis and is determined based upon a credit analysis of the borrower and an analysis of the expected recovery from the borrower, including consideration of factors such as the nature and quality of the Fund’s security interests in collateral, the estimated value of the Fund’s collateral, the size of the loan, and the estimated time that will elapse before the Fund achieves a recovery. Management has evaluated these factors and has concluded that, the effect of deterioration in the quality of the underlying collateral, increase in size of the loan, increase in the estimated time to recovery and increase in the hypothetical market coupon rate would have the effect of lowering the value of the current portfolio of loans.

24


Non-Accrual Loans

The Fund’s policy is to classify a loan as non-accrual when the portfolio company is delinquent for three consecutive months on its monthly loan payment, or, in the opinion of Management, either ceases or drastically curtails its operations and Management deems that it is unlikely that the loan will return to performing status. When a loan is placed on non-accrual status, all interest previously accrued but not collected is reversed for the quarter in which the loan was placed on non-accrual status. Any uncollected interest related to quarters prior to when the loan was placed on non-accrual status is added to the principal balance, and the aggregate balance of the principal and interest is evaluated in accordance with the policy for valuation of loans in determining Management’s best estimate of fair value. Interest received by the Fund on non-accrual loans will be recognized as interest income if and when the proceeds exceed the book value of the respective loan.
If a borrower of a non-accrual loan resumes making regular payments and Management believes that such borrower has regained the ability to service the loan on a sustainable basis, the loan is reclassified back to accrual or performing status. Interest that would have been accrued during the time a loan was classified as non-accrual will be added back to the remaining payment schedule causing a change in the effective interest rate.
As of June 30, 2020March 31, 2021 and December 31, 2019,2020, loans with a cost basis of $15.6$19.4 million and $5.7$20.8 million and a fair value of $10.4$8.6 million and $5.0$9.2 million, respectively were classified as non-accrual.

Warrants and Equity Securities

Warrants and equity securities received in connection with loan transactions are measured at a fair value at the time of acquisition. Warrants are valued based on a modified Black-Scholes option pricing model which considers, among several factors, the underlying stock value, expected term, volatility, and risk-free interest rate. It is anticipated that such securities will be distributed by the Fund to the Company simultaneously with, or shortly following, their acquisition.
The underlying asset value is estimated based on information available, including information regarding recent rounds of funding of the portfolio company, or the publicly-quoted stock price at the end of the financial reporting period for warrants for comparable publicly-quoted securities.
Volatility, or the amount of uncertainty or risk about the size of the changes in the warrant price, is based on an index of publicly traded companies grouped by industry and which are similar in nature to the underlying portfolio companies issuing the warrant (“Industry Index”). The volatility assumption for each Industry Index is based on the average volatility for individual public companies within the portfolio company’s industry for a period of time approximating the expected life of the warrants. A hypothetical increase in the volatility of the warrants used in the modified Black-Scholes option pricing model would have the effect of increasing the value of the warrants.
The remaining expected lives of warrants are based on historical experience of the average life of the warrants, as warrants are often exercised in the event of acquisitions, mergers, or initial public offerings and terminated due to events such as bankruptcies, restructuring activities, or additional financings. These events cause the expected term to be less than the remaining contractual term of the warrants. As of June 30, 2020March 31, 2021 and December 31, 2019,2020, the Fund assumed the average duration of a warrant is 4.0 years. The effect of a hypothetical increase in the estimated initial term of the warrants used in the modified Black-Scholes option pricing model would have the effect of increasing the value of the warrants. However, the estimated initial term of the warrant is one factor, of many, used in the valuation of warrants, and by itself does not have a significant impact on the results of operations.
The risk-free interest rate is derived from the constant maturity tables issued by the U.S. Treasury Department. The effect of a hypothetical increase in the estimated risk-free rate used in the modified Black-Scholes option pricing model would have the effect of increasing the value of the warrants.
25


The Fund engages an independent valuation company to provide valuation assistance with respect to the warrants received as part of loan consideration, including an evaluation of the Fund’s valuation methodology and the reasonableness of the assumptions used from the perspective of a market participant. The independent valuation company also calculates several of the inputs used, such as volatility and risk-free rate.

Other Assets and Liabilities

Other assets include costs incurred in conjunction with borrowings under the Fund’sFund's debt facility and are stated at initial cost. These costs are amortized over the term of the facility.

The fair values of other assets and accrued liabilities are estimated at their carrying values because of the short-term nature of these assets and liabilities.

The carrying value of the borrowings under the debt facility approximates their fair value based on the borrowing rates available to the Fund.
Commitment Fees
Unearned income and commitment fees on loans are recognized using the effective-interest method over the term of the loan. Commitment fees are carried as liabilities when received for commitments upon which no draws have been made. When the first draw is made, the fee is treated as unearned income and is recognized as described above. If a draw is never made, the forfeited commitment fee less any applicable legal costs becomes recognized as other income after the commitment expires.
Deferred Bank Fees
The deferred bank fees and costs associated with the debt facility are included in other assetsstated at initial cost in the Condensed Statements of Assets and Liabilities and are being amortized over the estimated life of the facility, which currently matures on December 20, 2021.March 18, 2024. The amortization of these costs is recorded as interest expense in the Condensed Statements of Operations.
Derivative Instruments
The Fund uses derivative instruments to manage its exposure to changes in interest rates on expected borrowings under its debt facility, as the Fund originates fixed rate loans (see Note 8).

Derivative instruments are primarily valued on the basis of quotes obtained from banks, brokers and dealers and adjusted for counterparty risk and the optionality of the interest rate floor.terms. The valuation of the derivative instruments also considers the future expected interest rates on the notional principal balance remaining which is comparable to what a prospective acquirer would pay on the measurement date. Valuation pricing models consider inputs such as forward rates, anticipated interest rate volatility relating to the reference rate, as well as time value and other factors underlying derivative instruments.

The Fund is a party to a master netting arrangement with MUFG Union Bank, N.A., however, the Fund has elected not to offset assets and liabilities under these arrangements for financial statement presentation purposes. The contract is recorded at gross fair value in either derivative asset or derivative liability in the Condensed Statements of Assets and Liabilities, depending on whether the value of the contract is in favor of the Fund or the counterparty. The changes in fair value are recorded in net change in unrealized gain (loss) from derivative instruments in the Condensed Statements of Operations and the quarterly interest received or paid on the contract, if any, is recorded in net realized gain (loss) from derivative instruments in the Condensed Statements of Operations.

The interest rate swap and floor transactions and interest rate collar transactioninstruments are contractually scheduled to terminate on December 20, 20212021. The interest rate collar instruments with MUFG Union Bank, N.A. and Zions Bancorporation, N.A. are contractually scheduled to terminate on June 30, 2025 and March 18, 2024, respectively.
26


3. FAIR VALUE DISCLOSURES
The Fund provides asset-based financing primarily to start-up and emerging growth venture-backed companies pursuant to commitments whereby the Fund agrees to finance assets and provide working or growth capital up to a specified amount for the term of the commitment, upon the terms and subject to the conditions specified by such commitment. Even though these loans are generally secured by the assets of the borrowers, the Fund in most cases is subject to the credit risk of such companies. As of June 30, 2020,March 31, 2021, the Fund’s investments in loans were primarily to companies based within the United States and were diversified among borrowers in the industry segments shown in the Condensed Schedules of Investments. All loans are senior to unsecured creditors and other secured creditors, unless otherwise indicated in the Condensed Schedules of Investments.

The Fund defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date; that is, an exit price. The exit price assumes the asset or liability was exchanged in an orderly transaction; it was not a forced liquidation or distressed sale. Because there is no readily available market price and no secondary market for substantially all of the debtloan investments made by the Fund to borrowing portfolio companies, Management determines fair value (or estimated exit value) based on a hypothetical market, and several factors related to each borrower.

Loan balances in the Condensed Schedules of Investments are listed by borrower. Typically, a borrower’s balance will be composed of several loans drawn under a commitment made by the Fund with the interest rate on each loan fixed at the time each loan is funded. Each loan drawn under a commitment has a different maturity date and amount.

For the three months ended June 30, 2020,The following tables show the weighted-average interest rate onof the performing loan and all loans were 15.83% and 15.25%, respectively, which was inclusive of both cash and non-cash interest income. The weighted-average rate on both the performing and all loans was 19.04%, which was inclusive of both cash and non-cash interest income, for the three months ended June 30, 2019. For the three months ended June 30, 2020, the weighted-average interest rate on the cash portion of the interest income for the performing and all loans was 12.70% and 12.24%, respectively. The weighted-average interest rate on the cash portion of the interest income on both the performing and all loans for the three months ended June 30, 2019 was 13.25%.loans.

For the six months ended June 30, 2020, the weighted-average interest rate on the performing and all loans were 17.82% and 17.28%, respectively, which was inclusive of both cash and non-cash interest income. The weighted-average rate on both the performing and all loans was 18.36%, which was inclusive of both cash and non-cash interest income, for the six months ended June 30, 2019. For the six months ended June 30, 2020, the weighted-average interest rate on the cash portion of the interest income for the performing and all loans was 14.31% and 13.89%, respectively. The weighted-average interest rate on the cash portion of the interest income on both the performing and all loans for the six months ended June 30, 2019 was 12.95%.
Performing LoansFor the Three Months Ended March 31, 2021For the Three Months Ended March 31, 2020
Weighted-Average Interest Rate - Cash14.03 %16.14 %
Weighted Average Interest Rate - Non-Cash4.11 %3.93 %
Weighted-Average Interest Rate18.14 %20.07 %
All LoansFor the Three Months Ended March 31, 2021For the Three Months Ended March 31, 2020
Weighted-Average Interest Rate - Cash13.91 %15.75 %
Weighted Average Interest Rate - Non-Cash4.01 %3.84 %
Weighted-Average Interest Rate17.92 %19.59 %

Interest is calculated using the effective interest method, and rates earned by the Fund will fluctuate based on many factors including early payoffs, volatility of values ascribed to warrants and new loans funded during the period.

The risk profile of a loan changes when events occur that impact the credit analysis of the borrower and loan as discussed in the Fund’s loan accounting policy. Such changes result in the fair value adjustments made to the individual loans, which in accordance with U.S. GAAP, would be based on the price that would be received to sell an asset or paid to settle a liability in an orderly transaction between market participants at the measurement date. Where the risk profile is consistent with the original underwriting, which is primarily the case for this loan portfolio, the cost basis of the loan often approximates fair value.

All loans as of June 30, 2020March 31, 2021 and December 31, 20192020 were pledged as collateral for the debt facility, and the Fund’s borrowings are generally collateralized by all assets of the Fund. As of June 30, 2020March 31, 2021 and December 31, 2019,2020, the Fund had unexpired unfunded commitments to borrowers of $77.5$85.5 million and $78.0$83.2 million, respectively.
27


Valuation Hierarchy

Under the FASB ASC Topic 820 (“Fair Value Measurement”), the Fund categorizes its fair value measurements according to a three-level hierarchy. The hierarchy prioritizes the inputs used by the Fund’s valuation techniques. A level is assigned to each fair value measurement based on the lowest level input that is significant to the fair value measurement in its entirety.

The three levels of the fair value hierarchy are defined as follows:
Level 1 Unadjusted quoted prices for identical assets or liabilities in active markets that are accessible at the measurement date.
Level 2 Prices or valuations based on observable inputs other than quoted prices in active markets for identical assets and liabilities.
Level 3 Prices or valuations that require inputs that are both significant to the fair value measurement and unobservable.

Transfers of investments between levels of the fair value hierarchy are recorded on the actual date of the event or change in circumstances that caused the transfer.    There were no transfers in and out of Level 1, 2, or 3 during the sixthree months ended June 30, 2020March 31, 2021 and 2019.

2020.

The Fund’s cash equivalents were valued at the traded net asset value of the money market fund. As a result, these measurements are classified as Level 1. The Fund’s derivative instruments are based on quotes from the market makers that derive fair values from market data, and therefore, is classified as Level 2. The Fund’s borrowings under the debt facility are also classified as Level 2, because the carrying values of the borrowings are based on rates that are observable at commonly quoted intervals, which are Level 2 inputs, and that approximate fair values. The Fund’s loan transactions are individually negotiated and unique, and because there is little to no market in which these assets trade, the inputs for these assets which are valued using estimated exit values,values. As a result, the Fund''s loan transactions are classified as Level 3.

