# EDGAR Filing Document

**Accession Number:** 0001786835
**File Stem:** 0001140361-26-021702
**Filing Date:** 2026-5
**Character Count:** 300162
**Document Hash:** 925d48bbeca48e45b3c1fe68b08c2128
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001140361-26-021702.hdr.sgml**: 20260515

**ACCESSION NUMBER**: 0001140361-26-021702

**CONFORMED SUBMISSION TYPE**: 10-Q

**PUBLIC DOCUMENT COUNT**: 80

**CONFORMED PERIOD OF REPORT**: 20260331

**FILED AS OF DATE**: 20260515

**DATE AS OF CHANGE**: 20260515

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Star Mountain Lower Middle-Market Capital Corp
- **CENTRAL INDEX KEY:** 0001786835

**ORGANIZATION NAME:**
- **EIN:** 842783833
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 10-Q
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 814-01399
- **FILM NUMBER:** 26989358

**BUSINESS ADDRESS:**
- **STREET 1:** 140 EAST 45TH STREET, 37TH FLOOR
- **CITY:** NEW YORK
- **STATE:** NY
- **ZIP:** 10017
- **BUSINESS PHONE:** 646.787.0203

**MAIL ADDRESS:**
- **STREET 1:** 140 EAST 45TH STREET, 37TH FLOOR
- **CITY:** NEW YORK
- **STATE:** NY
- **ZIP:** 10017

**FORMER COMPANY:**
- **FORMER CONFORMED NAME:** Star Mountain Credit Opportunities Fund, LP
- **DATE OF NAME CHANGE:** 20190829

?xml version='1.0' encoding='ASCII'?

------

### UNITED STATES

### SECURITIES AND EXCHANGE COMMISSION

#### Washington, D.C. 20549

### FORM 10-Q

#### (Mark One)
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;☒ **QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934** 

#### For the quarterly period ended March 31, 2026

#### OR
☐ **TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934**

#### Commission file number: 814-01399

## Star Mountain Lower Middle-Market Capital Corp.

#### (Exact Name of Registrant as Specified in its Charter)

---

| | |
|:---|:---|
| **Delaware**<br>| **86-3924884**<br>|
| **(State or Other Jurisdiction of Incorporation or Organization)** | **(I.R.S. Employer Identification No.)** |

---

---

| | |
|:---|:---|
| **140 E. 45th Street,**<br> **New York, NY** | **<br>10017**<br>|
| **(Address of Principal Executive Office)** | **(Zip Code)** |

---

(212) 810-9044

#### (Registrant's Telephone Number, Including Area Code)

#### N/A
(Former name or former address, if changed since last report)

#### Securities registered pursuant to Section 12(b) of the Act:

---

| | | |
|:---|:---|:---|
| **Title of Each Class** | **Trading Symbol(s)** | **Name of Each Exchange on Which Registered** |
| **None** | **N/A** | **N/A** |

---

Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and, (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company," and "emerging growth company" in Rule 12b-2 of the Exchange Act.

---

| | | | |
|:---|:---|:---|:---|
| Large accelerated filer | ☐ | Accelerated filer | ☐ |
| Non-accelerated filer<br>| ☒ | Smaller reporting-company | ☐<br>|
| Emerging growth company | ☒<br>|  |  |

---

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

The number of shares of registrant's common stock ("Common Stock"), $0.001 par value per share, outstanding as of May 15, 2026, was 10,016,984, 0, 0 and 0 of Class I, Class S, Class D and Class SP common shares, respectively.

------

#### **Table of Contents**

---

| | | |
|:---|:---|:---|
|  |  | **<u>Page</u>** |
| **Part I** | **FINANCIAL INFORMATION** |  |
| Item 1. | Financial Statements |  |
|  | &nbsp;&nbsp;&nbsp; [Consolidated Statements of Assets and Liabilities as of March 31, 2026 (Unaudited) and December 31, 2025](#AssetsandLiabilities) | 2<br>|
|  | &nbsp;&nbsp;&nbsp; [Consolidated Statements of Operations for the three months ended](#StatementsofOperations)[March 31, 2026](#AssetsandLiabilities)[and 2025 (Unaudited)](#StatementsofOperations) | 3 |
|  | &nbsp;&nbsp;&nbsp; [Consolidated Statements of Changes in Net Assets for the](#ChangesinNetAssets)[three months ended](#StatementsofOperations)[March 31, 2026](#AssetsandLiabilities)[and 2025](#StatementsofOperations)[(Unaudited)](#ChangesinNetAssets) | 4<br>|
|  | &nbsp;&nbsp;&nbsp; [Consolidated Statements of Cash Flows for the](#CashFlows)[three months ended](#StatementsofOperations)[March 31, 2026](#AssetsandLiabilities)[and 2025](#StatementsofOperations)[(Unaudited)](#CashFlows) | 5<br>|
|  | &nbsp;&nbsp;&nbsp; [Consolidated Schedules of Investments as of March 31, 2026 (Unaudited) and December 31, 2025](#ScheduleofInvestments) | 6<br>|
|  | &nbsp;&nbsp;&nbsp; [Notes to Consolidated Financial Statements (Unaudited)](#NotestoConsolidatedFinanc) | 16 |
| Item 2. | Management's Discussion and Analysis of Financial Condition and Results of Operations | 42 |
| Item 3. | Quantitative and Qualitative Disclosures about Market Risk | 52 |
| Item 4. | Controls and Procedures | 53 |
| **Part II** <br>| **OTHER INFORMATION** |  |
| Item 1. | Legal Proceedings | 53 |
| Item 1A. | Risk Factors | 53 |
| Item 2 | Unregistered Sales of Equity Securities and Use of Proceeds | 53 |
| Item 3. | Defaults Upon Senior Securities | 53 |
| Item 4. | Mine Safety Disclosures | 53 |
| Item 5. | Other Information | 53 |
| Item 6. | Exhibits | 54 |
| Signatures | Signatures | 56 |

---

#### 1 **Table of Contents**

**Part I. Financial Information

Item 1. Financial Statements.**

#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Consolidated Statements of Assets and Liabilities

---

| | | |
|:---|:---|:---|
|  | **March 31, 2026**<br> (unaudited) | **December 31, 2025** |
| **ASSETS** | | |
|  Non-controlled/non-affiliate investments at fair value (amortized cost of $329,423,643 and $324,546,406 as of March 31, 2026 and December 31, 2025, respectively) | $324809261 | $312185808 |
|  Controlled/affiliate investments at fair value (amortized cost of $56,220,287 and $62,459,798 as of March 31, 2026 and December 31, 2025, respectively) | 57200352 | 62857937 |
| Cash | 6226940 | 5470978 |
| Interest receivable | 3746723 | 3410139 |
| Deferred financing cost Credit facility | 1384303 | 1537817 |
| Paydown receivable | 663772 | 392623 |
| Deferred financing cost Unsecured Note | 443565 |  |
| Receivable for investments sold | 254563 | 367810 |
| Other receivable | 57498 | 57498 |
| Prepaid expenses | 36974 | 42423 |
| Dividend receivable |  | 62136 |
| Due from feeder fund |  | 765 |
| &nbsp;&nbsp;&nbsp; **Total assets** | 394823951 | 386385934 |
| **LIABILITIES** |  |  |
| Credit facility payable | 108400000 | 122300000 |
| Unsecured Note payable | 25000000 |  |
| Incentive fees payable (Note 6) | 6391604 | 6223804 |
| Redemptions payable | 5906689 | 5903771 |
| Distributions payable | 5648531 | 5800098 |
| Deferred tax liabilities | 4488042 | 4034663 |
| Credit facility interest payable | 1722113 | 1869030 |
| Management fees payable (Note 6) | 1180133 | 1184837 |
| Professional fees payable | 872072 | 659177 |
| Unsecured Note interest payable | 457347 |  |
| Subscriptions received in advance | 312500 | 467500 |
| Legal fees payable | 293931 | 33735 |
| Reimbursement expense payable | 199222 | 146408 |
| Taxes payable | 126272 | 64147 |
| Other payables | 42723 | 73008 |
| Trade payable |  | 394737 |
| &nbsp;&nbsp;&nbsp; **Total liabilities** | 161041179 | 149154915 |
| Commitments and contingencies (Note 11) |  |  |
| &nbsp;&nbsp;&nbsp; **Net assets** | $233782772 | $237231019 |
| **NET ASSETS** |  |  |
|  Common shares, $0.001 par value (200,000,000 shares authorized, 10,016,984 and 10,105,559 shares issued and outstanding as of March 31, 2026 and December 31, 2025 respectively) | $10017 | $10106 |
| Additional paid-in capital | 254540826 | 256564590 |
| Accumulated undistributed (overdistributed) earnings | (20768071) | (19343677) |
| &nbsp;&nbsp;&nbsp; **Total net assets** | $233782772 | $237231019 |
| **Net asset value per share** | $23.34 | $23.48 |

---

See accompanying notes.

------

*[**Table of Contents**](#TableofContents)*

#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Consolidated Statements of Operations
(Unaudited)

---

| | | |
|:---|:---|:---|
|  | **For the three months ended March 31, 2026** | **For the three months ended March 31, 2026** |
|  | **2026** | **2025** |
| **Non-controlled/non-affiliate investment income:** |  |  |
| &nbsp;&nbsp;&nbsp; Interest income | $7750256 | $8034188 |
| &nbsp;&nbsp;&nbsp; PIK interest income | 359635 | 839888 |
| &nbsp;&nbsp;&nbsp; Other income | 164457 | 178187 |
| &nbsp;&nbsp;&nbsp; Dividend income  | 148972 | 221307 |
| **Controlled/affiliate investment income:** |  |  |
| &nbsp;&nbsp;&nbsp; Interest income | 417821 | 862309 |
| &nbsp;&nbsp;&nbsp; PIK interest income | 313446 | 211436 |
| &nbsp;&nbsp;&nbsp; Other income | 30856 | - |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Total investment income:** | 9185443 | 10347315 |
| **Operating expenses:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Interest and other financing fees | 2360399 | 2541777 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Management fees (Note 6) | 1185892 | 1187647 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Professional fees | 479125 | 598046 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Legal expenses | 436142 | 86060 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; General and administrative fees | 307476 | 260380 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Incentive fees (Note 6) | 167800 | 866402 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Director expenses | 35000 | 35000 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Total expenses**<br>| 4971834 | 5575312 |
| &nbsp;&nbsp;&nbsp; **Net investment income before taxes** | 4213609 | 4772003 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Income tax expense | 62125 | 557415 |
| &nbsp;&nbsp;&nbsp;**Net Investment Income** | 4151484 | 4214588 |
| **Net gain (loss):** |  |  |
| &nbsp;&nbsp;&nbsp;Net realized gain (loss): |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Non-controlled/non-affiliate investments<br>| (7802110) | 1863881 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Net realized gain (loss) on investments | (7802110) | 1863881 |
| &nbsp;&nbsp;&nbsp; Net change in unrealized gain (loss): |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Non-controlled/non-affiliate investments | 7746216 | (5276512) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Controlled/affiliate investments | 581926 | 395927 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Net change in unrealized gain (loss) on investments | 8328142 | (4880585) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Net gain (loss)** | 526032 | (3016704) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**Benefit (provision) for taxes on unrealized appreciation (depreciation) on investments** | (453379) | (50148) |
| &nbsp;&nbsp;&nbsp; **Net increase (decrease) in net assets resulting from operations** | $4224137 | $1147736 |
| **Per common share data:** |  |  |
| Net investment income per share - basic and diluted | $0.41 | $0.42 |
| Net increase (decrease) in net assets resulting from operations per share - basic and diluted | $0.41 | $0.12 |
| Weighted average shares outstanding - basic and diluted | 10184178<br>| 9927237<br>|

---

See accompanying notes.

------

[*Table of Contents*](#TableofContents)

#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Consolidated Statements of Changes in Net Assets
(Unaudited)

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
|  | **Common Stock** | **Common Stock** | | | |
|  **For the three months ended March, 2025** | **Number of** <br> **shares** | **Par value of**<br> **shares** |<br>**Additional paid-**<br> **in capital** | **Accumulated**<br> **undistributed** <br>(overdistributed) <br> **earnings** |<br>**Total net assets** |
|  **Balance, December 31, 2024** | 9857301 | $9858 | $246622366 | $(5802119) | $240830105 |
|  Net investment income | - | - | - | 4214588 | 4214588 |
| Net realized gain (loss)  |  |  |  | 1863881 | 1863881 |
|  Net change in unrealized gain (loss) on investments | - | - | - | (4880585) | (4880585) |
| Benefit (provision) for taxes on unrealized appreciation (depreciation) on investments | -<br>| -<br>| -<br>| (50148) | (50148) |
| Purchases of shares in repurchase offer | (256233) | (256) | (6290286) |  | (6290542) |
|  Stock issued in connection with dividend reinvestment plan | 109175 | 109 | 2671409 | - | 2671518 |
|  **Balance, March 31, 2025** | 9710243 | $9711 | $243003489 | $(4654383) | $238358817 |
|  **For the three months ended March, 2026** |  |  |  |  |  |
|  **Balance, December 31, 2025** | 10105559 | $10106 | $256564590 | $(19343677) | $237231019 |
|  Net investment income | - | - | - | 4151484 | 4151484 |
| Net realized gain (loss) | - |  |  | (7802110) | (7802110) |
|  Net change in unrealized gain (loss) on investments | - | - | - | 8328142 | 8328142 |
| Benefit (provision) for taxes on unrealized appreciation (depreciation) on investments |  |  |  | (453379) | (453379) |
| Issuance of common shares | 49191 | 49 | 1154951 |  | 1155000 |
|  Purchase of shares in repurchase offer | (253072) | (253) | (5906436) | - | (5906689) |
| Distributions declared to stockholders |  |  |  | (5648531) | (5648531) |
|  Stock issued in connection with dividend reinvestment plan | 115306 | 115 | 2727721 | - | 2727836 |
|  **Balance, March 31, 2026** | 10016984 | $10017 | $254540826 | $(20768071) | $233782772 |

---

See accompanying notes.

------

[*Table of Contents*](#TableofContents)

#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Consolidated Statements of Cash Flows
(Unaudited)

---

| | | |
|:---|:---|:---|
|  | **For the three months ended March 31, 2026** | **For the three months ended March 31, 2026** |
|  | **2026** | **2025** |
| **Cash flows from operating activities:** |  |  |
| Net increase (decrease) in net assets resulting from operations | $4224137 | $1147736 |
| &nbsp;&nbsp;&nbsp; Adjustments to reconcile net increase (decrease) in net assets resulting from operations to net cash provided by (used in) operating activities: |  |  |
| &nbsp;&nbsp;&nbsp; Net realized (gain) loss on investments<br>| 7802110 | (1863881) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Net change in unrealized (gain) loss on investments | (8328142) | 4880585 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Net accretion of discounts and amortization of premiums | (536637) | (775181) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Purchases of investments | (14917386) | (18522548) |
| &nbsp;&nbsp;&nbsp; Proceeds from sales of investments<br>| 80898 | 26948 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Proceeds from principal payments | 9335221 | 15157155 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Amortization of deferred financing costs | 180939 | 137400 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Payment-in-kind interest income | (673081) | (1051324) |
| Changes in operating assets and liabilities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Interest receivable | (336584) | (765692) |
| &nbsp;&nbsp;&nbsp; Receivable for investments sold <br>| 113247 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Prepaid expenses | 5449 | 4744 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Dividend receivable | 62136 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Due from feeder fund | 765 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Trade payable | (394737) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Taxes payable | 62125 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Management fees payable (Note 6)<br>| (4704) | 187647 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Incentive fees payable (Note 6)<br>| 167800 | 866402 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Credit facility interest payable | (146917) | 1786 |
| &nbsp;&nbsp;&nbsp; Unsecured Note interest payable <br>| 457347 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Professional fees payable | 212895 | (105547) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deferred tax liabilities | 453379 | 50148 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other payables | (30285) | 721147 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Legal fees payable | 260196 | 37014 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Reimbursement expense payable | 52814 | 100054 |
| &nbsp;&nbsp;&nbsp; Due to feeder fund<br>| - | 22720 |
| **Net cash provided by (used in) operating activities** | (1897015) | 257313 |
| **Cash flows from financing activities:** |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Proceeds from issuance of common shares, including subscriptions received in advance | 1000000 | 8765989 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Payments in repurchase of shares | (5903771) | (5637890) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Proceeds from credit facility | 33100000 | 19300000 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Repayments of credit facility | (47000000) | (19500000) |
| &nbsp;&nbsp;&nbsp; Proceeds from unsecured note <br>| 25000000 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Distributions paid | (3072262) | (2651253) |
| &nbsp;&nbsp;&nbsp; Deferred financing and debt issuance costs paid<br>| (470990) | 15625 |
| &nbsp;&nbsp;&nbsp; **Net cash provided by (used in) financing activities** | 2652977 | 292471 |
| **Net increase (decrease) in Cash** | 755962 | 549784 |
| **Cash, beginning of period** | 5470978 | 4028665 |
| **Cash, end of period** | $6226940 | $4578449 |
| Supplemental disclosures of cash flow information: |  |  |
| Non cash operating activities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Interest received in kind | $673081 | $1051324 |
| Supplemental and non cash financing activities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Shares issued from dividend reinvestment plan (see Note 10) | $2727836 | $2671518 |
| Supplemental Information: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Cash paid for interest | $1752921 | $2138727 |

---

See accompanying notes.

------

*[**Table of Contents**](#TableofContents)*

#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Consolidated Schedule of Investments – (continued) March 31, 2026 (Unaudited)

