Quarterly report [Sections 13 or 15(d)]

Fair Value of Investments (Tables)

Fair Value of Investments (Tables)

9 Months Ended

Sep. 30, 2026

Fair Value of Investments [Abstract]

Schedule of Company’s Assets Measured at Fair Value

The following tables present information about the Company’s assets measured at fair value as of September 30, 2026 and December 31, 2025, respectively:

	As of September 30, 2026
	Level 1		Level 2		Level 3		Total
Portfolio Investments
First Lien Loans	$	-	$	-	$	8,086,472	$	8,086,472
Second Lien Loans		-		-		4,275,051		4,275,051
Equity		-		-		753,422		753,422
Total Portfolio Investments		-		-		13,114,945		13,114,945
Total Investments	$	-	$	-	$	13,114,945	$	13,114,945

	As of December 31, 2025
	Level 1		Level 2		Level 3		Total
Portfolio Investments
First Lien Loans	$	-	$	-	$	7,589,357	$	7,589,357
Second Lien Loans		-		-		5,787,756		5,787,756
Equity		-		-		884,342		884,342
Total Portfolio Investments		-		-		14,261,455		14,261,455
Total Investments	$	-	$	-	$	14,261,455	$	14,261,455

Schedule of Changes in Level 3 Assets Measured at Fair Value

Changes in Level 3 assets measured at fair value for the nine months ended September 30, 2026 are as follows:

	First Lien Loans		Second Lien Loans			Unsecured Loans		Equity			Total
Fair value at beginning of period	$	7,589,357	$	5,787,756		$	-	$	884,342		$	14,261,455
Change in unrealized loss on investments		497,115		(1,512,705	)		-		(130,920	)		(1,146,510	)
Fair value at end of period	$	8,086,472	$	4,275,051		$	-	$	753,422		$	13,114,945
Change in unrealized loss on Level 3 investments still held as of September 30, 2026	$	497,115	$	(1,512,705	)	$	-	$	(130,920	)	$	(1,146,510	)

Changes in Level 3 assets measured at fair value for the year ended December 31, 2025 are as follows:

	First Lien Loans			Second Lien Loans			Unsecured Loans		Equity			Total
Fair value at beginning of year	$	9,850,963		$	7,987,797		$	-	$	1,379,019		$	19,217,779
Purchases of investments		55,000			-			-		-			55,000
Change in unrealized loss on investments		(2,316,606	)		(2,200,041	)		-		(494,677	)		(5,011,324	)
Fair value at end of year	$	7,589,357		$	5,787,756		$	-	$	884,342		$	14,261,455
Change in unrealized loss on Level 3 investments still held as of December 31, 2025	$	(2,316,606	)	$	(2,200,041	)	$	-	$	(494,677	)	$	(5,011,324	)

Schedule of Quantitative Information Regarding Level 3 Fair Value Measurements

The following table provides quantitative information regarding Level 3 fair value measurements as of September 30, 2026:

Description	Fair Value		Valuation Technique ⁽¹⁾	Unobservable Inputs	Range (Average ⁽²⁾)

First Lien Loans	$	7,951,472	Enterprise Value Coverage	EV / STORE LEVEL EBITDAR	3.90x-4.40x (4.15x)
				Location Value	$1,000,000-$1,200,000 ($1,100,000)
		67,500	Appraisal Value Coverage	Cost Approach	$808,000-$897,000 ($853,000)
				Sales Comparison Approach	$835,000-$1,020,000 ($928,000)
		67,500	Broker Estimates	Broker Estimate	$873,000-$1,112,000 ($993,000)
Total		8,086,472

Second Lien Loans		3,375,709	Enterprise Value Coverage	EV / LTM Revenue	0.25x-0.30x (0.27x)
				EV / PF Revenue	1.35x-1.55x (1.45x)
		899,342	Net Orderly Liquidation Value	Total Asset Value Recovery Rate	13%-41% (27%)
Total		4,275,051