The following tables provide quantitative information about the Fund’s Level 3 fair value measurements of the Fund’s investments by industry as of June 30, 2020March 31, 2021 and December 31, 2019.2020. In addition to the techniques and inputs noted in the tables below, the Fund may also use other valuation techniques and methodologies when determining its fair value measurements.
Investment Type - Level 3
Loan InvestmentsFair Values at March 31, 2021Valuation Techniques / MethodologiesUnobservable InputsWeighted Averages(a) / Amounts & Ranges
Biotechnology$8,820,440 Hypothetical market analysisHypothetical market coupon rate14% (12% - 15%)
Computers & Storage19,980,366 Hypothetical market analysisHypothetical market coupon rate15% (14% - 15%)
Enterprise Networking5,347,688 Hypothetical market analysisHypothetical market coupon rate19%*
Income ApproachExpected amount and timing of cash flow payment

Discount Rate		$7,252,260*

1%
Internet32,492,076 Hypothetical market analysisHypothetical market coupon rate15% (13% - 25%)
Income ApproachExpected amount and timing of cash flow payment

Discount Rate
$1,986,061 ($62,500 - $2,007,973)

1%
28

Investment Type - Level 3        
Debt Investments Fair Values at June 30, 2020 Valuation Techniques / Methodologies Unobservable Inputs Weighted Averages(a) / Amounts & Ranges
         
Biotechnology $4,698,397
 Hypothetical market analysis Hypothetical market coupon rate 15% (14% - 21%)
         
Computers & Storage 9,444,327
 Hypothetical market analysis Hypothetical market coupon rate 14% (14% - 15%)
         
Internet 22,242,266
 Hypothetical market analysis Hypothetical market coupon rate 17% (13% - 31%)
    Income Approach Expected amount and timing of cash flow payment

Discount Rate		 

$3,193,889 ($600,000 - $6,128,476)

2% (1% - 2%)
         
Medical Devices 28,207,153
 Hypothetical market analysis Hypothetical market coupon rate 14% (13% - 17%)


Investment Type - Level 3        
Debt Investments Fair Values at June 30, 2020 Valuation Techniques / Methodologies Unobservable Inputs Weighted Averages(a) / Amounts & Ranges
    Income Approach Expected amount and timing of cash flow payment

Discount Rate		 


$10,329,930*

2%
         
Other Healthcare 12,866,262
 Hypothetical market analysis Hypothetical market coupon rate 16% (14% - 24%)
    Income Approach Expected amount and timing of cash flow payment

Discount Rate		 


$918,370*

2%
         
Other Technology 111,375,949
 Hypothetical market analysis Hypothetical market coupon rate 16% (11% - 28%)
    Income Approach Expected amount and timing of cash flow payment

Discount Rate		 

$4,266,411 ($211,326 - $5,738,752)

2% (1% - 2%)
         
Security 1,141,086
 Hypothetical market analysis Hypothetical market coupon rate 21% (14% - 51%)
         
Semiconductors & Equipment 872,137
 Hypothetical market analysis Hypothetical market coupon rate 16%*
         
Software 36,249,959
 Hypothetical market analysis Hypothetical market coupon rate 17% (13% - 26%)
    Income Approach Expected amount and timing of cash flow payment

Discount Rate		 

$1,928,230 ($102,181 - $2,390,222)

1% (1% - 2%)
         
Technology Services 19,721,166
 Hypothetical market analysis Hypothetical market coupon rate 14% (13% - 30%)
    Income Approach Expected amount and timing of cash flow payment

Discount Rate		 
$2,639,870 ($440,696 - $3,095,699)

2%
         
Wireless 12,604,955
 Hypothetical market analysis Hypothetical market coupon rate 14% (14% - 16%)
         
Total debt investments $259,423,657
      
Investment Type - Level 3
Loan InvestmentsFair Values at March 31, 2021Valuation Techniques / MethodologiesUnobservable InputsWeighted Averages(a) / Amounts & Ranges
Medical Devices20,974,018 Hypothetical market analysisHypothetical market coupon rate17% (13% - 32%)
Income ApproachExpected amount and timing of cash flow payment

Discount Rate

$11,479,992*

1%
Other Healthcare27,175,345 Hypothetical market analysisHypothetical market coupon rate15% (14% - 24%)
Other Technology155,662,304 Hypothetical market analysisHypothetical market coupon rate20% (13% - 46%)
Income ApproachExpected amount and timing of cash flow payment

Discount Rate
$2,054,802 ($0- $2,700,823)

1%
Security4,481,670 Hypothetical market analysisHypothetical market coupon rate17% (14% - 99%)
Semiconductors & Equipment434,277 Hypothetical market analysisHypothetical market coupon rate16%*
Software43,243,851 Hypothetical market analysisHypothetical market coupon rate17% (13% - 23%)
Income ApproachExpected amount and timing of cash flow payment

Discount Rate
$1,704,280 ($173,938 - $2,170,652)

1%
Technology Services23,608,026 Hypothetical market analysisHypothetical market coupon rate16% (13% - 23%)
Income ApproachExpected amount and timing of cash flow payment

Discount Rate		$2,305,250 ($2,274,343 - $2,335,166)

1%
Wireless13,300,966 Hypothetical market analysisHypothetical market coupon rate14% (14% - 18%)
Total loan investments$355,521,027 
(a) The weighted-average hypothetical market coupon rates were calculated using the relative fair value of the loans.
* There is only one loan within the industry.
29

Investment Type - Level 3        
Debt Investments Fair Values at December 31, 2019 Valuation Techniques / Methodologies Unobservable Inputs 
Weighted Averages(a)/Amount & Ranges
         
Biotechnology $3,490,422
 Hypothetical market analysis Hypothetical market coupon rate 15% (14% - 21%)
         
Computers & Storage 2,370,284
 Hypothetical market analysis Hypothetical market coupon rate 15%*

Investment Type - Level 3
Loan InvestmentsFair Values at December 31, 2020Valuation Techniques / MethodologiesUnobservable Inputs
Weighted Averages(a)/Amount & Ranges
Biotechnology$6,365,901 Hypothetical market analysisHypothetical market coupon rate15% (14% - 15%)
Computers & Storage16,731,094 Hypothetical market analysisHypothetical market coupon rate15% (14% - 15%)
Enterprise Networking5,279,909 Hypothetical market analysisHypothetical market coupon rate19%*
Internet28,421,725 Hypothetical market analysisHypothetical market coupon rate15% (13% - 25%)
Income Approach
Expected amount and timing of cash flow payment

Discount Rate

$580,327 ($12500 - $669,324)

1% (0% - 1%)
Medical Devices20,522,036 Hypothetical market analysisHypothetical market coupon rate17% (13% - 32%)
Income Approach
Expected amount and timing of cash flow payment

Discount Rate

$10,329,931*

1%
Other Healthcare24,315,525 Hypothetical market analysisHypothetical market coupon rate15% (14% - 24%)
Other Technology126,568,043 Hypothetical market analysisHypothetical market coupon rate16% (14% - 32%)
Income Approach
Expected amount and timing of cash flow payment

Discount Rate

$3,247,663 ($18,125 - $4,798,121)

1% (0% - 1%)
Security4,650,326 Hypothetical market analysisHypothetical market coupon rate18% (14% - 99%)
Semiconductors & Equipment585,915 Hypothetical market analysisHypothetical market coupon rate16%*
Software42,025,003 Hypothetical market analysisHypothetical market coupon rate18% (13% - 26%)
Income Approach
Expected amount and timing of cash flow payment

Discount Rate

$1,910,350 ($208,725 - $2,343,019)

1%
Technology Services22,385,643 Hypothetical market analysisHypothetical market coupon rate17% (13% - 23%)
Income Approach
Expected amount and timing of cash flow payment

Discount Rate

$2,453,039 ($2,402,281 - $2,501,785)

1%
Wireless12,671,029 Hypothetical market analysisHypothetical market coupon rate14% (14% - 16%)
30

Investment Type - Level 3        
Debt Investments Fair Values at December 31, 2019 Valuation Techniques / Methodologies Unobservable Inputs 
Weighted Averages(a)/Amount & Ranges
         
Enterprise Networking 112,500
 Income Approach 
Expected amount and timing of cash flow payment

Discount Rate
 

$112,500*

0%
         
Internet 31,748,524
 Hypothetical market analysis Hypothetical market coupon rate 17% (14% - 31%)
    Income Approach 
Expected amount and timing of cash flow payment

Discount Rate
 

$999,905*

3%
         
Medical Devices 22,328,707
 Hypothetical market analysis Hypothetical market coupon rate 21% (14% - 38%)
    Income Approach 
Expected amount and timing of cash flow payment

Discount Rate
 

$10,529,931*

3%
         
Other Healthcare 10,465,833
 Hypothetical market analysis Hypothetical market coupon rate 16% (15% - 18%)
         
Other Technology 70,285,041
 Hypothetical market analysis Hypothetical market coupon rate 16% (13% - 35%)
    Income Approach 
Expected amount and timing of cash flow payment

Discount Rate
 

$2,394,959 ($1,561,170 - $2,844,003)

3%
         
Security 1,476,848
 Hypothetical market analysis Hypothetical market coupon rate 16% (14% - 21%)
         
Semiconductors & Equipment 1,137,034
 Hypothetical market analysis Hypothetical market coupon rate 16%*
         
Software 40,214,116
 Hypothetical market analysis Hypothetical market coupon rate 17% (13% - 26%)
    Income Approach 
Expected amount and timing of cash flow payment

Discount Rate
 

$2,715,143 ($517,921 - $2,866,672)

2%
         
Technology Services 13,574,552
 Hypothetical market analysis Hypothetical market coupon rate 15% (14% - 30%)
         
Wireless 6,107,384
 Hypothetical market analysis Hypothetical market coupon rate 15% (15% - 17%)
         
Total Debt Investments $203,311,245
      
Investment Type - Level 3
Loan InvestmentsFair Values at December 31, 2020Valuation Techniques / MethodologiesUnobservable Inputs
Weighted Averages(a)/Amount & Ranges
Total Loan Investments$310,522,149 
(a) The weighted-average hypothetical market coupon rates were calculated using the relative fair value of the loans.
* There is only one loan within the industry.



The following tables present the balances of assets and liabilities as of June 30, 2020March 31, 2021 and December 31, 20192020 measured at fair value on a recurring basis:

As of June 30, 2020       
As of March 31, 2021As of March 31, 2021
ASSETS:Level 1 Level 2 Level 3 TotalASSETS:Level 1Level 2Level 3Total
Loans†
$—
 $—
 $259,423,657
 $259,423,657
Loans†
$— $— $355,521,027 $355,521,027 
Derivative assetDerivative asset— 191,822 — 191,822 
Cash equivalents7,996,482
 —
 —
 7,996,482
Cash equivalents5,289,074 — — 5,289,074 
Total assets$7,996,482
 $—
 $259,423,657
 $267,420,139
Total assets$5,289,074 $191,822 $355,521,027 $361,001,923 
       
LIABILITIES:Level 1 Level 2 Level 3 TotalLIABILITIES:Level 1Level 2Level 3Total
Borrowings under debt facility$—
 $120,000,000
 $—
 $120,000,000
Borrowings under debt facility$— $184,700,000 $— $184,700,000 
Derivative liability—
 1,972,891
 —
 1,972,891
Derivative liability— 1,036,650 — 1,036,650 
Total liabilities$—
 $121,972,891
 $—
 $121,972,891
Total liabilities$— $185,736,650 $— $185,736,650 

As of December 31, 2020
ASSETS:Level 1Level 2Level 3Total
Loans†
$— $— $310,522,149 $310,522,149 
Cash equivalents12,497,243 — — 12,497,243 
Total assets$12,497,243 $— $310,522,149 $323,019,392 
LIABILITIES:Level 1Level 2Level 3Total
Borrowings under debt facility$— $140,000,000 $— $140,000,000 
Derivative liability— 1,254,214 — 1,254,214 
Total liabilities$— $141,254,214 $— $141,254,214 
As of December 31, 2019       
ASSETS:Level 1 Level 2 Level 3 Total
Loans†
$—
 $—
 $203,311,245
 $203,311,245
Cash equivalents10,754,759
 —
 —
 10,754,759
Total assets$10,754,759
 $—
 $203,311,245
 $214,066,004
        
LIABILITIES:Level 1 Level 2 Level 3 Total
Borrowings under debt facility$—
 $100,000,000
 $—
 $100,000,000
Derivative liability—
 825,574
 —
 825,574
Total liabilities$—
 $100,825,574
 $—
 $100,825,574

† For a detailed listing of borrowers comprising this amount, please refer to the Condensed Schedules of Investments.

31

The following tables provide a summary of changes in Level 3 assets measured at fair value on a recurring basis:
For the Three Months Ended
March 31, 2021
LoansStockWarrants
Beginning balance$310,522,149 $— $— 
Acquisitions and originations73,625,000 371,658 9,004,052 
Principal reductions(26,087,073)— — 
Accretion of discount on loans(3,283,148)— — 
Distributions to shareholder— (371,658)(9,004,052)
Net change in unrealized gain from loans863,226 — — 
Net realized loss from loans(119,127)— — 
Ending balance$355,521,027 $— $— 
Net change in unrealized gain from loans relating to loans still held at period end$637,895 
 
For the Three Months Ended
June 30, 2020
 
For the Six Months Ended
June 30, 2020
 Loans Warrants Convertible Note Loans Warrants Convertible Note
Beginning balance$228,875,861
 $—
 $—
 $203,311,245
 $—
 $—
Acquisitions and originations37,833,333
 2,062,555
 175,547
 97,216,667
 6,283,411
 175,547
Principal reductions and amortization of discounts(7,532,406) —
 —
 (34,919,412) —
 —
Distributions to shareholder—
 (2,062,555) (175,547) —
 (6,283,411) (175,547)
Net change in unrealized gain (loss) from loans246,869
 —
 —
 (6,184,843) —
 —
Ending balance$259,423,657
 $—
 $—
 $259,423,657
 $—
 $—
Net change in unrealized gain (loss) from loans relating to loans still held at period end$246,869
     $(6,184,843)    


For the Three Months Ended March 31, 2020(a)
LoansWarrants
Beginning balance$203,311,245 $— 
Acquisitions and originations59,383,334 4,220,856 
Principal reductions(25,361,375)— 
Accretion of discount on loans(2,025,631)— 
Distributions to shareholder— (4,220,856)
Net change in unrealized loss from loans(6,431,712)— 
Ending balance$228,875,861 $— 
Net change in unrealized loss from loans relating to loans still held at period end$(6,431,712)
(a) Certain prior period information has been disclosed to conform to current presentation.


