|     |                                                                                        |
|-----|----------------------------------------------------------------------------------------|
| [X] | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THESECURITIES EXCHANGE ACT OF 1934 |

|                |                                                                                         |
|----------------|-----------------------------------------------------------------------------------------|
| [  ] | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THESECURITIES EXCHANGE ACT OF 1934 |

|                                                                |                                      |
|----------------------------------------------------------------|--------------------------------------|
| Maryland                                                       | 20-0372373                           |
| (State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) |
|                                                           |                                 |
| 2010 North First Street, Suite 310                             | San Jose, CA 95131                   |
| (Address of principal executive offices)                       | (Zip Code)                           |

|                             |                       |                           |                               |
|-----------------------------|-----------------------|---------------------------|-------------------------------|
| Large accelerated filer [ ] | Accelerated filer [ ] | Non-accelerated filer [x] | Smaller reporting company [ ] |

|                               |        |                                     |
|-------------------------------|--------|-------------------------------------|
| Class                         |   | Outstanding as of November 12, 2010 |
| Common Stock, $.001 par value |   | 100,000                             |

----

|                                 |                                                                                                                          |
|---------------------------------|--------------------------------------------------------------------------------------------------------------------------|
| PART I -- FINANCIAL INFORMATION |
|                            |                                                                                                                     |
| Item 1.                         | Financial Statements                                                                                                     |
|                            |                                                                                                                     |
|                            | Condensed Statements of Assets and Liabilities (Unaudited)As of September 30, 2010 and December 31, 2009                 |
|                            |                                                                                                                     |
|                            | Condensed Statements of Operations (Unaudited)For the three and nine months ended September 30, 2010 and 2009            |
|                            |                                                                                                                     |
|                            | Condensed Statements of Changes in Net Assets (Unaudited)For the three and nine months ended September 30, 2010 and 2009 |
|                            |                                                                                                                     |
|                            | Condensed Statements of Cash Flows (Unaudited)For the nine months ended September 30, 2010 and 2009                      |
|                            |                                                                                                                     |
|                            | Notes to Condensed Financial Statements (Unaudited)                                                                      |
|                            |                                                                                                                     |
| Item 2.                         | Management's Discussion and Analysis of FinancialCondition and Results of Operations                                     |
|                            |                                                                                                                     |
| Item 3.                         | Quantitatve and Qualitative Disclosures About Market Risk                                                                |
|                            |                                                                                                                     |
| Item 4.                         | Controls and Procedures                                                                                                  |
|                            |                                                                                                                     |
| Item 4T.                        | Controls and Procedures                                                                                                  |
|                            |                                                                                                                     |
| PART II -- OTHER INFORMATION    |
|                            |                                                                                                                     |
| Item 1.                         | Legal Proceedings                                                                                                        |
|                            |                                                                                                                     |
| Item 1A.                        | Risk Factors                                                                                                             |
|                            |                                                                                                                     |
| Item 2.                         | Unregistered Sales of Equity Securities and Use of Proceeds                                                              |
|                            |                                                                                                                     |
| Item 3.                         | Defaults Upon Senior Securities                                                                                          |
|                            |                                                                                                                     |
| Item 4.                         | Removed and Reserved                                                                                                     |
|                            |                                                                                                                     |
| Item 5.                         | Other Information                                                                                                        |
|                            |                                                                                                                     |
| Item 6.                         | Exhibits                                                                                                                 |
|                            |                                                                                                                     |
| SIGNATURES                      |

----

|                                                                                                                                                              |                         |             |                        |              |        |             |        |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------|-------------|------------------------|--------------|--------|-------------|--------|
|                                                                                                                                                         | September 30, 2010 |        | December 31, 2009 |
| ASSETS                                                                                                                                                       |                    |        |                   |
| Loans, at estimated fair value     (Cost of $42,306,408 and $90,664,727)                                                            | $                       | 27,370,992  |                   |         | $      | 78,115,522  |   |
| Cash and cash equivalents                                                                                                                                    | 5,434,959               |        |                   | 5,798,774    |   |
| Other investment (Cost of $768,021 and $768,247)                                                                                                        | 33,021                  |        |                   | 33,247       |   |
| Other assets                                                                                                                                                 | 307,439                 |        |                   | 1,067,235    |   |
|                                                                                                                                                         |                    |        |                   |
| Total assets                                                                                                                                                 | 33,146,411              |        |                   | 85,014,778   |   |
|                                                                                                                                                         |                    |        |                   |
| LIABILITIES                                                                                                                                                  |                    |        |                   |
| Accrued management fees                                                                                                                                      | 207,165                 |        |                   | 531,342      |   |
| Accounts payable and other accrued liabilities                                                                                                               | 82,321                  |        |                   | 93,552       |   |
|                                                                                                                                                         |                    |        |                   |
| Total liabilities                                                                                                                                            | 289,486                 |        |                   | 624,894      |   |
|                                                                                                                                                         |                    |        |                   |
| NET ASSETS                                                                                                                                                   | $                       | 32,856,925  |                   |         | $      | 84,389,884  |   |
|                                                                                                                                                         |                    |        |                   |
| Analysis of Net Assets:                                                                                                                                      |                    |        |                   |
|                                                                                                                                                         |                    |        |                   |
| Capital paid in on shares of capital stock                                                                                                                   | $                       | 245,025,000 |                   |         | $      | 245,025,000 |   |
| Return of capital distributions                                                                                                                              | (194,451,950            | )           |                   | (145,305,203 | )      |
| Accumulated deficit                                                                                                                                          | (17,716,125             | )           |                   | (15,329,913  | )      |
| Net assets (equivalent to $328.57 and $843.90 per share based on     100,000 shares of capital stock outstanding - See Note 5) | $                       | 32,856,925  |                   |         | $      | 84,389,884  |   |

