Distributions by Licensee—optional Distribution to private investors and SBA.

CFR · 2024-01-01 · US · Title 13

If you have outstanding Participating Securities or Earmarked Assets, you may make two types of optional Distributions under this § 107.1570: quarterly Distributions determined the same way as the required annual Distributions in § 107.1560, and Distributions allocated between SBA and your private investors in proportion to the capital contributions of each. You must notify SBA of any planned distribution under this section 10 business days before the distribution date, unless SBA permits otherwise. (a) (2) Such Distributions are subject to all the provisions in § 107.1560 (a)(1), (a)(3), (a)(4), (d), (f)(2), and (g). (3) You may make such Distributions only on the next Payment Date following the end of your fiscal quarter. (4) The total amount of such Distributions may not exceed the result of the following computation: (i) Your Retained Earnings Available for Distribution as of the end of your fiscal quarter; minus (ii) All previous Distributions under this paragraph (a) or § 107.1560 that were applied as redemptions or repayments of Leverage; plus (iii) All previous Distributions under paragraph (b) of this section that reduced your Retained Earnings Available for Distribution. (b) (1) (i) You have distributed all Earned Prioritized Payments, earned Adjustments, and earned Charges, so that the balance in your Distribution Account is zero (see § 107.1520). (ii) You have distributed all Profit Participation computed under § 107.1530 which you are required to distribute under

official document · source cfr-2024 · id 13:§ 107.1570