Unsecured Loans		-	Enterprise Value Coverage	EV / LTM Revenue	0.25x-0.30x (0.27x)
Total		-

Equity		-	Enterprise Value Coverage	EV / LTM Revenue	0.25x-0.30x (0.27x)
				EV / PF Revenue	1.35x-1.55x (1.45x)
				EV / STORE LEVEL EBITDAR Location Value	3.90x-4.40x (4.15x) $1,000,000-$1,200,000 ($1,100,000)
		-	Net Orderly Liquidation Value	Total Asset Value Recovery Rate	13%-41% (27%)
		376,711	Appraisal Value Coverage	Cost Approach	$808,000-$897,000 ($853,000)
				Sales Comparison Approach	$835,000-$1,020,000 ($928,000)
		376,711	Broker Estimates	Broker Estimate	$873,000-$1,112,000 ($993,000)
Total		753,422
Total Level 3 Investments	$	13,114,945

(1)

There were no changes in the valuation techniques for the Company's investments from the prior quarter.

(2)

The average represents the arithmetic average of the unobservable inputs and is not weighted by the relative fair value.

The following table provides quantitative information regarding Level 3 fair value measurements as of December 31, 2025:

Description	Fair Value		Valuation Technique ⁽¹⁾	Unobservable Inputs	Range (Average ⁽²⁾)

First Lien Loans	$	7,454,357	Enterprise Value Coverage	EV / STORE LEVEL EBITDAR	4.00x-4.50x (4.25x)
				Location Value	$1,050,000-$1,250,000 ($1,150,000)
		67,500	Appraisal Value Coverage	Cost Approach	$838,000-$1,077,000 ($958,000)
				Sales Comparison Approach	$928,000-$1,187,000 ($1,058,000)
		67,500	Broker Estimates	Broker Estimate	$972,000-$1,211,000 ($1,092,000)
Total		7,589,357

Second Lien Loans		4,232,961	Enterprise Value Coverage	EV / LTM Revenue	0.27x-0.32x (0.29x)
				EV / PF Revenue	1.20x-1.30x (1.25x)
		1,554,795	Net Orderly Liquidation Value	Total Asset Value Recovery Rate	15%-44% (29%)
Total		5,787,756

Unsecured Loans		-	Enterprise Value Coverage	EV / LTM Revenue	0.27x-0.32x (0.29x)
Total		-

Equity		-	Enterprise Value Coverage	EV / LTM Revenue	0.27x-0.32x (0.29x)
				EV / PF Revenue	1.20x-1.30x (1.25x)
				EV / STORE LEVEL EBITDAR Location Value	4.00x-4.50x (4.25x) $1,050,000-$1,250,000 ($1,150,000)
		-	Net Orderly Liquidation Value	Total Asset Value Recovery Rate	15%-44% (29%)
		442,171	Appraisal Value Coverage	Cost Approach	$838,000-$1,077,000 ($958,000)
				Sales Comparison Approach	$928,000-$1,187,000 ($1,058,000)
		442,171	Broker Estimates	Broker Estimates	$972,000-$1,211,000 ($1,092,000)
Total		884,342
Total Level 3 Investments	$	14,261,455

(1)

There were no changes in the valuation techniques for the Company's investments from the prior quarter.

(2)

The average represents the arithmetic average of the unobservable inputs and is not weighted by the relative fair value.

- Definition

Tabular disclosure of the fair value measurement of assets using significant unobservable inputs (Level 3), a reconciliation of the beginning and ending balances, separately presenting changes during the period attributable to the following: (1) total gains or losses for the period (realized and unrealized), segregating those gains or losses included in earnings (or changes in net assets) and gains or losses recognized in other comprehensive income (loss), and a description of where those gains or losses included in earnings (or changes in net assets) are reported in the statement of income (or activities); (2) purchases, sales, issues, and settlements (each type disclosed separately); and (3) transfers in and transfers out of Level 3 (for example, transfers due to changes in the observability of significant inputs), by class of asset.

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