---

| | | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Portfolio Company (1)(2)(3)(4)(5)(6)** | **Footnotes** | **Spread Above Index (7)** | **Interest Rate** | **Acquisition Date** | **Maturity** | **Principal, Shares,**<br> **Units** | **Principal, Shares,**<br> **Units** | **Amortized Cost (8)** | **Fair Value (9)** | **% of Net Assets** |
| **Investments** |  |  |  |  |  |  |  | | |  |
| **Non-controlled/non-affiliate investments** |  |  |  |  |  |  |  | | |  |
| &nbsp;&nbsp;&nbsp; **First lien senior secured term loan** |  |  |  |  |  |  |  | | |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Aerospace & Defense**  |  |  |  |  |  |  |  | | |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Consolidated Machine & Tool Holdings, LLC | (18)(21)(22) | S+13.01% PIK  | 16.69% PIK | 1/15/2020 | 1/15/2025 |  | 467915 | 585091 | - | 0.0% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Consolidated Machine & Tool Holdings, LLC | &nbsp;&nbsp;&nbsp;&nbsp;(18)(21)(22) | S+14.01% PIK | 17.69% PIK | 11/22/2023 | 1/15/2025 |  | 30319 | 62094 | - | 0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Consolidated Machine & Tool Holdings, LLC | (18)(21)(22)  |  | 20.00% PIK | 11/22/2023 | 1/15/2025 |  | 38003 | 25452 | - | 0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Consolidated Machine & Tool Holdings, LLC | (13)(18)  |  | 11.00% PIK  | 5/22/2024 | 6/30/2026 |  | 54317 | 68504 | - | 0 |
|  |  |  |  |  |  |  | 590554 | 741141 | - | 0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Building Products** |  |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Built by Grid, LLC | (10)(16) | S+7.18% | 10.86% | 12/5/2025 | 12/5/2030 |  | 1883561 | 1843525 | 1885633 | 0.8% |
|  |  |  |  |  |  |  | 1883561 | 1843525 | 1885633 | 0.8 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Chemicals** |  |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Douglas Products and Packaging Company, LLC | (10)(15) | S+7.65% | 11.31% | 9/20/2023 | 9/20/2028 |  | 14625000 | 14344438 | 14625000 | 6.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Douglas Products and Packaging Company, LLC | (10)(15) | S+8.04% | 11.70% | 8/28/2025 | 9/20/2028 |  | 5223031 | 5122851 | 5223031 | 2.2 |
|  |  |  |  |  |  |  | 19848031 | 19467289 | 19848031 | 8.5 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Commercial Services & Supplies** |  |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Swyft AcquireCo LLC (dba Swyft Filings) | (10)(15) | S+2.75% | 6.43% | 12/20/2021 | 12/20/2027 |  | 283951 | 283610 | 283951 | 0.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Swyft AcquireCo LLC (dba Swyft Filings) | (10)(15) | S+7.63% | 11.33% | 12/20/2021 | 12/20/2027 |  | 3682383 | 3660499 | 3623833 | 1.6 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Versar Inc. | (10)(16) | S+9.58% | 13.07% | 8/4/2023 | 8/4/2028 |  | 10000000 | 9777923 | 10000000 | 4.3 |
|  |  |  |  |  |  |  | 13966334 | 13722032 | 13907784 | 6.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Construction & Engineering** |  |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Fremont-Wright, LLC | (15) | S+9.10% | 12.76%<br>| 12/2/2020 | 6/30/2026 |  | 4042177 | 4042177 | 4042177 | 1.7 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Kassel Mechanical, LLC | (15) | S + 7.84% Cash + 0.16% PIK | 11.50% Cash + 0.16% PIK | 3/17/2025 | 9/17/2029 |  | 22467255 | 22166092 | 22467255 | 9.6 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Kelso Industries | (16) | S+5.75% | 9.43%<br>| 12/31/2024 | 12/30/2029 |  | 12578373 | 12453491 | 12424916 | 5.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; MechanAir, LLC | (16) | S+6.00% | 9.70% | 12/18/2025 | 12/18/2031 |  | 652987 | 652987 | 652987 | 0.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; MechanAir, LLC | (16)(25) | S+6.00% | 9.70% | 12/18/2025 | 12/18/2031 |  | 5775000 | 5732847 | 5665853 | 2.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Vertical Mechanical Group, LLC | (10)(16) | S+8.73% | 12.41% | 5/12/2023 | 5/12/2028 |  | 12037143 | 11890184 | 12041958 | 5.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; The Stonewall Group LLC | (10)(16) | S + 9.69% Cash | 13.35% | 1/16/2026 | 11/18/2029 |  | 2005946 | 1986942 | 1986942 | 0.8 |
|  |  |  |  |  |  |  | 59558881 | 58924720 | 59282088 | 25.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Distributors** |  |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 48forty Intermediate Holdings, Inc. | (16) | S+5.00% | 8.68%<br>| 1/14/2026 | 1/15/2031 |  | 1215409 | 1215409 | 1215409 | 0.5 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 48forty Intermediate Holdings, Inc. | (16) | S+5.25% | 8.93%<br>| 1/14/2026 | 1/15/2031 |  | 1620545 | 1620545 | 1620545 | 0.7 |
|  |  |  |  |  |  |  | 2835954 | 2835954 | 2835954 | 1.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Diversified Telecommunication Services** |  |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Gridsource Incorporated, LLC | (16) | S+7.00% | 10.68%<br>| 12/16/2022 | 3/30/2029 |  | 14000704 | 13852183 | 13177462 | 5.6 |
|  |  |  |  |  |  |  | 14000704 | 13852183 | 13177462 | 5.6 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Electrical Equipment** |  |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Masterwork Electronics, Inc. | (15)(18) | S+7.65% | 11.33% | 11/17/2022 | 11/17/2027 |  | 8840576 | 8647919 | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Masterwork Electronics, Inc. | (15)(17)(18) | S+7.65% | 11.33% | 11/17/2022 | 11/17/2027 |  | 521739 | 521739 | - | 0.0 |
|  |  |  |  |  |  |  | 9362315 | 9169658 | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Entertainment** |  |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Chicken Soup For The Soul, LLC | (16)(18)(22) | S+8.60% | 12.26%<br>| 10/29/2021 | 3/31/2024 |  | 6380856 | 6380856 | 3476929 | 1.5 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Chicken Soup For The Soul, LLC | (18) | -<br>| 19.00% PIK | 8/7/2025 | 8/7/2026 |  | 1107790 | 1107790 | 1107790 | 0.5 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Linden Research, Inc. (dba Linden Labs) | (10)(16) | S + 7.26% Cash | 10.94%<br>| 12/31/2020 | 9/30/2028 |  | 17954471 | 17825358 | 17954471 | 7.7 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; NW Entertainment, LLC | (16) | S + 8.51% Cash + 1.50% PIK | 12.19% Cash + 1.50% PIK | 11/4/2022 | 11/4/2027 |  | 6154567 | 6097075 | 5984701 | 2.6 |
|  |  |  |  |  |  |  | 31597684 | 31411079 | 28523891 | 12.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Healthcare Providers & Services** |  |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; BB-HH Platform, Inc. (dba Preferred Care Home Health) | (10)(16) | S + 7.00% Cash + 1.50% PIK | 10.68% Cash + 1.50% PIK | 5/16/2023 | 5/16/2028 |  | 8189878 | 8098823 | 8189878 | 3.5 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; IPA Intermediate Co., LLC (dba Integrated Pain Associates) | (16) | S+7.75% | 11.43% | 1/9/2023 | 1/9/2028 |  | 12234778 | 12095587 | 12234778 | 5.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; IPA Intermediate Co., LLC (dba Integrated Pain Associates) | (16) | S+7.75% | 11.43% | 12/18/2025 | 1/9/2028 |  | 425532 | 425532 | 425532 | 0.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Klein Hersh, LLC | (10)(16) | S+0.63% | 3.92% | 4/27/2022 | 4/27/2028 |  | 17269167 | 16805140 | 14889476 | 6.4 |
|  |  |  |  |  |  |  | 38119355 | 37425082 | 35739664 | 15.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Hotels, Restaurants & Leisure** |  |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; The Range NYC, LLC (dba Five Iron Golf) | (16) | S+7.61% | 11.29% | 9/15/2022 | 9/15/2027 |  | 3319328 | 3319328 | 3347210 | 1.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; The Range NYC, LLC (dba Five Iron Golf) | (16) | S+7.61% | 11.29% | 9/15/2022 | 9/15/2027 |  | 4771008 | 4712278 | 4812993 | 2.1 |
|  |  |  |  |  |  |  | 8090336 | 8031606 | 8160203 | 3.5 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Household Durables** |  |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; SkyBell Technologies, Inc. | (18)(21)(22) | S + 13.26% PIK | 16.94% PIK | 12/13/2019 | 12/13/2024 |  | 4828409 | 4534395 | 3867034 | 1.7 |
|  |  |  |  |  |  |  | 4828409 | 4534395 | 3867034 | 1.7 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Household Products** |  |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; CHG Parent Holding LLC (dba Coop Home Goods) | (10)(16) | S+7.66% | 11.34% | 6/18/2021 | 6/27/2026 |  | 12683981 | 12610577 | 12683981 | 5.4 |
|  |  |  |  |  |  |  | 12683981 | 12610577 | 12683981 | 5.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Machinery** |  |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Texas Contract Manufacturing Group, Inc. | (16)(18) | S + 5.11% Cash + 4.00% PIK | 8.79% Cash + 4.00% PIK | 4/27/2022 | 4/27/2027 |  | 4427923 | 4382029 | 2942355 | 1.3 |
|  |  |  |  |  |  |  | 4427923 | 4382029 | 2942355 | 1.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Media** |  |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; PadSquad, LLC | (10)(16) | S+7.36% | 11.04% | 3/30/2022 | 3/30/2027 |  | 2620175 | 2601585 | 2597903 | 1.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Trailer Park Group Holdings LLC | (10)(16) | S+ 7.26% Cash | 10.94% | 8/2/2021 | 8/2/2026 |  | 14022619 | 13980921 | 12973727 | 5.5 |
|  |  |  |  |  |  |  | 16642794 | 16582506 | 15571630 | 6.6 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Personal Products** |  |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Japonesque, LLC | (10)(16) | S + 5.57% Cash + 3.87% PIK | 9.25% Cash + 3.87% PIK | 11/23/2021 | 6/30/2027 |  | 4323566 | 4293971 | 4304975 | 1.8 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Japonesque, LLC |  | -<br>| 18.00% PIK | 8/5/2025 | 6/30/2027 |  | 231148 | 226525 | 217440 | 0.1 |
|  |  |  |  |  |  |  | 4554714 | 4520496 | 4522415 | 1.9 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Professional Services** |  |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; CorTech, LLC | (16) | S + 7.60% Cash + 2.00% PIK | 11.28% Cash + 2.00% PIK<br>| 6/3/2025 | 6/30/2026 |  | 7531870 | 7503182 | 7531870 | 3.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Jefferson Consulting Group, LLC | (10)(16) | S + 9.42% Cash + 4.25% PIK | 13.10% Cash + 4.25% PIK | 7/1/2024 | 7/1/2029 |  | 8859513 | 8742679 | 7935466 | 3.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; PQT Ayaquhs, LLC (dba WWC Global) | (16) | S+7.38% | 11.06% | 8/1/2022 | 8/1/2029 |  | 3437642 | 3414275 | 3437642 | 1.5 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Qualified Digital, LLC | (16) | S+7.00% | 10.68% | 7/30/2024 | 7/30/2029 |  | 11956071 | 11795473 | 12073241 | 5.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Qualified Digital, LLC | (16) | S+7.00% | 10.68% | 7/30/2024 | 7/30/2029 |  | 2441786 | 2344500 | 2450304 | 1.0 |
|  |  |  |  |  |  |  | 34226882 | 33800109 | 33428523 | 14.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Specialty Retail** |  |  |  |  |  | ` |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Clearview Systems, LLC (dba Rip-it) | (10)(16) | S + 7.65% Cash + 3.00% PIK | 11.33% Cash + 3.00% PIK | 10/11/2022 | 10/11/2027 |  | 7035076 | 6987462 | 7035076 | 3.0 |
|  |  |  |  |  |  |  | 7035076 | 6987462 | 7035076 | 3.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Trading Companies & Distributors** |  |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Ambient Enterprises Holdco LLC | (16) | S+5.25% | 8.93% | 12/31/2024 | 6/30/2030 |  | 1253385 | 1253385 | 1253385 | 0.5 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Ambient Enterprises Holdco LLC | (16) | S+5.25% | 8.93% | 10/31/2025 | 6/30/2030 |  | 417155 | 406724 | 412362 | 0.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Ambient Enterprises Holdco LLC | (16) | S+5.25% | 8.93% | 12/31/2024 | 6/30/2030 |  | 6356411 | 6279824 | 6356411 | 2.7 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Ambient Enterprises Holdco LLC | (16) | S+5.25% | 8.93% | 12/31/2024 | 6/30/2030 |  | 1766775 | 1744812 | 1766775 | 0.8 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Ambient Enterprises Holdco LLC | (16) | S+5.25% | 8.93% | 7/3/2025 | 6/30/2030 |  | 513265 | 502354 | 513265 | 0.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Ambient Enterprises Holdco LLC | (16) | S+5.25% | 8.93% | 7/3/2025 | 6/30/2030 |  | 620601 | 620601 | 620601 | 0.3 |
|  |  |  |  |  |  |  | 10927592<br>| 10807700 | 10922799 | 4.7 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Transportation Infrastructure** |  |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; TCP Acquisition, LLC (dba HighStar Traffic) | (16) | S + 7.50% Cash + 2.00% PIK | 11.18% Cash + 2.00% PIK | 7/26/2022 | 7/26/2027 |  | 9873750 | 9803746 | 9356365 | 4.0 |
|  |  |  |  |  |  |  | 9873750 | 9803746 | 9356365 | 4.0 |
| &nbsp;&nbsp;&nbsp; **Total first lien senior secured term loan** |  |  |  |  |  |  |  | $**301453289** | $**283690888** | 121.4% |

---

See accompanying notes.

------

[**Table of Contents**](#TableofContents)

#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Consolidated Schedule of Investments – (continued) March 31, 2026 (Unaudited)

---

| | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Portfolio Company (1)(2)(3)(4)(5)(6)** | **Footnotes** | **Spread Above Index (7)** | **Interest Rate** | **Acquisition Date** | **Maturity** | **Principal,Shares, Units** | **Amortized Cost (8)** | **Fair Value (9)** | **% of Net Assets** |
| &nbsp;&nbsp;&nbsp; **Senior unsecured notes** | (23) |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Electrical Equipment** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; HH Masterwork Intermediate, Inc. | (18)(21) | - | 17.00% PIK | 11/17/2022 | 5/17/2028 | 2155820 | $2033098 | $- | 0.0% |
|  |  |  |  |  |  | 2155820 | 2033098 | - | 0.0 |
| &nbsp;&nbsp;&nbsp; **Total senior unsecured notes** |  |  |  |  |  |  | **2033098** | **-** | 0.0 |
| &nbsp;&nbsp;&nbsp; **Preferred equity securities** | **(12)(23)** |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Building Products** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Built by Grid, LLC | (20)(24) | - | - | 12/5/2025<br>| - | 214378 | 214378 | 241246 | 0.1 |
|  |  |  |  |  |  | 214378 | 214378 | 241246 | 0.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Commercial Services and Supplies** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Swyft Filings Holdings, LLC | (13)(19)(20)(24) | -<br>| 8.00% PIK | 12/20/2021 | - | 192444 | 183612 | 155703 | 0.1 |
|  |  |  |  |  |  | 192444 | 183612 | 155703 | 0.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Construction & Engineering** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; MechanAir Holdings, LLC | (13)(20)(24) | - | 13.50% PIK | 9/2/2021 | - | 1704 | 1703499 | 3251630 | 1.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; MechanAir Holdings, LLC | (13)(20)(24) | - | -<br>| 9/17/2025 | - | 65 | 61608 | 726935 | 0.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Vertical Mechanical Group Holdings, LLC | (20)(24) | - | 8.00% PIK | 5/12/2023 | - | 185714 | 1857143 | 6551429 | 2.8 |
|  |  |  |  |  |  | 187483 | 3622250 | 10529994 | 4.5 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Distributors** |  |  |  |  |  |  | - |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 48forty Intermediate Holdings, Inc. (Alpine Acquisition Corp) | (24) | -<br>| -<br>| 1/14/2026 | - | 810 | 4177998 | 4178000 | 1.8 |
|  |  |  |  |  |  | 810 | 4177998 | 4178000 | 1.8 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Diversified Telecommunication Services** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Gridsource Holdings, LLC | (20)(24) | -<br>| 8.00% PIK | 3/9/2023 | - | 3959977 | 799597 | 267023 | 0.1 |
|  |  |  |  |  |  | 3959977 | 799597 | 267023 | 0.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Entertainment** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; NW Entertainment, LLC | (20)(24) | - | 10.00% PIK | 11/4/2022 | - | 1183 | 1134428 | 1468650 | 0.6 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; NW Entertainment, LLC | (20)(24) | - | 12.00% PIK | 2/27/2025 | - | 826 | 531143 | 964947 | 0.4 |
|  |  |  |  |  |  | 2009 | 1665571 | 2433597 | 1.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Healthcare Providers & Services** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; IPA Investors, LP (dba Integrated Pain Associates) | (20)(24) | -<br>| 8.00% PIK | 1/9/2023 | - | 2749 | 2573151 | 2947050 | 1.3 |
|  |  |  |  |  |  | 2749 | 2573151 | 2947050 | 1.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Media** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; PadSquad Holdings, LLC | (13)(20)(24) | - | 6.00% Cash + 6.00% PIK | 3/30/2022 | - | 720767 | 1964204 | 3218031 | 1.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Trailer Park Group Holdings, LLC Class A-1 Units | (13)(20)(24) | - | 15.00% PIK | 12/19/2023 | - | 40888 | 73599 | 74745 | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Trailer Park Group Holdings LLC - Class A Units | (13)(20)(24) | - | 8.00% PIK | 8/2/2021 | - | 371822 | 404702 | 8366 | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Trailer Park Group Holdings LLC | (13)(20)(24) | - | 15.00% PIK | - | - | 37594 | - | 75127 | 0.0 |
|  |  |  |  |  |  | 1171071 | 2442505 | 3376269 | 1.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Professional Services** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Hometown Holdings JV, LLC (dba BWG Strategy) | (13)(20)(24) | - | 8.00% Preferred Return | 12/24/2020 | - | 666667 | 659761 | 614167 | 0.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; JCFV Holdings, LLC | (20)(24) | - | 8.00% PIK | 7/1/2024 | - | 415916 | 1538462 | 780769 | 0.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; PQT Ayaquhs, LLC (dba WWC Global) | (13)(20)(24) | - | 10.50% PIK | 8/1/2022 | - | 5774 | 1064516 | 4519355 | 1.9 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; SPC QD SM, LP | (20)(24) | - | -<br>| 7/30/2024 | - | 42 | 2207572 | 2655714 | 1.1 |
|  |  |  |  |  |  | 1088399 | 5470311 | 8570005 | 3.6 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Software** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; PureCars Technologies, LLC | (13)(20)(24) | -<br>| 8.00% PIK | 4/17/2019 | - | 592 | 267013 | 270957 | 0.1 |
|  |  |  |  |  |  | 592 | 267013 | 270957 | 0.1 |
| &nbsp;&nbsp;&nbsp; **Total preferred equity securities** |  |  |  |  |  |  | **21416386** | **32969844** | 14.0 |
| &nbsp;&nbsp;&nbsp; **Warrants and other equity securities** | (12)(23) |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Construction & Engineering** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Fremont-Wright, LLC | (24) | -<br>| -<br>| 12/2/2020 | - | 2 | - | 1507286 | 0.6 |
|  |  |  |  |  |  | 2 | - | 1507286 | 0.6 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Distributors** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 48forty Intermediate Holdings, Inc. | (19)(24) | -<br>| -<br>| 10/11/2022 | - | 1994 | - | - | 0.0 |
|  |  |  |  |  |  | 1994 | - | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Electrical Equipment** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; HH Masterwork Intermediate, Inc. | (18)(24) | -<br>| -<br>| 11/17/2022 | - | 190019 | - | - | 0.0 |
|  |  |  |  |  |  | 190019 | - | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Entertainment** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; LRI Holdco, LLC (dba Linden Labs) | (20)(24) | - | - | 12/31/2020 | - | 1 | - | 139058 | 0.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; LRI Holdco, LLC (dba Linden Labs) | (24) | - | - | 12/31/2020 | - | 1 | 43478 | 185489 | 0.1 |
|  |  |  |  |  |  | 2 | 43478 | 324547 | 0.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Healthcare Providers & Services** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Klein Hersh, LLC |  | - | - | 4/27/2022 | - | 1003 | - | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Nurses 24/7 Holdings, LLC | (20)(24) | - | - | 5/26/2023 | - | 182 | 419877 | - | 0.0 |
|  |  |  |  |  |  | 1185 | 419877 | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Hotels, Restaurants & Leisure** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; The Range NYC, LLC (dba Five Iron Golf) | (24) | -<br>| -<br>| 9/15/2022 | - | 40593 | 71599 | 242023 | 0.1 |
|  |  |  |  |  |  | 40593 | 71599 | 242023 | 0.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Household Durables** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; SkyBell Technologies, Inc. | (18)(24) | -<br>| -<br>| 12/13/2019 | - | 1917813 | - | - | 0.0 |
|  |  |  |  |  |  | 1917813 | - | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Household Products** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; CHG Parent Holding LLC (dba Coop Home Goods) | (20)(24) | -<br>| -<br>| 6/18/2021 | - | 535714 | 535714 | 1401339 | 0.6 |
|  |  |  |  |  |  | 535714 | 535714 | 1401339 | 0.6 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Machinery** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Texas Contract Manufacturing Group, Inc. | (24) | -<br>| -<br>| 4/27/2022<br>| - | 1602 | - | - | 0.0 |
|  |  |  |  |  |  | 1602 | - | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Media** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Channel Factory Holdings, LLC | (13)(20)(24) | -<br>| -<br>| 3/31/2025<br>| - | 819478 | - | 1476092 | 0.6 |
|  |  |  |  |  |  | 819478 | - | 1476092 | 0.6 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Professional Services** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; CorTech, LLC | (24) | - | - | 6/30/2025 | - | 1 | - | 81853 | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; NSC Holdings, LLC | (20)(24) | - | - | 4/26/2019 | - | 111 | 271262 | 713240 | 0.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; PQT Ayaquhs, LLC (dba WWC Global) | (24) | - | - | 8/1/2022 | - | 645 | - | 330645 | 0.1 |
|  |  |  |  |  |  | 757 | 271262 | 1125738 | 0.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Software** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Proactive Dealer Holdings Parent, LLC | (20)(24) | -<br>| 10.00% PIK | 6/10/2024 | - | 445 | 730271 | 146258 | 0.1 |
|  |  |  |  |  |  | 445 | 730271 | 146258 | 0.1 |
| &nbsp;&nbsp;&nbsp; **Total warrants and other equity securities** |  |  |  |  |  |  | **2072201** | **6223283** | 2.6 |
| &nbsp;&nbsp;&nbsp; **Fund investments** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Diversified Financials** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Madryn Select Opportunities, LP | (17)(24) | -<br>| -<br>| 1/4/2022 | - | - | 2448669 | 1925246 | 0.8 |
|  |  |  |  |  |  | - | 2448669 | 1925246 | 0.8 |
| &nbsp;&nbsp;&nbsp; **Total fund investments** |  |  |  |  |  |  | **2448669** | **1925246** | 0.8 |
| &nbsp;&nbsp;&nbsp; **Total non-controlled/non-affiliate investments** |  |  |  |  |  |  | $**329423643** | $**324809261** | 138.8% |

---

See accompanying notes.