----

|                                                                           |                            |            |                            |            |                           |           |                           |        |        |             |        |        |   |            |        |
|---------------------------------------------------------------------------|----------------------------|------------|----------------------------|------------|---------------------------|-----------|---------------------------|--------|--------|-------------|--------|--------|---|------------|--------|
|                                                                      | For the Three Months Ended |       | For the Three Months Ended |       | For the Nine Months Ended |      | For the Nine Months Ended |
|                                                                      | September 30, 2010    |       | September 30, 2009    |       | September 30, 2010   |      | September 30, 2009   |
|                                                                      |                       |       |                       |       |                      |      |                      |
|                                                                      |                       |       |                       |       |                      |      |                      |
| INVESTMENT INCOME:                                                        |                       |       |                       |       |                      |      |                      |
| Interest on loans                                                    | $                          | 1,421,044  |                       |       | $                         | 4,282,755 |                      |   | $      | 5,387,636   |   |   | $ | 17,089,674 |   |
| Other interest and other income                                           | 279                        |       |                       | 5,841      |                      |      | 705                       |   |   | 200,760     |   |
| Total investment income                                                   | 1,421,323                  |       |                       | 4,288,596  |                      |      | 5,388,341                 |   |   | 17,290,434  |   |
|                                                                      |                       |       |                       |       |                      |      |                      |
| EXPENSES:                                                                 |                       |       |                       |       |                      |      |                      |
| Management fees                                                           | 207,165                    |       |                       | 710,237    |                      |      | 907,007                   |   |   | 2,999,486   |   |
| Interest expense                                                          | —                    |       |                       | —    |                      |      | —                   |   |   | 1,744,528   |   |
| Banking and professional fees                                             | 59,545                     |       |                       | 101,326    |                      |      | 265,376                   |   |   | 414,460     |   |
| Other operating expenses                                                  | 23,176                     |       |                       | 37,489     |                      |      | 73,729                    |   |   | 92,986      |   |
| Total expenses                                                            | 289,886                    |       |                       | 849,052    |                      |      | 1,246,112                 |   |   | 5,251,460   |   |
| Net investment income                                                     | 1,131,437                  |       |                       | 3,439,544  |                      |      | 4,142,229                 |   |   | 12,038,974  |   |
|                                                                      |                       |       |                       |       |                      |      |                      |
| Net realized loss from investments                                        | (1,871,353                 | )          |                       | (4,962,009 | )                         |      | (2,676,379                | )      |   | (7,402,725  | )      |
| Net change in unrealized gain (loss) from investments                     | (615,962                   | )          |                       | 4,441,981  |                      |      | (2,386,212                | )      |   | (3,033,860  | )      |
| Net realized and unrealized loss from hedging activities                  | —                    |       |                       | —    |                      |      | —                   |   |   | (145,128    | )      |
| Net realized and unrealized loss from investment and hedging activities   | (2,487,315                 | )          |                       | (520,028   | )                         |      | (5,062,591                | )      |   | (10,581,713 | )      |
| Net increase (decrease) in net assets resulting from operations           | $                          | (1,355,878 | )                          |       | $                         | 2,919,516 |                      |   | $      | (920,362    | )      |   | $ | 1,457,261  |   |
|                                                                      |                       |       |                       |       |                      |      |                      |
| Net increase (decrease) in net assets resulting from operations per share | $                          | (13.56     | )                          |       | $                         | 29.20     |                      |   | $      | (9.20       | )      |   | $ | 14.57      |   |
| Weighted average shares outstanding                                       | 100,000                    |       |                       | 100,000    |                      |      | 100,000                   |   |   | 100,000     |   |

----

|                                                                 |                            |            |                            |             |                           |             |                           |        |        |              |        |        |   |             |        |
|-----------------------------------------------------------------|----------------------------|------------|----------------------------|-------------|---------------------------|-------------|---------------------------|--------|--------|--------------|--------|--------|---|-------------|--------|
|                                                            | For the Three Months Ended |       | For the Three Months Ended |        | For the Nine Months Ended |        | For the Nine Months Ended |
|                                                            | September 30, 2010    |       | September 30, 2009    |        | September 30, 2010   |        | September 30, 2009   |
| Increase (decrease) in net assets resulting from operations:    |                       |       |                       |        |                      |        |                      |
| Net investment income                                      | $                          | 1,131,437  |                       |        | $                         | 3,439,544   |                      |   | $      | 4,142,229    |   |   | $ | 12,038,974  |   |
| Net realized loss from  investment transactions            | (1,871,353                 | )          |                       | (4,962,009  | )                         |        | (2,676,379                | )      |   | (7,402,725   | )      |
| Net change in unrealized gain (loss) from investments           | (615,962                   | )          |                       | 4,441,981   |                      |        | (2,386,212                | )      |   | (3,033,860   | )      |
| Net realized and unrealized loss from hedging activities        | —                    |       |                       | —     |                      |        | —                   |   |   | (145,128     | )      |
|                                                            |                       |       |                       |        |                      |        |                      |
| Net increase (decrease) in net assets resulting from operations | (1,355,878                 | )          |                       | 2,919,516   |                      |        | (920,362                  | )      |   | 1,457,261    |   |
|                                                            |                       |       |                       |        |                      |        |                      |
| Distributions of income to shareholder                          | 739,916                    |       |                       | 1,522,466   |                      |        | (1,465,850                | )      |   | (3,587,604   | )      |
| Return of capital to shareholder                                | (14,986,430                | )          |                       | (37,431,647 | )                         |        | (49,146,747               | )      |   | (96,913,784  | )      |
|      Decrease in capital transactions  | (14,246,514                | )          |                       | (35,909,181 | )                         |        | (50,612,597               | )      |   | (100,501,388 | )      |
| Total decrease                                                  | (15,602,392                | )          |                       | (32,989,665 | )                         |        | (51,532,959               | )      |   | (99,044,127  | )      |
|                                                            |                       |       |                       |        |                      |        |                      |
| Net assets                                                      |                       |       |                       |        |                      |        |                      |
| Beginning of period                                             | 48,459,317                 |       |                       | 145,835,896 |                      |        | 84,389,884                |   |   | 211,890,358  |   |
|                                                            |                       |       |                       |        |                      |        |                      |
| End of period                                                   | $                          | 32,856,925 |                       |        | $                         | 112,846,231 |                      |   | $      | 32,856,925   |   |   | $ | 112,846,231 |   |