4.    EARNINGS PER SHARE
 For the Three Months Ended June 30, 2019 For the Six Months Ended June 30, 2019
 Loans  Warrants Loans Warrants
         
Beginning balance$98,304,920
  $—
 $79,045,107
 $—
Acquisitions and originations38,512,500
  3,079,321
 63,900,000
 5,213,126
Principal reductions and amortization of discounts(6,626,016)  —
 (12,741,389) —
Distributions to shareholder—
  (3,079,321) —
 (5,213,126)
Net change in unrealized gain from loans12,314
  —
 —
 —
Ending balance$130,203,718
  $—
 $130,203,718
 $—
Net change in unrealized loss from loans relating to loans still held at period end$—
    $—
  

4.EARNINGS PER SHARE
Basic earnings per share are computed by dividing net increase (decrease) in net assets resulting from operations by the weighted average common shares outstanding. Diluted earnings (loss) per share are computed by dividing net increase (decrease) in net assets resulting from operations by the weighted average common shares outstanding, including the dilutive effects of potential common shares (e.g. stock options). The Fund has no instruments that would be potential common shares; thus, reported basic and diluted earnings (loss) per share were the same.
5.CAPITAL STOCK
5.    CAPITAL STOCK
As of both June 30, 2020March 31, 2021 and December 31, 2019,2020, there were 10,000,000 shares of $0.001 par value common stock authorized, and 100,000 shares issued and outstanding. Total committed capital of the Company, as of both June 30, 2020March 31, 2021 and December 31, 2019,2020, was $460.0 million. Total contributed capital to the Company as of June 30, 2020March 31, 2021 and December 31, 20192020 was $207.0$296.7 million and $174.8$264.5 million, respectively, of which $181.1$257.1 million and $148.1$243.1 million were contributed to the Fund, respectively.

32

The chart below shows the distributions of the Fund for the sixthree months ended June 30, 2020March 31, 2021 and 2019.2020.

For the Six Months Ended June 30, 2020 For the Six Months Ended June 30, 2019 For the Three Months Ended March 31, 2021For the Three Months Ended March 31, 2020
   
Cash distributions$—
 $16,000,000
Cash distributions$20,100,000 $— 
Distributions of equity securities and convertible notes6,458,958
 5,213,126
Distributions of equity securitiesDistributions of equity securities9,375,710 4,220,856 
Total distributions to shareholder$6,458,958
 $21,213,126
Total distributions to shareholder$29,475,710 $4,220,856 
    
Final classification of the distributions as either a return of capital or a distribution of income is an annual determination made at the end of each year dependent upon the Fund’s current year and cumulative earnings and profits.


6. DEBT FACILITY
The 1940 Act requires a BDC to meet certain levels of asset coverage with respect to its outstanding “senior securities,” which typically consist of outstanding borrowings under credit facilities and other debt instruments. Historically, BDCs have only been allowed to incur indebtedness by issuing senior securities if their asset coverage equals at least 200% after giving effect to such borrowings. The Small Business Credit Availability Act (the “SBCAA”), which was signed into law on March 23, 2018, added a new Section 61(a)(2) to the 1940 Act that permits BDCs like the Fund to increase the amount of indebtedness they may incur by lowering the asset coverage requirement from 200% to 150% if they make certain disclosures and obtain the approval by either (1) a “required majority,” as defined in Section 57(o) of the 1940 Act, of the BDC’s board of directors, including a majority of non-interested directors within the meaning of Section 2(a)(19) of the 1940 Act (‘Independent Directors”), with effectiveness one year after the date of such approval or (2) a majority of votes cast at a special or annual meeting of the BDC’s shareholders at which a quorum is present, which is effective the day after such stockholder approval.
On December 5, 2018, the required majority of the Fund’s Board, including a majority of its independent directors, unanimously determined it to be in the best interests of the Fund and its sole shareholder, the Company, to provide the Fund with maximum leverage flexibility, and approved the application to the Fund of a minimum asset coverage ratio of 150%, pursuant to Section 61(a)(2) of the 1940 Act, which would double the Fund’s borrowing limits, subject to approval by the Company via the pass-through voting of its members. Thereafter, at a special meeting of shareholders held on April 24, 2019, the Fund’s sole shareholder, the Company, approved the proposal to apply the reduced asset coverage requirement to the Fund. The 150% asset coverage ratio became effective for the Fund on April 25, 2019. As of June 30, 2020March 31, 2021 and December 31, 2019,2020, the Fund’s asset coverage for borrowings was 222%197% and 213%231%, respectively.
On December 20, 2018, the Fund entered into a syndicated loan agreement led by MUFG Union Bank, N.A., Wells Fargo Securities, LLC and ING Capital LLC, with participation from Zions Bancorporation, N.A., doing business as California Bank & Trust, Bank Leumi USA, Umpqua Bank, HSBC Bank USA, N.A., and First Bank, that established a secured revolving loan facility in an initial amount of up to $200.0 million with the option to request that borrowing availability be increased up to $400.0 million (the “Loan Agreement”), subject to further negotiation and credit approval.
    On March 18, 2021, the Fund entered into an Amendment to the Loan and Security Agreement with MUFG Union Bank, N.A., Wells Fargo Securities, LLC, Wells Fargo Bank, N.A. and ING Capital, LLC, with participation from TIAA, FSB, Bank Leumi USA, HSBC Bank USA, N.A., Umpqua Bank, Zions Bancorporation, N.A., doing business as California Bank & Trust, Hitachi Capital America Corp, First Bank, and Bank of Hope, that increased the size of the facility to $350,000,000 and extended the term of the facility (the “Amended Loan Agreement”). An
33

additional $50,000,000 is potentially available to the Fund, subject to further negotiation and credit approval, through an accordion provision.
    All of the assets of the Fund collateralize borrowings by the Fund. Loans under the facility may be, at the option of the Fund, a Reference Rate Loan, a LIBOR Loan or a LIBOR Market Index Rate Loan. As of June 30, 2020,March 31, 2021, the Fund’s outstanding borrowings were entirely based on the LIBOR rate. The facility terminates on December 20, 2021,March 18. 2024, but can be accelerated in the event of default, such as failure by the Fund to make timely interest or principal payments.
Borrowings under the facility are collateralized by receivables from loans to portfolio companies advanced by the Fund with assignment of such receivables to the financial institution, plus all of the other assets of the Fund.    The Fund pays interest on its borrowings and a fee on the unused portion of the facility. Under the Loan Agreement, interest is charged to the Fund based on its borrowings at, pursuant to the election of the Fund, an annual rate equal to either (i) the Reference Rate plus 1.50%, (ii) LIBOR plus 2.50% or (iii) the LIBOR Market Index Rate plus 2.50%. When the Fund is using 50% or more of the maximum amount available under the Loan Agreement, the applicable commitment fee is 0.25% of the unused portion of the loan facility; otherwise, the applicable commitment fee is 0.50% of the unused portion. The Fund pays the unused credit line fee quarterly. As of June 30, 2020March 31, 2021 and December 31, 2019, $120.02020, $184.7 million and $100$140 million, respectively, was outstanding under the facility.
As of June 30, 2020,March 31, 2021, the LIBOR rate was as follows:
                
1-Month LIBOR0.1623%0.1111%
3-Month LIBOR0.3020%0.1943%
Bank fees and other costs of $1.3$5.0 million incurred in connection with the acquisition and amendment of the facility have been capitalized and are amortized to interest expense on a straight-line basis over the expected life of the facility. As of


June 30, 2020 March 31, 2021 and December 31, 2019,2020, the remaining unamortized fees and costs of $0.6$2.6 million and $0.9$0.4 million, respectively, are being amortized over the expected life of the facility, which is expected to terminate on December 20, 2021.March 18, 2024.
The facility is revolving and as such does not have a specified repayment schedule, although advances are secured by the assets of the Fund and thus repayments will be required as assets decline. The facility contains various covenants including financial covenants related to: (i) minimum debt service coverage ratio, (ii) interest coverage ratio, (iii) unfunded commitment ratio, (iv) maximum quarterly loan loss reserve ratio, (v) maximum annual loan loss reserve ratio and (vi) maximum loan loss test. There are also various restrictive covenants, including limitations on: (i) the incurrence of liens, (ii) consolidations, mergers and asset sales and (iii) capital expenditures. As of June 30, 2020March 31, 2021 and December 31, 2019,2020, Management is not aware of instances of non-compliance with financial covenants.
The following is the summary of the outstanding facility draws as of June 30, 2020:March 31, 2021:
 AmountMaturity Date*
All-In Interest Rate(a)
LIBOR Loan$31,000,000
July 20, 2020*2.70%
LIBOR Market Index Rate Loan89,000,000
December 20, 2021Variable based on 1-Month LIBOR rate
Total Outstanding$120,000,000
  
*Following the maturity date, Management elected to renew the LIBOR Loan with no material changes in loan terms.
AmountMaturity Date
All-In Interest Rate(a)
LIBOR Market Index Rate Loan$184,700,000 March 18, 2024Variable based on 1-Month LIBOR rate
Total Outstanding$184,700,000 
(a)Inclusive of 2.50% applicable LIBOR margin plus LIBOR rate.

34

The following is the summary of the outstanding facility draws as of December 31, 2019:2020:
 AmountMaturity Date*
All-In Interest Rate(a)
LIBOR Loan$31,000,000
January 22, 2020*4.28%
LIBOR Market Index Rate Loan69,000,000
December 20, 2021Variable based on 1-Month LIBOR rate
Total Outstanding$100,000,000
  
*Following the maturity date, Management elected to renew the LIBOR Loan with no material changes in loan terms.
AmountMaturity Date
All-In Interest Rate(a)
LIBOR Market Index Rate Loan$140,000,000 December 20, 2021Variable based on 1-Month LIBOR rate
Total Outstanding$140,000,000 
(a)Inclusive of 2.50% applicable LIBOR margin plus LIBOR rate.
7.MANAGEMENT FEE
7.    MANAGEMENT FEE
As compensation for its services to the Fund, from the date of the first capital call, May 1, 2018, to March 31, 2019, the Manager received a management fee (“Management Fee”) computed and paid at the end of the quarter at an annual rate of 1.575% of the Company’s committed equity capital (regardless of when or if the capital was called). The Management Fee percentage is 1.600%1.575% as of June 30, 2020,March 31, 2021, based on the following schedule of annual percentages:
Management Fee
Year 11.575%
Year 21.600%
Year 31.575%
Year 41.500%
Year 51.250%
Year 60.900%
Year 70.600%
Year 80.350%
Year 90.150%


Management Fees of $1.8 million and $3.7 million werewas recognized as expenses for botheach of the three and six months ended June 30,March 31, 2021 and 2020. Management fees of $1.8 million and $3.6 million were recognized as expenses for the same period in 2019.
8.DERIVATIVE INSTRUMENTS
8.    DERIVATIVE INSTRUMENTS
The Fund uses derivative instruments to manage its exposure to interest rates on expected borrowings under its debt facility, as the Fund originates fixed rate loans.

Interest Rate Swap and Floor    

On February 7, 2019, the Fund entered into an interest rate swap and floor agreement with MUFG Union Bank, N.A. The Fund entered into an interest rate swap agreement to manage the Fund’s exposure to changes in interest rates on its expected borrowings under its debt facility, as the Fund originates fixed rate loans. The floor allows the Fund to match the swap with the terms of the variable rate index of the debt facility. The Fund may enter into additional hedging transactions to remain in compliance with the hedging requirements to the debt facility. As of June 30, 2020,March 31, 2021, the total notional principal amount was $57.0 million.

The Fund pays a weighted average rate of 2.28% and receives from the counterparty a floating rate based upon a 1-Month LIBOR rate. Payments are made monthly. The payments and interest rate swap agreement will terminate on December 20, 2021. Payments to or from the counterparty are recorded to net realized gain (loss) from derivative instruments.

35

Interest Rate Collar Agreement

On June 29, 2020, the Fund entered into an interest rate collar transaction with MUFG Union Bank, N.A. The aggregate notional principal amount of the interest rate collar is $20.0 million, with a cap of 1.1500% and floor of 0.1700% on floating rate based upon a 1-Month LIBOR rate. On February 26, 2021, the Fund entered into an interest rate collar transaction with Zions Bancorpororation, N.A. dba California Bank & Trust. The aggregate notional amount of the interest rate collar is $30.0 million, with a cap of 1.0000% and floor of 0.3500% on floating rate based upon 1-Month LIBOR rate.

    The interest rate collar mitigates the Fund's exposure to interest rate fluctuations on variable rate index of the debt facility. The collar establishes a range where the Fund pays the counterparty if the 1-Month LIBOR rate falls below the established floor rate, and the counterparty will pay the Fund if the 1-Month LIBOR rate exceeds the established cap rate. The interest rate collar settles monthly. The interest rate collar transaction istransactions with MUFG Union Bank, N.A. and Zions Bancorporation, N.A. are expected to terminate on June 30, 2025.2025 and March 18, 2024, respectively.