------

[**Table of Contents**](#TableofContents)

#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Consolidated Schedule of Investments March 31, 2026

---

| | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Portfolio Company (1)(2)(3)(4)(5)(6)** | **Footnotes** | **Spread Above Index (7)** | **Interest Rate** | **Acquisition Date** | **Maturity** | **Principal, Shares,**<br> **Units** | **Amortized Cost (8)** | **Fair Value (9)** | **% of Net Assets** |
| **Controlled/affiliate investments** |  |  |  |  |  | | | | |
| &nbsp;&nbsp;&nbsp; **First lien senior secured term loan** |  |  |  |  |  | | | | |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Aerospace & Defense** |  |  |  |  |  | | | | |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Delva Master Holdings | (11)(15)(18) | S+10.26% | 13.92%<br>| 8/13/2025 | 9/1/2030 | 1651442 | $901698 | $1523125 | 0.7% |
|  |  |  |  |  |  | 1651442 | 901698 | 1523125 | 0.7 |
| &nbsp;&nbsp;&nbsp; **Construction & Engineering** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Watt Acquisition, LLC | (10)(11)(16) | S + 8.77% Cash + 5.38% PIK | 12.55% Cash + 5.38% PIK | 4/15/2022 | 4/15/2027 | 1647028 | 1638964 | 1647028 | 0.7 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Watt Acquisition, LLC | (10)(11)(16) | S + 8.00% Cash | 11.68%<br>| 2/5/2026 | 2/4/2027 | 530899 | 530899 | 522033 | 0.2 |
|  |  |  |  |  |  | 2177927 | 2169863 | 2169061 | 0.9 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Diversified Telecommunication Services** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Caregility Corporation | (11)(16) | S + 3.33% Cash + 5.93% PIK | 7.01% Cash + 5.93% PIK | 12/29/2021 | 10/31/2026 | 2648118 | 2553019 | 2598068 | 1.1 |
|  |  |  |  |  |  | 2648118 | 2553019 | 2598068 | 1.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Food Products** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Uncle John's Pride, LLC | (11)(15) | S+8.11% | 11.77% | 3/31/2022 | 3/31/2027 | 1736045 | 1736045 | 1736045 | 0.7 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Uncle John's Pride, LLC | (11)(15) | S+8.11% | 11.77% | 3/31/2022 | 3/31/2027 | 5102439 | 5061974 | 5102439 | 2.2 |
|  |  |  |  |  |  | 6838484 | 6798019 | 6838484 | 2.9 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Healthcare Providers & Services** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Arrow Home Health, LLC (dba Acara Home Health) | (11)(16) | S+10.50% | 14.18% | 3/19/2021 | 5/20/2026 | 990533 | 980569 | 969732 | 0.4 |
|  |  |  |  |  |  | 990533 | 980569 | 969732 | 0.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Leisure Products** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; MPUSA, LLC (dba Mission) | (11)(16) | S + 9.26 PIK | 12.94% PIK | 12/9/2021 | 12/9/2026 | 1844951 | 1841272 | 1750121 | 0.7 |
|  |  |  |  |  |  | 1844951 | 1841272 | 1750121 | 0.7 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Trading Companies & Distributors** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; USBid Inc. | (10)(11)(16) | S+8.26% | 11.94% | 11/3/2022 | 11/3/2027 | 2648797 | 2627268 | 2591053 | 1.1 |
|  |  |  |  |  |  | 2648797 | 2627268 | 2591053 | 1.1 |
| &nbsp;&nbsp;&nbsp; **Total first lien senior secured term loan** |  |  |  |  |  |  | **17871708** | **18439644** | 7.8 |
| &nbsp;&nbsp;&nbsp; **Senior unsecured notes** | (23) |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Consumer Finance** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Microf, LLC | (11)(16) | S+10.85% | 14.53%<br>| 3/29/2019 | 11/30/2027 | 3714429 | 3675236 | 3698085 | 1.6 |
|  |  |  |  |  |  | 3714429 | 3675236 | 3698085 | 1.6 |
| &nbsp;&nbsp;&nbsp; **Total senior unsecured notes** |  |  |  |  |  |  | **3675236** | **3698085** | 1.6 |
| &nbsp;&nbsp;&nbsp; **Preferred equity securities** | (12)(23) |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Aerospace & Defense** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Delva Master Holdings | (11)(18)(24) | -<br>| 18.00% PIK | 8/13/2025<br>| - | 1636 | 7679427 | 7905825 | 3.4 |
|  |  |  |  |  |  | 1636 | 7679427 | 7905825 | 3.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Construction & Engineering** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Watt Contracting Holdings, LLC | (11)(20)(24) | - | 15.00% PIK | 4/15/2022 | - | 4439 | 4380196 | 7566428 | 3.2 |
|  |  |  |  |  |  | 4439 | 4380196 | 7566428 | 3.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Diversified Telecommunication Services** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Caregility Corporation - Series A-1 Units | (11)(13)(24) | - | 8.00% PIK | 12/31/2022 | - | 151018 | 2076097 | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Caregility Corporation - Series A-1 Units | (11)(13)(24) |  |  | 12/31/2022 |  | 145593 | - | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Caregility Corporation - Series B Units | (11)(13)(24) | - | 8.00% PIK | 7/3/2023 | - | 446689 | 3591494 | 4471665 | 1.9 |
|  |  |  |  |  |  | 743300 | 5667591 | 4471665 | 1.9 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Food Products** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; UJP Acquisition, LLC (dba Uncle John's Pride) | (11)(13)(20)(24) | -<br>| 8.00% PIK | 3/31/2022 | - | 2829787 | 2829787 | 5079468 | 2.2 |
|  |  |  |  |  |  | 2829787 | 2829787 | 5079468 | 2.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Healthcare Providers & Services** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Arrow Home Health, LLC (dba Acara Home Health) - Class A Units | (11)(20)(24) | -<br>| 10.00% Preferred Return | 3/19/2021 | - | 571080 | 564321 | 421888 | 0.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Arrow Home Health, LLC (dba Acara Home Health) - Class 1 Units | (11)(13)(20)(24) | -<br>| -<br>| 11/13/2023 | - | 56005 | 56005 | 112010 | 0.0 |
|  |  |  |  |  |  | 627085 | 620326 | 533898 | 0.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Leisure Products** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; TS-MP, LLC (dba Mission) - Class A-1 | (11)(20)(24) | - | - | 12/9/2021 | - | 69 | 1928409 | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; TS-MP, LLC (dba Mission) - Class AA-1 | (11)(20)(24) | - | - | 12/10/2024 | - | 88 | 1960641 | 1628921 | 0.7 |
|  |  |  |  |  |  | 157 | 3889050 | 1628921 | 0.7 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Professional Services** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Capone Holdings JV, LLC (dba LaSalle Staffing) | (11)(20)(24) | -<br>| 8.00% Preferred Return | 2/15/2022<br>| - | 4000000 | 4000000 | 6093333 | 2.6 |
|  |  |  |  |  |  | 4000000 | 4000000 | 6093333 | 2.6 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Trading Companies & Distributors** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; USBid Parent, LLC - Class A | (11)(24) | - | -<br>| 11/3/2022 | - | 2813 | 2812500 | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; USBid Parent, LLC - Class C | (11)(24) | - | 10.00% PIK | 11/2/2023 | - | 9375 | 7324 | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; USBid Parent, LLC - Class C2 | (11)(24) | - | 10.00% PIK | 4/12/2024 | - | 600000 | 468750 | 569531 | 0.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; USBid Parent, LLC - Class C3 | (11)(24) | - | 10.00% PIK | 4/12/2024 | - | 2400000 | 1875000 | 1155469 | 0.5 |
|  |  |  |  |  |  | 3012188 | 5163574 | 1725000 | 0.7 |
| &nbsp;&nbsp;&nbsp; **Total preferred equity securities** |  |  |  |  |  |  | **34229951** | **35004538** | 14.9 |
| &nbsp;&nbsp;&nbsp; **Warrants and other equity securities** | **(12)(23)** |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Aerospace & Defense** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Delva Master Holdings | (11)(18)(24) | - | 18.00% PIK | 8/13/2025 | - | 10493 | - | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Delva Master Holdings | (11)(18)(24) | - | -<br>| 8/13/2025 | - | 1354 | - | - | 0.0 |
|  |  |  |  |  |  | 11847 | - | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Construction & Engineering** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Watt Contracting Holdings, LLC | (11)(20)(24) | -<br>| -<br>| 4/15/2022<br>| - | 100408 | - | - | 0.0 |
|  |  |  |  |  |  | 100408 | - | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Diversified Telecommunication Services** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Caregility Corporation | (11)(24) | - | - | 12/29/2021 | - | 221574 | 443392 | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Caregility Corporation | (11)(24) | - | - | 12/29/2021 | - | 46227 | - | - | 0.0 |
|  |  |  |  |  |  | 267801 | 443392 | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Food Products** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; UJP Acquisition, LLC (dba Uncle John's Pride) | (11)(20)(24) | -<br>| -<br>| 3/31/2022<br>| - | 127215 | - | 58085 | 0.0 |
|  |  |  |  |  |  | 127215 | - | 58085 | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Trading Companies & Distributors** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; USBid Parent, LLC | (11)(24) | -<br>| -<br>| 11/3/2022<br>| - | 204 | - | - | 0.0 |
|  |  |  |  |  |  | 204 | - | - | 0.0 |
| &nbsp;&nbsp;&nbsp; **Total warrants and other equity securities** |  |  |  |  |  |  | **443392** | **58085** | 0.0 |
| &nbsp;&nbsp;&nbsp; **Total controlled/affiliate investments** |  |  |  |  |  |  | **56220287** | **57200352** | 24.3 |
| **TOTAL INVESTMENTS** |  |  |  |  |  |  | $**385643930**<br>| $**382009613**<br>| 163.1<br>**%** |

---

See accompanying notes.

------

[**Table of Contents**](#TableofContents)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) All of the Company's investments are issued by eligible portfolio companies, as defined in the Investment Company Act
 of 1940 (the "1940 Act"), unless otherwise noted. All of the Company's investments are issued by U.S. portfolio companies unless otherwise noted.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) All investments are non-controlled/non-affiliated investments as defined by the 1940 Act, unless otherwise noted. The
 1940 Act classifies investments based on the level of control that the Company maintains in a particular portfolio company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) All investments are co-investments made with the Company's affiliates in accordance with the terms of the exemptive
 relief that the Company received from the U.S. Securities and Exchange Commission (the "SEC"), unless otherwise noted. See Note 6 "Transactions with Related Parties" in the accompanying notes to the consolidated financial statements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4) Unless otherwise indicated, all investments are considered Level 3 assets.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(5) Unless otherwise indicated, the Company's portfolio companies are pledged as collateral supporting the amounts
 outstanding under the Secured Credit Facility (as defined herein).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(6) Except as otherwise noted, all of the Company's portfolio company investments are subject to legal restrictions on
 sales.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(7) Loan contains a variable rate structure and may be subject to an interest rate floor. Variable rate loans bear interest
 at a rate that may be determined by reference to either the Secured Overnight Financing Rate ("SOFR" or "S") or an alternate base rate which can include the Federal Funds Effective Rate or the Prime Rate, at the borrower's option, and which
 reset periodically based on the terms of the loan agreement. Interest rates subject to SOFR are typically accompanied by a Credit Spread Adjustment ("CSA").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(8) The amortized cost represents the original cost adjusted for the amortization of discounts and premiums, as applicable,
 on debt investments using the effective interest method.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(9) Because there is no readily available market value for these investments, the fair value of each of these investments is
 determined in good faith using significant unobservable inputs by the Company's board of directors (the "Board") as required by the 1940 Act. See Note 4 "Fair Value Measurements" in the accompanying notes to the consolidated financial
 statements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(10) The Company categorized its unitranche loans as First Lien Senior Secured Loans. The First Lien Senior Secured Loan is
 comprised of two components: a first out tranche ("First Out") and last out tranche ("Last Out"). The Company syndicates the First Out tranche and retains the Last Out tranche. The First Out and Last Out tranches have the same maturity
 date. Interest disclosed reflects the contractual rate of First Lien Senior Secured Loan. The First Out tranche has priority as to the Last Out tranche with respect to payments of principal, interest and any amounts due thereunder. The
 Company may be entitled to receive additional interest as a result of the Agreement Among Lenders ("AAL") entered into with the First Out lender. In exchange for the higher interest rate, the Last Out portion is at a greater risk of loss.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(11) As defined in the 1940 Act, the Company is deemed to be both an "Affiliated Person" and may have "Control" of this
 portfolio company as the Company and/or its affiliated funds collectively owns more than 25% of the portfolio company's
 outstanding voting securities or has the power to exercise control over management or policies of such portfolio company (including through a management agreement). The Company's investments in affiliates for the three months ended March
 31, 2026 represented $57,200,352 of Fair Value and 24.5% of Net Assets of the Company. Transactions related to investments in "Controlled/Affiliate Investments" for the three months ended March 31, 2026 were as follows:

See accompanying notes.

------

[**Table of Contents**](#TableofContents)

#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Consolidated Schedule of Investments December 31, 2025

---

| | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Portfolio Company** | <br> **Type of Investment** | **Amount of**<br> **Realized Gain**<br> (Loss) | **Amount of Interest or**<br> **Dividends Credited to**<br> **Income (a)** | **December 31, 2025**<br> **Value** | **Gross**<br> **Additions (b)** | **Gross**<br> **Reductions (c)** | **Transfers** <br> **In/(Out)**<br> **of Affiliates** | **Amount of**<br> **Unrealized**<br> **Gains (Loss)** | **March 31, 2026**<br> **Value** |
| **Arrow Home Health LLC (dba Acara Home Health)** | First lien senior securred term loan | $- | $48002 | $764370 | $202466 | $- | $- | $2896 | $969732 |
|  | Preferred equity securities (571,080 shares) | - | - | 252425 | - | - | - | 169463 | 421888 |
|  | Preferred equity securities (56,005 shares) | - | - | 112010 | - | - | - | - | 112010 |
| **Capone Holdings JV, LLC (dba LaSalle Staffing)** | Preferred equity securities (4,000,000 shares) | - | - | 6093333 | - | - | - | - | 6093333 |
| **Caregility Corporation** | First lien senior securred term loan | - | 92922 | 2581303 | 46874 | - | - | (30109) | 2598068 |
|  | Preferred equity securities (151,018 shares) | - | - | 194014 | - | - | - | (194014) | - |
|  | Preferred equity securities (446,689 shares) | - | - | 4732688 | - | - | - | (261023) | 4471665 |
|  | Warrants (267,801 units) | - | - | - | - | - | - | - | - |
|  | Senior secured notes (0 units) | - | - | - | - | - |  | - | - |
| **Delva Master Holdings** | First lien senior secured term loan | - | - | 850931 | - | - |  | 672194 | 1523125 |
|  | Preferred equity securities (1,636 shares) | - | - | 7747020 | - | - |  | 158805 | 7905825 |
|  | Warrants and other equity securities (10,493 units) | - | - | (320) | - | - |  | 320 | - |
|  | Warrants and other equity securities (1,354 units) | - | - | 159125 | - | - |  | (159125) | - |
| **Lasalle Staffing, LLC** | First lien senior secured term loan | - | 172699 | 7150785 | 95467 | (7172242) |  | (74010) | - |
| **Microf, LLC** | Senior Unsecured Note | - | (20615) | 3763831 | - | (20615) | - | (45131) | 3698085 |
|  | Preferred equity securities (0 shares) | - | - | - | - | - | - | - | - |
| **MPUSA, LLC (dba Mission)** | First lien senior securred term loan | - | 60103 | 1712240 | 60081 | - | - | (22200) | 1750121 |
|  | Preferred equity securities (69 shares) | - | - | - | - | - | - | - | - |
|  | Preferred equity securities (88 shares) | - | - | 1695478 | (1) | - | - | (66557) | 1628920 |
| **Uncle John's Pride, LLC** | First lien senior securred term loan | - | 160191 | 5116215 | 9256 | (13777) | - | (9254) | 5102440 |
|  | First lien senior secured term loan | - | 51350 | 1740572 | - | (4527) | - | - | 1736045 |
| **UJP Acquisition, LLC (dba Uncle John's Pride)** | Warrants and other equity securities (127,215 shares) | - | - | 29787 | - | - | - | 28298 | 58085 |
|  | Preferred equity securities (2,829,787 shares) | - | - | 4966277 | - | - | - | 113191 | 5079468 |
| **USBid Inc.** | First lien senior securred term loan | - | 81604 | 2599529 | 2266 | - | - | (10742) | 2591053 |
| **USBid Inc.** | Warrants and other equity securities (204 shares) | - | - | - | - | - | - | - | - |
| **USBid Inc. - Class A Units** | Preferred equity securities (2,813 shares) | - | - | - | - | - | - | - | - |
| **USBid Inc. - Class C Units** | Preferred equity securities (9,375 shares) | - | - | - | - | - | - | - | - |
| **USBid Inc. - Class C2 Units** | Preferred equity securities (600,000 shares) | - | - | 555469 | - | - | - | 14062 | 569531 |
| **USBid Inc. - Class C3 Units** | Preferred equity securities (24,000,000 shares) | - | - | 1155469 | - | - | - | - | 1155469 |
| **Watt Acquisition, LLC** | First lien senior securred term loan | - | 75551 | 1625086 | 24342 | - | - | (2400) | 1647028 |
|  | First lien senior securred term loan |  | 9460 |  | 530899 | - |  | (8866) | 522033 |
| **Watt Contracting Holdings, LLC** | Preferred equity securities (4,439 shares) | - | - | 7260300 | - | - | - | 306128 | 7566428 |
|  | Warrants and other equity securities (100,408 shares) | - | - | - | - | - | - | - | - |
| **Total Affiliate Investments** |  | $- | $731267 | $62857937 | $971650 | $(7211161) | $- | $581926 | $57200352 |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(12) Ownership of certain equity investments may occur through a holding company or partnership.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(13) Investment contains a fixed rate structure.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(14) Interest disclosed reflects the contractual rate of the First Out tranche under the AAL.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(15) The interest rate on these loans is subject to 1 month SOFR, which was 3.66% as of March 31, 2026.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(16) The interest rate on these loans is subject to 3 month SOFR, which was 3.68% as of March 31, 2026.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(17) Positions have an aggregate unfunded commitment of $13,002,136 in addition to the amounts shown in the Consolidated Schedule of Investments. See Note 11 "Commitments, Contingencies and Risks" in the accompanying notes to the
 consolidated financial statements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(18) The investment is on non-accrual status. See Note 2 "Significant Accounting Policies".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(19) The investment includes the fair value and amortized cost of 1,015 shares of common equity issued in conjunction with the preferred equity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(20) Investment is held by a subsidiary of the Company. See Note 2 in the accompanying notes to the consolidated financial
 statements for additional information on the Company's wholly-owned subsidiary.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(21) The investment does not accrue payment-in-kind ("PIK") for the debt investment as of March 31, 2026. See Note 2.
 "Significant Accounting Policies".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(22) Maturity date is under on-going negotiations with the portfolio company and other lenders, as applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(23) All investments are non-income producing unless otherwise indicated.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(24) The Company has determined the indicated investments are non-qualifying assets under Section 55(a) of the 1940 Act.
 Under the 1940 Act, the Company may not acquire any non-qualifying assets unless, at the time such acquisition is made, qualifying assets represent at least 70% of the Company's total assets.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(25) The interest rate on these loans is subject to 6 month SOFR, which was 3.70% as of March 31, 2026.

See accompanying notes.

