Investments and Fair Value Measurements (Tables)

12 Months Ended

Dec. 31, 2024

Investments, Debt and Equity Securities [Abstract]

Schedule of Investment Portfolio at Amortized Cost and Fair Value

The following table summarizes the composition of the Company’s investment portfolio at amortized cost and fair value as of December 31, 2024 and 2023:

	December 31, 2024				December 31, 2023
	Amortized Cost		Fair Value		Amortized Cost		Fair Value
Senior Secured Loans	$	521,570,752	$	511,948,518	$	532,378,544	$	526,032,489
Equity		9,748,921		5,961,599		9,585,173		7,033,311
Total Investments	$	531,319,673	$	517,910,117	$	541,963,717	$	533,065,800

Schedule of Investment Portfolio by Industry and Geographic Composition

The following tables summarize the industry and geographic composition of the Company’s investment portfolio based on fair value as of December 31, 2024 and 2023:

	December 31, 2024					December 31, 2023
	Fair Value		Percentage			Fair Value		Percentage
Aerospace & Defense	$	811,879		0.2	%	$	—		—	%
Automotive		5,368,036		1.0	%		19,279,402		3.6	%
Beverage, Food & Tobacco		13,466,798		2.6	%		16,823,761		3.2	%
Business Services		99,980,747		19.3	%		87,305,356		16.4	%
Chemicals		7,829,040		1.5	%		—		—	%
Construction & Building		13,408,154		2.6	%		13,446,800		2.5	%
Consumer Goods: Durable		46,159,906		8.9	%		51,235,893		9.6	%
Consumer Goods: Non-durable		25,889,462		5.0	%		42,071,990		7.9	%
Consumer Services		9,112,325		1.8	%		8,699,485		1.6	%
Containers, Packaging & Glass		241,948	— (1)				—		—	%
Financial Services		11,871,330		2.3	%		—		—	%
Forest Products & Paper		10,668,898		2.1	%		10,917,405		2.0	%
Healthcare & Pharmaceuticals		86,537,327		16.7	%		94,446,748		17.8	%
High Tech Industries		97,769,103		18.9	%		90,843,387		17.1	%
Insurance		34,162,653		6.6	%		29,096,663		5.5	%
Sovereign & Public Finance		19,955,019		3.9	%		33,027,815		6.2	%
Transportation: Cargo		24,351,758		4.7	%		20,504,652		3.8	%
Wholesale		10,325,734		1.9	%		15,366,443		2.8	%
Total Investments	$	517,910,117		100.0	%	$	533,065,800		100.0	%

(3)Represents less than 0.1%.

	December 31, 2024					December 31, 2023
	Fair Value		Percentage			Fair Value		Percentage
United States	$	516,849,911		99.8	%	$	531,815,989		99.8	%
Canada		1,060,206		0.2	%		1,249,811		0.2	%
Total Investments	$	517,910,117		100.0	%	$	533,065,800		100.0	%

Summary of Fair Value Hierarchy of Investment Portfolio

The following table summarizes the fair value hierarchy of the Company’s investment portfolio as of December 31, 2024:

	Level 1		Level 2		Level 3		Total
Senior Secured Loans	$	—	$	107,813,248	$	404,135,270	$	511,948,518
Equity		—		—		5,961,599		5,961,599
Total Investments	$	—	$	107,813,248	$	410,096,869	$	517,910,117

The following table summarizes the fair value hierarchy of the Company’s investment portfolio as of December 31, 2023:

	Level 1		Level 2		Level 3		Total
Senior Secured Loans	$	—	$	16,921,875	$	509,110,614	$	526,032,489
Equity		—		—		7,033,311		7,033,311
Total Investments	$	—	$	16,921,875	$	516,143,925	$	533,065,800

Summary of Changes in Fair Value of Investments for Which Level 3 Inputs Were Used to Determine Fair Value

The following table presents changes in the fair value of investments for which Level 3 inputs were used to determine the fair value for the year ended December 31, 2024:

	Senior Secured Loans			Equity			Total
Balance as of January 1, 2024	$	509,110,614		$	7,033,311		$	516,143,925
Purchases and drawdowns of investments		74,279,837			163,747			74,443,584
Proceeds from principal pre-payments and sales of investments		(168,341,289	)		—			(168,341,289	)
Payment-in-kind		2,491,931			—			2,491,931
Net accretion of discount on investments		1,890,290			—			1,890,290
Net change in unrealized appreciation (depreciation) on investments		(6,172,115	)		(1,235,459	)		(7,407,574	)
Net realized gain (loss) on investments		(1,023,998	)		—			(1,023,998	)
Transfers into Level 3 (1)		—			—			—
Transfers out of Level 3 (1)		(8,100,000	)		—			(8,100,000	)
Balance as of December 31, 2024	$	404,135,270		$	5,961,599		$	410,096,869
Net change in unrealized appreciation (depreciation) on Level 3 investments still held	$	(8,064,383	)	$	(1,235,459	)	$	(9,299,842	)

(1)Transfers into Level 3, if any, are due to a decrease in the quantity and reliability of broker quotes obtained and transfers out of Level 3, if any, are due to an increase in the quantity and reliability of broker quotes obtained as assessed by the Adviser. Transfers between levels, if any, are recognized at the beginning of the year in which the transfer occurs.