The following table shows the Fund's derivative instrumentinstruments at fair value on the Fund's Condensed Statement of Assets and Liabilities as of June 30, 2020March 31, 2021 and December 31, 2019.2020.
Derivative AssetDerivative Liability
DerivativesMarch 31, 2021December 31, 2020March 31, 2021December 31, 2020
Interest rate swap and floor$— $— $896,775 $1,199,471 
Interest rate collar$191,822 $— $139,875 $54,743 
 Derivative Liability
Derivative InstrumentsJune 30, 2020December 31, 2019
Interest rate swap and floor$1,796,477
$825,574
Interest rate collar$176,414
$—


The following table shows the effect of the Fund's derivative instrumentinstruments on the Fund's Condensed Statement of Operations:
 
For the Three Months Ended
June 30,
For the Six Months Ended
June 30,
For the Three Months Ended
March 31,
Derivative InstrumentsCondensed Statements of Operation Caption2020201920202019Derivative InstrumentsCondensed Statements of Operation Caption20212020
Interest rate swap and floorNet change in unrealized gain (loss) from derivative instruments$159,692
$(597,571)$(970,903)$(900,934)Interest rate swap and floorNet change in unrealized gain (loss) from derivative instruments$302,697 $(1,130,595)
Net realized loss from derivative instruments$(254,229)$(3,995)$(340,288)$(4,914)Net realized loss from derivative instruments$(306,871)$(86,059)
Interest rate collarNet change in unrealized loss from derivative instruments$(176,413)$—
$(176,414)$—
Interest rate collarNet change in unrealized gain (loss) from derivative instruments$106,689 $— 
Interest rate collarNet realized loss from derivative instruments$(8,831)$— 
9. TAX STATUS
The Fund has elected to be treated as a regulated investment company ("RIC") under Subchapter M of the Internal Revenue Code (the "Code") and operates in a manner to qualify for the tax treatment applicable to RICs. Failing to maintain at least 70% of total assets in "qualifying assets" will result in the loss of BDC status, resulting in losing its favorable tax treatment as a RIC. As of June 30, 2020,March 31, 2021, the Fund has met the BDC and RIC requirements.

In order to qualify for favorable tax treatment as a RIC, the Fund is required to distribute annually to its shareholder at least 90% of its investment company taxable income, as defined by the Code. To avoid federal excise taxes, the Fund must distribute annually at least 98% of its ordinary income and 98.2% of net capital gains from the current year and any undistributed ordinary income and net capital gains from the preceding years. The Fund, at its discretion, may carry forward taxable income in excess of calendar year distributions and pay a 4% excise tax on this income. If the Fund chooses to do so, all other things being equal, this would increase expenses
36

and reduce the amount available to be distributed to its shareholder. The Fund will accrue excise tax on estimated undistributed taxable income as required.

Below are tables summarizing the cost of investments for federal income tax purposes and the appreciation and depreciation of the investments reported on the Condensed Schedules of Investments and Condensed Statements of Assets and Liabilities as of June 30, 2020March 31, 2021 and December 31, 2019:2020:

AssetAs of March 31, 2021
CostUnrealized AppreciationUnrealized DepreciationNet Appreciation (Depreciation)
Loans$367,146,680 $91,680 $(11,717,333)$(11,625,653)
Derivative asset— — 191,822 191,822 
Total$367,146,680 $91,680 $(11,525,511)$(11,433,831)
As of March 31, 2021
LiabilityCostUnrealized AppreciationUnrealized DepreciationNet Appreciation (Depreciation)
Derivative liability$— $— $(1,036,650)$(1,036,650)
Total$— $— $(1,036,650)$(1,036,650)
AssetAs of June 30, 2020AssetAs of December 31, 2020
CostUnrealized AppreciationUnrealized DepreciationNet Appreciation (Depreciation)CostUnrealized AppreciationUnrealized DepreciationNet Appreciation (Depreciation)
Loans$266,512,433
$—
$(7,088,776)$(7,088,776)Loans$323,011,028 $— $(12,488,879)$(12,488,879)
Total$266,512,433
$—
$(7,088,776)$(7,088,776)Total$323,011,028 $— $(12,488,879)$(12,488,879)
 
As of June 30, 2020As of December 31, 2020
LiabilityCostUnrealized AppreciationUnrealized DepreciationNet Appreciation (Depreciation)LiabilityCostUnrealized AppreciationUnrealized DepreciationNet Appreciation (Depreciation)
Derivative liability$—
$—
$(1,972,891)$(1,972,891)Derivative liability$— $— $(1,254,214)$(1,254,214)
Total$—
$—
$(1,972,891)$(1,972,891)Total$— $— $(1,254,214)$(1,254,214)


AssetAs of December 31, 2019
CostUnrealized AppreciationUnrealized DepreciationNet Appreciation (Depreciation)
Loans$204,215,179
$—
$(903,934)$(903,934)
Total$204,215,179
$—
$(903,934)$(903,934)
     
 As of December 31, 2019
LiabilityCostUnrealized AppreciationUnrealized DepreciationNet Appreciation (Depreciation)
Derivative liability$—
$—
$(825,574)$(825,574)
Total$—
$—
$(825,574)$(825,574)
Dividends from net investment income and distributions from net realized capital gains are determined in accordance with U.S. federal income tax regulations, which may differ from those amounts determined in accordance with U.S. GAAP.  These book/tax differences are either temporary or permanent in nature.  To the extent these differences are permanent, they are charged or credited to paid-in-capital or accumulated net realized gain (loss), as appropriate, in the period that the differences arise.  Temporary and permanent differences are primarily attributable to differences in the tax treatment of certain loans and the tax characterization of income and non-deductible expenses.  These differences are generally determined in conjunction with the preparation of the Fund’s annual RIC tax return.
Book and tax basis differences relating to shareholder dividends and distributions and other permanent book and tax differences are reclassified among the Fund’s capital accounts.  In addition, the character of income and gains to be distributed is determined in accordance with income tax regulations that may differ from U.S. GAAP. The determination of the tax attributes of the Fund’s distributions is made annually as of the end of the Fund’s taxable year and is generally based upon its taxable income for the full taxable year and distributions paid for the full taxable year. As a result, a determination made on a quarterly basis may not be representative of the actual tax attributes of the Fund’s distributions for a full taxable year. As of June 30, 2020,March 31, 2021, the Fund had determined the tax attributes of its distributions taxable year-to-date to be from its current and accumulated earnings and profits.  There
37

is not yet, however, certainty as to what the actual tax attributes of the Fund’s distributions to the shareholders will be by the year-ended December 31, 2020.2021.
The Fund anticipates distributing all distributable earnings by the end of the year. For the three and six months ended June 30, 2020,As of March 31, 2021, the Fund had $3.8 million and $7.2 million inno undistributed earnings, respectively.earnings. The Fund may pay distributions in excess of its taxable net investment income.  This excess would be a tax-free return of capital in the period and reduce the shareholder’s tax basis in its shares.
The Fund’s tax returns remain open for examination by the federal government for a period of three years and California tax authorities for a period of four years from when they are filed.  As of June 30, 2020,March 31, 2021, the Fund had no uncertain tax positions and no capital loss carryforwards.


10. UNEXPIRED UNFUNDED COMMITMENTS
As of June 30, 2020March 31, 2021 and December 31, 2019,2020, the Fund’s unexpired unfunded commitments to borrowers totaled $77.5$85.5 million and $78.0$83.2 million, respectively. Because venture loans are privately negotiated transactions, investments in these assets are relatively illiquid. It is the Manager’s experience that not all unexpired unfunded commitments will be used by the borrowers. Many credit agreements contain provisions which are milestone dependent and not all borrowers will achieve these milestones. Additionally, the Fund’s credit agreements contain provisions that give relief from funding obligations in the event the borrower has a material adverse change to its financial condition. Therefore, the unexpired unfunded commitments do not necessarily reflect future cash requirements or future investments for the Fund.

The tables below are the Fund’s unexpired unfunded commitments as of June 30, 2020March 31, 2021 and December 31, 2019:2020:

BorrowerIndustryUnexpired Unfunded Commitment as of March 31, 2021Expiration Date
303 Holdings, Inc.Technology Services$3,000,000 12/31/2021
8E14 NetworksOther Technology600,000 07/31/2021
Afero, Inc.Software1,500,000 05/31/2021
Airvine Scientific, Inc.Wireless625,000 09/30/2021
Antitoxin Technologies, Inc.Other Technology1,000,000 06/30/2021
BackboneAI Inc.Software1,000,000 04/30/2021
BriteCo LLCSoftware350,000 10/30/2021
Content Adjacent, Inc.Other Technology500,000 07/31/2021
Equestrian Labs, Inc.Other Technology1,500,000 09/30/2021
Exo ImagingMedical Devices2,000,000 09/30/2021
Fakespot, Inc.Other Technology1,500,000 01/31/2022
Fetch RoboticsComputers & Storage1,000,000 06/30/2021
GLO Pharma, Inc.Biotechnology2,000,000 10/31/2021
GoForward, Inc.Other Healthcare3,125,000 07/31/2021
Grayce, Inc.Other Healthcare1,500,000 12/31/2021
Hello Heart, Inc.Other Healthcare2,000,000 09/30/2021
Higher Ground Education, Inc.Other Technology7,000,000 12/31/2021
Honeybee Health, Inc.Other Healthcare2,000,000 07/31/2021
iLearningEngines Inc.Technology Services2,000,000 07/31/2021
KlarTechnology Services5,000,000 10/31/2021
38

BorrowerIndustryUnexpired Unfunded Commitment as of June 30, 2020Expiration Date
Aclima, Inc.Other Technology$4,000,000
07/31/2020
Artisan Development Labs, Inc.Other Healthcare500,000
09/30/2020
ATeam Army, Inc.Other Technology500,000
07/30/2020
BackboneAI, Inc.Software1,500,000
04/30/2021
Benson Hill Bio, Inc.Other Technology7,500,000
12/01/2020
BW Industries, Inc.Other Technology2,000,000
07/31/2020
Callisto Media, Inc.Technology Services7,500,000
12/31/2020
Canary Technologies CorporationSoftware250,000
09/30/2020
Cloudleaf, Inc.Software1,500,000
10/15/2020
Coterie Applications, Inc.Other Technology1,500,000
03/31/2021
eXo Imaging, Inc.Medical Devices4,000,000
11/30/2020
Fetch Robotics, Inc.Computers & Storage2,500,000
06/30/2021
GoForward, Inc.Other Healthcare6,250,000
07/01/2020
Hello Heart Inc.Other Healthcare750,000
08/31/2020
Invoice2Go, Inc.Software13,000,000
03/31/2021
Lucideus, Inc.Software500,000
07/15/2020
Lukla, Inc.Internet500,000
01/31/2021
Marley Spoon, Inc.Internet3,750,000
07/31/2020
Medable, Inc.Software2,000,000
07/31/2020
OneLocal, Inc.Internet333,333
07/31/2020
Ozy Media, Inc.Other Technology2,000,000
10/31/2020
Pitzi, Ltd.Other Technology1,000,000
11/30/2020
Quartzy, Inc.Biotechnology2,250,000
10/15/2020
Reciprocity, Inc.Software1,950,000
01/31/2021
RenoFi, Inc.Internet250,000
09/30/2020
Residently USA, LLCInternet750,000
07/30/2020
Siren Care, Inc.Medical Devices1,000,000
07/31/2020
TIER Mobility GmbHOther Technology8,000,000
02/15/2021
Total $77,533,333
 
BorrowerIndustryUnexpired Unfunded Commitment as of March 31, 2021Expiration Date
Mavenform, Inc.Other Technology500,000 04/30/2021
MeshPlusPlus, Inc.Wireless500,000 10/30/2021
MomentusOther Technology15,000,000 06/30/2021
Natomas Labs, Inc.Other Technology2,000,000 04/15/2021
Oula Health, Inc.Other Healthcare750,000 11/30/2021
PeerWell, Inc.Other Healthcare500,000 07/30/2021
Pixlee, Inc.Software2,500,000 06/30/2021
Prenda, Inc.Other Technology2,000,000 05/31/2021
Reali Inc.Other Technology12,000,000 09/30/2021
Starface World, Inc.Internet2,000,000 11/15/2021
Swiftly Systems, Inc.Software2,500,000 08/30/2021
The Safe and Fair Food Company LLCOther Technology1,000,000 07/31/2021
Tia, Inc.Other Healthcare4,500,000 10/31/2021
World Wrapps II, Inc.Other Technology500,000 12/31/2021
Total$85,450,000 



