CSC Releases SBIC Fund Administration Best Practices Insight Report

Leading CSC fund administrator's report highlights best practices for firms with SBIC licenses

WEST ORANGE, N.J., March 29, 2022 /PRNewswire/ -- PEF Services LLC (PEF), a CSC company and a leading fund administrator for alternative investment managers, today announced the release of the insight report "SBIC Fund Administration Best Practices." Small business investment company (SBIC) funds are a highly attractive private equity investment option, enabling general partners to access government leverage at low rates that enhance returns. They also come with more complex administrative requirements that are constantly changing. Firms entering the SBIC program must be prepared to keep pace with those changes, as the consequences of a compliance failure are significant.

With the PEF acquisition, CSC established itself as the highest-quality fund services provider in the U.S., and a leading global partner for alternative asset managers and capital markets participants. Drawing on CSC's extensive track record in SBIC fund administration, this insight report underscores the key considerations for firms with SBIC licenses and those planning to launch SBIC funds. It will help general partners determine whether they're ready to handle the administrative, compliance, and reporting demands to maximize the benefits of the SBIC program.

The insight report covers:

• Issues to consider in determining readiness for the SBIC program requirements
• SBIC rewards and challenges, including administration, the compliance exam and reporting environment
• Best practices for SBIC administration
• Factors in determining whether to administer in-house or outsource and more

"SBIC fund administration is complicated and requires the close oversight and involvement of someone with senior-level expertise and a specialized knowledge of Small Business Administration (SBA) requirements and regulations," says Gus Tambakis, managing director of client services at CSC U.S. Fund Services. "CSC has been involved in the SBIC program for decades, serving more than 100 SBIC funds with fund administration and SBA reporting services."

Whether a firm administers an SBIC fund in-house or partners with a third-party fund administrator, the core success factors are the same—clear, documented processes based on best practices, leading technologies, and an ongoing commitment to industry training and networking.

"Compared with a traditional private equity fund, SBIC funds must collect and submit at least three times the amount of data in half the time," says Caryn Siminoff, CPA, director of client services at CSC U.S. Fund Services. "With this level of complexity, the back office must be ready to take on a heavier task load related to compliance, preparing financial statements and other specialized SBIC reporting." 

This report is one in a series in support of CSC's commitment to deliver valuable thought leadership. The fund services reports are available in the resources section of PEF's website.

About CSC

CSC, the world's leading provider of business, legal, tax, and digital brand services, acquired PEF Services LLC (PEF), a leading provider of technology-enabled fund administration services to private capital firms and their investors, including private equity, private debt, venture capital, and U.S.-based SBICs in June 2021.

By combining its global financial markets offering with PEF, CSC established itself as the highest-quality fund services provider in the U.S., and a leading global partner for alternative asset managers and capital markets participants. CSC offers a full suite of core and specialized services provided by industry experts and supported by ViewPoint, a purpose-built portal delivering greater visibility and real-time access to underlying investment performance data sourced directly from the official books and records of the fund.   

With more than a 20-year track record of delivering best-in-class solutions to funds and general partnerships, CSC focuses on meeting the unique administration and data needs of limited partners investing in illiquid alternative assets.

For more information about our services, visit cscgfm.com and pefservices.com.

For more information:
Jeff Lyons
Public Relations Manager, CSC
(302) 636-5401 x65519
[email protected] 
CSC News Room

Laura Hills
Senior Vice President, CSC U.S. Fund Services  
(212) 203-4667
[email protected]  

SOURCE PEF Services