Charter Growth Capital Secures SBIC License and Closes $111M Fund II
Funding | Mar 10, 2025 | Charter Investment Group Ltd/T
Charter Growth Capital (CGC), a private investment firm based in the Great Lakes Region, has been awarded a Small Business Investment Company (SBIC) license. This designation, granted by the U.S. Small Business Administration (SBA), enhances CGC's ability to provide specially tailored capital solutions to lower-middle-market companies. Concurrently, CGC announced the closing of its second fund, Fund II, which raised $111 million, surpassing its initial target of $100 million. The firm attributes this success to strong interest from both existing and new investors. The SBIC license allows CGC access to SBA-guaranteed financing, amplifying its investment potential while maintaining its disciplined strategy that combines debt and equity investments. CGC is keen on leveraging these resources to partner with independent sponsors and management teams to drive business growth and long-term investor value. Fund II has already made two investments and is actively seeking new opportunities following the success of its first fund, which began in 2019 and has seen profitable exits from half of its investments.
Sectors
- Private Equity
- Financial Services
- Small and Medium Enterprises (SMEs)
Geography
- United States – The article pertains to activities involving a U.S. investment firm and a license issued by the U.S. Small Business Administration.
- West Michigan – The fund is highlighted as one of the largest in West Michigan, indicating significant regional impact.
- Great Lakes Region – The firm focuses its investment strategy predominantly in this area, which is central to the fund's activities.
Industry
- Private Equity – The article discusses Charter Growth Capital, a private equity firm raising and managing investment funds.
- Financial Services – The issuance of the SBIC license and the closing of a significant investment fund are key financial activities.
- Small and Medium Enterprises (SMEs) – The focus on providing capital to lower-middle-market companies highlights their role in supporting SMEs.
Financials
- 111 million – Total capital raised for Charter Growth Capital's Fund II.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Charter Growth Capital | PE Firm | Company | A private investment firm that focuses on providing capital to lower-middle-market companies. |
| U.S. Small Business Administration (SBA) | License Issuer | Government | The SBA grants the SBIC licenses that enables firms to access SBA-guaranteed financing. |
| John Kerschen | Partner at CGC | People | A partner at Charter Growth Capital involved in the fund announcement. |
| Mike Palm | Partner at CGC | People | A partner at Charter Growth Capital, speaking on the significance of the SBIC license. |
| Hector Bultynck | Partner at CGC | People | A partner at Charter Growth Capital, discussing opportunities with independent sponsors. |