BorrowerIndustryUnexpired Unfunded Commitment as of December 31, 2020Expiration Date
303 Holdings, Inc.Technology Services$3,000,000 12/31/2021
8E14 NetworksOther Technology600,000 07/31/2021
Aclima, Inc.Other Technology2,000,000 03/31/2021
Afero, Inc.Software1,500,000 05/31/2021
Antitoxin Technologies Inc.Other Technology1,000,000 06/30/2021
BackboneAI Inc.Software1,000,000 04/30/2021
Bizly, Inc.Software1,650,000 03/31/2021
Canary Connect, Inc.Computers & Storage2,000,000 01/31/2021
Content Adjacent, Inc.Other Technology500,000 07/31/2021
Coterie Applications, Inc.Other Technology500,000 03/31/2021
CytoVale, Inc.Medical Devices1,000,000 01/31/2021
Exo Imaging, Inc.Medical Devices2,000,000 09/30/2021
Fetch Robotics, Inc.Computers & Storage2,500,000 06/30/2021
GoForward, Inc.Other Healthcare3,125,000 07/31/2021
Hello Heart Inc.Other Healthcare2,000,000 09/30/2021
Honeybee Health, Inc.Other Healthcare3,000,000 07/31/2021
iLearningEngines Inc.Technology Services2,000,000 07/31/2021
Invoice2Go, Inc.Software13,000,000 03/31/2021
Lukla, Inc.Internet500,000 01/31/2021
Mavenform, Inc.Other Technology1,500,000 04/30/2021
Natomas Labs, Inc.Other Technology2,000,000 04/15/2021
OnepointOne, Inc.Other Technology2,000,000 03/31/2021
Oula Health, Inc.Other Healthcare750,000 11/30/2021
Peerwell, Inc.Other Healthcare500,000 07/30/2021
Pixlee, Inc.Software2,500,000 06/30/2021
Privoro Holdings, Inc.Other Technology1,000,000 01/31/2021
Reciprocity, Inc.Software1,950,000 01/31/2021
Residently USA, LLCInternet375,000 03/31/2021
Riffyn, Inc.Technology Services2,000,000 01/31/2021
39

BorrowerIndustryUnexpired Unfunded Commitment as of December 31, 2019Expiration Date
Ablacon, Inc.Medical Devices$2,500,000
01/31/2020
Ainsly, Inc.Internet1,500,000
01/31/2020
Airvine Scientific, Inc.Wireless125,000
03/31/2020
Apollo Flight Research Inc.Other Technology250,000
01/31/2020
ArborMetrix, Inc.Software750,000
04/30/2020
Beanfields, PBCOther Technology625,000
06/30/2020
BW Industries, Inc.Other Technology2,000,000
07/31/2020
Callisto Media, Inc.Technology Services10,000,000
12/31/2020
Canary Technologies Corp.Software250,000
09/30/2020
Cesium, Inc.Internet375,000
03/31/2020
Cloudleaf, Inc.Software1,500,000
10/15/2020
DOSH Holdings, Inc.Other Technology3,750,000
01/15/2020
eXo Imaging, Inc.Medical Devices6,000,000
11/30/2020
GoForward, Inc.Other Healthcare6,250,000
07/01/2020
Hello Heart Inc.Other Healthcare1,750,000
08/31/2020
HumanAPI, Inc.Other Healthcare500,000
01/31/2020
Kids on 45th, Inc.Internet500,000
01/31/2020
Klar Holdings LimitedTechnology Services250,000
03/31/2020
Liftit, Inc.Technology Services500,000
01/30/2020
Lucideus, Inc.Software500,000
07/15/2020
Lukla, Inc.Internet750,000
01/31/2021
Marley Spoon, Inc.Internet3,750,000
07/31/2020
Medable, Inc.Software2,000,000
07/31/2020
Merchbar, Inc.Internet250,000
01/30/2020
Noteleaf, Inc.Other Technology1,000,000
01/31/2020
OneLocal, Inc.Internet1,000,000
07/31/2020
Owl Cameras, Inc.Software3,000,000
01/01/2020
Parallel Wireless, Inc.Wireless6,500,000
03/31/2020
Percepto Inc.Other Technology1,000,000
05/31/2020
Pitzi, Ltd.Other Technology2,500,000
11/30/2020
Quartzy, Inc.Biotechnology2,250,000
10/15/2020
Solugen, Inc.Technology Services1,250,000
01/31/2020
Stay Alfred, Inc.Internet7,500,000
06/30/2020
Stitch Labs, Inc.Software750,000
01/31/2020
The Safe and Fair Food Company LLCOther Technology1,250,000
01/31/2020
Trendalytics Innovation Labs, Inc.Software450,000
01/31/2020
Visual Supply CompanyInternet2,500,000
03/31/2020
Voodoo Manufacturing, Inc.Other Technology375,000
02/28/2020
Total $77,950,000
 
BorrowerIndustryUnexpired Unfunded Commitment as of December 31, 2020Expiration Date
Sonatus, Inc.Software1,000,000 03/31/2021
Swiftly Systems, Inc.Software5,000,000 08/30/2021
Tia, Inc.Other Healthcare7,000,000 10/31/2021
TIER Mobility GmbHOther Technology8,000,000 02/15/2021
Vessel Health, Inc.Other Healthcare3,750,000 03/31/2021
World Wrapps II, Inc.Other Technology1,000,000 12/31/2021
Total$83,200,000 
11. FINANCIAL HIGHLIGHTS

U.S. GAAP requires disclosure of financial highlights of the Fund for the three and six months ended June 30, 2020March 31, 2021 and 2019.2020.



The total rate of return is defined as the return based on the change in value during the period of a theoretical investment made at the beginning of the period. The total rate of return assumes a constant rate of return for the Fund during the period reported and weights each cash flow by the amount of time held in the Fund. This required methodology differs from an internal rate of return.

The ratios of expenses and net investment income to average net assets, calculated below, are annualized and are computed based upon the aggregate weighted average net assets of the Fund for the periods presented. Net investment income is inclusive of all investment income, net of expenses and excludes realized or unrealized gains and losses.

Beginning and ending net asset values per share are based on the beginning and ending number of shares outstanding. Other per share information is calculated based upon the aggregate weighted average net assets of the Fund for the periods presented.

40

The following per share data and ratios have been derived from the information provided in the financial statements:

For the Three Months Ended June 30, 2020 For the Three Months Ended June 30, 2019 For the Six Months Ended June 30, 2020 For the Six Months Ended June 30, 2019 For the Three Months Ended March 31, 2021For the Three Months Ended March 31, 2020
         
Total return**4.43% 2.97% 4.46% 4.47%Total return**6.88 %0.03 %
         
Per share amounts:       Per share amounts: 
Net asset value, beginning of period$1,426.44
 $669.17
 $1,138.32
 $740.89
Net asset value, beginning of period$1,833.27 $1,138.32 
Net investment income63.40
 26.46
 140.21
 39.24
Net investment income115.52 76.81 
Net realized and change in unrealized loss from loans and derivative instruments(0.24) (5.89) (76.72) (9.06)
Net realized and change in unrealized gain (loss) from loans and derivative instrumentsNet realized and change in unrealized gain (loss) from loans and derivative instruments8.38 (76.48)
Net increase in net assets resulting from operations63.16
 20.57
 63.49
 30.18
Net increase in net assets resulting from operations123.90 0.33 
Distributions to shareholder(22.38) (30.80) (64.59) (212.13)Distributions to shareholder(294.76)(42.21)
Contributions from shareholder—
 100.00
 330.00
 200.00
Contributions from shareholder140.00 330.00 


      
Net asset value, end of period$1,467.22
 $758.94
 $1,467.22
 $758.94
Net asset value, end of period$1,802.41 $1,426.44 
Net assets, end of period$146,721,694
 $75,893,748
 $146,721,694
 $75,893,748
Net assets, end of period$180,240,894 $142,643,705 
         
Ratios to average net assets:       Ratios to average net assets: 
Expenses*8.35% 16.32% 9.49% 16.33%Expenses*6.83 %10.89 %
Net investment income*17.77% 15.13% 21.65% 11.46%Net investment income*25.01 %26.41 %
Portfolio turn-over rate—% 0.64% —% 0.71%Portfolio turn-over rate— %— %
Average debt outstanding$103,625,000
 $47,625,000
 $103,785,714
 $39,785,714
 Average debt outstanding$162,675,000 $100,875,000 
       
*Annualized       *Annualized
**Total return amounts presented above are not annualized.
12.     SUBSEQUENT EVENTS
The Fund evaluated subsequent events through the date the financial statements were issued and determined that no additional subsequent events had occurred that would require accrual or disclosure in the financial statements.

41

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

In addition to the historical information contained herein, the information in this Quarterly Report on Form 10-Q contains certain “forward-looking statements” within the meaning of the securities laws. These forward-looking statements reflect the current view of the Fund with respect to future events and financial performance and are subject to several risks and uncertainties, many of which are beyond the Fund’s control. All statements, other than statements of historical facts included in this Quarterly Report, regarding the strategy, future operations, financial position, estimated revenues, projected costs, prospects, plans and objectives of the Fund are forward-looking statements. For example, statements in this Form 10-Q regarding the potential future impact of the COVID-19 pandemic on the Fund’s business and results of operations are forward-looking statements. When used in this report, the words “will,” “believe,” “anticipate,” “intend,” “estimate,” “expect,” “project” and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. All forward-looking statements speak only as of the date of this report. The Fund does not undertake any obligation to update or revise publicly any forward-looking statements, whether resulting from new information, future events or otherwise, except as required by law.

The reader of this Quarterly Report should understand that all such forward-looking statements are subject to various uncertainties and risks that could affect their outcome. The Fund’s actual results could differ materially from those suggested by such forward-looking statements. Factors that could cause or contribute to such differences include, but are not limited to, variances in the actual versus projected growth in assets, return on assets, loan losses, expenses, rates charged on loans and earned on securities investments, competition and macro-economic changes including inflation, interest rate expectations, among other factors including those set forth in the section of this Quarterly Report titled “Risk Factors” and Item 1A - “Risk Factors” in the Fund’s 20192020 Annual Report on Form 10-K. This entire Quarterly Report should be read to put such forward-looking statements in context and to gain a more complete understanding of the uncertainties and risks involved in the Fund’s business.

Overview

The Fund is 100% owned by the Company. The Fund’s shares of common stock, at $0.001 par value, were sold to its sole shareholder, the Company, under a stock purchase agreement. The Fund has issued 100,000 of the Fund’s 10,000,000 authorized shares. The Company may make additional capital contributions to the Fund.

The Fund provides financing and advisory services to a variety of carefully selected venture-backed companies that have received equity funding from traditional sources of venture capital equity funding (i.e. a professionally managed venture capital firm), as well as non-traditional sources of venture capital equity funding (e.g. angel investors, strategic investors, family offices, crowdfunding investment platforms, etc.) (collectively, “Venture-Backed Companies”), primarily throughout the United States with a focus on growth-oriented companies. The Fund’s portfolio consists of companies in the communications, information services, media, technology (including software and technology-enabled business services), biotechnology, and medical devices industry sectors, among others. The Fund’s capital is generally used by its portfolio companies to finance acquisitions of fixed assets and working capital. On May 1, 2018, the Company called and received its first capital from investors. On May 2, 2018, the Fund made its first investment and became a non-diversified, closed-end investment company under the 1940 Act. While the Fund intends to operate as a non-diversified investment company within the meaning of Section 5(b)(2) of the 1940 Act, from time to time, the Fund may act as a diversified investment company within the meaning of Section 5(b)(1) of the 1940 Act.

The Fund elected to be treated as a RIC under the Code for federal income tax purposes. Pursuant to this election, the Fund generally will not have to pay corporate-level taxes on any income distributed to its shareholder as dividends, allowing the Company to substantially reduce or eliminate its corporate-level tax liability.

The Fund will seek to meet the ongoing requirements, including the diversification requirements, to qualify as a RIC under the Code. If the Fund fails to meet these requirements, it will be taxed as an ordinary corporation on its taxable income for that year (even if that income is distributed to the members of the Company as ordinary
42

income);


thus, such income will be subject to a double layer of tax. There is no assurance that the Fund will meet the ongoing requirements to qualify as a RIC for tax purposes.

The Fund’s investment objective is to achieve superior risk-adjusted investment returns and it seeks to achieve that objective by providing debt financing to portfolio companies, most of which are private. The Fund generally receives warrants to acquire equity securities in connection with its portfolio investments and generally distributes these warrants to its shareholder upon receipt, or soon thereafter. The Fund also has guidelines for the percentages of total assets that are invested in different types of assets.

The portfolio investments of the Fund primarily consist of debt financing to Venture-Backed Companies in the technology sector. The borrower’s ability to repay its loans may be adversely impacted by several factors, and as a result, the loan may not be fully repaid. Furthermore, the Fund’s security interest in any collateral over the borrower’s assets may be insufficient to make up any shortfall in payments.

 Transactions with Venture Lending & Leasing VIII, Inc. (“Fund VIII”)  

The Manager also serves as manager for Fund VIII.  The Fund’s Board of Directors determined that so long as Fund VIII has capital available to invest in loan transactions with final maturities earlier than December 31, 2025 (the date on which Fund VIII will be dissolved), the Fund may invest in each portfolio company in which Fund VIII invests (“Investments”).  Generally, the amount of each Investment will be allocated 50% to the Fund and 50% to Fund VIII, or such other allocations as may be determined by the respective fund boards, so long as the Fund has capital available to invest.  The ability of the Fund to co-invest with Fund VIII, and other clients advised by the Manager, is subject to the conditions (“Conditions”) with which the Funds are currently complying while seeking certain exemptive relief from the Securities and Exchange Commission (“SEC”) from the provisions of Sections 17(d) and 57 of the 1940 Act and Rule 17d-1 thereunder. After June 30, 2022, the Fund will no longer be permitted to enter into new commitments to borrowers; however, the Fund will be permitted to fund existing commitments, in which Fund VIII may also be invested. The Manager has exercised, and Fund VIII's Board of Directors ratified, its discretion to extend Fund VIII’s investment period for two additional quarters after September 30, 2020, thereby allowing Fund VIII to make new commitments through March 31, 2020 and to fund commitments through March 31, 2021, the end of Fund VIII’s investment period. The Manager is permitted to extend the Fund’s investment period by up to two (2) additional calendar quarters in its sole and absolute discretion. To the extent that clients, other than Fund VIII, advised by the Manager (but in which the Manager has no proprietary interest) invest in opportunities available to the Fund, the Manager will allocate such opportunities among the Fund and such other clients in a manner deemed fair and equitable considering all of the circumstances in accordance with the Conditions.