----

|                                                                                                                                        |                           |           |                           |              |        |           |        |
|----------------------------------------------------------------------------------------------------------------------------------------|---------------------------|-----------|---------------------------|--------------|--------|-----------|--------|
|                                                                                                                                   | For the Nine Months Ended |      | For the Nine Months Ended |
|                                                                                                                                   | September 30, 2010   |      | September 30, 2009   |
| CASH FLOWS FROM OPERATING ACTIVITIES:                                                                                                  |                      |      |                      |
| Net increase (decrease) in net assets resulting from operations                                                                        | $                         | (920,362  | )                         |         | $      | 1,457,261 |   |
| Adjustments to reconcile net increase (decrease) in net assets resulting from operations to net cash provided by operating activities: |                      |      |                      |
| Net realized loss from investments                                                                                                     | 2,676,379                 |      |                      | 7,402,725    |   |
| Net change in unrealized loss from investments                                                                                         | 2,386,212                 |      |                      | 3,033,860    |   |
| Net unrealized gain from hedging activities                                                                                            | —                   |      |                      | (903,517     | )      |
| Receipt of stock in lieu of fees                                                                                                       | —                   |      |                      | (138,594     | )      |
| Amortization of deferred costs related to borrowing facility                                                                           | —                   |      |                      | 580,951      |   |
| Net decrease in other assets and other investments                                                                                     | 760,022                   |      |                      | 1,795,492    |   |
| Net decrease in accounts payable, other accrued liabilities, and accrued management fees                                          | (335,408                  | )         |                      | (1,754,277   | )      |
| Origination of loans                                                                                                                   | —                   |      |                      | (4,113,299   | )      |
| Principal payments on loans                                                                                                            | 44,869,342                |      |                      | 107,072,359  |   |
| Acquisition of equity securities                                                                                                       | —                   |      |                      | (60,188      | )      |
| Net increase in other investment                                                                                                       | —                   |      |                      | (771,610     | )      |
| Net cash provided by operating activities                                                                                              | 49,436,185                |      |                      | 113,601,163  |   |
| CASH FLOWS FROM FINANCING ACTIVITIES:                                                                                                  |                      |      |                      |
| Cash distribution to shareholder                                                                                                       | (49,800,000               | )         |                      | (94,000,000  | )      |
| Repayments of debt facility                                                                                                            | —                   |      |                      | (68,015,512  | )      |
| Payment of bank facility fees and costs                                                                                                | —                   |      |                      | (1,019       | )      |
| Net cash used in financing activities                                                                                                  | (49,800,000               | )         |                      | (162,016,531 | )      |
| Net decrease in cash and cash equivalents                                                                                              | (363,815                  | )         |                      | (48,415,368  | )      |
| CASH AND CASH EQUIVALENTS:                                                                                                             |                      |      |                      |
| Beginning of period                                                                                                                    | 5,798,774                 |      |                      | 53,634,366   |   |
| End of period                                                                                                                          | $                         | 5,434,959 |                      |         | $      | 5,218,998 |   |
| SUPPLEMENTAL DISCLOSURES:                                                                                                              |                      |      |                      |
| CASH PAID DURING THE PERIOD FOR:                                                                                                       |                      |      |                      |
| Interest                                                                                                                               | $                         | —   |                      |         | $      | 2,054,376 |   |
| NON-CASH ACTIVITIES:                                                                                                                   |                      |      |                      |
| Distributions of equity securities to shareholder                                                                                      | $                         | 812,597   |                      |         | $      | 6,501,388 |   |
| Receipt of equity securities as repayment of loan                                                                                      | $                         | 812,597   |                      |         | $      | 6,302,607 |   |

----

|                            |                                         |
|----------------------------|-----------------------------------------|
| 1.     | ORGANIZATION AND OPERATIONS OF THE FUND |

|                            |                                            |
|----------------------------|--------------------------------------------|
| 2.     | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES |

----

----

|                            |                        |
|----------------------------|------------------------|
| 3.     | SUMMARY OF INVESTMENTS |

----

|                                  |               |                 |           |               |        |           |           |           |        |
|----------------------------------|---------------|-----------------|-----------|---------------|--------|-----------|-----------|-----------|--------|
|                             | Percentage of | Estimated Fair  | Par Value | Final         |
| Borrower                         | Net Assets    | Value 9/30/2010 | 9/30/2010 | Maturity Date |
| Biotechnology                    |          |            |      |          |
| Bioabsorbable Therapeutics, Inc. |          | $               | 87,811    |          | $      | 912,811   |      | *         |
| Subtotal:                        | 0.3           | %               | $         | 87,811        |   | $         | 912,811   |      |   |
|                             |          |            |      |          |
| Carrier Networking               |          |            |      |          |
| Opvista, Inc.                    |          | $               | 1,607,250 |          | $      | 1,607,250 |      | *         |
| Wavebender, Inc.                 |          | 46,911          |      | 91,911        |   | *         |
| Subtotal:                        | 5.0           | %               | $         | 1,654,161     |   | $         | 1,699,161 |      |   |
|                             |          |            |      |          |
| Computers & Storage          |          |            |      |          |
| Panta Systems, Inc.              |          | $               | 78,693    |          | $      | 808,693   |      | *         |
| Vidyo, Inc.                      |          | 85,707          |      | 85,707        |   | 10/1/2010 |
| Subtotal:                        | 0.5           | %               | $         | 164,400       |   | $         | 894,400   |      |   |
|                             |          |            |      |          |
| Enterprise Networking            |          |            |      |          |
| Envivio, Inc.                    |          | $               | 309,914   |          | $      | 309,914   |      | 1/1/2011  |
| Vyatta, Inc.                     |          | 469,174         |      | 469,174       |   | 9/1/2012  |
| Subtotal:                        | 2.4           | %               | $         | 779,088       |   | $         | 779,088   |      |   |
|                             |          |            |      |          |
| Internet                         |          |            |      |          |
| Blekko, Inc.                     |          | $               | 184,333   |          | $      | 184,333   |      | 12/1/2011 |
| BuzzLogic, Inc.                  |          | 144,946         |      | 144,946       |   | 8/1/2011  |
| Collarity, Inc.                  |          | —         |      | 669,821       |   | *         |
| Cuil, Inc.                       |          | 290,281         |      | 2,860,281     |   | *         |
| Donnerwood Media, Inc.           |          | 238,073         |      | 238,073       |   | 5/1/2011  |
| Inigral, Inc.                    |          | 48,969          |      | 48,969        |   | 8/1/2011  |
| Insider Guides, Inc.             |          | 216,084         |      | 216,084       |   | 4/1/2011  |
| Loomia, Inc.                     |          | 137,681         |      | 277,681       |   | *         |

----

|                                      |        |           |         |           |        |           |            |          |        |
|--------------------------------------|--------|-----------|---------|-----------|--------|-----------|------------|----------|--------|
| Philotic,  Inc.                      |   | 30,399    |    | 30,399    |   | 7/1/2011  |
| Quantcast Corp.                      |   | 2,804,133 |    | 2,804,133 |   | 1/1/2013  |
| SnapJot, Inc.                        |   | —   |    | 103,532   |   | *         |
| SugarSync, Inc.                      |   | 810,701   |    | 810,701   |   | 5/1/2011  |
| ThisNext, Inc.                       |   | 234,099   |    | 234,099   |   | 1/1/2012  |
| Tribe Networks, Inc.                 |   | —   |    | 465,007   |   | *         |
| UStream.TV, Inc.                     |   | 7,324     |    | 7,324     |   | 10/1/2010 |
| VetCentric, Inc.                     |   | 1,221,596 |    | 1,221,596 |   | 7/1/2012  |
| Youku.com, Inc.                      |   | 1,512,058 |    | 1,512,058 |   | 1/1/2012  |
| Subtotal:                            | 24.0   | %         | $       | 7,880,677 |   | $         | 11,829,037 |     |   |
|                                 |   |      |    |      |
| Medical Devices                      |   |      |    |      |
| AirXpanders, Inc.                    |   | $         | 332,737 |      | $      | 332,737   |       | 9/1/2011 |
| Biomerix Corp.                       |   | 477,559   |    | 477,559   |   | 12/1/2011 |
| CyberHeart, Inc.                     |   | 549,830   |    | 729,830   |   | *         |
| Evera Medical, Inc.                  |   | —   |    | 567,215   |   | *         |
| iBalance Medical, Inc.               |   | 182,324   |    | 282,324   |   | *         |
| Intellidx, Inc.                      |   | 204,145   |    | 904,145   |   | *         |
| MyoScience, Inc.                     |   | 34,418    |    | 34,418    |   | 6/1/2011  |
| Softscope Medical Technologies, Inc. |   | 145,740   |    | 145,740   |   | *         |
| Varix Medical Corp.                  |   | 135,141   |    | 180,141   |   | *         |
| Subtotal:                            | 6.3    | %         | $       | 2,061,894 |   | $         | 3,654,109  |     |   |
|                                 |   |      |    |      |
| Other Healthcare                     |   |      |    |      |
| Chakshu Research, Inc.               |   | $         | 570,035 |      | $      | 1,070,035 |       | *        |
| Pharmacy TV Network, Inc.            |   | —   |    | 336,005   |   | *         |
| Subtotal:                            | 1.7    | %         | $       | 570,035   |   | $         | 1,406,040  |     |   |
|                                 |   |      |    |      |
| Other Technology                     |   |      |    |      |
| EoPlex Tehcnologies,  Inc.           |   | $         | 224,020 |      | $      | 224,020   |       | 6/1/2011 |
| Integrity Block, Inc.                |   | 72,913    |    | 92,913    |   | *         |
| Oryxe Energy International, Inc.     |   | 330,677   |    | 460,677   |   | *         |
| Sezmi Corp.                          |   | 686,302   |    | 686,302   |   | 2/1/2012  |
| Sub-One Technology, Inc.             |   | 1,056,854 |    | 1,056,854 |   | 12/1/2011 |
| Subtotal:                            | 7.2    | %         | $       | 2,370,766 |   | $         | 2,520,766  |     |   |
|                                 |   |      |    |      |
| Security                             |   |      |    |      |
| Dragnet Solutions, Inc.              |   | $         | 295,530 |      | $      | 295,530   |       | 6/1/2011 |
| Guardian Analytics, Inc.             |   | 449,192   |    | 449,192   |   | 12/1/2011 |
| Nevis Networks, Inc.                 |   | 3,762     |    | 263,762   |   | *         |
| TrustedID, Inc.                      |   | 517,272   |    | 517,272   |   | 6/1/2012  |
| Subtotal:                            | 3.9    | %         | $       | 1,265,756 |   | $         | 1,525,756  |     |   |

