Lafayette Square USA is a privately offered, externally managed BDC that lends to non-sponsored middle market businesses (roughly $10 million to $100 million of EBITDA) located in, or employing, working class American communities across ten U.S. regions. The portfolio is mainly directly originated first lien senior secured floating rate loans with financial maintenance covenants, with smaller positions in subordinated debt, preferred and common equity. The strategy is senior direct lending. Funding draws on SBA-guaranteed debentures through two SBIC subsidiaries, a USDA-licensed RBIC subsidiary, a bank revolver and unsecured notes.