Critical Accounting Policies, Practices and Estimates
Critical Accounting Policies and Practices are those accounting policies and practices that are both the most important to the portrayal of the Fund’s net assets and results of operations and require the most difficult, subjective, or complex judgments, often as a result of the need to make estimates about the effect of matters that are inherently uncertain. Critical accounting estimates are accounting estimates where the nature of the estimates is material due to the levels of subjectivity and judgment necessary to account for highly uncertain matters or the susceptibility of such matters to change and the impact of the estimates on net assets or operating performance is material.
43

In evaluating the most critical accounting policies and estimates, the Manager has identified the estimation of fair value of the Fund’s loan investments as the most critical of the accounting policies and accounting estimates applied to the Fund’s reporting of net assets or operating performance. In accordance with U.S. GAAP, the Fund defines fair value as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date; that is, an exit price. The exit price assumes the asset or liability was exchanged in an orderly transaction; it was not a forced liquidation or distressed sale. There is no readily available market price or secondary market for the loans made by the Fund to borrowers, hence the Manager determines fair value based on a hypothetical market and the estimates are subject to high levels of judgment and uncertainty. The Fund’s loan investments are considered Level 3 fair value measurements in the fair value hierarchy due to the lack of observability over many of the important inputs used in determining fair value.


Critical judgments and inputs in determining the fair value of a loan include the estimated timing and amount of future cash flows and probability of future payments, based on the assessment of payment history, available cash and “burn rate,” revenues, net income or loss, operating results, financial strength of borrower, prospects for the borrower’s raising future equity rounds, likelihood of sale or acquisition of the borrower, length of expected holding period of the loan, collateral position, the timing and amount of liquidation of collateral for loans that are experiencing significant credit deterioration and, as a result, collection becomes collateral-dependent, as well as an evaluation of the general interest rate environment. Management has evaluated these factors and has concluded that the effect of a deterioration in the quality of the underlying collateral, increase in the size of the loan, increase in the estimated time to recovery, and increase in the hypothetical market coupon rate would have the effect of decreasing the fair value of loan investments. The risk profile of a loan changes when events occur that impact the credit analysis of the borrower and the loan. Such changes result in the fair value being adjusted from par value of the individual loan. Where the risk profile is consistent with the original underwriting, the par value of the loan often approximates fair value.
The actual value of the loans may differ from Management’s estimates, which would affect net change in net assets resulting from operations as well as assets.

Recent DevelopmentCOVID-19's Impact on Results of Operations and Liquidity & Capital Resources

Due to the recent outbreak of the novel strain of coronavirus (COVID-19), the Fund may be directly and indirectly affected by the increased financial market volatility and disruption of the global economy. Among other things, the aforementioned events could impair the ability of borrowers to make scheduled payments, result in loss of revenue, or cause the Fund to incur additional expenses.

While the COVID-19 pandemic did not materially affect the Fund’s business and results of operations in the second fiscal quarter ended June 30, 2020, these are not necessarily indicative of the results to be expected for the full fiscal year. The slowdown of the global and local economies hasin 2020 had had an impact on a number of the Fund's borrowers’ businessesFund’s portfolio companies’ business and operations, causing an increase in debt investments that are moved from performingoperations. Due to non-performing status. In the short-term, however,increased market volatility, valuation of some of the Fund’s debtloan investments resulted incontributed to increased unrealized gainlosses from loans infor the second fiscal quarter ended June 30,March 31, 2020. At the end of 2020, as many ofvaccines have been approved for deployment by various government health agencies, resulting in loosening shelter-in-place and quarantine restrictions. The recent market stability, in addition to the Fund’s debt portfolio companies proactively reduced expenses, restructured their revenue programs,recovering local and amended their performance plans to manage their capital and liquidity requirements. These efforts partially offset the continued financial market volatility that alsoglobal economies, factored into the Fund’s loan valuation adjustment.adjustments. For the quarter ended March 31, 2021, the Fund recognized unrealized gains from loans compared to the recognized unrealized losses for the same period in 2020.
Given theAlthough markets have begun to stabilize and economies have begun to recover, uncertainty of the COVID-19 situation,remains regarding the full extent of the long-term economic impact on the Fund’s business operations, resultresults of operations, and access to liquidity and capital resources is unpredictable at this time andresources. The impact on the Fund will depend on many factors outside ofbeyond the Fund’s control, including, without limitations, the timing, extent, trajectory, and duration of the pandemic.
In addition, the speed of economic recovery may vary across different industries both locally and globally. The Fund is maintainingcontinuing to maintain close communications with its debtloan portfolio companies to proactively assess and manage potential risks. In addition, Management has increasedis continuing to maintain oversight analysis of credits across the Fund's debtloan investment portfolio in an attempt to manage the potential credit risk and improve loan performance. As part of its risk management strategy, Management is tracking mitigating factors and their effectiveness in improving credit performance. For example, Management is taking into consideration the borrowers’ participation to the U.S. Small Business Administration (“SBA”) Paycheck Protection Program (“PPP”). PPP was created as a part of the recently enacted Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”), which provides assistance to small businesses to maintain their payroll, hire back employees who may have been laid off, and cover applicable overhead expenses.
Management is also monitoring the Fund'sFund’s continued access to capital resources through periodic communicationsand timely communication with the bank syndicate and the Company’s members. As of June 30, 2020, there are no indications that the bank syndicate will fail to renew the Fund’s debt facility or that any of the Company’s members will be unable to meet their capital obligations to the Company.
In addition, the Fund is taking proactive steps to ensure and maintain an appropriate liquidity position based on the current circumstances. The Fund believes its existing cash balance, scheduled monthly payments from borrowers, and access to capital from its debt facility


and the Company’s members will be sufficient to satisfy its working capital needs, debt repayments, and other liquidity requirements associated with its existing operations.

44

Results of Operations - For the Three and Six Months Ended June 30,March 31, 2021 and 2020 and 2019
Total investment income for the three months ended June 30,March 31, 2021 and 2020 and 2019 was $9.3$14.7 million and $5.5$10.8 million, respectively, which primarily consisted of interest on the venture loans outstanding. The remaining income consisted of interest and dividends on the temporary investment of cash. The average outstanding balance of the performing loans calculated using the month-end balances was $234.4$319.2 million and $113.6$206.2 million for the three months ended June 30,March 31, 2021 and 2020, and 2019, respectively. The average outstanding balance of all loans calculated using the month-end balances was $244.1$327.9 million and $113.6$211.3 million for the three months ended June 30, 2020March 31, 2021 and 2019.2020. The weighted-average interest rate on the performing loans for the same periods was 15.83%18.14% and 19.04%20.07%, respectively. The weighted-average interest rate on all loans for the same period was 15.25%17.92% and 19.04%19.59%, respectively. The increase in the average outstanding balance was the primary reason for the increase in investment income. Interest is calculated using the effective interest method, and rates earned by the Fund will fluctuate based on many factors including early payoffs, volatility of values ascribed to warrants and new loans funded during the year.
Total investment income for the six months ended June 30, 2020 and 2019 was $20.2 million and $9.5 million, respectively, which primarily consisted of interest on venture loans outstanding. The remaining income consisted of interest and dividends on the temporary investment of cash. The average outstanding balance of the performing loans calculated using the month-end balances was $220.2 million and $102.0 million for the six months ended June 30, 2020 and 2019, respectively. The average outstanding balance of all loans calculated using the month-end balances was $227.5 million and $102.0 million for the six months ended June 30, 2020 and 2019. The weighted-average interest rate on the performing loans for the same periods was 17.82% and 18.36%, respectively. The weighted-average interest rate on all loans for the same period was 17.28% and 18.36%, respectively. The increase in the average outstanding balance was the primary reason for the increase in investment income. Interest is calculated using the effective interest method, and rates earned by the Fund will fluctuate based on many factors including early payoffs, volatility of values ascribed to warrants and new loans funded during the year.

Management fees for both the three months ended June 30,March 31, 2021 and 2020 and 2019 was $1.8 million. ManagementFor the period from January 1, 2021 through March 31, 2021, management fees forwere calculated at 1.575% of the six months ended June 30,Company's committed capital. For the same period in 2020, and 2019management fees were $3.7 million and $3.6 million, respectively. Management fees increased from 1.575% as of June 30, 2019 tocalculated at 1.600% of the company'sCompany's committed equity capital, respectively.capital.

Interest expense was $0.9$1.2 million and $0.9 million for each of the three months ended June 30, 2020March 31, 2021 and 2019, respectively. Interest expense was $2.2 million and $1.6 million for the six months ended June 30, 2020 and 2019, respectively.2020. Interest expense was comprised of amounts related to interest on debt amounts drawn down, unused credit line fees and amounts amortized from deferred fees incurred in conjunction with the debt facility. The increaseThere was no change in interest expense iseven though the average debt outstanding for the three months ended March 31, 2021 increased compared to the same period in 2021, primarily due to higher debt outstanding balance, offset by lower weighted-average interest rates.rate. The average debt outstanding for the three and six months ended June 30,March 31, 2021 and 2020 was $103.6$162.7 million and $103.8$100.9 million, respectively. The weighted-average interest rate for the three and six months ended June 30,March 31, 2021 and 2020 was 3.56%2.98% and 4.15%, respectively. The average debt outstanding for the three and six months ended June 30, 2019 was $47.6 million and $39.8 million, respectively. The weighted-average interest rate for the three and six months ended June 30, 2019 was 7.52% and 8.10%4.88%, respectively.

Banking and professional fees were $0.2 million andwas $0.1 million for each of the three months ended June 30,March 31, 2021 and 2020, and 2019, respectively. Banking and professional fees were both $0.3 million for the six months ended June 30, 2020 and 2019, respectively. Banking and professional fees were primarily comprised of legal fees associated with the documentation of loans and audit fees.

Other operating expenses were bothwas less than $0.1 million for each of the three months ended June 30, 2020March 31, 2021 and 2019. Other operating expenses were less than $0.1 million for the six months ended June 30, 2020 and 2019, respectively.2020. These expenses included director fees, custody fees, tax fees and other expenses related to the operations of the Fund.



Net investment income for the three months ended June 30,March 31, 2021 and 2020 and 2019 was $6.3$11.6 million and $2.6 million, respectively. Net investment income for the six months ended June 30, 2020 and 2019 was $14.0 million and $3.9$7.7 million, respectively.

Net realized loss from loans was $0.1 million and zero for the three months ended March 31, 2021 and 2020, respectively. This is loss incurred on a written-off loan.

Net realized loss from derivative instruments was $0.3 million for both the three and six months ended June 30, 2020. Net realized loss from derivative instruments was less than $0.1 million for the three and six months ended June 30, 2019.March 31, 2021 and 2020, respectively. The primary reason for the loss was interest paid by the Fund on the interest rate swap and floor agreement when the fixed rate interest of the swap and floor was higher than the floating rate.

Net change in unrealized gain (loss) from loans was $0.2$0.9 million and $(6.2)$(6.4) million for the three and six months ended June 30,March 31, 2021 and 2020, respectively. The net change in unrealized gain (loss) from loans was less than $0.1 million and zero for the three and six months ended June 30, 2019, respectively. The net change in unrealized gain from loans consisted of fair value adjustments taken against loans resulting from the improvement or deterioration in certain portfolio companies’ performance. The primary reason for the improvement in certain portfolio companies' performance is cost cutting measures, restructured revenue programs, and amended performance plans to manage capital and liquidity requirements during the COVID-19 pandemic.

45

Net change in unrealized lossgain (loss) from derivative instruments was less than $0.1$0.4 million and $1.1$(1.1) million for the three and six months ended June 30,March 31, 2021 and 2020, respectively. Net change in unrealized loss from derivative instruments was $0.6 million and $0.9 million for the three and six months ended June 30, 2019. The net change in unrealized lossgain (loss) from derivative instruments consisted of fair market value adjustments to the derivative instruments and is a reflection of the market’s outlook on the economy and the future of interest rate changes.

Net increase in net assets resulting from operations for the three months ended June 30,March 31, 2021 and 2020 and 2019 was $6.3$12.4 million and $2.1less than $0.1 million, respectively. On a per share basis, the net increase in net assets resulting from operations for the three months ended June 30,March 31, 2021 and 2020 was $123.90 and 2019 was $63.16 and $20.56,$0.32, respectively.

Net increase in net assets resulting from operations for the six months ended June 30, 2020 and 2019 was $6.3 million and $3.0 million, respectively. On a per share basis, the net increase in net assets resulting from operations for the six months ended June 30, 2020 and 2019 was $63.48 and $30.18, respectively.

