RAND CAPITAL CORP

Rand Capital Corporation is a closed-end business development company that generates current income and capital appreciation by investing in privately held, lower middle-market companies through senior debt and equity instruments. The company invests primarily in portfolio companies with established operations and experienced management, typically deploying $2 million to $4 million per investment alongside other lenders and partners, while maintaining board observation rights or seats and making follow-on investments through warrants or preferential rights. Rand operates as an externally managed regulated investment company under its adviser, Rand Capital Management, LLC, earning investment management fees and incentive fees based on portfolio income and capital gains, and returns substantially all earnings to shareholders through regular and special dividends while maintaining regulatory compliance as a business development company.