Runway Growth Finance Corp. is a specialty finance company that provides senior secured loans to high growth potential companies in technology, healthcare, business services, financial services, select consumer services and products, and other high growth industries. The company operates as an externally managed, non diversified closed end management investment company and has elected to be regulated as a business development company and a regulated investment company. As of December 31, 2025, its investment portfolio totaled $927.4 million at fair value and its net asset value was $485.0 million. Runway Growth Finance Corp. seeks to generate total return for stockholders through current income on its loan portfolio and capital appreciation from warrants and equity holdings.

Runway Growth Finance Corp. generates revenue primarily from interest income on its senior secured loan portfolio and, to a lesser extent, from capital gains on warrants and other equity positions held in portfolio companies. The debt investment portfolio produced a dollar weighted annualized yield of 14.6% for the year ended December 31, 2025, while equity interests contributed additional returns. The firm also earns fees related to investment advisory and management services under its agreement with Runway Growth Capital. These revenue streams are distributed to stockholders as dividends in accordance with its regulated investment company status, which requires distribution of at least 90% of investment company taxable income annually.

The company operates through the following segments:

• Sponsored Growth Lending: This segment provides senior secured loans to late and growth stage companies that are already backed by established venture capital and private equity firms, often receiving warrants or other equity securities as part of the financing. Loans in this segment typically fund sales and marketing initiatives, capacity expansion, or debt refinancing for portfolio companies.

• Non Sponsored Growth Lending: This segment extends senior secured loans to late and growth stage private companies funded directly by entrepreneurs or founders, focusing on businesses that do not require institutional equity investment. Loans in this segment support growth capital needs while allowing borrowers to retain managerial control and avoid significant dilution.

Runway Growth Finance Corp. holds a competitive position in the specialty lending market, facing competition from public and private funds, other business development companies, commercial and investment banks, venture oriented commercial banks, and private equity or hedge funds. Its advantages include an experienced management team with an average of more than 35 years of experience, access to the BC Partners Credit platform, a disciplined credit first investment process, proprietary risk analytics that evaluate multiple risk factors, and deep relationships with venture capital firms and entrepreneurs. The company’s underwriting approach emphasizes pricing risk and measuring enterprise value, which helps it structure loans that are less than 25% of a borrower’s enterprise value at inception. This focus on risk adjusted returns and strong sponsor relationships enables Runway Growth Finance Corp. to deliver consistent double digit yields to its investors. Additionally, the firm benefits from a scalable operating model that leverages the resources of its adviser and administrator to source, underwrite, and monitor investments across multiple geographies and industries.

Runway Growth Finance Corp. serves high growth potential borrowers across sectors such as technology, healthcare, business services, financial services, and select consumer services and products, providing them with flexible debt financing that complements or substitutes for equity capital. Typical borrowers use loan proceeds to invest in sales and marketing, expand operational capacity, or refinance existing indebtedness. The company’s customer base includes later stage venture backed firms as well as entrepreneur led enterprises that have demonstrated sustainable cash flow but require additional capital to pursue growth opportunities. By lending to these diverse borrowers, Runway Growth Finance Corp. aims to build a diversified portfolio that reduces concentration risk while seeking attractive risk adjusted returns.