----

|                                |        |           |         |            |        |           |            |           |        |
|--------------------------------|--------|-----------|---------|------------|--------|-----------|------------|-----------|--------|
| Semiconductors & Equipment |   |      |    |       |
| Alereon, Inc.                  |   | $         | 1,137   |       | $      | 76,137    |       | *         |
| Celestial Semiconductor, Inc.  |   | 277,398   |    | 1,177,398  |   | *         |
| Discera, Inc.                  |   | 36,097    |    | 36,097     |   | 1/1/2011  |
| Gigafin Networks, Inc.         |   | 72,414    |    | 1,772,414  |   | *         |
| Intelleflex Corp.              |   | 326,318   |    | 326,318    |   | 4/1/2011  |
| SiPort, Inc.                   |   | 542,864   |    | 542,864    |   | 7/1/2011  |
| Tela Innovations, Inc.         |   | 9,392     |    | 9,392      |   | 10/1/2010 |
| Zenverge, Inc.                 |   | 385,730   |    | 385,730    |   | 7/1/2011  |
| Subtotal:                      | 5.0    | %         | $       | 1,651,350  |   | $         | 4,326,350  |      |   |
|                           |   |      |    |       |
| Software                       |   |      |    |       |
| Anchor Intelligence, Inc.      |   | $         | 512,363 |       | $      | 512,363   |       | 12/1/2011 |
| Athena Design Systems, Inc.    |   | —   |    | 76,837     |   | *         |
| BlueRoads Corporation          |   | 175,448   |    | 2,445,448  |   | *         |
| Cloudmark, Inc.                |   | 259,950   |    | 259,950    |   | 3/1/2011  |
| Demandbase, Inc.               |   | 44,394    |    | 44,394     |   | 11/1/2010 |
| Future Point Systems, Inc.     |   | 152,656   |    | 152,656    |   | 5/1/2012  |
| Gazillion, Inc.                |   | 552,599   |    | 552,599    |   | 3/1/2011  |
| JasperSoft, Inc.               |   | 433,533   |    | 433,533    |   | 5/1/2011  |
| Kareo, Inc.                    |   | 65,180    |    | 65,180     |   | 12/1/2010 |
| RingCube Technologies, Inc.    |   | 582,564   |    | 582,564    |   | 10/1/2011 |
| Steelwedge Software, Inc.      |   | 1,138,259 |    | 1,138,259  |   | *         |
| Universal Ad, Inc.             |   | 189,100   |    | 364,100    |   | *         |
| Xtime, Inc.                    |   | 36,883    |    | 36,883     |   | 1/1/2011  |
| Subtotal:                      | 12.6   | %         | $       | 4,142,929  |   | $         | 6,664,766  |      |   |
|                           |   |      |    |       |
| Technology Services            |   |      |    |       |
| SG Micro, Inc.                 |   | $         | 149,422 |       | $      | 149,422   |       | 4/1/2011  |
| Subtotal:                      | 0.5    | %         | $       | 149,422    |   | $         | 149,422    |      |   |
|                           |   |      |    |       |
| Wireless                       |   |      |    |       |
| Cellfire, Inc.                 |   | $         | 395,937 |       | $      | 395,937   |       | 1/1/2012  |
| DeFi Mobile, Ltd.              |   | 200,344   |    | 337,344    |   | *         |
| Dilithium Networks, Inc.       |   | 980,810   |    | 980,810    |   | *         |
| Emotive Communications, Inc.   |   | 109,696   |    | 384,696    |   | *         |
| July Systems, Inc.             |   | 358,776   |    | 358,776    |   | 2/1/2012  |
| Nextivity, Inc.                |   | 1,487,664 |    | 2,227,664  |   | *         |
| SandLinks, Inc.                |   | 68,985    |    | 268,984    |   | *         |
| Send Me, Inc.                  |   | 868,445   |    | 868,445    |   | 4/1/2012  |
| Venturi Wireless, Inc.         |   | 122,046   |    | 122,046    |   | 11/1/2010 |
| Subtotal:                      | 14.0   | %         | $       | 4,592,703  |   | $         | 5,944,702  |      |   |
|                           |   |      |    |       |
| Total: (Cost of $42,306,408)   | 83.3   | %         | $       | 27,370,992 |   | $         | 42,306,408 |      |   |

