13 C.F.R. PART 107--SMALL BUSINESS INVESTMENT COMPANIES


TITLE 13--Business Credit and Assistance

CHAPTER I--SMALL BUSINESS ADMINISTRATION

PART 107--SMALL BUSINESS INVESTMENT COMPANIES

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Subpart A--INTRODUCTION TO PART 107

�107.20
Legal basis and applicability of this part 107.
�107.30
Amendments to Act and regulations.
�107.40
How to read this part 107.
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Subpart B--DEFINITION OF TERMS USED IN PART 107

�107.50
Definition of terms.
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Subpart C--QUALIFYING FOR AN SBIC LICENSE

�107.100
Organizing a Section 301(c) Licensee.
�107.115
1940 Act and 1980 Act Companies.
�107.120
Special rules for a Section 301(d) Licensee owned by another Licensee.
�107.130
Requirement for qualified management.
�107.140
SBA approval of initial Management Expenses.
�107.150
Management-ownership diversity requirement.
�107.160
Special rules for Licensees formed as limited partnerships.
�107.200
Adequate capital for Licensees.
�107.210
Minimum capital requirements for Licensees.
�107.230
Permitted sources of Private Capital for Licensees.
�107.240
Limitations on including non-cash capital contributions in Private Capital.
�107.250
Exclusion of stock options issued by Licensee from Management Expenses.
�107.300
License application form and fee.
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Subpart D--CHANGES IN OWNERSHIP, CONTROL, OR STRUCTURE OF LICENSEE; TRANSFER OF LICENSE

�107.400
Changes in ownership of 10 percent or more of Licensee but no change of Control.
�107.410
Changes in Control of Licensee (through change in ownership or otherwise).
�107.420
Prohibition on exercise of ownership or Control rights in Licensee before SBA approval.
�107.430
Notification to SBA of transactions that may change ownership or Control.
�107.440
Standards governing prior SBA approval for a proposed transfer of Control.
�107.450
Notification to SBA of pledge of Licensee's shares.
�107.460
Restrictions on Common Control or ownership of two (or more) Licensees.
�107.470
SBA approval of merger, consolidation, or reorganization of Licensee.
�107.475
Transfer of license.
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Subpart E--MANAGING THE OPERATIONS OF A LICENSEE

�107.500
Lawful operations under the Act.
�107.501
Identification as a Licensee.
�107.502
Representations to the public.
�107.503
Licensee's adoption of an approved valuation policy.
�107.504
Equipment and office requirements.
�107.505
Facsimile requirement.
�107.506
Safeguarding Licensee's assets/Internal controls.
�107.507
Violations based on false filings and nonperformance of agreements with SBA.
�107.509
Employment of SBA officials.
�107.510
SBA approval of Licensee's Investment Adviser/Manager.
�107.520
Management Expenses of a Licensee.
�107.530
Restrictions on investments of idle funds by leveraged Licensees.
�107.550
Prior approval of secured third-party debt of leveraged Licensees.
�107.560
Subordination of SBA's creditor position.
�107.570
Restrictions on third-party debt of issuers of Participating Securities.
�107.585
Voluntary decrease in Licensee's Regulatory Capital.
�107.590
Licensee's requirement to maintain active operations.
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Subpart F--RECORDKEEPING, REPORTING, AND EXAMINATION REQUIREMENTS FOR LICENSEES

�107.600
General requirement for Licensee to maintain and preserve records.
�107.610
Required certifications for Loans and Investments.
�107.620
Requirements to obtain information from Portfolio Concerns.
�107.630
Requirement for Licensees to file financial statements with SBA (Form 468).
�107.640
Requirement to file Portfolio Financing Reports (SBA Form 1031).
�107.650
Requirement to report portfolio valuations to SBA.
�107.660
Other items required to be filed by Licensee with SBA.
�107.670
Application for exemption from civil penalty for late filing of reports.
�107.680
Reporting changes in Licensee not subject to prior SBA approval.
�107.690
Examinations.
�107.691
Responsibilities of Licensee during examination.
�107.692
Examination fees.
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Subpart G--FINANCING OF SMALL BUSINESSES BY LICENSEES

