Small Business Investment Companies: Early Stage SBICs

Docket ID: SBA-2011-0023
Agency: Small Business Administration (SBA)
To address a critical market need for early stage equity financing, SBA will license a limited number of Small Business Investment Companies (SBICs) each year that are focused on providing equity capital to seed and early stage small businesses. These SBICs would be designated as "Early Stage SBICs." SBA leverage is available to SBICs through a debenture instrument, the structure of which was not designed to address the needs or circumstances of early stage investors, and thus presents certain repayment risks for such investors. However, with certain regulatory changes, the risk associated with providing debenture leverage to Early Stage SBICs may be significantly reduced. This rule will establish a number of regulatory provisions applicable to Early Stage SBICs for the purpose of managing overall program risk, including lower limits on maximum leverage eligibility and special distribution rules.
RIN: 3245-AG32
Impacts and Effects: None
CFR Citation: 13 CFR 107
Priority: Other Significant
UA and Regulatory Plan Information open glossary dialog  
Publication Period: Fall 2012
Agenda Stage of Rulemaking: Completed Action
Major Rule: No
Legal Authorities: 15 USC 636(a)(32)
Legal Deadlines: None
Government Levels Affected: No
Federalism Implications: No
Unfunded Mandates: No
Requires Regulatory Flexibility Analysis: Business
Small Entities Affected: No
International Impacts: No
Energy Effects: No
Included in Regulatory Plan: No
ActionDateFR Citation
NPRM12/09/201176 FR 76907
NPRM Comment Period End02/07/2012
Final Rule04/27/201277 FR 25042
Final Rule Effective04/27/2012
Docket Details open glossary dialog  
Related RINs: None
Related Dockets: None
Subtype: N/A
Type: Rulemaking
Program Office: Investment Division

Primary Documents

View All  (3)
Comment Period Closed
Feb 07, 2012 11:59 PM ET
Proposed Rule
Posted: 12/09/2011
ID: SBA-2011-0023-0001
Comment Period Closed
Posted: 04/27/2012
ID: SBA-2011-0023-0015
Comment Period Closed
Proposed Rule
Posted: 12/28/2011
ID: SBA-2011-0023-0002

Supporting Documents

View All  (3)
Comments Not Accepted
Supporting & Related Material
Posted: 01/31/2012
ID: SBA-2011-0023-0007
Comments Not Accepted
Supporting & Related Material
Posted: 01/31/2012
ID: SBA-2011-0023-0008
Comments Not Accepted
Supporting & Related Material
Posted: 01/31/2012
ID: SBA-2011-0023-0009


View All  (9)

Comments Received*
Regulatory Timeline
Pre Rule
Current Stage
Proposed Rule
Current Stage
Final Rule
Current Stage
Current Stage
Agency Contact
Carol Fendler
Systems Accountant, Office of Investment
202 205-7559
409 Third Street SW., 6th Floor, Washington, DC 20416
Washington, DC 20416
*This count refers to the total comment/submissions received on this docket, as of 11:59 PM yesterday. Note: Agencies review all submissions, however some agencies may choose to redact, or withhold, certain submissions (or portions thereof) such as those containing private or proprietary information, inappropriate language, or duplicate/near duplicate examples of a mass-mail campaign. This can result in discrepancies between this count and those displayed when conducting searches on the Public Submission document type. For specific information about an agency’s public submission policy, refer to its website or the Federal Register document.