----

|                                  |               |                                              |                                   |               |        |           |           |           |        |
|----------------------------------|---------------|----------------------------------------------|-----------------------------------|---------------|--------|-----------|-----------|-----------|--------|
|                             | Percentage of |      Estimated Fair |     Par Value | Final         |
| Borrower                         | Net Assets    |  Value 12/31/2009                       | 12/31/2009                        | Maturity Date |
| Biotechnology                    |          |                                         |                              |          |
| Bioabsorbable Therapeutics, Inc. |          | $                                            | 172,963                           |          | $      | 912,963   |      | *         |
| SanBio, Inc.                     |          | 470,563                                      |                              | 470,563       |   | 6/1/2010  |
| Trellis Bioscience, Inc.         |          | 173,790                                      |                              | 173,790       |   | 12/1/2010 |
| Subtotal:                        | 1.0           | %                                            | $                                 | 817,316       |   | $         | 1,557,316 |      |   |
|                             |          |                                         |                              |          |
| Carrier Networking               |          |                                         |                              |          |
| Kodiak Networks, Inc.            |          | $                                            | 196,266                           |          | $      | 196,266   |      | 4/1/2010  |
| Opvista, Inc.                    |          | 807,250                                      |                              | 1,607,250     |   | *         |
| Overture Networks, Inc.          |          | 120,463                                      |                              | 120,463       |   | 2/1/2010  |
| Wavebender, Inc.                 |          | 103,372                                      |                              | 103,372       |   | 1/1/2011  |
| Subtotal:                        | 1.5           | %                                            | $                                 | 1,227,351     |   | $         | 2,027,351 |      |   |
|                             |          |                                         |                              |          |
| Computers & Storage          |          |                                         |                              |          |
| Cloudshield, Inc.                |          | $                                            | 805,441                           |          | $      | 805,441   |      | 4/1/2011  |
| D-Wave Systems, Inc.             |          | 45,043                                       |                              | 45,043        |   | 7/1/2010  |
| Gear Six, Inc.                   |          | 291,222                                      |                              | 291,222       |   | 12/1/2010 |
| NComputing, Inc.                 |          | 445,277                                      |                              | 445,277       |   | 9/1/2010  |
| Panta Systems, Inc.              |          | 78,693                                       |                              | 808,693       |   | *         |
| Vidyo, Inc.                      |          | 809,898                                      |                              | 809,898       |   | 10/1/2010 |
| Subtotal:                        | 2.9           | %                                            | $                                 | 2,475,574     |   | $         | 3,205,574 |      |   |
|                             |          |                                         |                              |          |
| Enterprise Networking            |          |                                         |                              |          |
| Envivio, Inc.                    |          | $                                            | 1,451,594                         |          | $      | 1,451,594 |      | 1/1/2011  |
| PacketMotion, Inc.               |          | 798,291                                      |                              | 798,291       |   | 3/1/2011  |
| Vyatta, Inc.                     |          | 999,379                                      |                              | 999,379       |   | 2/1/2011  |
| Subtotal:                        | 3.9           | %                                            | $                                 | 3,249,264     |   | $         | 3,249,264 |      |   |
|                             |          |                                         |                              |          |
| Internet                         |          |                                         |                              |          |
| Aggregate Knowledge, Inc.        |          | $                                            | 740,354                           |          | $      | 740,354   |      | 12/1/2011 |
| Blekko, Inc.                     |          | 307,107                                      |                              | 307,107       |   | 12/1/2011 |
| BuzzLogic, Inc.                  |          | 486,302                                      |                              | 486,302       |   | 8/1/2011  |
| Collarity, Inc.                  |          | 535,618                                      |                              | 715,618       |   | *         |
| Cuil, Inc.                       |          | 3,563,005                                    |                              | 3,563,005     |   | 12/1/2012 |
| Delve Networks, Inc.             |          | 320,605                                      |                              | 320,605       |   | 7/1/2011  |
| Donnerwood Media, Inc.           |          | 483,185                                      |                              | 483,185       |   | 5/1/2011  |
| EForce Media, Inc.               |          | 762,432                                      |                              | 1,512,432     |   | *         |

----

|                                      |        |           |         |            |        |           |            |           |        |
|--------------------------------------|--------|-----------|---------|------------|--------|-----------|------------|-----------|--------|
| Genius.com, Inc.                     |   | 101,242   |    | 101,242    |   | 8/1/2010  |
| iGroup Network, Inc.                 |   | 53,528    |    | 53,528     |   | 8/1/2010  |
| Inigral, Inc.                        |   | 92,883    |    | 92,883     |   | 8/1/2011  |
| Insider Guides, Inc.                 |   | 792,254   |    | 792,254    |   | 4/1/2011  |
| Koders, Inc.                         |   | 158,735   |    | 158,735    |   | 5/1/2011  |
| Loomia, Inc.                         |   | 351,522   |    | 351,522    |   | 12/1/2011 |
| Multiply, Inc.                       |   | 570,185   |    | 570,185    |   | 9/1/2011  |
| Philotic,  Inc.                      |   | 84,749    |    | 84,749     |   | 7/1/2011  |
| Quantcast, Corp.                     |   | 4,169,098 |    | 4,169,098  |   | 1/1/2013  |
| Radar Networks, Inc.                 |   | 305,023   |    | 305,023    |   | 10/1/2010 |
| RPM Communications, Inc.             |   | 62,632    |    | 222,632    |   | *         |
| SnapJot, Inc.                        |   | —   |    | 103,532    |   | *         |
| SugarSync, Inc.                      |   | 1,645,128 |    | 1,645,128  |   | 5/1/2011  |
| TheFind, Inc.                        |   | 760,747   |    | 760,747    |   | 12/1/2011 |
| ThisNext, Inc.                       |   | 375,549   |    | 375,549    |   | 5/1/2011  |
| Tribe Networks. Inc.                 |   | —   |    | 465,007    |   | *         |
| UStream.TV, Inc.                     |   | 83,540    |    | 83,540     |   | 10/1/2010 |
| VetCentric, Inc.                     |   | 1,420,937 |    | 1,420,937  |   | 10/1/2011 |
| Videojax, Inc.                       |   | 51,331    |    | 311,331    |   | *         |
| Whole Life Connect, Inc              |   | —   |    | 497,174    |   | *         |
| Youku.com, Inc.                      |   | 2,795,891 |    | 2,795,891  |   | 1/1/2012  |
| Subtotal:                            | 25.0   | %         | $       | 21,073,582 |   | $         | 23,489,295 |      |   |
|                                 |   |      |    |       |
| Medical Devices                      |   |      |    |       |
| Accuri Cytometers, Inc.              |   | $         | 328,882 |       | $      | 328,882   |       | 9/1/2010  |
| AirXpanders, Inc.                    |   | 493,179   |    | 493,179    |   | 9/1/2011  |
| Ample Medical, Inc.                  |   | 18,734    |    | 32,734     |   | *         |
| Biomerix, Corp.                      |   | 924,209   |    | 924,209    |   | 12/1/2011 |
| CyberHeart, Inc.                     |   | 975,031   |    | 975,031    |   | 8/1/2011  |
| Evera Medical, Inc.                  |   | 364,779   |    | 564,779    |   | 9/1/2011  |
| iBalance Medical, Inc.               |   | 793,637   |    | 793,637    |   | 9/1/2010  |
| Intellidx, Inc.                      |   | 1,063,114 |    | 1,163,114  |   | 4/1/2011  |
| MyoScience, Inc.                     |   | 517,757   |    | 517,757    |   | 6/1/2011  |
| Nellix, Inc.                         |   | 238,734   |    | 238,734    |   | 7/1/2011  |
| Softscope Medical Technologies, Inc. |   | 262,893   |    | 262,893    |   | 6/1/2011  |
| Varix Medical, Corp.                 |   | 192,363   |    | 192,363    |   | 9/1/2011  |
| Subtotal:                            | 7.3    | %         | $       | 6,173,312  |   | $         | 6,487,312  |      |   |
|                                 |   |      |    |       |
| Other Healthcare                     |   |      |    |       |
| Advanced ICU Care, Inc.              |   | $         | 109,827 |       | $      | 109,827   |       | 10/1/2010 |
| Chakshu Research, Inc.               |   | 512,336   |    | 1,012,336  |   | *         |
| NanoSphere, Inc.                     |   | 1,890,288 |    | 1,890,288  |   | 8/1/2010  |
| Pharmacy TV Network, Inc.            |   | —   |    | 336,005    |   | *         |
| Skylight Healthcare Systems, Inc.    |   | 2,415,766 |    | 2,415,766  |   | 10/1/2011 |
| Subtotal:                            | 5.8    | %         | $       | 4,928,217  |   | $         | 5,764,222  |      |   |