�107.700
Compliance with size standards in part 121 of this chapter as a condition of Assistance.
�107.710
Requirement to finance smaller enterprises.
�107.720
Small Businesses that may be ineligible for financing.
�107.730
Financings which constitute conflicts of interest.
�107.740
Portfolio diversification (''overline'' limitation).
�107.750
Conditions for financing a change of ownership of a Small Business.
�107.760
How a change in size or activity of a Portfolio Concern affects the Licensee and the Portfolio Concern.
�107.800
Financings in the form of Equity Securities.
�107.810
Financings in the form of Loans.
�107.815
Financings in the form of Debt Securities.
�107.820
Financings in the form of guarantees.
�107.825
Purchasing securities from an underwriter or other third party.
�107.830
Minimum duration/term of financing.
�107.835
Exceptions to minimum duration/term of Financing.
�107.840
Maximum term of Financing.
�107.845
Maximum rate of amortization on Loans and Debt Securities.
�107.850
Restrictions on redemption of Equity Securities.
�107.855
Interest rate ceiling and limitations on fees charged to Small Businesses (''Cost of Money'').
�107.860
Financing fees and expense reimbursements a Licensee may receive from a Small Business.
�107.865
Control of a Small Business by a Licensee.
�107.880
Assets acquired in liquidation of Portfolio securities.
�107.885
Disposition of assets to Licensee's Associates or to competitors of Portfolio Concern.
�107.900
Management fees for services provided to a Small Business by Licensee or its Associate.
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Subpart H--NON-LEVERAGED LICENSEES--EXCEPTIONS TO REGULATIONS

�107.1000
Licensees without Leverage--exceptions to the regulations.
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Subpart I--SBA FINANCIAL ASSISTANCE FOR LICENSEES (LEVERAGE)

�107.1100
Types of Leverage and application procedures.
�107.1120
General eligibility requirements for Leverage.
�107.1130
Leverage fees and additional charges payable by Licensee.
�107.1140
Licensee's acceptance of SBA remedies under 107.1800 through 107.1820.
�107.1150
Maximum amount of Leverage for a Section 301(c) Licensee.
�107.1160
Maximum amount of Leverage for a Section 301(d) Licensee.
�107.1170
Maximum amount of Participating Securities for any Licensee.
�107.1200
SBA's Leverage commitment to a Licensee--application procedure, amount, and term.
�107.1210
Payment of leverage fee upon receipt of commitment.
�107.1220
Requirement for Licensee to file quarterly financial statements.
�107.1230
Draw-downs by Licensee under SBA's Leverage commitment.
�107.1240
Funding of Licensee's draw request through sale to short-term investor.
�107.1400
Dividends or partnership distributions on 4 percent Preferred Securities.
�107.1410
Requirement to redeem 4 percent Preferred Securities.
�107.1420
Articles requirements for 4 percent Preferred Securities.
�107.1430
Redeeming 4 percent Preferred Securities with proceeds of non-subsidized Debentures.
�107.1440
Three percent preferred stock issued before November 21, 1989.
�107.1450
Optional redemption of Preferred Securities.
�107.1500
General description of Participating Securities.
�107.1505
Liquidity requirements for Licensees issuing Participating Securities.
�107.1510
How a Licensee computes Earmarked Profit (Loss).
�107.1520
How a Licensee computes and allocates Prioritized Payments to SBA.
�107.1530
How a Licensee computes SBA's Profit Participation.
�107.1540
Distributions by Licensee--Prioritized Payments and Adjustments.
�107.1550
Distributions by Licensee--permitted ''tax Distributions'' to private investors and SBA.
�107.1560
Distributions by Licensee--required Distributions to private investors and SBA.
�107.1570
Distributions by Licensee--optional Distribution to private investors and SBA.
�107.1575
Distributions on other than Payment Dates.
�107.1580
Special rules for In-Kind Distributions by Licensees.
�107.1585
Exchange of Debentures for Participating Securities.
�107.1590
Special rules for companies licensed on or before March 31, 1993.
�107.1600
SBA authority to issue and guarantee Trust Certificates.
�107.1610
Effect of prepayment or early redemption of Leverage on a Trust Certificate.
�107.1620
Functions of agents, including Central Registration Agent, Selling Agent and Fiscal Agent.
�107.1630
SBA regulation of Brokers and Dealers and disclosure to purchasers of Leverage or Trust Certificates.
�107.1640
SBA access to records of the CRA, Brokers, Dealers and Pool or Trust assemblers.
�107.1700
Transfer by SBA of its interest in Licensee's Leverage security.
�107.1710
SBA authority to collect or compromise its claims.
�107.1720
Characteristics of SBA's guarantee.
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Subpart J--LICENSEE'S NONCOMPLIANCE WITH TERMS OF LEVERAGE

�107.1800
Licensee's agreement to terms and conditions in 107.1810 and 107.1820.
�107.1810
Events of default and SBA's remedies for Licensee's noncompliance with terms of Debentures.
�107.1820
Conditions affecting issuers of Preferred Securities and/or Participating Securities.
�107.1830
Licensee's Capital Impairment--definition and general requirements.
�107.1840
Computation of Licensee's Capital Impairment Percentage.
�107.1850
Exceptions to Capital Impairment provisions for Licensees with outstanding Participating Securities.
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Subpart K--ENDING OPERATIONS AS A LICENSEE

�107.1900
Surrender of license.
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Subpart L--MISCELLANEOUS

�107.1910
Non-waiver of SBA's rights or terms of Leverage security.
�107.1920
Licensee's application for exemption from a regulation in this part 107.
�107.1930
Effect of changes in this part 107 on transactions previously consummated.
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