SBA Form 1031 Portfolio Financing Report

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U. S. Small Business Administration (SBA)
SBA Form 1031 Portfolio Financing Report 
OMB Control Number 3245-0078 
Justification – Part A Supporting Statement


Overview of Information Collection: The U.S. Small Business Administration (SBA) is seeking reinstatement, with change, of a previously approved collection for which approval has expired. 

Small Business Investment Company’s (SBICs) must report all portfolio company financings made during a calendar year quarter within 30 calendar days of the end of that quarter. Currently, SBA Form 1031 must be submitted within 30 days after the date of each financing. SBA Form 1031 includes minor updates to reduce the number of choices in identifying the stage of the company the SBIC is investing in, clarifying the type of Critical Technology company invested in and removing all requested voluntary demographic data.  The removal of voluntary demographic data does not serve any statutory purpose and is in line with Executive Orders 14151, 14173 and 14219.

    1. Need & Method for the Information Collection. The Small Business Investment Act of 1958, as amended (Act), authorizes SBA to license SBICs and to regulate their operations. Section 310(b) provides that each SBIC shall make such reports to SBA at such times and in such form as SBA may require. SBICs must submit a Portfolio Financing Report on SBA Form 1031 for each financing that an SBIC provides to a small business concern within 30 days of the calendar year quarter following the closing date of the financing. SBA Form 1031 is SBA’s primary source of information for compiling statistics on the SBIC program as a provider of capital to small businesses.

Currently, SBA collects the information via Excel files submitted to the SBIC-Web electronic application. 

    2. Use of the Information. The information on SBA Form 1031 is used by SBA staff to evaluate the investment activities of individual SBICs in terms of compliance with applicable regulations and consistency with the overall objectives of the program (to further the growth, expansion and modernization of small business). The information is also used in the aggregate by SBA to evaluate program effectiveness. The information collected can be compared to available financing statistics for the venture capital industry as a whole to determine the extent to which the SBIC program is filling a market gap by meeting the financing needs of small businesses that otherwise do not have adequate access to private equity funding. In addition, the pre-financing information collected, including number of employees, revenues, profits and taxes paid, provides baseline figures which are then updated annually on SBA Form 468, SBIC Financial Reports, in accordance with 13 CFR 107.630(e). This information helps SBA to measure the economic impact of the SBIC program over time.

    3. Use of Information Technology. SBA believes that the Excel format of SBA Form 1031 is compatible with the information SBICs receive from portfolio companies and therefore reduces the burden on SBICs for completion and submission of SBA Form 1031. The continued use of SBIC-Web as repository of legacy reporting information and secure portal for uploading Excel spreadsheets continue to be convenient for respondents. 100% of responses are collected electronically.

    4. Non-duplication. Pre-financing financial information for small businesses financed by SBICs is not reported in any other format. Therefore, there is no duplication of information with this form.

    5. Burden on Small Business. The only entities required to complete SBA Form 1031 are licensed SBICs, of which approximately 60% are small entities; however, the economic impact on these entities is not significant. The information requested on SBA Form 1031 is the type of information that any investment company must maintain in the ordinary course of business (i.e., information about the type of financing being provided and the company receiving the financing). An SBIC considering whether to make a debt or equity investment in a small business concern normally requests extensive financial and operating information from the concern as part of its due diligence process. SBA has attempted to limit the information collected on SBA Form 1031 to areas which SBICs would ordinarily have available as a result of their due diligence process, and likely such information would be provided by the portfolio company to the SBIC in Excel format. Changing the SBA Form 1031 to Excel format should therefore have the effect of reducing burden on SBICs.  

    6. Less Frequent Collection. SBA Form 1031 is designed to provide information to evaluate the extent to which the SBIC program is helping to further the growth, expansion, and modernization of small businesses, and to help ensure that SBICs are operating in compliance with program regulations. There is no similar information available which can be used to accomplish the purposes of this collection.  If the collection were not conducted, or were conducted less frequently, SBA would be significantly handicapped in its ability to fulfill its statutory oversight and program evaluation responsibilities. For example, SBA would not be able to determine the number or dollar amount of small business financings taking place, the industries and geographic regions in which financings are concentrated, or the intended uses of financing proceeds.

    7. Paperwork Reduction Act Guidelines. There are no special circumstances that would cause the conditions described.

    8. Consultation and Public Comments. A 60-day notice was published in the Federal Register on Wednesday July 22, 2026 at 91 FR 46223, Federal Register :: Data Collection Available for Public Comments. The comment period closed on Monday, September 21, 2026, with no comments received. 