----

|                                  |        |           |         |           |        |           |           |           |        |
|----------------------------------|--------|-----------|---------|-----------|--------|-----------|-----------|-----------|--------|
| Other Technology                 |   |      |    |      |
| EoPlex Tehcnologies,  Inc.       |   | $         | 527,634 |      | $      | 527,634   |      | 6/1/2011  |
| Integrity Block, Inc.            |   | 72,913    |    | 92,913    |   | *         |
| Nanoconduction, Inc.             |   | 439,577   |    | 539,577   |   | *         |
| Nanogram, Corp.                  |   | 449,091   |    | 449,091   |   | 12/1/2010 |
| Nanosolar, Inc.                  |   | 65,578    |    | 65,578    |   | 5/1/2010  |
| Oryxe Energy International, Inc. |   | 391,642   |    | 521,642   |   | *         |
| Sezmi, Corp.                     |   | 1,793,646 |    | 1,793,646 |   | 2/1/2012  |
| Solaria, Corp.                   |   | 2,463,265 |    | 2,463,265 |   | 3/1/2011  |
| Sub-One Technology, Inc.         |   | 1,552,491 |    | 1,552,491 |   | 12/1/2011 |
| Subtotal:                        | 9.2    | %         | $       | 7,755,837 |   | $         | 8,005,837 |      |   |
|                             |   |      |    |      |
| Security                         |   |      |    |      |
| CipherOptics, Inc.               |   | $         | 146,617 |      | $      | 146,617   |      | 3/1/2010  |
| Dragnet Solutions, Inc.          |   | 574,091   |    | 574,091   |   | 6/1/2011  |
| Guardian Analytics, Inc.         |   | 619,189   |    | 619,189   |   | 8/1/2011  |
| Nevis Networks, Inc.             |   | 123,762   |    | 303,762   |   | *         |
| TrustedID, Inc.                  |   | 759,593   |    | 759,593   |   | 6/1/2011  |
| Subtotal:                        | 2.6    | %         | $       | 2,223,252 |   | $         | 2,403,252 |      |   |
|                             |   |      |    |      |
| Semiconductors & Equipment   |   |      |    |      |
| Alereon, Inc.                    |   | $         | 528,072 |      | $      | 528,072   |      | 7/1/2010  |
| Azuro, Inc.                      |   | 326,868   |    | 326,868   |   | 2/1/2010  |
| Celestial Semiconductor, Inc.    |   | 277,398   |    | 1,177,398 |   | *         |
| Cswitch, Corp.                   |   | —   |    | 71,487    |   | *         |
| Discera, Inc.                    |   | 198,132   |    | 198,132   |   | 1/1/2011  |
| Gigafin Networks, Inc.           |   | 72,414    |    | 1,772,414 |   | *         |
| Insilica, Inc.                   |   | 502,965   |    | 502,965   |   | 11/1/2010 |
| Integrated Materials, Inc.       |   | 117,533   |    | 117,533   |   | 3/1/2010  |
| Intelleflex, Corp.               |   | 811,691   |    | 811,691   |   | 4/1/2011  |
| InvenSense, Inc.                 |   | 282,415   |    | 282,415   |   | 1/1/2011  |
| SiPort, Inc.                     |   | 947,603   |    | 947,603   |   | 7/1/2011  |
| Teknovus, Inc.                   |   | 60,910    |    | 60,910    |   | 3/1/2010  |
| Tela Innovations, Inc.           |   | 150,845   |    | 150,845   |   | 10/1/2010 |
| Zenverge, Inc.                   |   | 966,393   |    | 966,393   |   | 7/1/2011  |
| Subtotal:                        | 6.2    | %         | $       | 5,243,239 |   | $         | 7,914,726 |      |   |
|                             |   |      |    |      |
| Software                         |   |      |    |      |
| Anchor Intelligence, Inc.        |   | $         | 648,108 |      | $      | 648,108   |      | 12/1/2011 |
| Athena Design Systems, Inc.      |   | 29,837    |    | 76,837    |   | *         |
| Berkeley Design Automation, Inc. |   | 421,775   |    | 421,775   |   | 4/1/2011  |
| BlueRoads, Corp.                 |   | 175,448   |    | 2,445,448 |   | *         |
| Cloudmark, Inc.                  |   | 856,880   |    | 856,880   |   | 3/1/2011  |
| Cloudshare, Inc.                 |   | 81,561    |    | 81,561    |   | 9/1/2010  |
| Demandbase, Inc.                 |   | 293,081   |    | 293,081   |   | 11/1/2010 |