------

[**Table of Contents**](#TableofContents)

#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Consolidated Schedule of Investments

#### December 31, 2025

---

| | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| <br> Portfolio Company (1)(2)(3)(4)(5)(6) | **Footnotes** | **Spread Above Index (7)** | **Interest Rate** | **Acquisition Date** | **Maturity** | **Principal, Shares,** <br> **Units** | **Amortized Cost (8)** | **Fair Value (9)** | **% of Net Assets** |
| **Investments** |  |  |  |  |  |  |  |  |  |
| **Non-controlled/non-affiliate investments** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp; **First lien senior secured term loan** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Aerospace & Defense** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Consolidated Machine & Tool Holdings, LLC | (17)(19)(22)(23) | S + 13.01% PIK | 16.66% PIK | 1/15/2020 | 1/15/2025 | 581276 | $581276 | $- | 0.0% |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Consolidated Machine & Tool Holdings, LLC | (17)(19)(22)(23) | S + 14.01% PIK | 17.66% PIK | 11/22/2023 | 1/15/2025 | 6335 | 6335 | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Consolidated Machine & Tool Holdings, LLC | (13)(19)(22)(23) | - | 20.00% PIK | 11/22/2023 | 1/15/2025 | 19361 | 19361 | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Consolidated Machine & Tool Holdings, LLC | (13)(19)(22)(23) | - | 13.00% PIK | 11/22/2023 | 1/15/2025 | 68577 | 68577 | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Consolidated Machine & Tool Holdings, LLC | (13)(19) | - | 11.00% PIK | 5/22/2024 | 6/30/2026 | 69865 | 69865 | - | 0.0 |
|  |  |  |  |  |  | 745414 | 745414 | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Building Products** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Built by Grid, LLC | (10)(17) | S+7.18% | 10.83%<br>| 12/5/2025 | 12/5/2030 | 1883561 | $1841720 | $1841720 | 0.8% |
|  |  |  |  |  |  | 1883561 | 1841720 | 1841720 | 0.8 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Chemicals** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Douglas Products and Packaging Company, LLC | (10)(16) | S+8.04% | 11.73%<br>| 9/20/2023 | 9/20/2028 | 19898602 | 19494185 | 19898603 | 8.4 |
|  |  |  |  |  |  | 19898602 | 19494185 | 19898603 | 8.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Commercial Services & Supplies** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Swyft AcquireCo LLC (dba Swyft Filings) | (15)(16) | S+2.75% | 6.44% | 12/20/2021 | 12/20/2027 | 285649 | 285293 | 285650 | 0.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Swyft AcquireCo LLC (dba Swyft Filings) | (10)(16) | S+7.65% | 11.34% | 12/20/2021 | 12/20/2027 | 3682383 | 3658259 | 3682383 | 1.6 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Versar Inc. | (10)(17) | S+9.58% | 13.23% | 8/4/2023 | 8/4/2028 | 10000000 | 9755014 | 10002500 | 4.2 |
|  |  |  |  |  |  | 13968032 | 13698566 | 13970533 | 5.9 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Construction & Engineering** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Fremont-Wright, LLC | (16) | S+9.20% | 12.89%<br>| 12/2/2020 | 6/30/2026 | 4042177 | 4042177 | 4042177 | 1.7 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Kassel Mechanical, LLC | (16) | S + 7.66% Cash + 0.34% PIK | 11.35% Cash + 0.34% PIK | 3/17/2025 | 9/17/2029 | 12337305 | 12178493 | 12242307 | 5.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Kelso Industries | (17) | S+5.75% | 9.40%<br>| 12/31/2024 | 12/30/2029 | 9007713 | 8866218 | 9007713 | 3.8 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Kelso Industries | (17) | S+5.75% | 9.40% | 3/12/2025 | 12/30/2029 | 3433239 | 3433239 | 3433239 | 1.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; MechanAir, LLC | (17)(18) | S+6.00% | 9.65% | 12/18/2025 | 12/18/2031 | 652987 | 646769 | 646769 | 0.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; MechanAir, LLC | (17)(26) | S+6.00% | 9.65% | 12/18/2025 | 12/18/2031 | 5789474 | 5745056 | 5745056 | 2.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Vertical Mechanical Group, LLC | (10)(17) | S+8.76% | 12.41% | 5/12/2023 | 5/12/2028 | 12037143 | 11870297 | 11902327 | 5.0 |
|  |  |  |  |  |  | 47300038 | 46782249 | 47019588 | 19.8 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Distributors** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 48forty Intermediate Holdings, Inc. | (16)(19) | S+6.15% | 9.84%<br>| 10/11/2022 | 11/30/2029 | 15221270 | 14822272 | 7300311 | 3.1 |
|  |  |  |  |  |  | 15221270 | 14822272 | 7300311 | 3.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Diversified Telecommunication Services** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Gridsource Incorporated, LLC | (17) | S+7.00% | 10.65%<br>| 12/16/2022 | 3/30/2029 | 14036143 | 13814057 | 13446625 | 5.7 |
|  |  |  |  |  |  | 14036143 | 13814057 | 13446625 | 5.7 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Electrical Equipment** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Masterwork Electronics, Inc. | (17)(19) | S+7.65% | 11.30% | 11/17/2022 | 11/17/2027 | 8840576 | 8638547 | 828362 | 0.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Masterwork Electronics, Inc. | (15)(17)(19) | S+7.65% | 11.30% | 11/17/2022 | 11/17/2027 | 521739 | 521739 | 48887 | 0.0 |
|  |  |  |  |  |  | 9362315 | 9160286 | 877249 | 0.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Entertainment** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Chicken Soup For The Soul, LLC | (16)(19)(23) | S+8.60% | 12.29%<br>| 10/29/2021 | 3/31/2024 | 6380856 | 6380856 | 3269232 | 1.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Chicken Soup For The Soul, LLC | (19) | -<br>| 19.00% PIK | 8/7/2025 | 8/7/2026 | 900010 | 900010 | 900010 | 0.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Linden Research, Inc. (dba Linden Labs) | (10)(17) | S + 7.67% Cash + 3.56% PIK | 11.32% Cash + 3.56% PIK | 12/31/2020 | 9/30/2028 | 18260031 | 18080381 | 18260031 | 7.7 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; NW Entertainment, LLC | (17) | S + 8.51% Cash + 1.50% PIK | 12.16% Cash + 1.50% PIK | 11/4/2022 | 11/4/2027 | 6164071 | 6095887 | 6038324 | 2.5 |
|  |  |  |  |  |  | 31704968 | 31457134 | 28467597 | 12.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Healthcare Providers & Services** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; BB-HH Platform, Inc. (dba Preferred Care Home Health) | (10)(17) | S + 7.62% Cash + 1.79% PIK | 11.27% Cash + 1.79% PIK | 5/16/2023 | 5/16/2028 | 6916484 | 6815782 | 6916484 | 2.9 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; IPA Intermediate Co., LLC (dba Integrated Pain Associates) | (17)(18) | S+7.75% | 11.40% | 1/9/2023 | 1/9/2028 | 12361934 | 12198461 | 12361934 | 5.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; IPA Intermediate Co., LLC (dba Integrated Pain Associates) | (17)(18) | S+7.75% | 11.40% | 12/18/2025 | 1/9/2028 | 425532 | 425532 | 425532 | 0.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Klein Hersh, LLC | (10)(17) | S+0.24% | 3.89% | 4/27/2022 | 4/27/2028 | 17285870 | 16790860 | 15081922 | 6.4 |
|  |  |  |  |  |  | 36989820 | 36230635 | 34785872 | 14.7 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Hotels, Restaurants & Leisure** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; The Range NYC, LLC (dba Five Iron Golf) | (17) | S+7.61% | 11.26% | 9/15/2022 | 9/15/2027 | 3329832 | 3329832 | 3357803 | 1.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; The Range NYC, LLC (dba Five Iron Golf) | (17) | S+7.61% | 11.26% | 9/15/2022 | 9/15/2027 | 4802521 | 4732570 | 4844303 | 2.0 |
|  |  |  |  |  |  | 8132353 | 8062402 | 8202106 | 3.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Household Durables** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; SkyBell Technologies, Inc. | (19)(22)(23) | -<br>| 16.91% PIK | 12/13/2019 | 12/13/2024 | 4828409 | 4534395 | 3867034 | 1.6 |
|  |  |  |  |  |  | 4828409 | 4534395 | 3867034 | 1.6 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Household Products** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; CHG Parent Holding LLC (dba Coop Home Goods) | (10)(17) | S+7.70% | 11.35%<br>| 6/18/2021 | 6/27/2026 | 12683981 | 12525367 | 12683981 | 5.3 |
|  |  |  |  |  |  | 12683981 | 12525367 | 12683981 | 5.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Machinery** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Texas Contract Manufacturing Group, Inc. | (17) | S + 5.11% Cash +4.00% PIK | S + 8.76% Cash + 4.00% PIK | 4/27/2022 | 4/27/2027 | 4427923 | 4382109 | 3645509 | 1.5 |
|  |  |  |  |  |  | 4427923 | 4382109 | 3645509 | 1.5 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Media** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; PadSquad, LLC | (10)(17) | S+7.42% | 11.07%<br>| 3/30/2022 | 3/30/2027 | 2620175 | 2600278 | 2620175 | 1.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Trailer Park Group Holdings LLC | (10)(17) | S + 7.32% Cash + 0.99% PIK | 10.97% Cash + 0.99% PIK | 8/2/2021 | 8/2/2026 | 14981089 | 14902350 | 13662753 | 5.8 |
|  |  |  |  |  |  | 17601264 | 17502628 | 16282928 | 6.9 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Personal Products** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Japonesque, LLC | (10)(17) | S + 9.48% Cash + 0.69% PIK | 13.13% Cash + 0.69% PIK | 11/23/2021 | 6/30/2027 | 4304034 | 4270684 | 4304034 | 1.8 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Japonesque, LLC |  | -<br>| 18.00% PIK | 8/5/2025 | 6/30/2027 | 231148 | 226525 | 228189 | 0.1 |
|  |  |  |  |  |  | 4535182 | 4497209 | 4532223 | 1.9 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Professional Services** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; CorTech, LLC | (17) | S+7.60% | 11.25%<br>| 6/3/2025 | 6/30/2026 | 7546280 | 7536366 | 7285934 | 3.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Jefferson Consulting Group, LLC | (10)(17) | S + 3.89% Cash + 3.91% PIK | 7.54% Cash + 3.91% PIK | 7/1/2024 | 7/1/2029 | 8722712 | 8598222 | 7565829 | 3.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; PQT Ayaquhs, LLC (dba WWC Global) | (17) | S+5.76% | 9.41% | 8/1/2022 | 8/1/2027 | 3437642 | 3408886 | 3437642 | 1.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Qualified Digital, LLC | (17) | S+7.00% | 10.65% | 7/30/2024 | 7/30/2029 | 12032857 | 11858587 | 11881243 | 5.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Qualified Digital, LLC | (17) | S+7.00% | 10.65% | 7/30/2024 | 7/30/2029 | 2441786 | 2357441 | 2355579 | 1.0 |
|  |  |  |  |  |  | 34181277 | 33759502 | 32526227 | 13.7 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Specialty Retail** |  |  |  |  |  | ` |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Clearview Systems, LLC (dba Rip-it) | (10)(17) | S + 4.54% Cash + 6.50% PIK | 8.19% Cash + 6.50% PIK | 10/11/2022 | 10/11/2027 | 7052922 | 6993393 | 7052922 | 3.0 |
|  |  |  |  |  |  | 7052922 | 6993393 | 7052922 | 3.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Trading Companies & Distributors** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Ambient Enterprises Holdco LLC | (17)(18) | S+5.25% | 8.90% | 12/31/2024 | 6/30/2030 | 1256546 | 1256546 | 1256546 | 0.5 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Ambient Enterprises Holdco LLC | (17)(18) | S+5.25% | 8.90% | 10/31/2025 | 6/30/2030 | 418203 | 412167 | 418203 | 0.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Ambient Enterprises Holdco LLC | (17)(18) | S+5.25% | 8.90% | 12/31/2024 | 6/30/2030 | 6372503 | 6282393 | 6367431 | 2.7 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Ambient Enterprises Holdco LLC | (17)(18) | S+5.25% | 8.90% | 12/31/2024 | 6/30/2030 | 1771299 | 1746933 | 1771299 | 0.7 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Ambient Enterprises Holdco LLC | (17)(18) | S+5.25% | 8.90% | 7/3/2025 | 6/30/2030 | 514558 | 502388 | 514558 | 0.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Ambient Enterprises Holdco LLC | (17)(18) | S+5.25% | 8.90% | 7/3/2025 | 6/30/2030 | 165521 | 165521 | 165521 | 0.1 |
|  |  |  |  |  |  | 10498630 | 10365948 | 10493558 | 4.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Transportation Infrastructure** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; TCP Acquisition, LLC (dba HighStar Traffic) | (17) | S + 5.45% Cash + 4.05% PIK | 9.10% Cash + 4.05% PIK | 7/26/2022 | 7/26/2027 | 10088323 | 10003681 | 9816947 | 4.1 |
|  |  |  |  |  |  | 10088323 | 10003681 | 9816947 | 4.1 |
| &nbsp;&nbsp;&nbsp; **Total first lien senior secured term loan** |  |  |  |  |  |  | $**300673152** | $**276711533** | 116.5% |

---

See accompanying notes.

------

#### **Table of Contents**

#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Consolidated Schedule of Investments – (continued)

#### December 31, 2025

---

| | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Portfolio Company (1)(2)(3)(4)(5)(6)** | **Footnotes** | **Spread Above Index (7)** | **Interest Rate** | **Acquisition Date** | **Maturity** | **Principal, Shares,** <br> **Units** | **Amortized Cost (8)** | **Fair Value (9)** | **% of Net Assets** |
| &nbsp;&nbsp;&nbsp; **Senior unsecured notes** | (24) |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Electrical Equipment** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; HH Masterwork Intermediate, Inc. | (19)(22) | -<br>| 17.00% PIK | 11/17/2022<br>| 5/17/2028<br>| 2155820 | $2033098 | $- | 0.0% |
|  |  |  |  |  |  | 2155820 | 2033098 | - | 0.0 |
| &nbsp;&nbsp;&nbsp; **Total senior unsecured notes** |  |  |  |  |  |  | **2033098** | **-** | 0.0 |
| &nbsp;&nbsp;&nbsp; **Preferred equity securities** | **(12)(24)** |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Building Products** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Built by Grid, LLC | (21)(25) | -<br>| -<br>| 12/5/2025 | - | 214378 | 214378 | 214378 | 0.1 |
|  |  |  |  |  |  | 214378 | 214378 | 214378 | 0.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Commercial Services and Supplies** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Swyft Filings Holdings, LLC | (13)(20)(21)(25) | -<br>| 8.00% PIK | 12/20/2021 | - | 192444 | 183612 | 213265 | 0.1 |
|  |  |  |  |  |  | 192444 | 183612 | 213265 | 0.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Construction & Engineering** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; MechanAir Holdings, LLC | (13)(21)(25) | - | 13.50% PIK | 9/2/2021 | - | 1704 | 1703499 | 2578541 | 1.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; MechanAir Holdings, LLC | (13)(21)(25) | - | -<br>| 9/17/2025 | - | 65 | 61608 | 735515 | 0.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Vertical Mechanical Group Holdings, LLC | (21)(25) | - | 8.00% PIK | 5/12/2023 | - | 185714 | 1857143 | 5727143 | 2.4 |
|  |  |  |  |  |  | 187483 | 3622250 | 9041199 | 3.8 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Diversified Telecommunication Services** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Gridsource Holdings, LLC | (21)(25) | -<br>| 8.00% PIK | 3/9/2023 | - | 3959977 | 799597 | 175121 | 0.1 |
|  |  |  |  |  |  | 3959977 | 799597 | 175121 | 0.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Entertainment** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; NW Entertainment, LLC | (21)(25) | - | 10.00% PIK | 11/4/2022 | - | 1183 | 1134428 | 1550416 | 0.7 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; NW Entertainment, LLC | (21)(25) | - | 12.00% PIK | 2/27/2025 | - | 826 | 531143 | 1024009 | 0.4 |
|  |  |  |  |  |  | 2009 | 1665571 | 2574425 | 1.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Healthcare Providers & Services** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; IPA Investors, LP (dba Integrated Pain Associates) | (21)(25) | - | 8.00% PIK | 1/9/2023 | - | 2749 | 2573151 | 3160558 | 1.3 |
|  |  |  |  |  |  | 2749 | 2573151 | 3160558 | 1.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Media** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; PadSquad Holdings, LLC | (13)(21)(25) | - | 6.00% Cash + 6.00% PIK | 3/30/2022 | - | 720767 | 1964204 | 3326343 | 1.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Trailer Park Group Holdings, LLC Class A-1 Units | (13)(21)(25) | - | 15.00% PIK | 12/19/2023 | - | 40888 | 73599 | 36419 | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Trailer Park Group Holdings LLC - Class A Units | (13)(21)(25) | - | 8.00% PIK | 8/2/2021 | - | 371822 | 404702 | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Trailer Park Group Holdings LLC | (13)(21)(25) | - | 15.00% PIK | - | - | 37594 | - | 75127 | 0.0 |
|  |  |  |  |  |  | 1171071 | 2442505 | 3437889 | 1.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Professional Services** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Hometown Holdings JV, LLC (dba BWG Strategy) | (13)(21)(25) | - | 8.00% Preferred Return | 12/24/2020 | - | 666667 | 659761 | 693300 | 0.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; JCFV Holdings, LLC | (21)(25) | - | 8.00% PIK | 7/1/2024 | - | 415916 | 1538462 | 519231 | 0.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; PQT Ayaquhs, LLC (dba WWC Global) | (13)(21)(25) | - | 10.50% PIK | 8/1/2022 | - | 5774 | 1064516 | 4577419 | 1.9 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; SPC QD SM, LP | (21)(25) | - | -<br>| 7/30/2024 | - | 42 | 2207572 | 2655714 | 1.1 |
|  |  |  |  |  |  | 1088399 | 5470311 | 8445664 | 3.5 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Software** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; PureCars Technologies, LLC | (13)(21)(25) | -<br>| 8.00% PIK | 4/17/2019 | - | 592 | 267013 | 293634 | 0.1 |
|  |  |  |  |  |  | 592 | 267013 | 293634 | 0.1 |
| &nbsp;&nbsp;&nbsp; **Total preferred equity securities** |  |  |  |  |  |  | **17238388** | **27556133** | 11.5 |
| &nbsp;&nbsp;&nbsp; **Warrants and other equity securities** | (12)(24) |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Construction & Engineering** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; DCCM, LLC | (21) | - | - | 8/6/2021 | - | - | - | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Fremont-Wright, LLC | (25) | - | - | 12/2/2020 | - | 2 | - | 1565233 | 0.7 |
|  |  |  |  |  |  | 2 | - | 1565233 | 0.7 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Distributors** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; 48forty Intermediate Holdings, Inc. | (19)(25) | -<br>| -<br>| 10/11/2022 | - | 1994 | - | - | 0.0 |
|  |  |  |  |  |  | 1994 | - | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Electrical Equipment** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; HH Masterwork Intermediate, Inc. | (19)(25) | -<br>| -<br>| 11/17/2022 | - | 190019 | - | - | 0.0 |
|  |  |  |  |  |  | 190019 | - | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Entertainment** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; LRI Holdco, LLC (dba Linden Labs) | (21)(25) | - | - | 12/31/2020 | - | 1 | - | 150697 | 0.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; LRI Holdco, LLC (dba Linden Labs) | (25) | - | - | 12/31/2020 | - | 1 | 43478 | 196056 | 0.1 |
|  |  |  |  |  |  | 2 | 43478 | 346753 | 0.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Healthcare Providers & Services** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Klein Hersh, LLC |  | - | - | 4/27/2022 | - | 1003 | - | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Nurses 24/7 Holdings, LLC | (21)(25) | - | - | 5/26/2023 | - | 182 | 419877 | 35143 | 0.0 |
|  |  |  |  |  |  | 1185 | 419877 | 35143 | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Hotels, Restaurants & Leisure** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; The Range NYC, LLC (dba Five Iron Golf) | (25) | -<br>| -<br>| 9/15/2022<br>| - | 40593 | 71599 | 64875 | 0.0 |
|  |  |  |  |  |  | 40593 | 71599 | 64875 | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Household Durables** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; SkyBell Technologies, Inc. | (19)(25) | -<br>| -<br>| 12/13/2019 | - | 1917813 | - | - | 0.0 |
|  |  |  |  |  |  | 1917813 | - | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Household Products** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; CHG Parent Holding LLC (dba Coop Home Goods) | (21)(25) | -<br>| -<br>| 6/18/2021 | - | 535714 | 535714 | 1150000 | 0.5 |
|  |  |  |  |  |  | 535714 | 535714 | 1150000 | 0.5 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Machinery** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Texas Contract Manufacturing Group, Inc. | (25) | -<br>| -<br>| 4/27/2022 | - | 1602 | - | - | 0.0 |
|  |  |  |  |  |  | 1602 | - | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Media** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Channel Factory Holdings, LLC | (13)(21)(25) | -<br>| -<br>| 3/31/2025 | - | 819478 | - | 1384954 | 0.6 |
|  |  |  |  |  |  | 819478 | - | 1384954 | 0.6 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Professional Services** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; CorTech, LLC | (25) | - | - | 6/30/2025 | - | 1 | - | 81853 | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; NSC Holdings, LLC | (21)(25) | - | - | 4/26/2019 | - | 111 | 271262 | 639920 | 0.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; PQT Ayaquhs, LLC (dba WWC Global) | (25) | - | - | 8/1/2022 | - | 645 | - | 377419 | 0.2 |
|  |  |  |  |  |  | 757 | 271262 | 1099192 | 0.5 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Software** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Proactive Dealer Holdings Parent, LLC | (21)(25) | -<br>| 10.00% PIK | 6/10/2024<br>| - | 445 | 730271 | 346746 | 0.1 |
|  |  |  |  |  |  | 445 | 730271 | 346746 | 0.1 |
| &nbsp;&nbsp;&nbsp; **Total warrants and other equity securities** |  |  |  |  |  |  | **2072201** | **5992896** | 2.6 |
| &nbsp;&nbsp;&nbsp; **Fund investments** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Diversified Financials** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Madryn Select Opportunities, LP | (18)(25) | -<br>| -<br>| 1/4/2022<br>| - | - | 2529567 | 1925246 | 0.8 |
|  |  |  |  |  |  | - | 2529567 | 1925246 | 0.8 |
| &nbsp;&nbsp;&nbsp; **Total fund investments** |  |  |  |  |  |  | **2529567** | **1925246** | 0.8 |
| &nbsp;&nbsp;&nbsp; **Total non-controlled/non-affiliate investments** |  |  |  |  |  |  | $**324546406** | $**312185808** | 131.4% |

---

See accompanying notes.

