Section 301(c) Licensee means a company licensed under section 301(c) of the Act. It may be organized as a for- profit corporation or as a limited partnership created in accordance with the special rules of Sec. 107.160. Sec. 107.115 1940 Act and 1980 Act Companies.
A 1940 Act or 1980 Act Company is eligible to apply for an SBIC license, and an existing Licensee is eligible to apply for SBA's approval to convert to a 1940 Act or 1980 Act Company. In either case, the 1940 Act or 1980 Act Company may elect to be taxed as a regulated investment company under section 851 of the Internal Revenue Code of 1986, as amended (26 U.S.C. 851). However, a Licensee making such election may make Distributions only as permitted under the applicable sections of this part (see the definition of Retained Earnings Available for Distribution, Sec. 107.585, and Secs. 107.1540 through 107.1580).