Liquidity and Capital Resources – June 30, 2020March 31, 2021 and December 31, 20192020


The Fund is owned entirely by the Company. The Company is expected, but not required, to make further contributions to the capital of the Fund to the extent of the Company’s members’ capital commitment to the Company and excess cash balances of the Company. Total capital contributed to the Fund was $181.1$257.1 million and $148.1$243.1 million as of June 30, 2020March 31, 2021 and December 31, 2019,2020, respectively. As of both June 30, 2020March 31, 2021 and December 31, 2019,2020, the Company had subscriptions for capital in the amount of $460.0 million, of which $207.0$296.7 million and $174.8$264.5 million had been called and received, respectively. As of June 30, 2020, $253.0March 31, 2021, $163.3 million of capital remains uncalled and the uncalled capital expires on the Fund’s fifth anniversary of its first investment unless extended. Management is permitted to extend the Fund’s investment period by up to two (2) additional calendar quarters in its sole and absolute discretion. The Company has made $20.9$48.8 million in recallable distributions to its investors, as permitted under its operating agreement between the Company’s managing member and members of the Company.

The change in cash for the sixthree months ended June 30,March 31, 2021 and 2020 and 2019 was as follows:

For the Three Months Ended March 31, 2021For the Three Months Ended March 31, 2020
Net cash used in operating activities$(43,145,717)$(30,782,135)
Net cash provided by financing activities35,967,048 24,413,941 
Net decrease in cash and cash equivalents$(7,178,669)$(6,368,194)
  For the Six Months Ended June 30, 2020 For the Six Months Ended June 30, 2019
Net cash used in operating activities $(55,417,989) $(51,616,460)
Net cash provided by financing activities 52,659,712
 54,495,086



Net increase (decrease) in cash and cash equivalents $(2,758,277) $2,878,626

As of June 30, 2020March 31, 2021 and December 31, 2019, 5.5%2020, 3.0% and 9.4%6.8%, respectively, of the Fund’s net assets consisted of cash and cash equivalents.

On December 20, 2018, the Fund entered into a syndicated loan agreement led by MUFG Union Bank, N.A., Wells Fargo Securities, LLC and ING Capital LLC, with participation from Zions Bancorporation, N.A., doing business as California Bank & Trust, Bank Leumi USA, Umpqua Bank, HSBC Bank USA, N.A., and First Bank, that established a secured revolving loan facility in an initial amount of up to $200.0 million with the option to request that borrowing availability be increased up to $400.0 million, subject to further negotiation and credit approval. On March 18, 2021, the Fund entered into an Amendment to the Loan and Security Agreement with MUFG Union Bank, N.A., Wells Fargo Securities, LLC, Wells Fargo Bank, N.A. and ING Capital, LLC, with participating from TIAA, FSB, Bank Leumi USA, HSBC Bank USA, N.A., Umpqua Bank, Zions Bancorporation, N.A., doing business as California Bank & Trust, Hitachi Capital America Corp, First Bank, and Bank of Hope, that increased the size of the facility to $350,000,000 and extended the term of the facility (the “Amended Loan Agreement”). An additional $50,000,000 is potentially available to the Fund, subject to further negotiation and credit approval, through an accordion provision.

46

Borrowings by the Fund are collateralized by all the assets of the Fund. Loans under the facility may be, at the option of the Fund, a Reference Rate Loan, a LIBOR Loan or a LIBOR Market Index Rate Loan. The Fund pays interest on its borrowings and also pays a fee on the unused portion of the facility. The facility terminates on December 20, 2021,March 18, 2024, but can be accelerated in the event of default, such as the failure by the Fund to make timely interest or principal payments. As of June 30, 2020, $120.0March 31, 2021, $184.7 million was outstanding under the facility.

For the sixthree months ended June 30, 2020March 31, 2021 and since the start of its investment operation in May 2018, the Fund invested its assets in venture loans. Amounts disbursed under the Fund’s loan commitments were $97.2$73.6 million for the sixthree months ended June 30, 2020.March 31, 2021. Net loan amounts outstanding after amortization and valuation adjustments increased by $56.1$45.0 million for the same period. Unexpired unfunded commitments totaled $77.5$85.5 million as of June 30, 2020.March 31, 2021.

As of
Cumulative Amount

Disbursed
Principal

Reductions and Fair

Market Adjustments
Balance

Outstanding - Fair

Value
Unexpired

Unfunded

Commitments
June 30, 2020March 31, 2021$345.0537.0 million$85.6181.5 million$259.4355.5 million$77.585.5 million
December 31, 20192020$247.8463.4 million$44.5152.9 million$203.3310.5 million$78.083.2 million

The following tables show the unexpired unfunded commitments by portfolio company as of June 30, 2020March 31, 2021 and December 31, 2019.2020.

BorrowerIndustryUnexpired Unfunded Commitment as of March 31, 2021Expiration Date
303 Holdings, Inc.Technology Services$3,000,000 12/31/2021
8E14 NetworksOther Technology600,000 07/31/2021
Afero, Inc.Software1,500,000 05/31/2021
Airvine Scientific, Inc.Wireless625,000 09/30/2021
Antitoxin Technologies, Inc.Other Technology1,000,000 06/30/2021
BackboneAI Inc.Software1,000,000 04/30/2021
BriteCo LLCSoftware350,000 10/30/2021
Content Adjacent, Inc.Other Technology500,000 07/31/2021
Equestrian Labs, Inc.Other Technology1,500,000 09/30/2021
Exo ImagingMedical Devices2,000,000 09/30/2021
Fakespot, Inc.Other Technology1,500,000 01/31/2022
Fetch RoboticsComputers & Storage1,000,000 06/30/2021
GLO Pharma, Inc.Biotechnology2,000,000 10/31/2021
GoForward, Inc.Other Healthcare3,125,000 07/31/2021
Grayce, Inc.Other Healthcare1,500,000 12/31/2021
Hello Heart, Inc.Other Healthcare2,000,000 09/30/2021
Higher Ground Education, Inc.Other Technology7,000,000 12/31/2021
Honeybee Health, Inc.Other Healthcare2,000,000 07/31/2021
iLearningEngines Inc.Technology Services2,000,000 07/31/2021
KlarTechnology Services5,000,000 10/31/2021
Mavenform, Inc.Other Technology500,000 04/30/2021
MeshPlusPlus, Inc.Wireless500,000 10/30/2021
MomentusOther Technology15,000,000 06/30/2021
Natomas Labs, Inc.Other Technology2,000,000 04/15/2021
47

BorrowerIndustryUnexpired Unfunded Commitment as of June 30, 2020Expiration Date
Aclima, Inc.Other Technology$4,000,000
07/31/2020
Artisan Development Labs, Inc.Other Healthcare500,000
09/30/2020
ATeam Army, Inc.Other Technology500,000
07/30/2020
BackboneAI, Inc.Software1,500,000
04/30/2021
Benson Hill Bio, Inc.Other Technology7,500,000
12/01/2020
BW Industries, Inc.Other Technology2,000,000
07/31/2020
Callisto Media, Inc.Technology Services7,500,000
12/31/2020
Canary Technologies CorporationSoftware250,000
09/30/2020
Cloudleaf, Inc.Software1,500,000
10/15/2020
Coterie Applications, Inc.Other Technology1,500,000
03/31/2021
eXo Imaging, Inc.Medical Devices4,000,000
11/30/2020
Fetch Robotics, Inc.Computers & Storage2,500,000
06/30/2021
GoForward, Inc.Other Healthcare6,250,000
07/01/2020
BorrowerIndustryUnexpired Unfunded Commitment as of March 31, 2021Expiration Date
Oula Health, Inc.Other Healthcare750,000 11/30/2021
PeerWell, Inc.Other Healthcare500,000 07/30/2021
Pixlee, Inc.Software2,500,000 06/30/2021
Prenda, Inc.Other Technology2,000,000 05/31/2021
Reali Inc.Other Technology12,000,000 09/30/2021
Starface World, Inc.Internet2,000,000 11/15/2021
Swiftly Systems, Inc.Software2,500,000 08/30/2021
The Safe and Fair Food Company LLCOther Technology1,000,000 07/31/2021
Tia, Inc.Other Healthcare4,500,000 10/31/2021
World Wrapps II, Inc.Other Technology500,000 12/31/2021
Total$85,450,000 


BorrowerIndustryUnexpired Unfunded Commitment as of December 31, 2020Expiration Date
303 Holdings, Inc.Technology Services$3,000,000 12/31/2021
8E14 NetworksOther Technology600,000 07/31/2021
Aclima, Inc.Other Technology2,000,000 03/31/2021
Afero, Inc.Software1,500,000 05/31/2021
Antitoxin Technologies Inc.Other Technology1,000,000 06/30/2021
BackboneAI Inc.Software1,000,000 04/30/2021
Bizly, Inc.Software1,650,000 03/31/2021
Canary Connect, Inc.Computers & Storage2,000,000 01/31/2021
Content Adjacent, Inc.Other Technology500,000 07/31/2021
Coterie Applications, Inc.Other Technology500,000 03/31/2021
CytoVale, Inc.Medical Devices1,000,000 01/31/2021
Exo Imaging, Inc.Medical Devices2,000,000 09/30/2021
Fetch Robotics, Inc.Computers & Storage2,500,000 06/30/2021
GoForward, Inc.Other Healthcare3,125,000 07/31/2021
Hello Heart Inc.Other Healthcare2,000,000 09/30/2021
Honeybee Health, Inc.Other Healthcare3,000,000 07/31/2021
iLearningEngines Inc.Technology Services2,000,000 07/31/2021
Invoice2Go, Inc.Software13,000,000 03/31/2021
Lukla, Inc.Internet500,000 01/31/2021
Mavenform, Inc.Other Technology1,500,000 04/30/2021
Natomas Labs, Inc.Other Technology2,000,000 04/15/2021
OnepointOne, Inc.Other Technology2,000,000 03/31/2021
Oula Health, Inc.Other Healthcare750,000 11/30/2021
Peerwell, Inc.Other Healthcare500,000 07/30/2021
Pixlee, Inc.Software2,500,000 06/30/2021
Privoro Holdings, Inc.Other Technology1,000,000 01/31/2021
Reciprocity, Inc.Software1,950,000 01/31/2021
Residently USA, LLCInternet375,000 03/31/2021
Riffyn, Inc.Technology Services2,000,000 01/31/2021
Sonatus, Inc.Software1,000,000 03/31/2021
Swiftly Systems, Inc.Software5,000,000 08/30/2021
Tia, Inc.Other Healthcare7,000,000 10/31/2021
TIER Mobility GmbHOther Technology8,000,000 02/15/2021
48

Hello Heart Inc.Other Healthcare750,000
08/31/2020
Invoice2Go, Inc.Software13,000,000
03/31/2021
Lucideus, Inc.Software500,000
07/15/2020
Lukla, Inc.Internet500,000
01/31/2021
Marley Spoon, Inc.Internet3,750,000
07/31/2020
Medable, Inc.Software2,000,000
07/31/2020
OneLocal, Inc.Internet333,333
07/31/2020
Ozy Media, Inc.Other Technology2,000,000
10/31/2020
Pitzi, Ltd.Other Technology1,000,000
11/30/2020
Quartzy, Inc.Biotechnology2,250,000
10/15/2020
Reciprocity, Inc.Software1,950,000
01/31/2021
RenoFi, Inc.Internet250,000
09/30/2020
Residently USA, LLCInternet750,000
07/30/2020
Siren Care, Inc.Medical Devices1,000,000
07/31/2020
TIER Mobility GmbHOther Technology8,000,000
02/15/2021
Total $77,533,333
 
BorrowerIndustryUnexpired Unfunded Commitment as of December 31, 2020Expiration Date
Vessel Health, Inc.Other Healthcare3,750,000 03/31/2021
World Wrapps II, Inc.Other Technology1,000,000 12/31/2021
Total$83,200,000 



BorrowerIndustryUnexpired Unfunded Commitment as of December 31, 2019Expiration Date
Ablacon, Inc.Medical Devices$2,500,000
01/31/2020
Ainsly, Inc.Internet1,500,000
01/31/2020
Airvine Scientific, Inc.Wireless125,000
03/31/2020
Apollo Flight Research Inc.Other Technology250,000
01/31/2020
ArborMetrix, Inc.Software750,000
04/30/2020
Beanfields, PBCOther Technology625,000
06/30/2020
BW Industries, Inc.Other Technology2,000,000
07/31/2020
Callisto Media, Inc.Technology Services10,000,000
12/31/2020
Canary Technologies Corp.Software250,000
09/30/2020
Cesium, Inc.Internet375,000
03/31/2020
Cloudleaf, Inc.Software1,500,000
10/15/2020
DOSH Holdings, Inc.Other Technology3,750,000
01/15/2020
eXo Imaging, Inc.Medical Devices6,000,000
11/30/2020
GoForward, Inc.Other Healthcare6,250,000
07/01/2020
Hello Heart Inc.Other Healthcare1,750,000
08/31/2020
HumanAPI, Inc.Other Healthcare500,000
01/31/2020
Kids on 45th, Inc.Internet500,000
01/31/2020
Klar Holdings LimitedTechnology Services250,000
03/31/2020
Liftit, Inc.Technology Services500,000
01/30/2020
Lucideus, Inc.Software500,000
07/15/2020
Lukla, Inc.Internet750,000
01/31/2021
Marley Spoon, Inc.Internet3,750,000
07/31/2020
Medable, Inc.Software2,000,000
07/31/2020
Merchbar, Inc.Internet250,000
01/30/2020
Noteleaf, Inc.Other Technology1,000,000
01/31/2020


BorrowerIndustryUnexpired Unfunded Commitment as of December 31, 2019Expiration Date
OneLocal, Inc.Internet1,000,000
07/31/2020
Owl Cameras, Inc.Software3,000,000
01/01/2020
Parallel Wireless, Inc.Wireless6,500,000
03/31/2020
Percepto Inc.Other Technology1,000,000
05/31/2020
Pitzi, Ltd.Other Technology2,500,000
11/30/2020
Quartzy, Inc.Biotechnology2,250,000
10/15/2020
Solugen, Inc.Technology Services1,250,000
01/31/2020
Stay Alfred, Inc.Internet7,500,000
06/30/2020
Stitch Labs, Inc.Software750,000
01/31/2020
The Safe and Fair Food Company LLCOther Technology1,250,000
01/31/2020
Trendalytics Innovation Labs, Inc.Software450,000
01/31/2020
Visual Supply CompanyInternet2,500,000
03/31/2020
Voodoo Manufacturing, Inc.Other Technology375,000
02/28/2020
Total $77,950,000
 

Because venture loans are privately negotiated transactions, investments in these assets are relatively illiquid. It is the Management’s experience that not all unexpired unfunded commitments will be used by borrowers. Many credit agreements contain provisions which are milestone dependent and not all borrowers will achieve these milestones. Additionally, the Fund’s credit agreements contain provisions that give relief from funding obligations in the event the borrower has a materially adverse change in its financial condition. Therefore, the unexpired unfunded commitments do not necessarily reflect future cash requirements or future investments for the Fund.

