Fair Value Measurements (Tables)

6 Months Ended

Jun. 30, 2025

The following tables present fair value measurements of financial instruments that were carried at fair value, by major class, according to the fair value hierarchy:


	June 30, 2025
	Fair Value Measurements
	Level 1		Level 2		Level 3		Total
Available-for-sale debt securities	$	526,099	$	—	$	—	$	526,099
Total	$	526,099	$	—	$	—	$	526,099


	December 31, 2024
	Fair Value Measurements
	Level 1		Level 2		Level 3		Total
Available-for-sale debt securities	$	425,357	$	—	$	—	$	425,357
Total	$	425,357	$	—	$	—	$	425,357

Schedule of Activities of the Marketable Securities

The following table presents the activities of the marketable securities:


	Six Months Ended June 30,
	2025		2024
Beginning balance	$	425,357	$	507,266
Unrealized gain (loss) on available-for-sale debt securities	100,742		(8,563)
Ending balance	$	526,099	$	498,703

Schedule of Carrying Values and Estimated Fair Values of Debt Instruments

The following table presents the carrying value, which represents the amortized cost of loans, net of applicable allowance for credit losses, and estimated fair value of the Company’s financial instruments that are not carried at fair value on the consolidated balance sheets as of:


		June 30, 2025						December 31, 2024
	Level	Principal Balance		Carrying Value		Fair Value		Principal Balance		Carrying Value		Fair Value
Investments:
Loans held for investment	3	$	20,224,740	$	20,426,987	$	20,423,739	$	18,567,296	$	18,575,895	$	18,830,181
Loans held for investment acquired through participation	3	27,450,261		10,127,372		10,127,372		27,335,157		11,812,001		11,812,001
Total loans		$	47,675,001	$	30,554,359	$	30,551,111	$	45,902,453	$	30,387,896	$	30,642,182
Liabilities:
Unsecured notes payable (1)(2)	1	$	38,375,000	$	37,232,292	$	35,734,800	$	38,375,000	$	36,521,684	$	37,008,850
Obligation under participation agreement	3	19,606,804		19,802,872		19,799,722		18,000,000		18,173,962		18,254,853
Total liabilities		$	57,981,804	$	57,035,164	$	55,534,522	$	56,375,000	$	54,695,646	$	55,263,703

_______________

(1)Carrying value is net of unamortized purchase discount of $1.1 million and $1.9 million as of June 30, 2025 and December 31, 2024, respectively.

(2)Valuation falls under Level 1 of the fair value hierarchy, which is based on the trading price of $23.28 and $24.11 as of the close of the business day on June 30, 2025 and December 31, 2024, respectively.

Schedule of Fair Value Measurement Inputs and Valuation Techniques

The following tables summarize the significant unobservable inputs used by the Company to value the Level 3 financial instruments as of June 30, 2025 and December 31, 2024. The following tables are not intended to be all-inclusive, but instead identify the significant unobservable inputs relevant to the determination of fair values.


June 30, 2025
			Primary Valuation Technique	Unobservable Input	Range				Weighted
Asset Category	Fair Value				Minimum		Maximum		Average
Assets:
Loans	$	20,423,739	Discounted cash flow	Discount rate	19.32	%	19.32	%	19.32	%
Loans through participation interest	10,127,372		Discounted cash flow	Discount rate	6.75	%	6.75	%	6.75	%
			Discounted cash flow	Terminal capitalization rate	5.75	%	5.75	%	5.75	%
Total Level 3 Assets	$	30,551,111
Liabilities:
Obligation under participation agreement	$	19,799,722	Discounted cash flow	Discount rate	19.32	%	19.32	%	19.32	%


December 31, 2024
			Primary Valuation Technique	Unobservable Input	Range				Weighted
Asset Category	Fair Value				Minimum		Maximum		Average
Assets:
Loans	$	18,830,181	Discounted cash flow	Discount rate	14.78	%	14.78	%	14.78	%
Loans through participation interest	11,812,001		Discounted cash flow	Discount rate	6.75	%	6.75	%	6.75	%
			Discounted cash flow	Terminal capitalization rate	5.75	%	5.75	%	5.75	%
Total Level 3 Assets	$	30,642,182
Liabilities:
Obligation under participation agreement	$	18,254,853	Discounted cash flow	Discount rate	14.78	%	14.78	%	14.78	%