----

|                              |        |           |           |            |        |           |            |          |        |
|------------------------------|--------|-----------|-----------|------------|--------|-----------|------------|----------|--------|
| Future Point Systems, Inc.   |   | 181,817   |      | 181,817    |   | 4/1/2012  |
| Gazillion, Inc.              |   | 1,312,700 |      | 1,312,700  |   | 3/1/2011  |
| Integrien, Corp.             |   | 1,075,739 |      | 1,075,739  |   | 7/1/2010  |
| JasperSoft, Inc.             |   | 862,849   |      | 862,849    |   | 5/1/2011  |
| Kabira Technologies, Inc.    |   | 1,069,892 |      | 1,069,892  |   | 12/1/2010 |
| Kareo, Inc.                  |   | 101,619   |      | 101,619    |   | 12/1/2010 |
| Market6, Inc.                |   | 301,142   |      | 301,142    |   | 7/1/2010  |
| Orb Networks, Inc.           |   | 158,962   |      | 158,962    |   | 8/1/2010  |
| RingCube Technologies, Inc.  |   | 765,749   |      | 765,749    |   | 10/1/2011 |
| Steelwedge Software , Inc.   |   | 1,228,259 |      | 1,228,259  |   | *         |
| Ultriva, Inc.                |   | 67,256    |      | 67,256     |   | 1/1/2010  |
| Universal Ad, Inc.           |   | 173,583   |      | 348,583    |   | *         |
| Xtime, Inc.                  |   | 176,201   |      | 176,201    |   | 1/1/2011  |
| Zoove, Corp.                 |   | 163,693   |      | 163,693    |   | 7/1/2011  |
| Subtotal:                    | 12.0   | %         | $         | 10,146,151 |   | $         | 12,638,151 |     |   |
|                         |   |      |      |       |
| Technology Services          |   |      |      |       |
| Neutral Tandem, Inc.         |   | $         | 386,537   |       | $      | 386,537   |       | 3/1/2010 |
| OpSource, Inc.               |   | 2,171,701 |      | 2,171,701  |   | 12/1/2011 |
| SG Micro, Inc.               |   | 380,841   |      | 380,841    |   | 4/1/2011  |
| Subtotal:                    | 3.5    | %         | $         | 2,939,079  |   | $         | 2,939,079  |     |   |
|                         |   |      |      |       |
| Wireless                     |   |      |      |       |
| Cellfire, Inc.               |   | $         | 1,041,066 |       | $      | 1,041,066 |       | 4/1/2011 |
| DeFi Mobile, Ltd.            |   | 337,344   |      | 337,344    |   | *         |
| Dilithium Networks, Inc.     |   | 1,530,907 |      | 1,530,907  |   | 6/1/2011  |
| Emotive Communications, Inc. |   | 143,630   |      | 393,630    |   | *         |
| Hands-On Mobile, Inc.        |   | 638,217   |      | 638,217    |   | 5/1/2010  |
| July Systems, Inc.           |   | 523,480   |      | 523,480    |   | *         |
| Nextivity, Inc.              |   | 1,487,664 |      | 2,227,664  |   | *         |
| Ortiva Wireless, Inc.        |   | 1,018,036 |      | 1,018,036  |   | 5/1/2011  |
| Quickoffice, Inc.            |   | 145,523   |      | 145,523    |   | 7/1/2010  |
| SandLinks, Inc.              |   | 125,324   |      | 255,324    |   | *         |
| Send Me, Inc.                |   | 1,529,053 |      | 1,529,053  |   | 4/1/2012  |
| SmartDrive Systems, Inc.     |   | 240,106   |      | 240,106    |   | 6/1/2010  |
| Venturi Wireless, Inc.       |   | 415,453   |      | 415,453    |   | 11/1/2010 |
| Wavion, Inc.                 |   | 629,572   |      | 629,572    |   | 7/1/2010  |
| WiSpry, Inc.                 |   | 57,973    |      | 57,973     |   | 4/1/2010  |
| Subtotal:                    | 11.7   | %         | $         | 9,863,348  |   | $         | 10,983,348 |     |   |
|                         |   |      |      |       |
| Total: (Cost of $90,664,727) | 92.6   | %         | $         | 78,115,522 |   | $         | 90,664,727 |     |   |

----

|         |        |                                                                                                                                  |
|---------|--------|----------------------------------------------------------------------------------------------------------------------------------|
| Level 1 |   | Unadjusted quoted prices for identical assets or liabilities in active markets that are accessible at the measurement date.      |
| Level 2 |   | Prices or valuations based on observable inputs other than quoted prices in active markets for identical assets and liabilities. |
| Level 3 |   | Prices or valuations that require inputs that are both significant to the fair value measurement and unobservable.               |

|                                                                          |           |           |         |         |        |            |           |        |   |            |        |
|--------------------------------------------------------------------------|-----------|-----------|---------|---------|--------|------------|-----------|--------|---|------------|--------|
| As of September 30, 2010                                                 | Level 1   |      | Level 3 |    | Total  |
| ASSETS:                                                                  |      |      |    |    |   |
|       Loans to borrowers                   | $         | —   |    |    | $      | 27,370,992 |      |   | $ | 27,370,992 |   |
|       Other investment                     | —   |      |    | 33,021  |   |       | 33,021    |   |
|       Cash equivalents                     | 5,434,959 |      |    | — |   |       | 5,434,959 |   |
|           Total assets | $         | 5,434,959 |    |    | $      | 27,404,013 |      |   | $ | 32,838,972 |   |

|                                                                          |           |           |         |         |        |            |           |        |   |            |        |
|--------------------------------------------------------------------------|-----------|-----------|---------|---------|--------|------------|-----------|--------|---|------------|--------|
| As of December 31, 2009                                                  | Level 1   |      | Level 3 |    | Total  |
| ASSETS:                                                                  |      |      |    |    |   |
|       Loans to borrowers                   | $         | —   |    |    | $      | 78,115,522 |      |   | $ | 78,115,522 |   |
|       Other investment                     | —   |      |    | 33,247  |   |       | 33,247    |   |
|       Cash equivalents                     | 5,798,774 |      |    | — |   |       | 5,798,774 |   |
|           Total assets | $         | 5,798,774 |    |    | $      | 78,148,769 |      |   | $ | 83,947,543 |   |

----

|                                                 |                           |            |                           |         |                    |        |                 |        |        |             |        |        |   |         |        |
|-------------------------------------------------|---------------------------|------------|---------------------------|---------|--------------------|--------|-----------------|--------|--------|-------------|--------|--------|---|---------|--------|
|                                            | For the Nine Months Ended |       | For the Nine Months Ended |
|                                            | September 30, 2010   |       | September 30, 2009   |
|                                            | Loans to borrowers        |       | Otherinvestment           |    | Loans to borrowers |   | Otherinvestment |
| Beginning balance                               | $                         | 78,115,522 |                      |    | $                  | 33,247 |            |   | $      | 225,801,890 |   |   | $ | — |   |
| Additional investments                          | —                   |       |                      | 2,374   |               |   | 4,113,299       |   |   | 875,000     |   |
| Principal reductions                            | (45,681,939               | )          |                      | (2,600  | )                  |   | (113,374,966    | )      |   | (103,390    | )      |
| Net change in unrealized loss from  investments | (2,386,212                | )          |                      | — |               |   | (2,298,860      | )      |   | (735,000    | )      |
| Net realized loss from investments              | (2,676,379                | )          |                      | — |               |   | (7,402,725      | )      |   | —     |   |
| Ending balance                                  | $                         | 27,370,992 |                      |    | $                  | 33,021 |            |   | $      | 106,838,638 |   |   | $ | 36,610  |   |

|                                    |                           |            |                           |           |        |             |        |
|------------------------------------|---------------------------|------------|---------------------------|-----------|--------|-------------|--------|
|                               | For the Nine Months Ended |       | For the Nine Months Ended |
|                               | September 30, 2010   |       | September 30, 2009   |
| Cash distributions                 | $                         | 49,800,000 |                      |      | $      | 94,000,000  |   |
| Distributions of securities        | 812,597                   |       |                      | 6,501,388 |   |
|                               |                      |       |                      |
| Total distributions to shareholder | $                         | 50,612,597 |                      |      | $      | 100,501,388 |   |