The Fund seeks to maintain the requirements to qualify for the special pass-through status available to RICs under the Code, and thus to be relieved of federal income tax on that part of its net investment income and realized capital gains that it distributes to its shareholder. To qualify as a RIC, the Fund must distribute to its shareholder for each taxable year at least 90% of its investment company taxable income (consisting generally of net investment income and net short-term capital gain) (the “Distribution Requirement”). To the extent that the terms of the Fund’s venture loans provide for the receipt by the Fund of additional interest at the end of the loan term or provide for the receipt by the Fund of a purchase price for the asset at the end of the loan term (“residual income”), the Fund would be required to accrue such residual income over the life of the loan, and to include such accrued undistributed income in its gross income for each taxable year even if it receives no portion of such residual income in that year. Thus, in order to meet the Distribution Requirement and avoid payment of income taxes or an excise tax on undistributed income, the Fund may be required in a particular year to distribute as a dividend an amount in excess of the total amount of income it actually receives. Those distributions will be made from the Fund’s cash assets, from amounts received through amortization of loans or from borrowed funds.

As of June 30, 2020,March 31, 2021, the Fund had cash reservesbalance of $8.0$5.3 million and approximately $94.4$173.7 million in scheduled loan receivable payments over the next twelve months. Additionally, the Fund has access to uncalled capital of $253.0$163.3 million and recallable capital of $20.9$48.8 million as a liquidity source, and a borrowing base that grows as it funds additional commitments. These amounts are sufficient to meet the current commitment backlog and operational expenses of the Fund over the next year. The Fund regularly evaluates potential future liquidity resources and demands before making additional future commitments.

On April 24, 2019, the Fund’s sole shareholder, the Company, approved a reduced asset coverage ratio of 150% for the Fund as permitted in Section 61(a)(2) of the 1940 Act. Accordingly, the Fund is permitted to borrow in any amount so long as its asset coverage ratio, as defined in the 1940 Act, is at least 150% after giving effect to such borrowings. As of June 30, 2020,March 31, 2021, the Fund’s asset coverage ratio was 222%197%.



Item 3. Quantitative and Qualitative Disclosures About Market Risk

The Fund’s business activities contain various elements of risk, of which Management considers interest rate and credit risk to be the principal types of risks. Because the Fund considers the management of risk essential to conducting its business and to maintaining profitability, the Fund’s risk management procedures are designed to identify and analyze the Fund’s risks, to set appropriate policies and limits and to continually monitor these risks and limits by means of reliable administrative and information systems and other policies and programs.  

The Fund manages its market risk by maintaining a portfolio that is diverse by industry, size of investment, stage of development, and borrower. The Fund has limited exposure to public market price fluctuations as the Fund primarily invests in private business enterprises and distributes all equity investments upon receipt to the Company.

49

The Fund’s investments are subject to market risk based on several factors, including, but not limited to, the borrower’s credit history, available cash, support of the borrower’s underlying investors, available liquidity, “burn rate,” revenue income, security interest, secondary markets for collateral, the size of the loan, term of the loan and the ability to exit via initial public offering or merger and acquisition.

The Fund’s exposure to interest rate sensitivity is regularly monitored and analyzed by measuring the characteristics of assets and liabilities. The Fund utilizes various methods to assess interest rate risk in terms of the potential effect on interest income net of interest expense, the value of net assets and the value at risk in an effort to ensure that the Fund is insulated from any significant adverse effects from changes in interest rates. At June 30, 2020,March 31, 2021, the outstanding debt balance was $120.0$184.7 million at a weighted-average floating interest rate of 0.18%0.11%, for which the Fund had derivative instruments in place with a weighted-average fixed interest rate of 2.28% on $57.0 million of the notional principal amount with an interest rate swap and floor, and a weighted-average ceiling of 1.150%1.06% on $20.0$50.0 million of the notional principal amount with an interest rate collar, leaving the Fund with exposure to interest rate changes on the un-hedged portion of the loan.

Because all of the Fund’s loans impose a fixed interest rate upon funding, changes in short-term interest rates will not directly affect interest income associated with the loan portfolio as of June 30, 2020.March 31, 2021. However, those changes could have the potential to change the Fund’s ability to originate loan commitments, acquire and renew bank facilities, and engage in other investment activities. Further, changes in short-term interest rates could also affect interest rate expense, realized gain from investments and interest on the Fund’s short-term investments.
Based on the Fund’s Condensed Statements of Assets and Liabilities as of June 30, 2020,March 31, 2021, the following table shows the approximate annualized increase (decrease) in components of net assets resulting from operations of hypothetical base rate changes in interest rates, assuming no changes in investments, borrowings, cash balances and derivative instruments.
 
Effect of Interest Rate Change ByIncrease (Decrease) Other Interest and Other IncomeGain (Loss) from Interest Rate Swap and FloorGain (Loss) from Interest Rate CollarIncrease (Decrease) Interest IncomeIncrease (Decrease) in Total Income
(0.50)%$(26,593)$(285,000)$(250,000)$205,257 $(356,336)
1%$53,186 $570,000 $116,774 $(1,847,000)$(1,107,040)
2%$106,371 $1,140,000 $609,000 $(3,694,000)$(1,838,629)
3%$159,557 $1,710,000 $1,109,000 $(5,541,000)$(2,562,443)
4%$212,743 $2,280,000 $1,609,000 $(7,388,000)$(3,286,257)
5%$265,929 $2,850,000 $2,109,000 $(9,235,000)$(4,010,071)
Effect of Interest Rate Change ByOther Interest and Other Income (Loss)Gain (Loss) from Interest Rate Swap and FloorGain (Loss) from Interest Rate CollarInterest Income (Expense)Total Income (Loss)
(0.50)%$(39,982)$101,318
$(98,000)$213,300
$176,636
1%$79,965
$570,000
$5,550
$(1,200,000)$(544,485)
2%$159,930
$1,140,000
$205,550
$(2,400,000)$(894,520)
3%$239,894
$1,710,000
$405,550
$(3,600,000)$(1,244,556)
4%$319,859
$2,280,000
$605,550
$(4,800,000)$(1,594,591)
5%$399,824
$2,850,000
$805,550
$(6,000,000)$(1,944,626)


Additionally, a change in the interest rate may affect the value of the derivative instruments and effect net change in unrealized gain (loss) from derivative instruments. The amount of any such effect will be contingent upon market expectations for future interest rate changes. Any increases in expected future rates will increase the value of the derivative instruments while any rate decreases will decrease the value.



Although Management believes that the foregoing analysis is indicative of the Fund’s sensitivity to interest rate changes, it does not take into consideration potential changes in the credit market, credit quality, size and composition of the assets in the portfolio. It also does not assume any new fundings to borrowers, repayments from borrowers or defaults on borrowings. Accordingly, no assurances can be given that actual results would not differ materially from the table above.

Because the Fund currently borrows, its net investment income is highly dependent upon the difference between the rate at which it borrows and the rate at which it invests the amounts borrowed. Accordingly, there can be no assurance that a significant change in market interest rates will not have a material adverse effect on the Fund’s investment activities and net investment income. The Fund’s exposure to movement in short-term interest rates stems from the Fund borrowing at a floating interest rate but then making loans with a fixed rate at the time the
50

loans are extended. The Fund, therefore, attempts to limit its interest rate risk by acquiring derivative instruments to hedge its interest rate exposure.

The Fund is not sensitive to changes in foreign currency exchange rates, commodity prices and other market rates or prices.

Item 4.  Controls and Procedures

Disclosure Controls and Procedures:

At the end of the period covered by this report, the Fund carried out an evaluation under the supervision and with the participation of its Chief Executive Officer and Chief Financial Officer, of the effectiveness of the design and operation of the Fund’s disclosure controls and procedures pursuant to Rules 13a-15(b) and 15d-15(b) of the Securities Exchange Act of 1934 (“Exchange Act”). Based upon this evaluation, the Chief Executive Officer and Chief Financial Officer have concluded that the Fund’s disclosure controls and procedures were effective as of the end of the period in ensuring that information required to be disclosed was recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms, and in providing reasonable assurance that information required to be disclosed by the Fund in such reports is accumulated and communicated to the Fund’s management, including its Chief Executive Officer and Chief Financial Officer, as appropriate, to allow timely decisions regarding required disclosures.

Changes in Internal Controls:

There have not been any changes in the Fund’s internal control over financial reporting identified in connection with the evaluation required by Rules 13a-15(d) and 15d-15(d) of the Exchange Act that occurred during the Fund’s fiscal quarter ended June 30, 2020March 31, 2021 that has materially affected, or is reasonably likely to materially affect, the Fund’s internal control over financial reporting.


51

PART II — OTHER INFORMATION

Item 1.  Legal Proceedings

The Fund may become party to certain lawsuits from time to time in the normal course of business. While the outcome of any legal proceedings cannot now be predicted with certainty, the Fund does not expect any such proceedings will have a material effect upon the Fund’s financial condition or results of operation. Management is not aware of any pending legal proceedings involving the Fund. The Fund is not a party to any material legal proceedings.

Item 1A. Risk Factors

The following discussion point should be read in conjunction with Item 1A - “Risk Factors” in the Fund’s 2019 Annual Report on Form 10-K for a detailed description of the risks attendant to the Fund and its business. Except as set forth below, there    There have been no material changes to the risk factors reported in the Fund’s 20192020 Annual Report on Form 10-K.

Public Health Crises and Coronavirus Risk.  Public health crises, such as the recent outbreak of the novel strain of coronavirus (“COVID-19”), may have direct and indirect adverse impact on the Fund’s portfolio companies’ business operations and results of operations.  Several countries and individual U.S. states have reacted to this rapidly evolving COVID-19 outbreak by instituting quarantines, shelter-in-place orders, travel restrictions, bans on public gathering, and closures of a wide range of businesses beginning March 2020. These measures have had an adverse impact on the global economy and contributed to significant volatility in the financial markets. Starting mid-to-late April through June 2020, many countries and states have started to ease restrictions on businesses and social activity. However, as of late June 2020, travelers from the United States will not be allowed to visit the European Union when the bloc begins to reopen its external borders starting July 1, 2020. These continued travel restrictions may prolong the global economic downturn.

Although some countries have begun to ease restrictions on business and social activity, the full extent of the impact of the COVID-19 outbreak on the Fund’s portfolio companies’ business operations and results of operations is unknown at this time and will depend on many factors outside of the Fund’s control, including, without limitations, the timing, extent, trajectory and duration of the pandemic. Management is continuing to work with the Fund’s portfolio companies that may be directly or indirectly affected by the outbreak to evaluate the continued impact on the borrowers’ ability to make timely payments and creditworthiness.

Item 2.  Unregistered Sales of Equity Securities and Use of Proceeds

None.

Item 3.  Defaults Upon Senior Securities

Not applicable.

Item 4. Mine Safety Disclosures

Not applicable.

Item 5.  Other Information

None.

52


Item 6.  Exhibits
Exhibit NumberDescription
3(i)
3(ii)
Amended and Restated Bylaws of the Fund, incorporated by reference to the Fund’s Form 10 filed with the Securities and Exchange Commission on October 18, 2017.
4.1
Form of Stock Purchase Agreement between the Fund and the Company, incorporated by reference to the Fund’s Registration Statement on Form 10 filed with the Securities and Exchange Commission on October 18, 2017.
31.1
Chief Executive Officer (Principal Executive Officer) certification pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. (Rules 13a -14(a) and 15d-14(a) Certification).
31.2
Chief Financial Officer (Principal Financial Officer) certifications pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. (Rules 13a -14(a) and 15d-14(a) Certification).
32.1
Chief Executive Officer (Principal Executive Officer) certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. (Section 1350 Certification).
32.2
Chief Financial Officer (Principal Financial Officer) certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. (Section 1350 Certification).


53

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

VENTURE LENDING & LEASING IX, INC.
(Registrant)

By:/s/ Maurice C. WerdegarBy:/s/ Judy N. Bornstein
Maurice C. WerdegarJudy N. Bornstein
Chief Executive OfficerChief Financial Officer
(Principal Executive Officer)(Principal Financial Officer)
Date:AugustMay 13, 20202021Date:AugustMay 13, 20202021



51
54