------

#### **Table of Contents**

#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Consolidated Schedule of Investments – (continued)

#### December 31, 2025

---

| | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Portfolio Company (1)(2)(3)(4)(5)(6)** | **Footnotes** | **Spread Above Index (7)** | **Interest Rate** | **Acquisition Date** | **Maturity** | **Principal, Shares,** <br> **Units** | **Amortized Cost (8)** | **Fair Value (9)** | **% of Net Assets** |
| **Controlled/affiliate investments** |  |  |  |  |  | | | | |
| &nbsp;&nbsp;&nbsp; **First lien senior secured term loan** |  |  |  |  |  | | | | |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Aerospace & Defense** |  |  |  |  |  | | | | |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Delva Master Holdings | (11)(16)(19) | S+10.26% | 13.95%<br>| 8/13/2025 | 9/1/2030 | 901698 | $901698 | $850931 | 0.4% |
|  |  |  |  |  |  | 901698 | 901698 | 850931 | 0.4 |
| &nbsp;&nbsp;&nbsp; **Construction & Engineering** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Watt Acquisition, LLC | (10)(11)(17) | S + 8.77% Cash + 5.48% PIK | 12.42% Cash + 5.48% PIK | 4/15/2022 | 4/15/2027 | 1625086 | 1614622 | 1625086 | 0.7 |
|  |  |  |  |  |  | 1625086 | 1614622 | 1625086 | 0.7 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Diversified Telecommunication Services** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Caregility Corporation | (11)(17) | S + 3.00% Cash + 6.26% PIK | 6.65% Cash + 6.26% PIK | 12/29/2021 | 10/31/2026 | 2609221 | 2506145 | 2581303 | 1.1 |
|  |  |  |  |  |  | 2609221 | 2506145 | 2581303 | 1.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Food Products** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Uncle John's Pride, LLC | (11)(16) | S+8.11% | 11.80% | 3/31/2022 | 3/31/2027 | 1740572 | 1740572 | 1740572 | 0.7 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Uncle John's Pride, LLC | (11)(16) | S+8.11% | 11.80% | 3/31/2022 | 3/31/2027 | 5116215 | 5066496 | 5116215 | 2.2 |
|  |  |  |  |  |  | 6856787 | 6807068 | 6856787 | 2.9 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Healthcare Providers & Services** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Arrow Home Health, LLC (dba Acara Home Health) | (11)(17) | S+8.50% | 12.15%<br>| 3/19/2021 | 3/19/2026 | 789190 | 778103 | 764370 | 0.3 |
|  |  |  |  |  |  | 789190 | 778103 | 764370 | 0.3 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Leisure Products** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; MPUSA, LLC (dba Mission) | (11)(17) | S + 9.26 PIK | 12.91% PIK | 12/9/2021 | 12/9/2026 | 1786561 | 1781191 | 1712240 | 0.7 |
|  |  |  |  |  |  | 1786561 | 1781191 | 1712240 | 0.7 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Professional Services** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Lasalle Staffing, LLC | (10)(11)(16) | S+8.45% | 12.14%<br>| 2/15/2022 | 2/15/2027 | 7150785 | 7076775 | 7150785 | 3.0 |
|  |  |  |  |  |  | 7150785 | 7076775 | 7150785 | 3.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Trading Companies & Distributors** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; USBid Inc. | (10)(11)(17) | S+8.34% | 11.99%<br>| 11/3/2022 | 11/3/2027 | 2648797 | 2625002 | 2599529 | 1.1 |
|  |  |  |  |  |  | 2648797 | 2625002 | 2599529 | 1.1 |
| &nbsp;&nbsp;&nbsp; **Total first lien senior secured term loan** |  |  |  |  |  |  | **24090604** | **24141031** | 10.2 |
| &nbsp;&nbsp;&nbsp; **Senior secured notes** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Diversified Telecommunication Services** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Caregility Corporation | (13) | 10.00%<br>| 10.00% PIK | 7/3/2023<br>| - | - | - | - | 0.0 |
|  |  |  |  |  |  | - | - | - | 0.0 |
| &nbsp;&nbsp;&nbsp; **Total senior secured notes** |  |  |  |  |  |  | **-** | **-** | 0.0 |
| &nbsp;&nbsp;&nbsp; **Senior unsecured notes** | (24) |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Consumer Finance** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Microf, LLC | (11)(17) | S+10.85% | 14.50%<br>| 3/29/2019<br>| 11/30/2027<br>| 3714429 | 3695851 | 3763831 | 1.6 |
|  |  |  |  |  |  | 3714429 | 3695851 | 3763831 | 1.6 |
| &nbsp;&nbsp;&nbsp; **Total senior unsecured notes** |  |  |  |  |  |  | **3695851** | **3763831** | 1.6 |
| &nbsp;&nbsp;&nbsp; **Preferred equity securities** | (12)(24) |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Aerospace & Defense** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Delva Master Holdings | (11)(19)(25) | - | 18.00% PIK | 8/13/2025 | - | 1636 | 7679427 | 7905825 | 3.4 |
|  |  |  |  |  |  | 1636 | 7679427 | 7905825 | 3.4 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Construction & Engineering** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Watt Contracting Holdings, LLC | (11)(21)(25) | - | 15.00% PIK | 4/15/2022 | - | 4439 | 4380196 | 7260300 | 3.1 |
|  |  |  |  |  |  | 4439 | 4380196 | 7260300 | 3.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Diversified Telecommunication Services** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Caregility Corporation - Series A-1 Units | (11)(13)(25) | - | 8.00% PIK | 12/31/2022 | - | 151018 | 1579910 | 147483 | 0.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Caregility Corporation - Series A-2 Units | (11)(13)(25) |  |  | 12/31/2022 | - | 145593 | 496187 | 46531 | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Caregility Corporation - Series B Units | (11)(13)(25) | - | 8.00% PIK | 7/3/2023 | - | 446689 | 3591494 | 4732688 | 2.0 |
|  |  |  |  |  |  | 743300 | 5667591 | 4926702 | 2.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Food Products** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; UJP Acquisition, LLC (dba Uncle John's Pride) | (11)(13)(21)(25) | - | 8.00% PIK | 3/31/2022 | - | 2829787 | 2829787 | 4966277 | 2.1 |
|  |  |  |  |  |  | 2829787 | 2829787 | 4966277 | 2.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Healthcare Providers & Services** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Arrow Home Health, LLC (dba Acara Home Health) - Class A Units | (11)(21)(25) | - | 10.00% Preferred Return | 3/19/2021 | - | 571080 | 564321 | 252425 | 0.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Arrow Home Health, LLC (dba Acara Home Health) - Class 1 Units | (11)(13)(21)(25) | - | -<br>| 11/13/2023 | - | 56005 | 56005 | 112010 | 0.0 |
|  |  |  |  |  |  | 627085 | 620326 | 364435 | 0.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Leisure Products** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; TS-MP, LLC (dba Mission) - Class A-1 | (11)(21)(25) | - | - | 12/9/2021 | - | 69 | 1928409 | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; TS-MP, LLC (dba Mission) - Class AA-1 | (11)(21)(25) | - | - | 12/10/2024 | - | 88 | 1960641 | 1695478 | 0.7 |
|  |  |  |  |  |  | 157 | 3889050 | 1695478 | 0.7 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Professional Services** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Capone Holdings JV, LLC (dba LaSalle Staffing) | (11)(21)(25) | - | 8.00% Preferred Return | 2/15/2022 | - | 4000000 | 4000000 | 6093333 | 2.6 |
|  |  |  |  |  |  | 4000000 | 4000000 | 6093333 | 2.6 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Trading Companies & Distributors** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; USBid Parent, LLC - Class A | (11)(25) | - | -<br>| 11/3/2022 | - | 2813 | 2812500 | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; USBid Parent, LLC - Class C | (11)(25) | - | 10.00% PIK | 11/2/2023 | - | 9375 | 7324 | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; USBid Parent, LLC - Class C2 | (11)(25) | - | 10.00% PIK | 4/12/2024 | - | 600000 | 468750 | 555469 | 0.2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; USBid Parent, LLC - Class C3 | (11)(25) | - | 10.00% PIK | 4/12/2024 | - | 2400000 | 1875000 | 1155469 | 0.5 |
|  |  |  |  |  |  | 3012188 | 5163574 | 1710938 | 0.7 |
| &nbsp;&nbsp;&nbsp; **Total preferred equity securities** |  |  |  |  |  |  | **34229951** | **34923288** | 14.9 |
| &nbsp;&nbsp;&nbsp; **Warrants and other equity securities** | **(12)(24)** |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Aerospace & Defense** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Delva Master Holdings | (11)(19)(25) | - | 18.00% PIK | 8/13/2025 | - | 10493 | - | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Delva Master Holdings | (11)(19)(25) | - | - | 8/13/2025 | - | 1354 | - | - | 0.0 |
|  |  |  |  |  |  | 11847 | - | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Construction & Engineering** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Watt Contracting Holdings, LLC | (11)(21)(25) | - | - | 4/15/2022 | - | 100408 | - | - | 0.0 |
|  |  |  |  |  |  | 100408 | - | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Diversified Telecommunication Services** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Caregility Corporation | (11)(25) | - | - | 12/29/2021 | - | 221574 | 443392 | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Caregility Corporation | (11)(25) | - | - | 12/29/2021 | - | 46227 | - | - | 0.0 |
|  |  |  |  |  |  | 267801 | 443392 | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Food Products** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; UJP Acquisition, LLC (dba Uncle John's Pride) | (11)(21)(25) | -<br>| - | 3/31/2022 | - | 127215 | - | 29787 | 0.0 |
|  |  |  |  |  |  | 127215 | - | 29787 | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Professional Services** |  |  |  |  |  |  |  |  |  |
|  |  |  |  |  |  |  | - | - | 0.0 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **Trading Companies & Distributors** |  |  |  |  |  |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; USBid Parent, LLC | (11)(25) | -<br>| -<br>| 11/3/2022<br>| - | 204 | - | - | 0.0 |
|  |  |  |  |  |  | 204 | - | - | 0.0 |
| &nbsp;&nbsp;&nbsp; **Total warrants and other equity securities** |  |  |  |  |  |  | **443392** | **29787** | 0.0 |
| &nbsp;&nbsp;&nbsp; **Total controlled/affiliate investments** |  |  |  |  |  |  | **62459798** | **62857937** | 26.5 |
| **TOTAL INVESTMENTS** |  |  |  |  |  |  | $**387006204** | $**375043745** | 158.1<br>**%** |

---

See accompanying notes.

------

#### **Table of Contents**

#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Consolidated Schedule of Investments – (continued)

#### December 31, 2025
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) All of the Company's investments are issued by eligible portfolio companies, as defined in the Investment Company Act of 1940 (the "1940 Act"), unless otherwise noted. All of the Company's investments are issued by U.S. portfolio
 companies unless otherwise noted.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) All investments are non-controlled/non-affiliated investments as defined by the 1940 Act, unless otherwise noted. The 1940 Act classifies investments based on the level of control that the Company maintains in a particular portfolio
 company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) All investments are co-investments made with the Company's affiliates in accordance with the terms of the exemptive relief that the Company received from the U.S. Securities and Exchange Commission (the "SEC"), unless otherwise noted.
 See Note 6 "Transactions with Related Parties" in the accompanying notes to the consolidated financial statements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4) Unless otherwise indicated, all investments are considered Level 3 assets.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(5) Unless otherwise indicated, the Company's portfolio companies are pledged as collateral supporting the amounts outstanding under the Secured Credit Facility (as defined herein).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(6) Except as otherwise noted, all of the Company's portfolio company investments are subject to legal restrictions on sales.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(7) Loan contains a variable rate structure and may be subject to an interest rate floor. Variable rate loans bear interest at a rate that may be determined by reference to either the Secured Overnight Financing Rate ("SOFR" or "S") or an
 alternate base rate which can include the Federal Funds Effective Rate or the Prime Rate, at the borrower's option, and which reset periodically based on the terms of the loan agreement. Interest rates subject to SOFR are typically
 accompanied by a Credit Spread Adjustment ("CSA").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(8) The amortized cost represents the original cost adjusted for the amortization of discounts and premiums, as applicable, on debt investments using the effective interest method.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(9) Because there is no readily available market value for these investments, the fair value of each of these investments is determined in good faith using significant unobservable inputs by the Company's board of directors (the "Board") as
 required by the 1940 Act. See Note 4 "Fair Value Measurements" in the accompanying notes to the consolidated financial statements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(10) The Company categorized its unitranche loans as First Lien Senior Secured Loans. The First Lien Senior Secured Loan is comprised of two components: a first out tranche ("First Out") and last out tranche ("Last Out"). The Company
 syndicates the First Out tranche and retains the Last Out tranche. The First Out and Last Out tranches have the same maturity date. Interest disclosed reflects the contractual rate of First Lien Senior Secured Loan. The First Out tranche
 has priority as to the Last Out tranche with respect to payments of principal, interest and any amounts due thereunder. The Company may be entitled to receive additional interest as a result of the Agreement Among Lenders ("AAL") entered
 into with the First Out lender. In exchange for the higher interest rate, the Last Out portion is at a greater risk of loss.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(11) As defined in the 1940 Act, the Company is deemed to be both an "Affiliated Person" and may have "Control" of this
 portfolio company as the Company and/or its affiliated funds collectively owns more than 25% of the portfolio company's
 outstanding voting securities or has the power to exercise control over management or policies of such portfolio company (including through a management agreement). The Company's investment in affiliates for the year ended December 31, 2025
 represented $62,857,937 of Fair Value and 26.7% of Net Assets of the Company. Transactions related to investments in "Controlled/Affiliate Investments" for the year ended December 31, 2025 were as follows:

See accompanying notes.

------

#### **Table of Contents**

#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Consolidated Schedule of Investments – (continued)

#### December 31, 2025

---

| | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| **Portfolio Company** | **Type of Investment** | **Amount of** <br> **Realized Gain** <br> (Loss) | **Amount of Interest or** <br> **Dividends Credited to**<br> **Income (a)** | **December 31, 2024**<br> **Value** | **Gross**<br> **Additions (b)** | **Gross**<br> **Reductions (c)** | **Transfers In/(Out)**<br>**of Affiliates** | **Amount of**<br> **Unrealized**<br> **Gains (Loss)** | **December 31, 2025**<br> **Value** |
| **Arrow Home Health LLC (dba Acara Home Health)** | First lien senior secured term loan | $- | $106047 | $701117 | $3570 | $(7896) | $- | $67579 | $764370 |
|  | Preferred equity securities (571,080 shares) | - | - | 151376 | - |  | - | 101049 | 252425 |
|  | Preferred equity securities (56,005 shares) | - | - | 112010 | - |  | - | - | 112010 |
| **Capone Holdings JV, LLC (dba LaSalle Staffing)** | Preferred equity securities (4,000,000 shares) | - | - | 6700000 | - | - | - | (606667) | 6093333 |
| **Caregility Corporation** | First lien senior secured term loan | - | 220754 | 2438069 | 192525 | - | - | (49291) | 2581303 |
|  | Preferred equity securities (151,018 shares) | - | - | 1188605 | 429779 | - | - | (1424370) | 194014 |
|  | Preferred equity securities (446,689 shares) | - | - | 4368416 | - | - | - | 364272 | 4732688 |
|  | Warrants (267,801 units) | - | - | - | - | - | - | - | - |
|  | Senior secured notes (0 units) | - | - | 341103 | 88677 | (429780) | - | - | - |
| **Delva Master Holdings** | First lien senior secured term loan | - | - | - | 901698 | - | - | (50767) | 850931 |
|  | Preferred equity securities (1,636 shares) | - | - | - | 4386820 | - | - | 3360200 | 7747020 |
|  | Warrants and other equity securities (10,493 units) | - | - | - | 201111 | - | - | (201431) | (320) |
|  | Warrants and other equity securities (1,354 units) | - | - | - | 3091496 | - | - | (2932371) | 159125 |
| **Lasalle Staffing, LLC** | First lien senior secured term loan | - | 942610 | 7287039 | 22717 | (100000) | - | (58971) | 7150785 |
| **Microf, LLC** | First lien senior secured term loan | - | (18658) | 3427073 | 287760 | (18982) | - | 67980 | 3763831 |
|  | Preferred equity securities (0 shares) | - | - | - | - | - | - | - | - |
| **MPUSA, LLC (dba Mission)** | First lien senior secured term loan | - | 31136 | 1448543 | 232297 | (11843) | - | 43243 | 1712240 |
|  | Preferred equity securities (69 shares) | - | - | - | - | - | - | - | - |
|  | Preferred equity securities (88 shares) | - | - | 1782334 | - | - | - | (86856) | 1695478 |
| **Uncle John's Pride, LLC** | First lien senior secured term loan | - | 796743 | 6999302 | 52303 | (1818313) | - | (117077) | 5116215 |
|  | First lien senior secured term loan | - | 170635 | - | 1758680 | (18108) | - | - | 1740572 |
| **UJP Acquisition, LLC (dba Uncle John's Pride)** | Warrants and other equity securities (127,215 shares) | - | - | 76329 | - | - | - | (46542) | 29787 |
|  | Preferred equity securities (2,829,787 shares) | - | - | 4532872 | - | - | - | 433405 | 4966277 |
| **USBid Inc.** | First lien senior secured term loan | - | 103675 | 2240638 | 259511 | (84897) | - | 184277 | 2599529 |
| **USBid Inc.** | Warrants and other equity securities (204 shares) | - | - | - | - | - | - | - | - |
| **USBid Inc. - Class A Units** | Preferred equity securities (2,813 shares) | - | - | - | - | - | - | - | - |
| **USBid Inc. - Class C Units** | Preferred equity securities (9,375 shares) | - | - | - | - | - | - | - | - |
| **USBid Inc. - Class C2 Units** | Preferred equity securities (600,000 shares) | - | - | 504000 | - | - | - | 51469 | 555469 |
| **USBid Inc. - Class C3 Units** | Preferred equity securities (2,400,000 shares) | - | - | 432000 | - | - | - | 723469 | 1155469 |
| **Watt Acquisition, LLC** | First lien senior secured term loan | - | 300849 | 2430200 | 134362 | (1068129) | - | 128653 | 1625086 |
| **Watt Contracting Holdings, LLC** | Preferred equity securities (4,439 shares) | - | - | 3519772 | 1064066 | - | - | 2676462 | 7260300 |
|  | Warrants and other equity securities (100,408 shares) | - | - | - | - | - | - | - | - |
| **Total Affiliate Investments** |  | $- | $2653791 | $50680798 | $13107372 | $(3557948) | $- | $2627715 | $62857937 |

---

&nbsp;&nbsp;&nbsp;&nbsp;(a) Represents the total amount of interest, fees or dividends credited to income for the portion of the period an
 investment was included in the Affiliate category.

&nbsp;&nbsp;&nbsp;&nbsp;(b) Gross additions include increase in the cost basis of investments resulting from purchases, PIK interest or
 amortization of original issue discount.

&nbsp;&nbsp;&nbsp;&nbsp;(c) Gross reductions include decreases in the total cost basis of investments resulting from principal repayments or
 sales.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(12) Ownership of certain equity investments may occur through a holding company or partnership.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(13) Investment contains a fixed rate structure.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(14) The Company has received 46 units of incentive shares which have no Cost or Fair Value as of December 31, 2025

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(15) Interest disclosed reflects the contractual rate of the First Out tranche under the AAL.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(16) The interest rate on these loans is subject to 1 month SOFR, which was 3.69% as of December 31, 2025.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(17) The interest rate on these loans is subject to 3 month SOFR, which was 3.65% as of December 31, 2025.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(18) Positions have an aggregate unfunded commitment of $6,794,311 in addition to the amounts shown in the Consolidated Schedule of Investments. See Note 11 "Commitments, Contingencies and Risks" in the accompanying notes to the
 consolidated financial statements.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(19) The investment is on non-accrual status. See Note 2 "Significant Accounting Policies".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(20) The investment includes the fair value and amortized cost of 1,015 shares of common equity issued in conjunction with the preferred equity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(21) Investment is held by a subsidiary of the Company. See Note 2 in the accompanying notes to the consolidated financial statements for additional information on the Company's wholly-owned subsidiary.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(22) The investment does not accrue PIK for the debt or equity investment as of December 31, 2025. See Note 2 "Significant
 Accounting Policies".

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(23) Maturity date is under on-going negotiations with the portfolio company and other lenders, as applicable.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(24) All investments are non-income producing unless otherwise indicated.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(25) The Company has determined the indicated investments are non-qualifying assets under Section 55(a) of the 1940 Act. Under the 1940 Act, the Company may not acquire any non-qualifying assets unless, at the time such acquisition is made,
 qualifying assets represent at least 70% of the Company's total assets.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(26) The interest rate on these loans is subject to 6 month SOFR, which was 3.57% as of December 31, 2025.

See accompanying notes.

------

*[**Table of Contents**](#TableofContents)*

#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Notes to Consolidated Financial Statements – (continued)
(Unaudited)

#### Note 1. Organization and Principal Business
Star Mountain Lower Middle-Market Capital Corp. (the "Company") is an externally managed, closed-end management investment company and has elected to be regulated as a business development company ("BDC") under the Investment Company Act of 1940, as amended (the "1940 Act").

Star Mountain Credit Opportunities Fund, LP (the "Private Fund") was formed as a Delaware limited partnership on August 7, 2019 to make investments in lower middle-market companies and commenced operations on September 16, 2019. On May 14, 2021, Star Mountain Credit Opportunities Fund, LP converted to Star Mountain Lower Middle-Market Capital Corp., via a filing with the State of Delaware of a Certificate of Conversion to a Corporation.

Based on analysis of the attributes of the Star Mountain Credit Opportunities Fund, LP predecessor entity versus the Star Mountain Lower Middle-Market Capital Corp. converted entity, it was determined that Star Mountain Lower Middle-Market Capital Corp. was the accounting survivor.

Star Mountain Lower Middle-Market Capital Holdings, LLC (the "Holding Company") was formed as a Delaware limited liability company on December 13, 2023 to hold certain of the Company's investments for tax purposes. The Holding Company commenced operations on December 13, 2023.