----

----

|                                                                                         |                            |            |                            |         |                           |             |                           |         |        |            |        |        |   |             |        |
|-----------------------------------------------------------------------------------------|----------------------------|------------|----------------------------|---------|---------------------------|-------------|---------------------------|---------|--------|------------|--------|--------|---|-------------|--------|
|                                                                                    | For the Three Months Ended |       | For the Three Months Ended |    | For the Nine Months Ended |        | For the Nine Months Ended |
|                                                                                    | September 30, 2010    |       | September 30, 2009    |    | September 30, 2010   |        | September 30, 2009   |
|                                                                                    |                       |       |                       |    |                      |        |                      |
| Total return *                                                                          | (13.31                     | )%         |                       | 8.04    | %                         |        | (3.54                     | )%      |   | 1.70       | %      |
|                                                                                    |                       |       |                       |    |                      |        |                      |
| Per share amounts:                                                                      |                       |       |                       |    |                      |        |                      |
| Net asset value, beginning of period                                                    | $                          | 484.59     |                       |    | $                         | 1,458.36    |                      |    | $      | 843.90     |   |   | $ | 2,118.90    |   |
| Net investment income                                                                   | 11.31                      |       |                       | 34.40   |                      |        | 41.42                     |    |   | 120.39     |   |
| Net change in unrealized and realized loss from investments and hedging activities | (24.87                     | )          |                       | (5.20   | )                         |        | (50.63                    | )       |   | (105.81    | )      |
| Net increase (decrease) in net assets resulting from operations                         | (13.56                     | )          |                       | 29.20   |                      |        | (9.20                     | )       |   | 14.58      |   |
| Income distribution to shareholder                                                      | 7.40                       |       |                       | 15.22   |                      |        | (14.66                    | )       |   | (35.88     | )      |
| Return of capital to shareholder                                                        | (149.86                    | )          |                       | (374.32 | )                         |        | (491.47                   | )       |   | (969.14    | )      |
|                                                                                    |                       |       |                       |    |                      |        |                      |
| Net asset value, end of period                                                          | $                          | 328.57     |                       |    | $                         | 1,128.46    |                      |    | $      | 328.57     |   |   | $ | 1,128.46    |   |
|                                                                                    |                       |       |                       |    |                      |        |                      |
| Net assets, end of period                                                               | $                          | 32,856,925 |                       |    | $                         | 112,846,231 |                      |    | $      | 32,856,925 |   |   | $ | 112,846,231 |   |
|                                                                                    |                       |       |                       |    |                      |        |                      |
| Ratios to average net assets:                                                           |                       |       |                       |    |                      |        |                      |
|                                                                                    |                       |       |                       |    |                      |        |                      |
| Expenses *                                                                              | 2.83                       |  %    |                       | 2.33    | %                         |        | 2.94                      |  % |   | 3.89       | %      |
| Net investment income *                                                                 | 11.06                      |  %    |                       | 9.46    | %                         |        | 9.77                      |  % |   | 8.92       | %      |
|          * Annualized                      |                       |       |                       |    |                      |        |                      |

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|                         |                            |                                               |                                 |                               |
|-------------------------|----------------------------|-----------------------------------------------|---------------------------------|-------------------------------|
| As of                   | Cumulative AmountDisbursed | PrincipalReductions and FairMarket Adjustment | BalanceOutstanding - Fair Value | Unexpired UnfundedCommitments |
| September 30, 2010 | $934.5 million             | $907.1 million                                | $27.4 million                   | $0                            |
| December 31, 2009  | $934.5 million             | $856.4 million                                | $78.1 million                   | $0                            |

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|                |                                                                                                                                                                                                                               |
|----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| Exhibit Number | Description                                                                                                                                                                                                                   |
| 3(i)           | Articles of Amendment and Restatement as filed with the Maryland Secretary of State on October 14, 2004, incorporated by reference to the Fund's Form 10-Q filed with the Securities and Exchange Commission on May 13, 2005. |
| 3(ii)          | Amended and Restated Bylaws of the Fund, incorporated by reference to the Fund's Form 10-K filed with the Securities and Exchange Commission on March 25, 2010.                                                               |
| 4.1            | Form of Purchase Agreement between the Fund and the Company, incorporated by reference to the Fund's Registration Statement on Form 10 filed with the Securities and Exchange Commission on December 10, 2003.                |
| 31.1-32.2      | Certifications pursuant to The Sarbanes-Oxley Act of 2002.                                                                                                                                                                    |

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|                                      |                         |       |                        |
|--------------------------------------|-------------------------|-------|------------------------|
| By:                                  | /S/ Maurice C. Werdegar | By:   | /S/ Martin D. Eng      |
| Maurice C. Werdegar                  | Martin D. Eng           |
| Chairman and Chief Executive Officer | Chief Financial Officer |
| Date:                                | November 12, 2010  | Date: | November 12, 2010 |

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|                |                                                                                                                                                                                                                               |
|----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| Exhibit Number | Description                                                                                                                                                                                                                   |
| 3(i)           | Articles of Amendment and Restatement as filed with the Maryland Secretary of State on October 14, 2004, incorporated by reference to the Fund's Form 10-Q filed with the Securities and Exchange Commission on May 13, 2005. |
| 3(ii)          | Amended and Restated Bylaws of the Fund, incorporated by reference to the Fund's Form 10-K filed with the Securities and Exchange Commission on March 25, 2010.                                                               |
| 4.1            | Form of Purchase Agreement between the Fund and the Company, incorporated by reference to the Fund's Registration Statement on Form 10 filed with the Securities and Exchange Commission on December 10, 2003.                |
| 31.1-32.2      | Certifications pursuant to The Sarbanes-Oxley Act of 2002.                                                                                                                                                                    |

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|                            |                                                                                                    |
|----------------------------|----------------------------------------------------------------------------------------------------|
| 1.     | I have reviewed this quarterly report on Form 10-Q of Venture Lending & Leasing IV, Inc.; |

|                            |                                                                                                                                                                                                                                                                                                            |
|----------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 2.     | Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; |

|                            |                                                                                                                                                                                                                                                                                         |
|----------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 3.     | Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report; |

|                            |                                                                                                                                                                                                                                                                                                                                           |
|----------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 4.     | The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have: |

|                            |                                                                                                                                                                                                                                                                                             |
|----------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 5.     | The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of registrant's board of directors (or persons performing the equivalent functions): |

----

|                            |                                                                                                    |
|----------------------------|----------------------------------------------------------------------------------------------------|
| 1.     | I have reviewed this quarterly report on Form 10-Q of Venture Lending & Leasing IV, Inc.; |

|                            |                                                                                                                                                                                                                                                                                                            |
|----------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 2.     | Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; |

|                            |                                                                                                                                                                                                                                                                                         |
|----------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 3.     | Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report; |

|                            |                                                                                                                                                                                                                                                                                                                                           |
|----------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 4.     | The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have: |

|                            |                                                                                                                                                                                                                                                                                             |
|----------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| 5.     | The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of registrant's board of directors (or persons performing the equivalent functions): |

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