Compliance Solutions for Business Development Companies

ACA provides objective, innovative, and effective compliance reviews and solutions to assist business development companies (“BDCs”) — as well as their boards, sponsors, and service providers — with preparing for the rigors of an SEC examination.

Our experienced consulting team works with several of the largest and most well-known BDCs and advisers to BDCs, allowing us to understand firms’ regulatory challenges while providing a unique business perspective. Our comprehensive consulting services are designed to help BDCs establish and maintain effective regulatory compliance and risk management practices in today’s challenging regulatory environment.

How We Help

ACA provides the following services:

Assisting with the review of both the BDC’s and its adviser’s compliance programs by assessing risks and gaps for annual 38a-1 reviews;
Conducting focused compliance reviews (e.g., fees and expenses, affiliated service agreements, valuation, exemptive order compliance);
Assisting with evaluating transactions with affiliates and allocation of investment opportunities;
Designing and implementing customized testing programs; and
Creating customized policies, procedures, and compliance programs.

Our Process

ACA takes a number of steps to understand both the BDC’s and its adviser’s backgrounds and business challenges, including:

Reviewing both the BDC’s and its adviser’s background materials, filings, and organizational structures;
Conducting an initial planning and scoping call with both the BDC’s and its adviser’s compliance professionals; and
Conducting interviews and targeted walk-throughs with both the BDC’s and its adviser’s leadership and deal personnel to understand the processes and control environments implemented by both the BDC and its adviser, as applicable.

Upon completion of our review, we will provide an oral or written report containing constructive feedback and recommendations regarding both the BDC’s and its adviser’s ability to meet regulatory requirements as well SEC exam staff expectations.