Abacus Finance Group announced the successful final closing of Abacus Finance SBIC Fund I, L.P. (the “Fund” or “Abacus SBIC”), raising $87.5 million in private capital for a total fund size of $262.5 million. The Fund was oversubscribed and ultimately hit the hard cap. The Fund leverages the U.S. Small Business Administration’s Small Business Investment Company (“SBIC") program, which provides government backing to enhance the fund’s capacity to support growing small businesses. Abacus SBIC is led by Tim Clifford, Sean McKeever, Seth Friedman, and Eric Petersen, who combined have more than 125 years of total investment experience lending to U.S.-based small businesses.
The successful closing represents a significant milestone for Abacus Finance Group’s inaugural fund, demonstrating strong investor confidence in the firm’s investment strategy and management team. The fund received robust support from a diverse investor base spanning the high-net-worth community and institutional investors, including commercial banks, endowments, family offices, and insurance companies.
“We are incredibly grateful for the overwhelming support we’ve received in launching our first fund,” said Tim Clifford, CEO and Founding Partner of Abacus. “Achieving this successful closing as a first-time fund manager speaks to the confidence our investors have placed in our team and our commitment to supporting the growth of small businesses across the country. This milestone positions us to make meaningful investments that will drive job creation and economic growth.”
Sean McKeever, President and Founding Partner of Abacus, highlighted the strategic importance of the fund’s structure. “The SBIC program provides us with a unique opportunity to amplify our impact in the small business community,” said McKeever. “With this enhanced capital base, we can support entrepreneurs who might otherwise struggle to access the growth capital they need. Our focus remains on identifying businesses with strong fundamentals and exceptional management teams that are positioned to create sustainable value and meaningful employment opportunities.”
The SBIC program is designed to stimulate the flow of private equity capital to eligible small businesses by providing government-backed leverage to qualified investment funds. Through this structure, Abacus Finance SBIC Fund I will be positioned to make debt and equity co-investments in small and medium-sized businesses across various sectors, while supporting its private equity sponsor relationships.
Seth Friedman, Managing Director at Abacus, emphasized the collaborative nature of the fund’s success. “We are deeply appreciative of the tremendous support we have received from our limited partners, who share our vision vis-à-vis empowering small business growth,” said Friedman. “Additionally, we are grateful for the partnership and support of the Small Business Administration, whose SBIC program enables us to provide much-needed capital to underserved markets and deserving entrepreneurs.”
Eric Petersen, Managing Director at Abacus, spoke to the fund’s investment approach and market opportunity. “We see tremendous potential in the small and medium-sized business sector, particularly in companies that are generating positive cash flow but need capital to accelerate their growth trajectory,” said Petersen. “Our disciplined investment process focuses on businesses where we can add real value beyond just capital – whether through operational expertise, strategic guidance, or helping them access new markets. This fund positions us to be true partners with management teams as they scale their operations.”
Given the significant demand for debt capital by the small business community, Abacus has already deployed approximately 40% of its inaugural fund across multiple separate portfolio company investments. The Abacus team anticipates deploying the remaining capital in the fund over the next 9-18 months, focusing on supporting businesses that demonstrate strong growth potential and the ability to create jobs in their communities.