    9. Gifts or Payment. No payments or gifts are provided to respondents.
    10. Privacy & Confidentiality. The information collected includes financial data of SBICs and their portfolio companies, which are protected from disclosure under the Freedom of Information Act; specifically, exemptions 4, 6 and 8 allow SBA to withhold financial data on individual companies. The information collected will be protected to the extent permitted by law. Records are maintained under conditions designed to preclude access by persons other than Agency personnel with a need to know.  The system used to house the records maintained are associated with the OII Customer Relationship Management (CRM) system. Additional details may be found in the OII CRM Privacy Impact Assessment, supported by SBA 40, Small Business Investment Company Information System of Records Notice, 2025-16172.pdf (govinfo.gov), 90 FR 41467. 

    11. Sensitive Questions. SBA Form 1031 requests confidential business and financial information, which is needed to fulfill SBA’s statutory responsibilities with respect to SBIC financings to determine an individual SBIC’s compliance with overall program requirements and to determine whether an SBIC has engaged in prohibited actions. 

SBA safeguards business proprietary information in compliance with federal laws, guidelines and SBA's Cybersecurity and Privacy Policy. Data in transit and at rest is encrypted to mitigate the potential of data spillage. Access controls and role-based permissions are just some of the other security precautions in safeguarding our customer's data.  

    12. Burden Estimate. The estimated annual hour burden of this information collection is 1,492 hours, determined as follows:				
Number of respondents – 373
 (number of SBICs as of August 30, 2025) 	
Number of annual responses – 1,492(number of estimated respondents x 4 quarterly submissions) 
Estimated hours to complete form – 1 hour 
Total burden hours – 1,492 	

The estimated hourly cost to respondents is calculated using the mean hourly wage of $69.84  (mean annual salary rate of $145,260) for national, Cross-Industry, Private, Federal, State and Local Management Occupations (rate obtained from the most recently available 2025 Bureau of Labor Statistics, Occupational Employment Statistics Occupational Employment and Wage Statistics):

Estimated hours to complete form:	                 1	
Hourly wage:	                   		    x  $69.84	
Total preparation cost per form:	        $69.84
Number of responses:	                             x   1,492	
Estimated total hour cost: 	                $104,201

Burden per Response: 

Time Per Response 
Hours Per Response
Cost Per Response 
Reporting 
60 minutes
1 hour
$69.84
Record Keeping 



Third Party Disclosure 



Total 
60 minutes
1 hour
$69.84




Annual Burden: 
  
Annual Number of Responses
Annual Time Burden (Hours) 
Annual Cost Burden (Dollars) 
Reporting
1,492
1,492
$104,201
Record Keeping 



Third Party Disclosure



Total 
1,492
1,492
$104,201



    13. Estimated nonrecurring costs. There is no annual cost burden to respondents other than the estimated cost of the hour burden provided in item 12.

    14. Estimated cost to the Government. The estimated annualized cost to the Federal Government to review and analyze each SBA Form 1031 filed is estimated as follows:

Analyst performing verification and clean-up of transmitted data:
GS-14 Step 3 @ $73.55 (FY26 hourly rate for DC area) x 130 hrs/yr (2.5 hours weekly) = $9,561.

    15. Reasons for changes. The increase in the annual hour burden estimate reflects the anticipated number of respondents based upon the current size of the SBIC program and the total number of SBIC financings over the past 12 months. There is no change in the estimated hour burden per response.

Requested
Program Change Due to New Statute
Program Change Due to Agency Discretion
Change Due to Adjustment in Agency Estimate
Change Due to Potential Violation of the PRA
Previously Approved
Annual Number of Responses for this IC
1,492


-1,263
2,755
0
Annual IC Time Burden (Hour)
1,492


-1,263
2,755
0
Annual IC Cost Burden (Dollars)
104,201


-27,956
$132,157
0

    16. Publicizing Results. Not applicable. Results of this collection of information will not be published. 

    17. OMB Not to Display Approval. Not applicable. The expiration date will be displayed. 

    18. Exceptions to "Certification for Paperwork Reduction Submissions." Not applicable. There are no exceptions to the certification statement identified in Item 19, “Certification for Paperwork Reduction Act Submissions,” of OMB 83-1. 

B. Collection of Information Employing Statistical Methods. This collection of information is not a survey and does not employ statistical methods.

Attachments:
SBA Form 1031 Instructions
SBA Form 1031, Portfolio Financing Report