# 2026-06282: SBA Eyes Exemption for Fund Lending to Its Own Portfolio Company

2026-06282, Brightwood Capital SBIC IV, LP; Notice Seeking Exemption Under Section 312 of the Small Business Investment Act, Conflicts of Interest, is a Federal Register notice from Small Business Administration published 2026-04-01, effective 2026-04-01; PRIA reads it as touching household money (as of 2026-06-08).

- Canonical: https://policyrisk.com/federal-register/2026-06282
- As of: 2026-06-08
- Plain-text twin of the page above; the HTML and this file carry the same facts.

## Facts
- Document number: 2026-06282
- Title: Brightwood Capital SBIC IV, LP; Notice Seeking Exemption Under Section 312 of the Small Business Investment Act, Conflicts of Interest
- Type: Notice
- Agencies: Small Business Administration
- Citation: 91 FR 16274
- Published: 2026-04-01
- Effective: 2026-04-01
- Comments close: not stated
- Significant: no
- Touches household money: yes
- Regulation identifier numbers: none
- Last updated: 2026-06-08

## In one line

SBA Eyes Exemption for Fund Lending to Its Own Portfolio Company

## Summary

Brightwood Capital SBIC IV, LP wants to lend money to The Smith and Oby Holding Company to help it grow. Because some related Brightwood funds already own a big chunk of Smith and Oby, this deal is a conflict of interest and needs special permission. People have 15 days from April 1, 2026, to share their thoughts before the SBA decides.

## Effects PRIA read

- SBIC proposes loan to Ohio small business: benefit, low. Brightwood Capital SBIC IV, LP proposes to provide financing to The Smith and Oby Holding Company in Walton Hills, Ohio to support the company’s growth. The SBA says the deal is a conflict because related Brightwood funds own more than ten percent of Smith and Oby, and Brightwood has asked the SBA…
- 15-day public comment window: benefit, low. Any interested person may submit written comments to the Associate Administrator for Investment at the U.S. Small Business Administration within fifteen days of April 1, 2026. The notice gives the public an opportunity to weigh in before the SBA decides on Brightwood’s exemption request.

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## Sources
- [2026-06282 on federalregister.gov](https://www.federalregister.gov/documents/2026/04/01/2026-06282/brightwood-capital-sbic-iv-lp-notice-seeking-exemption-under-section-312-of-the-small-business)
- [2026-06282 as published (PDF)](https://www.govinfo.gov/content/pkg/FR-2026-04-01/pdf/2026-06282.pdf)

## Related
- [Previous: 2026-06280, Agency Information Collection Activities; Submission to the Office of Managemen…](https://policyrisk.com/federal-register/2026-06280)
- [Next: 2026-06283, Prospective Grant of an Exclusive Patent License: Pigment Epithelium-Derived Fa…](https://policyrisk.com/federal-register/2026-06283)
- [All Federal Register documents](https://policyrisk.com/federal-register)

Source: PRIA, https://policyrisk.com/federal-register/2026-06282 (as of 2026-06-08).