Source Capital is pleased to announce that it has successfully closed on $315.5 million in commitments (including anticipated SBA debenture leverage) for its fifth investment fund (the "Fund"), reaching its hard cap target. The funds raised include commitments from institutional investors, banks, family offices, and high-net-worth individuals.
The Fund will continue the successful investment strategy of Source Capital's previous credit funds by providing flexible, tailored credit and equity solutions to lower middle market companies, investing $8 million to $30 million of capital per transaction.
The Fund was licensed as a Small Business Investment Company ("SBIC") by the U.S. Small Business Administration in June 2024. The Fund began investing in June 2024 and has closed three investments to date.
"We are thrilled to announce the successful close of our latest fundraise, which was oversubscribed and saw exceptional interest from both our existing investors and new institutional partners. This strong support is a testament to the trust and confidence our investors placed in our team and strategy. With this momentum, we are excited about the opportunities ahead and we are confident that this Fund will mark another successful chapter for our firm," said Tom Harbin, Managing Partner of Source Capital. "In addition, we are proud of our partnership with the Small Business Administration and look forward to continuing to drive growth in domestic small businesses and expanding new ownership opportunities for their employees."
Source Capital is an Atlanta, GA based private investment firm that has been providing flexible equity and debt capital to lower middle market companies for over 20 years. The firm has a value-added investing approach that brings (i) patient capital focused on long-term value creation; (ii) collaborative partnerships with management teams, founders/owners, private equity investors and independent sponsors; and (iii) strategic and operational resources to its portfolio companies. To learn more about Source Capital or to discuss a new equity or debt investment opportunity, please reach out to a member of our investment team or visit www.source-cap.com.