New Analysis Finds SBICs Outperform Peers

In a new IPC study “The Performance of Small Business Investment Companies“, we find that Small Business Investment Companies (SBICs) funds perform quite well relative to non-SBIC peers in IRR, MOIC, and PME, yielding both positive average and median peer-adjusted performance. Specifically, SBICs outperform comparable non-SBIC peers by an average of around 4% (median of 2.6%) in terms of IRR and an average of about 0.7x (median of 0.3x) in terms of multiple on invested capital (MOIC).

The aim of this report is to help fill an existing knowledge gap in SBIC performance relative to public benchmarks. Results are based on data from a recent SBIC performance survey conducted by IPC and the Small Business Investors Alliance (SBIA) and comparable funds observed in the MSCI-Burgiss Management Universe (BMU).

Click below to read the full report. For questions, please contact uncipc@kenan-flagler.unc.edu.