private capital
(11) Private capital (A) In general The term “private capital” means the total of— (i) (I) the paid-in capital and paid-in surplus of a corporate rural business investment company; (II) the contributed capital of the partners of a partnership rural business investment company; or (III) the equity investment of the members of a limited liability company rural business investment company; and (ii) unfunded binding commitments from investors that meet criteria established by the Secretary to contribute capital to the rural business investment company, except that— (I) unfunded commitments may be counted as private capital for purposes of approval by the Secretary of any request for leverage; but (II) leverage shall not be funded based on the commitments. (B) Exclusions The term “private capital” does not include— (i) any funds borrowed by a rural business investment company from any source; (ii) any funds obtained through the issuance of leverage; or (iii) any funds obtained directly or indirectly from the Federal Government or any State (including by a political subdivision, agency, or instrumentality of the Federal Government or a State), except for— (I) funds obtained from the business revenues (excluding any governmental appropriation) of any federally chartered or government-sponsored enterprise established prior to May 13, 2002 ; (II) funds invested by an employee welfare benefit plan or pension plan; and (III) any qualified nonprivate funds (if the investors of the qualified nonprivate funds do not control, directly or indirectly, the management, board of directors, general partners, or members of the rural business investment company).