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USE OF SPECIAL PURPOSE ENTITIES AND VARIABLE INTEREST ENTITIES (Tables)
 3 Months Ended
Mar. 31, 2025
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Schedule of Condensed Consolidated Balance Sheets
The carrying values of the Company's total assets and liabilities related to the 2021-FL1 CLO and LMF 2023-1 Financing at March 31, 2025 and December 31, 2024, included the following VIE assets and liabilities:



ASSETSMarch 31, 2025December 31, 2024
Cash, cash equivalents and restricted cash$1,002,278 $2,391,042 
Accrued interest receivable5,562,308 5,861,355 
Loans held for investment, net of allowance for credit losses989,668,838 1,049,886,009 
Total Assets$996,233,424 $1,058,138,406 
LIABILITIES
Accrued interest payable$2,407,387 $2,611,416 
Collateralized loan obligations and secured financings(1)
772,285,071 828,390,189 
Total Liabilities$774,692,458 $831,001,605 
Equity221,540,966 227,136,801 
Total liabilities and equity$996,233,424 $1,058,138,406 

(1)     The stated maturity of the collateral loan obligations per the terms of the underlying collateralized loan obligation agreement is June 14, 2039 for the 2021-FL1 CLO and the stated maturity of the secured financing per the terms of the underlying indenture is July 20, 2032.
Schedule of Loan and Borrowing Characteristics
The following tables present certain loan and borrowing characteristics of the 2021-F1 CLO and LMF 2023-1 Financing as of March 31, 2025 and December 31, 2024:

As of March 31, 2025
Collateralized Loan Obligations/FinancingsCountPrincipal Value
Carrying Value(1)
Wtd. Avg. Coupon(2)
Collateral (loan investments)61$1,010,888,938 $989,668,838 
7.86%
Financing provided2$774,342,955 $772,285,071 
6.58%

As of December 31, 2024
Collateralized Loan Obligations/FinancingsCountPrincipal Value
Carrying Value(1)
Wtd. Avg. Coupon(2)
Collateral (loan investments)65$1,065,563,646 $1,049,886,009 
8.08%
Financing provided2$830,698,696 $828,390,189 
6.66%

(1)     The carrying value of the collateral is net of unaccreted purchase discounts of $3,076,726 and $3,577,207 and allowance for credit loss of $17,060,194 and $11,320,220 as of March 31, 2025 and December 31, 2024, respectively. The carrying value for LMF 2023-1 Financing is net of debt issuance costs of $2,057,885 and 2,308,507 for March 31, 2025 and December 31, 2024, respectively.
(2)    Weighted average coupon for loan investments assumes applicable 30-day term SOFR of 4.31% and 4.51% as of March 31, 2025 and December 31, 2024, respectively, inclusive of weighted average interest rate floors of 0.94% and 0.63%, and spreads of 3.55% and 3.53%, respectively. Weighted average coupon for the financings assumes applicable 30-day term SOFR of 4.32% and 4.40% as of March 31, 2025 and December 31, 2024, respectively and spreads of 2.26% for March 31, 2025 and December 31, 2024, respectively.
Schedule of Condensed Consolidated Statements of Operations
The statement of operations related to the 2021-FL1 CLO and LMF 2023-1 Financing for the three months ended March 31, 2025 and March 31, 2024 include the following income and expense items:
Statements of OperationsThree Months Ended March 31, 2025Three Months Ended March 31, 2024
Interest income$20,485,198 $31,380,934 
Interest expense(13,636,474)(21,511,754)
     Net interest income$6,848,724 $9,869,180 
Less:
Provision for credit losses(5,739,974)(1,757,456)
General and administrative fees(183,564)(246,746)
     Net (loss) income$925,186 $7,864,978