The Company's investment objectives are to generate current income and capital appreciation. The Company seeks to achieve its investment objectives by investing primarily in privately negotiated loans and equity investments to small and medium-sized businesses ("SMBs") generally with annual revenues greater than $15 million and earnings before interest, taxes, depreciation and amortization ("EBITDA") of less than $50 million. The Company is advised by Star Mountain Fund Management, LLC ("Star Mountain Fund Management", the "Administrator" or the "Advisor"), a registered investment adviser under the Investment Advisers Act of 1940, as amended. In addition, for U.S. federal income tax purposes, the Company has elected to be treated and intends to continue to be treated as a regulated investment company ("RIC") under Subchapter M of the Internal Revenue Code of 1986, as amended (the "Code").

On July 29, 2025, the Company received an exemptive order from the Securities and Exchange Commission ("SEC") that permits the Company to offer multiple classes of shares of its Common Stock (the "Multi-Class Order"). On February 25, 2026, the Company's board of directors (the "Board") held a meeting in which the Board, including a majority of the directors who are not "interested persons" (as defined in the 1940 Act) ("Interested Directors"), approved certain matters related to the Company's ability to issue and sell Class D shares, Class S shares, Class I shares and Class SP shares pursuant to the Multi-Class Order (the "Multi-Class Offering"). In connection with the Multi-Class Offering, effective March 31, 2026, all issued and outstanding shares of the Company's Common Stock were reclassified as Class I shares. As of March 31, 2026, there were 10,016,984 Class I shares outstanding and no Class S, Class D or Class SP shares outstanding.

#### Note 2. Summary of Significant Accounting Policies

#### Basis of Presentation
The preparation of these consolidated financial statements is in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP"). The accompanying consolidated financial statements of the Company and related financial information have been prepared pursuant to the requirements for reporting on Form 10-Q and Articles 6 and 10 of Regulation S-X. The Company is an investment company and accordingly follows the investment company accounting and reporting guidance of the Financial Accounting Standards Board (FASB) Accounting Standards Codification ("ASC") Topic 946, Financial Services – Investment Companies.

 ***Basis of Consolidation***

As provided under ASC Topic 946, the Company will not consolidate its investment in a company other than an investment company subsidiary or a controlled operating company whose business consists of providing services to the Company. Accordingly, the Company consolidated the financial position and results of operations of its wholly owned subsidiary Holding Company. All significant intercompany transactions and balances have been eliminated in consolidation.

***Use of Estimates***

The preparation of consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities as of March 31, 2026, and the reported revenue generated and expenses incurred during the reporting period. Actual results could differ from those estimates.

------

[*Table of Contents*](#TableofContents)

#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Notes to Consolidated Financial Statements – (continued)
(Unaudited)

#### Note 2. Summary of Significant Accounting Policies (continued)

#### Fair Value of Financial Instruments
The Company applies fair value to substantially all of its financial instruments in accordance with ASC Topic 820 — Fair Value Measurements and Disclosures ("ASC Topic 820"). ASC Topic 820 defines fair value, establishes a framework used to measure fair value and requires disclosures for fair value measurements, including the categorization of financial instruments into a three-level hierarchy based on the transparency of valuation inputs. See Note 4 for further discussion regarding the fair value measurements and hierarchy.

ASC Topic 820 requires disclosure of the fair value of financial instruments for which it is practical to estimate such value. The Company believes that the carrying amounts of its other financial instruments, such as cash and cash equivalents, receivables and payables approximate the fair value of such items due to the short maturity of such instruments.

#### Revenue Recognition
The Company's revenue recognition policies are as follows:

*Interest income*: Interest income is recorded on the accrual basis to the extent that the Company expects to collect such amounts. Interest income is accrued based upon the outstanding principal amount and contractual terms of debt investments. For the three months ended March 31, 2026 and 2025, $8,168,077 and $8,896,497, respectively, of interest income, excluding payment in kind ("PIK") interest income, has been accrued as shown on the Consolidated Statements of Operations. As of March 31, 2026 and December 31, 2025, $3,746,723 and $3,410,139 of interest income is receivable, respectively, as shown on the Consolidated Statements of Assets and Liabilities.

*Payment in-kind income:* The Company has certain investments in its portfolio that contain a PIK provision, which represents contractual interest or dividends that are added to the principal balance and recorded as income. For loans and debt securities with contractual PIK, the Company generally will not accrue PIK interest for accounting purposes if the portfolio company valuation indicates that such PIK interest is not collectible. To maintain its ability to take a dividend paid deduction, the Company may need to pay out PIK non-cash income amounts in the form of distributions, even though the Company has not yet collected the cash. For the three months ended March 31, 2026 and 2025, $673,081 and $1,051,324 respectively, of PIK income has been accrued as shown on the Consolidated Statements of Operations.

*Non-accrual:* Loans or preferred equity securities are placed on non-accrual status when interest, PIK interest or dividend payments become 90 days or more past due, or when there is reasonable doubt that principal, interest or dividends will be collected. Additionally, any original issue discount and market discount are no longer accreted to interest income as of the date the loan is placed on non-accrual status. Any accrued interest receivable in previous years will be written off and corresponding interest income will be reversed, as applicable. Subsequent interest payments received on non-accrual loans may be recognized as income or applied to principal depending upon management's judgment. Non-accrual loans are restored to accrual status when past due principal, interest, PIK interest or dividends are paid, and, in management's judgment are likely to remain current. As of March 31, 2026, six investments, SkyBell Technologies, Inc., Consolidated Machine & Tool Holdings, LLC, Delva Master Holdings, Masterworks Electronics, Inc., Chicken Soup For The Soul, LLC and Texas Contract Manufacturing Group Inc. are on non-accrual status. As of December 31, 2025, six investments, 48forty Intermediate Holdings, Inc., SkyBell Technologies, Inc., Consolidated Machine & Tool Holdings, LLC, Delva Master Holdings, Masterworks Electronics, Inc. and Chicken Soup For The Soul, LLC were on non-accrual status. For the three months ended March 31, 2026 and the year ended December 31, 2025, $232,015 and $0 of interest receivable, respectively, was reversed as a result of these investments being on non-accrual status.

*Dividend income:* Dividend income to be paid in-kind on equity securities is recorded on an accrual basis to the extent that such amounts are payable by the portfolio company and are expected to be collected. Dividend income paid in cash is recorded on the date declared for portfolio companies. Each distribution received from limited liability company and limited partnership interests is evaluated to determine if the distribution should be recorded as dividend income or a return of capital. Distributions that are classified as a return of capital are recorded as a reduction in the cost basis of the investment. For the three months ended March 31, 2026 and for the year ended December 31, 2025, the Company did not receive any return of capital distributions from its equity investments. For the three months ended March 31, 2026 and 2025, $148,972 and $221,307, respectively, of dividend income has been accrued as shown on the Consolidated Statements of Operations. As of March 31, 2026, all dividend income has been received. As of December 31, 2025, there was $62,136 of dividend income receivable.

------

[*Table of Contents*](#TableofContents)

#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Notes to Consolidated Financial Statements – (continued)
(Unaudited)

**Note 2. Summary of Significant Accounting Policies (continued)**

*Original Issue Discount:* Discounts to par on portfolio securities are accreted into income over the tenor of the instrument. Any remaining discount is accreted into income upon prepayment or redemption of the instrument and the Company then amortizes such amounts using the effective interest method as interest income over the life of the investment. The unamortized discount as of March 31, 2026 and December 31, 2025, was $4,569,276 and $4,271,160, respectively. The amount of original issue discount amortized for the three months ended March 31, 2026 and 2025 was $536,637 and $775,181 respectively.

*Amendment, waiver, Agency draw and consent fees, etc.:* In connection with modifying credit agreements with portfolio companies to provide additional operating or borrowing flexibility, the Company may be entitled to amendment, waiver and consent fees to compensate for the potentially enhanced credit risk. Such fees will be recorded as income on the date earned and accrued to the extent the fee is to be compensated in the form of additional principal balance. For the three months ended March 31, 2026 and 2025, $0 and $87,706, respectively, of amendment fees had been earned and included in other income on the Consolidated Statements of Operations.

*Early repayment and termination fees:* Upon the prepayment of a loan or debt security, any unamortized premium or discount or loan origination fees are recorded as interest income. To the extent the Company receives early repayment fees in connection with pre-maturity loan agreement termination, such income will be recorded on the date of prepayment. The Company and its Advisor generally do not structure transactions with a contractual exit fee to be collected upon loan repayment at maturity. No such fees were earned during the three months ended March 31, 2026 and 2025.

*Gains and Losses:* Investment transactions are recorded on a trade-date basis. Realized gains or losses on portfolio investments are calculated based upon the difference between the net proceeds from the disposition and the amortized cost basis of the investment, without regard to unrealized gains or losses previously recognized. Realized gains and losses are recorded within net realized gain (loss) on investments on the Consolidated Statements of Operations. Changes in the fair value of investments from the prior period, as approved by the Board based on fair value recommendations from the Advisor in accordance with the Advisor's valuation policy, are included within net change in unrealized gain (loss) on investments on the Consolidated Statements of Operations. For the three months ended March 31, 2026, the Company had $(7,802,110) of net realized gain (loss) on investments as represented on the Consolidated Statements of Operations. For the three months ended March 31, 2025, the Company had $1,863,881 of net realized gain (loss) on investments as represented on the Consolidated Statements of Operations.

#### Distributions
Distributions to Stockholders are recorded on the applicable record date. The Company generally intends to make quarterly distributions to its Stockholders out of assets legally available for distribution. All current income and realization proceeds will be retained by the Company and be available for re-investment. Distributions will be made to Stockholders at such times and in such amounts as determined by the Company's Board.

The Company has adopted an "opt out" dividend reinvestment plan ("DRP") for Stockholders. When a distribution is declared, Stockholders' cash distributions will automatically be reinvested (net applicable withholding tax) in additional shares of the Company's common stock ("Common Stock") unless a Stockholder specifically "opts out" of the Company's DRP. Stockholders may opt out of the Company's DRP by providing notice twenty (20) business days in advance of the distribution payment date.

If a Stockholder opts out, that Stockholder will receive cash distributions. Although distributions paid in the form of additional shares of Common Stock will generally be subject to U.S. federal, state and local taxes in the same manner as cash distributions, Stockholders participating in the Company's DRP will not receive any corresponding cash distributions with which to pay any such applicable taxes. If distributions paid exceed tax earnings and profits, portions of the distribution can be recorded as a return of capital.

#### Earnings per Share
In accordance with the provisions of ASC Topic 260 – Earnings per Share, basic earnings per share is computed by dividing earnings available to common stockholders by the weighted average number of shares outstanding during the period. The weighted average shares outstanding utilized in the calculation of earnings per share take into account share issues on the issuance date and the Company's repurchases of its Common Stock on the repurchase date. See Note 9 for additional information on the Company's share activity. For the three months ended March 31, 2026 and for the year ended December 31, 2025, there were no potentially dilutive common shares issued.

------

[*Table of Contents*](#TableofContents)

#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Notes to Consolidated Financial Statements – (continued)
(Unaudited)

**Note 2. Summary of Significant Accounting Policies (continued)**

#### Segments
In accordance with ASC Topic 280 — Segment Reporting, the Company has determined that it has a single reporting segment and operating unit structure.

Since its commencement, the Company operates and is managed as a single reportable segment deriving returns mainly in the form of interest income, dividend income and other fees from the investments made in pursuit of its single stated investment objective. The accounting policies of the Company are consistent with those described in these Notes to Financial Statements. The chief operating decision maker ("CODM") is represented by the chief executive officer and the chief financial officer of the Company. The CODM considers net investment income, leverage and increase or decrease in net assets resulting from operations in deciding how to deploy capital and make distributions to shareholders. Detailed financial information for the Company is disclosed within these financial statements with total assets and liabilities disclosed on the Consolidated Statements of Assets and Liabilities, investments held on the Consolidated Statements of Investments, results of operations and significant segment expenses on the Consolidated Statements of Operations and other information about the Company's performance, including total return, portfolio turnover and ratios within the Financial Highlights in Note 12.

#### Cash
Cash is comprised of cash on deposit with major financial institutions. The Company places the majority of its cash with State Street Bank and Trust Company, a high credit quality institution, to minimize credit risk exposure. The Company, at times, may have cash on deposit with major financial institutions that exceeds federally insured limits.

#### Cash Equivalents
Cash equivalents are highly liquid investments with a current maturity of three months or less at the date of acquisition, which may include temporary investments in U.S. Treasury Bills (of varying maturities) or money market funds. There were no cash equivalents outstanding on the Company's Consolidated Statements of Assets and Liabilities as of March 31, 2026 and December 31, 2025.

#### Unamortized Deferred Financing Costs
Deferred financing costs represent fees and other direct incremental costs incurred in connection with the Company's borrowings. Deferred financing costs are capitalized as incurred and amortized on a straight line basis to maturity of the Secured Credit Facility (as defined herein). For the three months ended March 31, 2026 and 2025, the Company had $180,939 and $137,400, respectively, of expensed financing costs included in interest and other financing fees on the Consolidated Statements of Operations. As of March 31, 2026 and December 31, 2025, the Company had $1,827,868 and $1,537,817 respectively, of unamortized deferred financing costs as shown in deferred financing cost on the Consolidated Statements of Assets and Liabilities.

#### Organizational and Offering Costs
Organizational and offering costs are expensed as incurred. These expenses consist primarily of legal fees and other costs incurred with Company's share offerings, the preparation of the Company's registration statement, and registration fees. For the three months ended March 31, 2026 and 2025, the Company had incurred no organizational costs. As of March 31, 2026 and December 31, 2025, no organizational costs remained payable on the Consolidated Statements of Assets and Liabilities. For the three months ended March 31, 2026 and 2025, the Company incurred offering costs in the amount of $50,000 and $40,000, respectively, as shown as a component of the general and administrative fees in the Consolidated Statements of Operations. As of March 31, 2026 and December 31, 2025, $49,950 and $40,000, respectively, of offering costs incurred were included in other payables on the Consolidated Statements of Assets and Liabilities.

#### Custodian Fees
The Company has entered into a custody agreement with State Street Bank and Trust Company (the "Custodian"). For the three months ended March 31, 2026 and 2025, the Company incurred expenses for services provided by the Custodian of $12,000 and $9,000, respectively, which is included in professional fees on the Consolidated Statements of Operations. As of March 31, 2026 and December 31, 2025, $8,929 and $11,449, respectively, remained payable, which is included in professional fees payable on the Consolidated Statements of Assets and Liabilities.

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#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Notes to Consolidated Financial Statements – (continued)
(Unaudited)

**Note 2. Summary of Significant Accounting Policies (continued)**

#### Income Taxes
On May 14, 2021, the Company elected to be regulated as a BDC under the 1940 Act. The Company also elected to be treated as a RIC under Subchapter M of the Code and intends to qualify annually as a RIC. As long as the Company maintains its status as a RIC, it generally will not pay corporate-level U.S. federal income taxes on any ordinary income or capital gains that it distributes at least annually to its Stockholders. Rather, any tax liability related to income earned by the Company represents obligations of the Company's Stockholders and will not be reflected in the consolidated financial statements of the Company.

To qualify as a RIC under Subchapter M of the Code, the Company must, among other things, meet certain source-of-income and asset diversification requirements. In addition, to qualify for RIC tax treatment, the Company must distribute to its Stockholders, for each taxable year, at least 90% of its "investment company taxable income" for that year, which is generally its ordinary income plus the excess of its realized net short-term capital gains over its realized net long-term capital losses. In order for the Company not to be subject to U.S. federal excise taxes, it must distribute annually an amount at least equal to the sum of (i) 98% of its net ordinary income (taking into account certain deferrals and elections) for the calendar year, (ii) 98.2% of its capital gains in excess of capital losses for the one-year period ending October 31 in that calendar year and (iii) any net ordinary income and capital gains in excess of capital losses for preceding years that were not distributed during such years and on which the Company paid no U.S. federal income tax. The Company, at its discretion, may carry forward taxable income in excess of calendar year dividends and pay a 4% nondeductible U.S. federal excise tax on this income. For the three months ended March 31, 2026 and 2025, the Company did not record any excise tax expense on the Consolidated Statements of Operations for U.S. federal excise tax.

The Company accounts for income taxes in conformity with ASC Topic 740 — Income Taxes ("ASC Topic 740"). ASC Topic 740 provides guidelines for how uncertain tax positions should be recognized, measured, presented and disclosed in the consolidated financial statements. ASC Topic 740 requires the evaluation of tax positions taken in the course of preparing the Company's tax returns to determine whether the tax positions are "more-likely-than-not" to be sustained by the applicable tax authority. Tax benefits of positions not deemed to meet the more-likely-than-not threshold would be recorded as a tax expense in the current period. It is the Company's policy to recognize accrued interest and penalties related to uncertain tax benefits in income tax expense. For the three months ended March 31, 2026, the Company recorded an income tax expense of $62,125 and an increase of $453,379 in deferred tax liability for the change in unrealized appreciation of investments held in the Holding Company. For the three months ended March 31, 2026, the Company recorded a $4,488,042 deferred tax liability for the unrealized appreciation of investments held in the Holding Company. For the year ended December 31, 2025, the Company recorded a $4,034,663 deferred tax liability for the unrealized appreciation of investments held in the Holding Company. The Company did not record any uncertain income tax positions for the three months ended March 31, 2026 and for the year ended December 31, 2025 on the Consolidated Statements of Assets and Liabilities.

The aggregate amortized tax basis cost of investments included on the Consolidated Schedule of Investments as of March 31, 2026 and December 31, 2025 were $385,643,930 and $387,006,204, respectively.

#### Recent Accounting Pronouncements
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

Since its commencement, the Company operates and is managed as a single reportable segment deriving returns mainly in the form of interest income, dividend income and other fees from the investments made in pursuit of its single stated investment objective. The accounting policies of the Company are consistent with those described in the Notes to Financial Statements.

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#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Notes to Consolidated Financial Statements – (continued)
(Unaudited)

#### Note 3. Investments
The following tables show the composition of the Company's investment portfolio, at amortized cost and fair value (with corresponding percentage of total portfolio investments):

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **March 31, 2026** | **March 31, 2026** | **March 31, 2026** | **March 31, 2026** |
|  | **Amortized Cost** | **Amortized Cost** | **Fair Value** | **Fair Value** |
| First Lien Senior Secured Loan | $319324997 | 82.8% | $302130532 | 79.1% |
| Senior Unsecured Notes | 5708334 | 1.5 | 3698085 | 1.0 |
| Preferred Equity Securities | 55646337 | 14.4 | 67974382 | 17.8 |
| Warrants and Other Equity Securities | 2515593 | 0.7 | 6281368 | 1.6 |
| Fund Investments | 2448669 | 0.6 | 1925246 | 0.5 |
| &nbsp;&nbsp;&nbsp; Total | $385643930 | 100.0% | $382009613 | 100.0% |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** |
|  | **Amortized Cost** | **Amortized Cost** | **Fair Value** | **Fair Value** |
| First Lien Senior Secured Loan | $324763756 | 83.8% | $300852563 | 80.2% |
| Senior Unsecured Notes | 5728949 | 1.5 | 3763831 | 1 |
| Preferred Equity Securities | 51468339 | 13.3 | 62479421 | 16.7 |
| Warrants and Other Equity Securities | 2515593 | 0.7 | 6022684 | 1.6 |
| Fund Investments | 2529567 | 0.7 | 1925246 | 0.5 |
| &nbsp;&nbsp;&nbsp; Total | $387006204 | 100.0% | $375043745 | 100.0% |

---

The following tables show the composition of the Company's investment portfolio by geographic region, at amortized cost and fair value (with corresponding percentage of total portfolio investments). The geographic composition is determined by the location of the corporate headquarters of the portfolio company, which may not be indicative of the primary source of the portfolio company's business:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **March 31, 2026** | **March 31, 2026** | **March 31, 2026** | **March 31, 2026** |
|  | **Amortized Cost** | **Amortized Cost** | **Fair Value** | **Fair Value** |
| Southeast | $101536129 | 26.3% | $109565719 | 28.7% |
| Midwest | 63588068 | 16.5 | 68062389 | 17.8 |
| West | 102295678 | 26.5 | 93384317 | 24.4 |
| Northeast | 59169112 | 15.3 | 51430101 | 13.5 |
| East<br>| 31441055 | 8.2 | 29099221 | 7.6 |
| Southwest<br>| 8040827 | 2.1 | 6572864 | 1.7 |
| South | 19573061 | 5.1 | 23895002 | 6.3 |
| &nbsp;&nbsp;&nbsp; Total | $385643930 | 100.0% | $382009613 | 100.0% |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** |
|  | **Amortized Cost** | **Amortized Cost** | **Fair Value** | **Fair Value** |
| Southeast | $105532002 | 27.2% | $103998979 | 27.7% |
| Midwest | 60910065 | 15.7 | 64907855 | 17.3 |
| West | 103275095 | 26.8 | 94822761 | 25.3 |
| Northeast | 58378552 | 15.1 | 50530770 | 13.5 |
| East | 31403307 | 8.1 | 29612464 | 7.9 |
| Southwest | 7836636 | 2.0 | 6830412 | 1.8 |
| South | 19670547 | 5.1 | 24340504 | 6.5 |
| &nbsp;&nbsp;&nbsp; Total | $387006204 | 100.0% | $375043745 | 100.0% |

---

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[*Table of Contents*](#TableofContents)

#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Notes to Consolidated Financial Statements – (continued)
(Unaudited)

