A. Membership is eligible for Funds and Funds in Formation who have a primary purpose of investing in small or lower middle market businesses, Limited Partners who invest in those funds, Intermediaries such as investment bankers and placement agents, and a limited number of Service Providers who offer professional services, such as attorneys and accountants. All SBIA members have a specific focus on small business and lower middle market investing.
A. The application process includes filling out a new member application and paying an annual fee. Membership is subject to approval by the SBIA’s Executive Committee.
A. Membership is per firm, meaning all partners benefit from a firm’s SBIA membership, including receiving discounted membership pricing for events and regular legislative and regulatory updates.
A. A Fund member is an entity organized under the laws of the U.S. as a private investment fund or BDC with the primary purpose of investing in small or lower middle market businesses, primarily in the U.S., with a minimum of $10M in commitments. A Fund in Formation member is an entity that meets the qualifications of a Fund, but is currently in formation or fundraising for an initial fund. Fund in Formation membership is restricted to two years. Once the fund in formation is closed, those members convert to Fund members. If after two years, a fund is not closed, membership in SBIA concludes.
A. SBIA members and SBIA membership applicants that are eligible for more than one class of voting membership will be responsible for dues at the highest fund member level for which they are eligible. These members will register for SBIA events as Funds and be responsible for the registration fee as a Fund member. If such members desire to attend an event or otherwise be represented as a Limited Partner, the members are responsible for informing the SBIA staff of such interest.
A. The SBIA limits the number of Service Provider members to not more than 15% of the total membership; new Service Provider members are not currently being considered. Service Provider members include law firms, accounting firms, due diligence firms, while Intermediary members include investment banks, independent sponsors and placement agents. Members receive the benefit of discounted event registration, as well as access to Fund, LP, and Fund in Formation members. SBIA events are structured so that the only service providers in attendance are Service Provider members or event sponsors. For information on the availability of Service Provider membership in SBIA or sponsorship opportunities, contact SBIA directly.
A. Each SBIA member firm designates a primary contact person from the firm to establish the account. Whoever is designated to be the primary contact person should fill out the new member application and provide his/her contact information. From there, additional firm members can be added to the account by notifying SBIA. In addition, individuals’ personal contact information is used to match Congressional Districts with members. Contact information is never shared with outside parties.
A. Dues are based on member type (Fund, Fund in Formation, Limited Partner, Intermediary and Service Provider). Dues for Funds are calculated based on AUM (Assets Under Management), with a flat fee for other members.
A. Under Federal law, that portion of dues used by an association for lobbying is not deductible by members as an ordinary and necessary business expense for Federal Income tax purposes. For 2018, 75% of your dues payment to the Small Business Investor Alliance is deductible, while 25% is non-deductible. (Dues cannot be deducted as charitable contributions.) Where applicable, BDC Council Membership dues are 100% non-deductible.
A. Dues for Fund membership are based on AUM and calculated for the entire firm. If a firm has multiple funds, the AUM would be the sum of all funds. If a firm has leveraged funds, the AUM would be the sum of private capital and leverage. A rule of thumb would be to use the total assets used for purposes of calculating management fees.
A. Membership begins on January 1st and ends on December 31st of a given year. Dues are collected on a calendar year basis, regardless of the date a firm signs up for membership. SBIA does not prorate memberships.
A. Dues for new members are collected upon joining the organization. For renewing members, dues are sent out in the 4th quarter of the preceding year, and due by January 1st of a given year (for example, a member organization renewing for 2019 would have an invoice sent out in the fall of 2018, due by January 1st, 2019). SBIA membership is valid for the calendar year. Membership renewals are due by December 31st of the preceding year for good standing. Delinquent members will not be permitted to register for SBIA events as SBIA members until their annual dues have been received.
A. All SBIA members receive a discounted member rate for SBIA events. Certain events are limited to members only. Limited Partner members receive complimentary attendance at all SBIA events.
A. All SBIA members are subject to understanding and engaging in member activities in compliance with SBIA’s Antitrust Policy. If you do not have a copy of the policy, please reach out to an SBIA staff member. Each member will adhere to the highest level of legal and ethical behavior and fair dealing in the conduct of its business as a prerequisite for membership and as a condition of continued membership. Failure to adhere to the highest standards may result in revocation of membership status.