Concentration of Credit Risk and Major Customers

12 Months Ended

Dec. 31, 2019

Concentration of Credit Risk and Major Customers [Abstract]

Concentration of Credit Risk and Major Customers

3. Concentration of credit risk and major customers:

The Company leases equipment to lessees and provides debt financing to borrowers in diversified industries. Leases and notes receivable are subject to the Managing Member’s credit committee review. The leases and notes receivable provide for the return of the equipment to the Company upon default.

As of December 31, 2019 and 2018, there were concentrations (greater than or equal to 10% as a percentage of total equipment cost) of equipment leased to lessees and/or financed for borrowers in certain industries as follows:

	Percentage
	of Total Equipment Cost
Industry	2019		2018
Transportation, rail	26	%	30	%
Construction	21	%	14	%
Agriculture	*		11	%
Transportation, air	*		10	%

*Less than 10%

During 2019 and 2018, certain lessees and/or financial borrowers generated significant portions (defined as greater than or equal to 10%) of the Company’s total leasing and lending revenues, excluding gains or losses on disposition of assets, as follows:

		Percentage of Total Leasing
		and Lending Revenues
Lessee	Type of Equipment	2019		2018
Union Pacific Railroad Company	Railroad	22	%	22	%
Aggregate Industries Management, Inc.	Mining	15	%	11	%
Cargill, Inc.	Agriculture/Construction	11	%	11	%

These percentages are not expected to be comparable in future periods due to anticipated changes in the mix of investments and/or lessees as a result of normal business activities.