**Note 3. Investments (continued)**

The following tables show the composition of the Company's investment portfolio by industry, at amortized cost and fair value (with corresponding percentage of total portfolio investments):

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **March 31, 2026** | **March 31, 2026** | **March 31, 2026** | **March 31, 2026** |
|  | **Amortized Cost** | **Amortized Cost** | **Fair Value** | **Fair Value** |
| Aerospace & Defense | $9322266 | 2.4% | $9428950 | 2.5% |
| Building Products | 2057903 | 0.5 | 2126879 | 0.6 |
| Chemicals | 19467289 | 5 | 19848031 | 5.2 |
| Commercial Services & Supplies | 13905644 | 3.6 | 14063487 | 3.7 |
| Construction & Engineering | 69097029 | 18.0 | 81054857 | 21.2 |
| Consumer Finance | 3675236 | 1.0 | 3698085 | 1.0 |
| Distributors | 7013952 | 1.8 | 7013954 | 1.8 |
| Diversified Financials | 2448669 | 0.6 | 1925246 | 0.5 |
| Diversified Telecommunication Services | 23315782 | 6 | 20514218 | 5.4 |
| Electrical Equipment | 11202756 | 2.9 | - | 0 |
| Entertainment | 33120128 | 8.7 | 31282035 | 8.2 |
| Food Products | 9627806 | 2.5 | 11976037 | 3.1 |
| Healthcare Providers & Services | 42019005 | 10.9 | 40190344 | 10.5 |
| Hotels, Restaurants & Leisure | 8103205 | 2.1 | 8402226 | 2.2 |
| Household Durables | 4534395 | 1.2 | 3867034 | 1.0 |
| Household Products | 13146291 | 3.4 | 14085320 | 3.7 |
| Leisure Products | 5730322 | 1.5 | 3379042 | 0.9 |
| Machinery | 4382029 | 1.1 | 2942355 | 0.8 |
| Media | 19025011 | 4.9 | 20423991 | 5.3 |
| Personal Products | 4520496 | 1.2 | 4522415 | 1.2 |
| Professional Services | 43541682 | 11.3 | 49217599 | 12.9 |
| Software | 997284 | 0.3 | 417215 | 0.1 |
| Specialty Retail | 6987462 | 1.8 | 7035076 | 1.8 |
| Trading Companies & Distributors | 18598542 | 4.8 | 15238852 | 4.0 |
|  Transportation Infrastructure<br>| 9803746 | 2.5 | 9356365 | 2.4 |
| &nbsp;&nbsp;&nbsp; Total | $385643930 | 100.0% | $382009613 | 100.0% |

---

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[*Table of Contents*](#TableofContents)

#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Notes to Consolidated Financial Statements – (continued)
(Unaudited)

**Note 3. Investments (continued)**

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** | **December 31, 2025** |
|  | **Amortized Cost** | **Amortized Cost** | **Fair Value** | **Fair Value** |
| Aerospace & Defense | $9326539 | 2.3% | $8756759 | 2.4% |
| Building Products | 2056099 | 0.5 | 2056098 | 0.6 |
| Chemicals | 19494186 | 5 | 19898602 | 5.4 |
| Commercial Services & Supplies | 13882178 | 3.6 | 14183797 | 3.8 |
| Construction & Engineering | 56399317 | 14.6 | 66511406 | 17.7 |
| Consumer Finance | 3695851 | 0.9 | 3763831 | 1.0 |
| Distributors | 14822272 | 3.8 | 7300311 | 1.9 |
| Diversified Financials | 2529567 | 0.7 | 1925246 | 0.5 |
| Diversified Telecommunication Services | 23230783 | 6.0 | 21129751 | 5.6 |
| Electrical Equipment | 11193385 | 2.9 | 877249 | 0.2 |
| Entertainment | 33166183 | 8.6 | 31388774 | 8.4 |
| Food Products | 9636856 | 2.5 | 11852852 | 3.2 |
| Healthcare Providers & Services | 40622092 | 10.5 | 39110377 | 10.4 |
| Hotels, Restaurants & Leisure | 8134000 | 2.1 | 8266981 | 2.2 |
| Household Durables | 4534395 | 1.2 | 3867034 | 1.0 |
| Household Products | 13061081 | 3.4 | 13833981 | 3.7 |
| Leisure Products | 5670240 | 1.5 | 3407718 | 0.9 |
| Machinery | 4382109 | 1.1 | 3645509 | 1.0 |
| Media | 19945133 | 5.1 | 21105771 | 5.6 |
| Personal Products | 4497209 | 1.2 | 4532223 | 1.2 |
| Professional Services | 50577849 | 13.1 | 55315203 | 14.7 |
| Software | 997283 | 0.3 | 640379 | 0.2 |
| Specialty Retail | 6993393 | 1.8 | 7052922 | 1.9 |
| Trading Companies & Distributors | 18154523 | 4.7 | 14804024 | 3.9 |
| Transportation Infrastructure  | 10003681 | 2.6 | 9816947 | 2.6 |
| &nbsp;&nbsp;&nbsp; Total | $387006204 | 100.0% | $375043745 | 100.0% |

---

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[*Table of Contents*](#TableofContents)

#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Notes to Consolidated Financial Statements – (continued)
(Unaudited)

#### Note 4. Fair Value Measurements Investments
ASC Topic 820 clarifies the definition of fair value as the amount that would be received in the sale of an asset or paid in the transfer of a liability in an orderly transaction between market participants at the measurement date. Where available, the Company uses quoted market prices based on the last sales price on the measurement date.

In accordance with ASC Topic 820, the Company discloses the fair value of its investments in a hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to valuations based upon unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to valuations based upon unobservable inputs that are significant to the valuation (Level 3 measurements). To the extent that fair value is based on inputs that are less observable, the determination of fair value requires a significant amount of management judgment. Investments which are valued using NAV as a practical expedient are excluded from this hierarchy.

The three-tier hierarchy of inputs is summarized below.

&nbsp;&nbsp;&nbsp;&nbsp;• Level 1 - Quoted prices are available in active markets/exchanges for identical investments as of the reporting date.

&nbsp;&nbsp;&nbsp;&nbsp;• Level 2 - Pricing inputs are observable inputs including, but not limited to, prices quoted for similar assets or liabilities in active markets/exchanges or prices quoted for identical or similar assets or
 liabilities in markets that are not active, and fair value is determined through the use of models or other valuation methodologies.

&nbsp;&nbsp;&nbsp;&nbsp;• Level 3 - Pricing inputs are unobservable for the investment and include activities where there is little, if any, market activity for the investment. The inputs into determination of fair value require
 significant management judgment and estimation.

The inputs used by management in estimating the fair value of Level 3 investments may include valuations and other reporting provided by representatives of the portfolio companies, original transaction prices, recent transactions for identical or similar instruments, and comparisons to fair values of comparable investments, and may include adjustments to reflect illiquidity or non-transferability. The Company has policies with respect to its investments, which may assist the Advisor in assessing the quality of information provided by, or on behalf of, each portfolio investment and in determining whether such information continues to be provided by a reliable source or whether further investigation is necessary. Any such investigation, as applicable, may or may not require the Advisor to forego its normal reliance on the value supplied by, or on behalf of, such portfolio investment and to independently recommend the fair value of the Company's interest in such portfolio investments for approval by the Board, consistent with the Company's valuation procedures.

The Company has engaged two independent third-party valuation providers, which perform valuation procedures to arrive at estimated valuation ranges of the investments on a quarterly basis. Investments that have been completed within the past three months will be fair valued at cost unless there has been a material event. If there has been a material event or material information that was not known as of the close of the transaction, the independent third-party valuation providers will provide an independent valuation range. The types of valuation methodologies employed by the third-party valuation providers include discounted cash flow, recent financing and enterprise value valuation methodologies. The Company's Board will discuss valuations and determine the fair value of each investment in the Company's portfolio in good faith, based on the input of the Advisor, the respective independent valuation firms and the audit committee.

The Company's investments and borrowings are subject to market risk. Market risk is the potential for changes in the value due to market changes. Market risk is directly impacted by the volatility and liquidity in the markets in which the investments and borrowings are traded.

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in these securities. The availability of valuation techniques and observable inputs can vary from security to security and is affected by a wide variety of factors including the type of security, whether the security is new and not yet established in the marketplace, and other characteristics particular to the transaction. Inputs may include price information, volatility statistics, specific and broad credit data, liquidity statistics and other factors.

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[*Table of Contents*](#TableofContents)

#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Notes to Consolidated Financial Statements – (continued)
(Unaudited)

**Note 4. Fair Value Measurements (continued)**

The use of these valuation models requires significant estimation and judgment by the Advisor. While the Company believes its valuation methods are appropriate, other market participants may value identical assets differently than the Company at the measurement date. The methods used by the Company may produce a fair value calculation that may not be indicative of net realizable value or reflective of future fair values. The Company may also have risk associated with its concentration of investments in certain geographic regions and industries.

To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Those estimated values do not necessarily represent the amounts that may be ultimately realized due to the occurrence of future circumstances that cannot be reasonably determined. Accordingly, the degree of judgment exercised by the Company in determining fair value is greatest for securities categorized in Level 3.

The determination of what constitutes "observable" requires significant judgment by the Company. The Company considers observable data to be market data which is readily available, regularly distributed or updated, reliable and verifiable, not proprietary, which may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the level in the fair value hierarchy within which the fair value measurement in its entirety falls is determined based on the lowest level input that is significant to the fair value measurement. The categorization of an investment within the hierarchy is based upon the pricing transparency of the investment and observability of prices and inputs may be reduced for many investments. This condition could cause the investment to be reclassified to a lower level within the fair value hierarchy.

The consolidated financial statements include portfolio investments at fair value of $382,009,613 and $375,043,745 as of March 31, 2026 and December 31, 2025, respectively.

The Company valued its investments in underlying funds based on its proportionate interest in net asset value ("NAV") of the underlying funds. For the purpose of classifying the investments in underlying funds within the fair value hierarchy, the Company makes use of the practical expedient under ASU 2015-07, Fair Value Measurement (Topic 820): Disclosures for Investments in Certain Entities That Calculate Net Asset Value per Share (or its Equivalent). As of March 31, 2026 and December 31, 2025, the Company's investments in underlying funds amounted to $1,925,246 and $1,925,246, respectively.

U.S. GAAP requires that the Company disclose the Company's pro-rata portion of individual securities, if available, that are reported to the Company by the underlying portfolio funds that exceed 5% of the Company's capital balance.

The following tables present fair value measurements of investments, by major class according to the fair value hierarchy as of March 31, 2026 and December 31, 2025:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Fair Value Measurements** | **Fair Value Measurements** | **Fair Value Measurements** | **Fair Value Measurements** |
| **March 31, 2026** | **Level 1** | **Level 2** | **Level 3** | **Total** |
| &nbsp;&nbsp;&nbsp; First Lien Senior Secured Loan | $- | $- | $302130532 | $302130532 |
| &nbsp;&nbsp;&nbsp; Senior Unsecured Notes | - | - | 3698085 | 3698085 |
| &nbsp;&nbsp;&nbsp; Preferred Equity Securities | - | - | 67974382 | 67974382 |
| &nbsp;&nbsp;&nbsp; Warrants and Other Equity Securities | - | - | 6281368 | 6281368 |
| &nbsp;&nbsp;&nbsp; Total | $- | $- | $380084367 | $380084367 |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Fair Value Measurements** | **Fair Value Measurements** | **Fair Value Measurements** | **Fair Value Measurements** |
| **December 31, 2025** | **Level 1** | **Level 2** | **Level 3** | **Total** |
| &nbsp;&nbsp;&nbsp; First Lien Senior Secured Loan | $- | $- | $300852563 | $300852563 |
| &nbsp;&nbsp;&nbsp; Senior Unsecured Notes |  |  | 3763831 | 3763831 |
| &nbsp;&nbsp;&nbsp; Preferred Equity Securities | - | - | 62479421 | 62479421 |
| &nbsp;&nbsp;&nbsp; Warrants and Other Equity Securities | - | - | 6022684 | 6022684 |
| &nbsp;&nbsp;&nbsp; Total | $- | $- | $373118499 | $373118499 |

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[*Table of Contents*](#TableofContents)

#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Notes to Consolidated Financial Statements – (continued)
(Unaudited)

**Note 4. Fair Value Measurements (continued)**

First Lien Senior Secured Loans and Second Lien Senior Secured Loans are collateralized by tangible and intangible assets of the borrowers. These investments include loans to entities that have some level of challenge in obtaining financing from other, more conventional institutions, such as a bank. Interest rates on these loans are either fixed or floating and are based on current market conditions.

The following tables provide a reconciliation of the beginning and ending balances for investments at fair value that use Level 3 inputs for the three months ended March 31, 2026, and 2025:

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Investments**  | **Investments**  | **Investments**  | **Investments**  | **Investments**  | **Investments**  | **Investments**  | **Investments**  |
|  | **First Lien Senior** <br> **Secured Loan** | **Second Lien Senior** <br> **Secured Loan** | **Senior Secured**<br> **Notes** | **Senior Unsecured**<br> **Notes** | **Preferred Equity <br> Securities** | **Warrants and Other** <br> **Equity Securities** | **Fund Investments** | **Total Investments** |
|  Balance as of December 31, 2025 | $300852563 | $- | $- | $3763831 | $62479421 | $6022684 | $1925246 | $375043745 |
|  Net realized gain on investments  | (7802110) |  |  |  |  |  |  | (7802110) |
|  Net change in unrealized gain (loss) on investments  | 6716728 |  |  | (45131) | 1316963 | 258684 | 80898 | 8328142 |
|  Purchases of investments and other adjustments to cost <sup>(1)</sup> | 16147719 | - |  | (20615) | - |  | - | 16127104 |
|  Proceeds from sales of investments  |  |  |  |  |  |  | (80898) | (80898) |
|  Proceeds from principal repayments <sup>(2)</sup> | (9606370) | - |  | - | - | - | - | (9606370) |
| Transfer / Restructure of Investments<sup>(3)</sup> | (4177998) | - | - | - | 4177998 | - | - | - |
|  Balance as of March 31, 2026 | $302130532 | $- | $- | $3698085 | $67974382 | $6281368 | $1925246 | $382009613 |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) Includes purchases of new investments, premium and discount accretion and amortization and PIK interest.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) Includes paydowns receivable from the Consolidated Statements of Assets and Liabilities

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) Lien conversions are fair valued at beginning of period or at time of restructure.

---

| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Investments** | **Investments** | **Investments** | **Investments** | **Investments** | **Investments** | **Investments** | **Investments** |
|  | **First Lien Senior** <br> **Secured Loan** | **Second Lien Senior** <br> **Secured Loan** | **Senior Secured**<br> **Notes** | **Senior Unsecured**<br> **Notes** | **Preferred Equity** <br> **Securities** | **Warrants and Other <br> Equity Securities**  | **Fund Investments** | **Total Investments** |
|  Balance as of December 31, 2024 | $304120042 | $6034048 | $341103 | $3427073 | $53603056 | $7426377 | $2688619 | $377640318 |
|  Net realized gain on investments <br>|  |  |  |  | 1863881 |  |  | 1863881 |
|  Net change in unrealized gain (loss) on investments | (5513079) | 82688 | (12378) | 9455 | (1227465) | 1595111 | 185083 | (4880585) |
|  Purchases of investments and other adjustments to cost <sup>(1)</sup> | 19126813 | (21952) | 88677 | 262672 | 892843 | - | - | 20349053 |
|  Proceeds from sales of investments <br>|  |  |  |  | (4333421) |  |  | (4333421) |
|  Proceeds from principal repayments <sup>(2)</sup> | (14765512) | (50172) |  |  | - | - | - | (14815684) |
|  Balance as of March 31, 2025 | $302968264 | $6044612 | $417402 | $3699200 | $50798894 | $9021488 | $2873702 | $375823562 |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) Includes purchases of new investments, premium and discount accretion and amortization and PIK interest.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) Includes paydowns receivable from the Consolidated Statements of Assets and Liabilities.

The net change in unrealized gain (loss) on investments included on the Consolidated Statements of Operations for the three months ended March 31, 2026 and 2025, attributable to Level 3 investments still held as of March 31, 2026 was $970,574 and $(1,770,869), respectively.

Reclassifications impacting Level 3 of the fair value hierarchy are reported as transfers in or out of Level 3 as of the beginning of the period which the reclassifications occur. There were no transfers among Levels 1, 2 and 3 for the three months ended March 31, 2026 and 2025.

Purchases (including accretion, amortization, PIK interest) for the three months ended March 31, 2026 and 2025 amounted to $16,127,104 and $20,349,053, respectively.

For the three months ended March 31, 2026, the Company invested (net of original issue discount) $1,985,887 in one new portfolio company and invested $13,527,098 in 11 existing portfolio companies as reflected in the Consolidated Schedule of Investments. For the three months ended March 31, 2025, the Company invested (net of original issue discount) $12,312,500 in one new portfolio company and invested $9,866,818 in 7 existing portfolio companies as reflected in the Consolidated Schedule of Investments.

During the period ended March 31, 2026, 48Forty Holdings underwent a restructuring resulting in a new preferred equity investment and loan facilities.

------

[*Table of Contents*](#TableofContents)

#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Notes to Consolidated Financial Statements – (continued)
(Unaudited)

**Note 4. Fair Value Measurements (continued)** 

#### Significant Unobservable Inputs
ASC Topic 820 requires disclosure of quantitative information about the significant unobservable inputs used in the valuation of assets and liabilities classified as Level 3 within the fair value hierarchy. The tables below are not intended to be all-inclusive, but rather to provide information on significant unobservable inputs and valuation techniques used by the Company.

The table below summarizes the quantitative inputs and assumptions used for items categorized in Level 3 of the fair value hierarchy as of March 31, 2026.

---

| | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | |  |  | |  | **Range** | **Range** | **Range** |  |
|  | <br> **Fair Value** | <br> **Valuation Technique** | **Unobservable** <br> **Input** | **Weighted** <br> **Average Mean** |  | <br> **Minimum** |  | <br> **Maximum** |  |
| **Assets:** | |  |  | |  | |  | |  |
| &nbsp;&nbsp;&nbsp; First Lien Senior Secured Loan | $286748931 | Discounted Cash Flow | Discount Rate | 14.4 | % | 6.7 | % | 25.5 | % |
| &nbsp;&nbsp;&nbsp; First Lien Senior Secured Loan | 10363028 | Guideline Public Company Method | Revenue Multiple | 0.4 | x  | 0.1 | x  | 0.5 | x  |
|  |  | Guideline Public Company Method | EBITDA Multiple | 10.8 | x | 10.3 | x | 11.3 | x |
| &nbsp;&nbsp;&nbsp; First Lien Senior Secured Loan <br>| 1986942 | Transaction Price | N/A | N/A |  | N/A |  | N/A |  |
| &nbsp;&nbsp;&nbsp; First Lien Senior Secured Loan <br>| 3031633 | Market Transaction | N/A | N/A |  | N/A |  | N/A |  |
| &nbsp;&nbsp;&nbsp; Senior Unsecured Note | 3698085 | Discounted Cash Flow | Discount Rate | 14.5 | % | 13.2 | % | 15.7 | % |
| &nbsp;&nbsp;&nbsp; Preferred Equity Securities | 24753484 | Discounted Cash Flow | Discount Rate | 23.6 | % | 15.0 | % | 37.0 | % |
| &nbsp;&nbsp;&nbsp; Preferred Equity Securities | 33145042 | Guideline Public Company Method | Revenue Multiple | 1.33 | x  | 0.40 | x  | 4.80 | x  |
|  |  | Guideline Public Company Method | EBITDA Multiple | 8.86 | x  | 4.00 | x  | 15.25 | x  |
| &nbsp;&nbsp;&nbsp; Preferred Equity Securities <br>| 10075856 | Guideline Merged & Acquired Company Method | Gross Profit Multiple | 0.00 | x  | 0.00 | x  | 0.00 | x  |
| &nbsp;&nbsp;&nbsp; Warrants and Other Equity Securities | 194365 | Discounted Cash Flow | Discount Rate | 19.1 | % | 15.0 | % | 32.0 | % |
| &nbsp;&nbsp;&nbsp; Warrants and Other Equity Securities | 6087003 | Guideline Public Company Method | Revenue Multiple | 0.9 | x  | 0.1 | x  | 2.79 | x  |
| &nbsp;&nbsp;&nbsp; Warrants and Other Equity Securities |  | Guideline Public Company Method | EBITDA Multiple | 10.3 | x | 5.3 | x | 25.63 | x |
| Total Level 3 Assets | $380084367 |  |  |  |  |  |  |  |  |

---

The table below summarizes the quantitative inputs and assumptions used for items categorized in Level 3 of the fair value hierarchy as of December 31, 2025.