The following table presents changes in the fair value of investments for which Level 3 inputs were used to determine the fair value for the year ended December 31, 2023:

	Senior Secured Loans			Equity			Total
Balance as of January 1, 2023	$	478,620,993		$	8,588,300		$	487,209,293
Purchases and drawdowns of investments		107,863,849			403,027			108,266,876
Proceeds from principal pre-payments and sales of investments		(56,107,885	)		—			(56,107,885	)
Payment-in-kind		1,556,095			—			1,556,095
Net accretion of discount on investments		1,830,325			—			1,830,325
Net change in unrealized appreciation (depreciation) on investments		(725,499	)		(1,958,016	)		(2,683,515	)
Net realized gain (loss) on investments		204,767			—			204,767
Transfers into Level 3 (1)		—			—			—
Transfers out of Level 3 (1)		(24,132,031	)		—			(24,132,031	)
Balance as of December 31, 2023	$	509,110,614		$	7,033,311		$	516,143,925
Net change in unrealized appreciation (depreciation) on Level 3 investments still held	$	(1,841,457	)	$	(1,958,016	)	$	(3,799,473	)

Summary of Valuation Techniques and Significant Unobservable Inputs Used in Valuation of Level 3 Investments

The valuation techniques and significant unobservable inputs used in the valuation of Level 3 investments as of December 31, 2024 were as follows:

Investment type	Fair Value		Valuation Technique	Unobservable Input	Range (Weighted Average)	Impact to Valuation from an Increase in Input
Senior Secured Loans	$	327,406,701	Discounted cash flow	Discount rate	4.8% - 9.2% (6.3%)	Decrease
		49,361,964	Yield analysis	Market yield	10.3% - 13.3% (12.3%)	Decrease
		25,468,528	Enterprise value waterfall	EBITDA multiple	9.8x - 13.1x (12.3x)	Increase
		1,898,077	Recent transactions	Transaction price	N/A	N/A
Equity		5,961,599	Enterprise value waterfall	EBITDA multiple	8.6x - 14.6x (12.2x)	Increase
	$	410,096,869

As of December 31, 2024, the valuation method used for certain investments classified as “Consumer Services,” “Healthcare & Pharmaceuticals” and “Wholesale” amounting to $25.5 million changed from the discounted cash flow or yield analysis valuation method to the enterprise value waterfall valuation method. The change was due to changing market conditions and is intended to more accurately reflect the go forward performance of such investments.

The valuation techniques and significant unobservable inputs used in the valuation of Level 3 investments as of December 31, 2023 were as follows:

Investment type	Fair Value		Valuation Technique	Unobservable Input	Range (Weighted Average)	Impact to Valuation from an Increase in Input
Senior Secured Loans	$	382,741,551	Discounted cash flow	Discount rate	6.2% - 108.9% (12.4%)	Decrease
		76,718,361	Yield analysis	Market yield	11.2% - 16.4% (12.6%)	Decrease
		49,650,702	Recent transactions	Transaction price	N/A	N/A
Equity		7,033,311	Enterprise value waterfall	EBITDA multiple	12.5x - 15.4x (14.2x)	Increase
	$	516,143,925

The Company typically determines the fair value of its performing Level 3 debt investments utilizing a discounted cash flow analysis or yield analysis. To conduct a discounted cash flow analysis, a price is ascribed for each investment based upon projected cash flows in the valuation models. The significant unobservable inputs used in the fair value measurement of the Level 3 investments include the discount rate applied in the valuation models to determine the present value of the projected cash flows. Increases in the discount rate can significantly lower the fair value of an investment; conversely, decreases in the discount rate can significantly increase the fair value of an investment. The discount rate is determined based on the market rates an investor would expect for a similar investment with similar risks. To conduct a yield analysis, a price is ascribed for each investment based upon an assessment of current and expected market yields for similar investments and investments with similar risk profiles. Additional consideration is given to the expected life of the investment, portfolio company performance since the date of investment, and other terms and risks associated with the investment. Among other factors, a determinant of risk is the amount of leverage used by the portfolio company relative to its total enterprise value, and the rights and remedies of the Company’s investment within the portfolio company’s capital structure.

When the debtor is not performing or when there is insufficient value to cover the investment, the Company may utilize an enterprise value waterfall approach to determine the fair value of debt investments in the applicable portfolio companies. An enterprise value waterfall analysis typically consists of two steps. First, the total enterprise value for the portfolio company is estimated using standard valuation approaches, most commonly the market approach. Second, the fair value for each investment in the portfolio company is then estimated by allocating the portfolio company’s total enterprise value to the outstanding securities in the capital structure based upon various factors, including seniority, preferences, and other features if deemed relevant to each security in the capital structure.

Significant unobservable quantitative inputs typically used in the fair value measurement of the Company’s Level 3 debt investments primarily include discount rates and current market yields, including relevant market indices, but may also include quotes from brokers, dealers, and pricing services as indicated by comparable investments. For the Company’s Level 3 equity investments, an enterprise value analysis, based on comparable financial performance multiples such as publicly-traded company and comparable market transaction multiples of revenues, earnings before income taxes, depreciation and amortization (“EBITDA”), or some combination thereof and comparable market transactions typically would be used.