---

| | | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|:---|
|  | |  |  | |  | **Range** | **Range** | **Range** |  |
|  | <br> **Fair Value** | <br> **Valuation Technique** | **Unobservable** <br> **Input** | **Weighted** <br> **Average Mean** |  | <br> **Minimum** |  | **&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<br> Maximum** |  |
| **Assets:** | |  |  | |  | |  | |  |
| &nbsp;&nbsp;&nbsp; First Lien Senior Secured Loans | $278977857 | Discounted Cash Flow | Discount Rate | 13.7 | % | 5.9 | % | 23.9 | % |
| &nbsp;&nbsp;&nbsp; First Lien Senior Secured Loans | 23143096 | Guideline Public Company Method | Revenue Multiple | 0.5 | x  | 0.2 | x  | 0.9 | x  |
|  |  | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Guideline Public Company Method&nbsp;&nbsp;&nbsp;&nbsp;  | EBITDA Multiple | 11.0 | x  | 10.5 | x  | 11.5 | x  |
| &nbsp;&nbsp;&nbsp; First Lien Senior Secured Loans | 2267252 | Transaction Price | N/A | N/A |  | N/A |  | N/A |  |
| &nbsp;&nbsp;&nbsp; Senior Unsecured Notes | 228189 | Discounted Cash Flow | Discount Rate | 13.3 | % | 12.1 | % | 14.6 | % |
| &nbsp;&nbsp;&nbsp; Preferred Equity Securities | 23887117 | Discounted Cash Flow | Discount Rate | 22.8 | % | 13.0 | % | 31.5 | % |
| &nbsp;&nbsp;&nbsp; Preferred Equity Securities | 28548928 | Guideline Public Company Method | Revenue Multiple | 1.4 | x  | 0.5 | x  | 4.5 | x  |
|  |  | &nbsp;&nbsp;&nbsp;&nbsp; Guideline Public Company Method&nbsp;&nbsp;&nbsp;&nbsp; | EBITDA Multiple | 8.9 | x  | 4.8 | x  | 25.1 | x  |
|  |  | &nbsp;&nbsp;&nbsp;&nbsp; Guideline Public Company Method&nbsp;&nbsp;&nbsp;&nbsp;  | Gross Profit Multiple | - |  | - |  | - |  |
| &nbsp;&nbsp;&nbsp; Preferred Equity Securities | 9828998 | Guideline Merged & Acquired Company Method | Revenue Multiple | 1.7 | x  | 0.5 | x  | 2.5 | x  |
|  |  | Guideline Merged & Acquired Company Method | EBITDA Multiple | 9.9 | x  | 7.5 | x  | 14.4 | x  |
| &nbsp;&nbsp;&nbsp; Preferred Equity Securities | 214378 | Transaction Price | N/A | N/A |  | N/A |  | N/A |  |
| &nbsp;&nbsp;&nbsp; Warrants and Other Equity Securities | 203603 | Discounted Cash Flow | Discount Rate | 24.0 | % | 15.5 | % | 31.5 | % |
| &nbsp;&nbsp;&nbsp; Warrants and Other Equity Securities | 5819080 | Guideline Public Company Method | Revenue Multiple | 1.0 | x  | 0.2 | x  | 2.5 | x  |
|  |  | Guideline Public Company Method | EBITDA Multiple | 9.3 | x  | 4.8 | x  | 13.5 | x  |
| Total Level 3 Assets | $373118499 |  |  |  |  |  |  |  |  |

---

An increase or decrease in any of the significant unobservable inputs used in the fair value measurement of the investments would result in a higher or lower fair value measurement, respectively.

The significant unobservable input used in the income approach of fair value measurement of the Company's investments is the discount rate (derived from market yields, EBITDA Multiple and Revenue Multiple) used to discount the estimated future cash flows expected to be received from the underlying investment, which include both future principal and interest payments. Increases (decreases) in the discount rate would result in a decrease (increase) in the fair value estimate of the investment. Included in the consideration and selection of discount rates are the following factors: risk of default, rating of the investment and comparable investments, and call provisions.

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#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Notes to Consolidated Financial Statements – (continued)
(Unaudited)

**Note 4. Fair Value Measurements (continued)**

The significant unobservable inputs used in the market approach of fair value measurement of the Company's investments are the market multiples of EBITDA or revenue of the comparable guideline public companies. The Company selects a population of public companies for each investment with similar operations and attributes of the portfolio company. Using these guideline public companies' data, a range of multiples of enterprise value to EBITDA or revenue is calculated. The Company selects percentages from the range of multiples for purposes of determining the portfolio company's estimated enterprise value based on said multiple and generally the latest twelve months EBITDA or revenue of the portfolio company (or other meaningful measure). Increases (decreases) in the multiple will result in an increase (decrease) in enterprise value, resulting in an increase (decrease) in the fair value estimate of the investment.

**Note 5. Transactions with Affiliated Companies** 

The Company and the Advisor have received an exemptive order from the SEC that permits the Company to co-invest with certain accounts managed by the Advisor and/or certain affiliates of the Company, subject to the terms and conditions specified in the exemptive order.

An affiliated company is a company in which the Company has an ownership interest of 5% or more of its voting securities. A controlled affiliate company is a company in which the Company and its affiliated funds have an ownership interest of more than 25% of its voting securities. Please see the Company's Consolidated Schedule of Investments for the type of investment, principal amount, interest rate including the spread, and the maturity date for investments in affiliated companies. For the three months ended March 31, 2026 and for the year ended December 31, 2025, the Advisor's managed funds had an ownership interest of more than 25% or the Company had an ownership interest of 5% or more in companies voting securities, respectively.

Transactions related to the Company's investments with affiliated and controlled affiliates for the three months ended March 31, 2026 and for the year ended December 31, 2025, were as follows:

---

| | | |
|:---|:---|:---|
| **The three months ended March 31, 2026** | **Equity Ownership Held by the** <br> **Company** | **Equity Ownership Held by** <br> **Star Mountain Affiliate Funds** |
| **Issuer:** | | |
| &nbsp;&nbsp;&nbsp; Caregility | 5.7% | 28.8% |
| &nbsp;&nbsp;&nbsp; LaSalle Network<br>| 5.8% | 21.9% |
| &nbsp;&nbsp;&nbsp; Uncle John's Pride<br>| 5.6% | 18.8% |
| &nbsp;&nbsp;&nbsp; USBid Inc.<br>| 13.5% | 57.7% |
| &nbsp;&nbsp;&nbsp; Watt Contracting Holdings<br>| 30.2% | 89.6% |
| &nbsp;&nbsp;&nbsp; Acara Home Health<br>| 2.5% | 72.2% |
| &nbsp;&nbsp;&nbsp; Mission<br>| 4.3% | 34.4% |
| &nbsp;&nbsp;&nbsp; Delva Master Holdings<br>| 2.7% | 74.5% |
| &nbsp;&nbsp;&nbsp; Microf<br>| 0.0% | 87.1% |

---

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#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Notes to Consolidated Financial Statements – (continued)
(Unaudited)

**Note 5. Transactions with Affiliated Companies (continued)**

---

| | | |
|:---|:---|:---|
| **The year ended December 31, 2025** | **Equity Ownership Held by the** <br> **Company** | **Equity Ownership Held by** <br> **Star Mountain Affiliate Funds** |
| **Issuer:** | | |
| &nbsp;&nbsp;&nbsp; Arrow Home Health LLC | 2.6% | 72.2% |
| &nbsp;&nbsp;&nbsp; Caregility Corporation<br>| 7.9% | 37.4% |
| &nbsp;&nbsp;&nbsp;Delva Master Holdings | 2.7% | 74.5% |
| &nbsp;&nbsp;&nbsp; Lasalle Staffing, LLC<br>| 5.8% | 21.9% |
| &nbsp;&nbsp;&nbsp; Microf, LLC<br>| 0.0% | 77.3% |
| &nbsp;&nbsp;&nbsp; MPUSA, LLC (dba Mission)<br>| 4.3% | 34.4% |
| &nbsp;&nbsp;&nbsp; Uncle John's Pride, LLC<br>| 5.6% | 18.8% |
| &nbsp;&nbsp;&nbsp; USBid Inc. <br>| 13.5% | 57.7% |
| &nbsp;&nbsp;&nbsp; Watt Acquisition, LLC<br>| 30.2% | 89.6% |

---

#### Note 6. Transactions with Related Parties
Star Mountain Lower Middle-Market (Offshore) Ltd. (the "Feeder Fund") was formed as a Cayman Islands exempted company and commenced operations on August 17, 2021. The Feeder Fund has been formed to invest all or substantially all of its investable assets in the common stock of the Company. As of March 31, 2026 and December 31, 2025, the Feeder Fund had $46,888,800 and $46,888,800 in capital committed to the Company, respectively, and an ownership percentage in the Company of 15.90% and 16.08%, respectively.

#### Management Fees
The Company has entered into an investment advisory agreement with the Advisor (as amended and restated, the "Investment Advisory Agreement"), under which the Advisor, subject to the overall supervision of the Board, provides investment advisory services to the Company. The Company pays the Advisor a fee for its services under the Investment Advisory Agreement consisting of two components – a base management fee and an incentive fee. The cost of both the base management fee and the incentive fee are borne by the Company's Stockholders, unless such fees are waived by the Advisor.

The Company pays the Advisor a base management fee of 1.25% per annum of the average of the Company's total gross assets (excluding cash or cash equivalents but including assets purchased with borrowed amounts) as of the end of each of the two most recently completed calendar quarters.

Management fees for the three months ended March 31, 2026 and 2025 were $1,185,892 and $1,187,647, respectively. For the three months ended March 31, 2026 and 2025, the Advisor elected to voluntarily waive $0 and $0, respectively, of such management fees. The management fees waived are not recoupable by the Advisor. There is no guarantee that the Advisor will waive management fees in the future, and the Advisor may discontinue or modify any such waivers in the future at its discretion. As of March 31, 2026 and December 31, 2025, $1,180,133 and $1,184,837 of management fees remained payable, respectively.

#### Incentive Fees
The incentive fee ("Incentive Compensation") consists of two parts. The first component of the income incentive fee is payable quarterly in arrears. The Income Incentive Fee will be determined by comparing the Company's pre-incentive fee net investment income for the preceding quarter. Pre-incentive fee net investment income means interest income, dividend income, PIK interest and any other income (including any other fees such as commitment, origination, structuring, diligence and consulting fees or other fees that the Company receives from portfolio companies but excluding fees for providing managerial assistance) accrued during the calendar quarter, minus operating expenses for the quarter (including the base management fee), any expenses payable under the administration agreement (the "Administration Agreement") between the Company and the Administrator and any interest expense and dividends paid on any outstanding preferred stock, but excluding the incentive fee. Pre-incentive fee net investment income will include, in the case of investments with a deferred interest feature such as market discount, debt instruments with PIK interest, preferred stock with PIK dividends and zero-coupon securities, accrued income that the Company has not yet received in cash. The Advisor is not under any obligation to reimburse the Company for any part of the incentive fee it receives that was based on accrued interest that the Company never actually receives.

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#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Notes to Consolidated Financial Statements – (continued)
(Unaudited)

#### Note 6. Transactions with Related Parties (continued)
Pre-incentive fee net investment income does not include any realized capital gains or losses or unrealized capital gains or losses. If any distributions from portfolio companies are characterized as a return of capital, such returns of capital would affect the capital gains incentive fee to the extent a gain or loss is realized. Because of the structure of the incentive fee, it is possible that the Company may pay an incentive fee in a quarter where it incurs a loss. For example, if the Company receives pre-incentive fee net investment income in excess of the hurdle rate (as defined below) for a quarter, the Company will pay the applicable incentive fee even if it has incurred a loss in that quarter due to realized and unrealized capital losses.

Pre-incentive fee net investment income, expressed as a rate of return on the value of the Company's net assets (defined as total assets less indebtedness and before taking into account any incentive fees payable during the period) at the end of the immediately preceding calendar quarter, is compared to a fixed "hurdle rate" of 1.75% per quarter (7% annually).

Under the Investment Advisory Agreement, the Company pays the Advisor an incentive fee with respect to its pre-incentive fee net investment income in each calendar quarter as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• no incentive fee in any calendar quarter in which the pre-incentive fee net investment income does not exceed the hurdle rate of 1.75%
 (7% annually);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• 100% of the Company's pre-incentive fee net investment income with respect to that portion of such pre-incentive fee net
 investment income, if any, that exceeds the hurdle rate but is less than or equal to the product of (i) 2.1212% per quarter
 (8.4848% annualized) and (ii) the Company's net assets at the end of the immediately preceding quarter. The Company refers to
 this portion of the Company's pre-incentive fee net investment income as the "catch-up" provision. The catch-up is meant to provide the Advisor with approximately 17.5% of the pre-incentive fee net investment income if a hurdle rate did not apply; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• 17.5% of the Company's pre-incentive fee net investment income that exceeds the "catch-up" provision. This provides that
 once the hurdle amount and the catch-up provision are achieved, 17.5% of all pre-incentive fee net investment income
 thereafter is allocated to the Advisor.

These calculations are appropriately prorated for any period of less than three months and adjusted for any share issuances or repurchases during the current quarter.

The second part of the incentive fee is a capital gains incentive fee that is determined and payable in arrears as of the end of each fiscal year (or upon termination of the Investment Advisory Agreement, as of the termination date). Under the Investment Advisory Agreement, the Capital Gains Incentive Fee is 17.5% of cumulative realized capital gains as of the end of the fiscal year.

In determining the capital gains incentive fee payable to the Advisor, the Company calculates the cumulative aggregate realized capital gains and cumulative aggregate realized capital losses since the Company's inception, and the aggregate unrealized capital depreciation as of the date of the calculation, as applicable, with respect to each of the investments in the Company's portfolio. For this purpose, cumulative aggregate realized capital gains, if any, equals the sum of the differences between the net sales price of each investment, when sold, and the amortized cost of such investment. Cumulative aggregate realized capital losses equals the sum of the amounts by which the net sales price of each investment, when sold, is less than the amortized cost of such investment since the Company's inception. Aggregate unrealized capital depreciation equals the sum of the difference, if negative, between the valuation of each investment as of the applicable calculation date and the amortized cost of such investment. At the end of the applicable year, the amount of capital gains that will serve as the basis for the calculation of the capital gains incentive fee equals the cumulative aggregate realized capital gains less cumulative aggregate realized capital losses, less aggregate unrealized capital depreciation, with respect to the Company's portfolio of investments. If this number is positive at the end of such year, then the capital gains incentive fee for such year equals 17.5% of such amount, less the aggregate amount of any capital gains incentive fees paid in respect of the Company's portfolio in all prior years.

While the Investment Advisory Agreement with the Advisor neither includes nor contemplates the inclusion of unrealized gains in the calculation of the capital gains incentive fee, pursuant to an interpretation of an American Institute for Certified Public Accountants Technical Practice Aid for investment companies, the Company includes unrealized gains in the calculation of the capital gains incentive fee expense and related accrued capital gains incentive fee. This accrual reflects the incentive fees that would be payable to the Advisor if the Company's entire portfolio was liquidated at its fair value as of the balance sheet date even though the Advisor is not entitled to an incentive fee with respect to unrealized gains unless and until such gains are actually realized.

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#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Notes to Consolidated Financial Statements – (continued)
(Unaudited)

Note 6. Transactions with Related Parties (continued)

Income incentive fees for the three months ended March 31, 2026 and 2025 were $167,800 and $866,402, respectively. For the three months ended March 31, 2026 and 2025 the Advisor elected to voluntarily waive $0 and $0 of such incentive fees, respectively. The incentive fees waived for the period ended March 31, 2026 are not recoupable and there is no guarantee that the Advisor will waive incentive fees in the future. The Advisor may discontinue or modify any such waivers in the future at its discretion. As of March 31, 2026 and December 31, 2025, $6,391,604 and $6,223,804, respectively, of incentive fees remained payable as shown in the Consolidated Statements of Assets and Liabilities.

#### Administration Fees
The Company has entered into the Administration Agreement with the Advisor, under which the Company reimburses the Administrator for its allocable portion of overhead and other expenses, including the costs of furnishing the Company with office facilities and equipment and providing clerical, bookkeeping, record-keeping and other administrative services at such facilities, and the Company's allocable portion of the cost of the chief financial officer and chief compliance officer and their respective staffs. To the extent that the Administrator outsources any of its functions, the Company will pay the fees associated with such functions on a direct basis, without incremental profit, to the Administrator. For the three months ended March 31, 2026 and 2025, the Company incurred reimbursement expenses of $199,222 and $180,375, respectively, included under General and Administrative fees on the Consolidated Statements of Operations. As of March 31, 2026 and December 31, 2025, $199,222 and $146,408, respectively, of reimbursement expense was payable as shown in the Consolidated Statements of Assets and Liabilities as reimbursement expense payable.

The Administrator has entered into a sub-administration agreement with SS&C Technologies, Inc. (the "Sub-Administrator"), under which the Sub-Administrator provides various accounting and administrative services to the Company. Administrative services may include maintenance of the Company's books and records, processing of investor transactions, and calculation of the NAV. For the three months ended March 31, 2026 and 2025, the Company incurred expenses for services provided by the Sub-Administrator of $159,667 and $243,558 respectively, which is included in professional fees on the Consolidated Statements of Operations. As of March 31, 2026 and December 31, 2025, there were $159,667 and $0 payable, respectively, for expenses incurred for services provided by the Sub-Administrator.

#### Directors' Fees
The Company incurs certain fees and expenses paid to the Company's independent directors (including expenses and costs related to meetings of the independent directors); for the three months ended March 31, 2026 and 2025, directors' expenses are $35,000 and $35,000, respectively, as shown on the Consolidated Statements of Operations. As of March 31, 2026 and December 31, 2025, $35,000 and $35,000 of directors' expenses remained payable, respectively, which are included in professional fees payable as shown on the Consolidated Statements of Assets and Liabilities.

#### Distribution and Servicing Plan
Effective March 31, 2026, the Company entered into a distribution and servicing plan ("Distribution and Servicing Plan") in compliance with Rule 12b-1 under the 1940 Act and a multiple class plan in compliance with Rule 18f-3 under the 1940 Act.

The following table shows the stockholder servicing and/or distribution fees the Company will pay to any participating brokers with respect to Class S and Class D shares on an annualized basis as a percentage of the Company's NAV for such class pursuant to the Distribution and Servicing Plan. The stockholder servicing and/or distribution fees will be paid quarterly in arrears, calculated using the NAV of the applicable class as of the beginning of the first calendar day of the quarter.

**---

| | |
|:---|:---|
| Class | Stockholder Servicing and/or <br> Distribution Fee as a % of NAV |
| Class S | 0.75% |
| Class D | 0.25% |
| Class I | -% |
| Class SP | -% |

---

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#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Notes to Consolidated Financial Statements – (continued)
(Unaudited)

#### Note 6. Transactions with Related Parties (continued)
No stockholder servicing or distribution fees will be paid with respect to the Class I shares and Class SP shares. Subject to FINRA limitations (as applied to the Company), the Company pays a stockholder servicing and/or distribution fee equal to 0.75% per annum of the aggregate NAV for the Class S shares, and a stockholder servicing and/or distribution fee equal to 0.25% per annum of the aggregate NAV for the Class D shares, in each case, payable quarterly in arrears.

Any placement agent will reallow (pay) all or a portion of the stockholder servicing and/or distribution fees to participating brokers and servicing brokers for ongoing services performed by such brokers, and will waive stockholder servicing and/or distribution fees to the extent a broker is not eligible to receive it for failure to provide such services. Because the stockholder servicing and/or distribution fees with respect to Class S shares and Class D shares are deducted from the gross distributions for each such share class, the per share amount of distributions on Class S, Class D, Class I and Class SP shares generally differ.

Eligibility to receive the stockholder servicing and/or distribution fee is conditioned on a broker providing the following ongoing services with respect to the Class S or Class D shares, which may include the following: assistance with recordkeeping, answering investor inquiries regarding us, including regarding distribution payments and reinvestments, helping investors understand their investments upon their request, and assistance with share repurchase requests. If the applicable broker is not eligible to receive the stockholder servicing and/or distribution fee due to failure to provide these services, any placement agent will waive the stockholder servicing fee and/or distribution that broker would have otherwise been eligible to receive. The stockholder servicing and/or distribution fees are ongoing fees that are not paid at the time of purchase.

As of March 31, 2026, all issued and outstanding shares of the Company's Common Stock were reclassified as Class I shares. As of March 31, 2026, there were 10,016,984 Class I shares outstanding and no Class S, Class D, or Class SP shares were outstanding.

#### Expense Waiver Agreement
Effective March 31, 2026, the Company entered into an expense waiver agreement between the Company and the Advisor, whereby the Advisor agreed to reimburse a portion of Class SP's expenses (excluding management fees, acquired fund fees and expenses, taxes and custody fees) equal to 0.25% of Class SP's average quarterly net assets, on an annualized basis (the "Expense Waiver Agreement"). The Advisor may not recoup expenses reimbursed pursuant to the Expense Waiver Agreement for Class SP's other expenses.

As of March 31, 2026, all issued and outstanding shares of the Company's Common Stock were reclassified as Class I shares. As of March 31, 2026, there were no Class SP shares outstanding.** 

#### Note 7. Borrowings
**The Secured Credit Facility**

On July 2, 2021, the Company entered into a Loan and Servicing Agreement (the "Loan Agreement") with Sterling National Bank ("SNB"), which provides for a $55 million senior secured revolving credit facility ("Secured Credit Facility"). In February 2022, SNB was subsequently acquired by Webster Bank ("Webster"), which took over the relationship with the Company. On January 12, 2022, the Company entered into a second amendment to the Secured Credit Facility to upsize the Secured Credit Facility to $80 million. On May 6, 2022, the Company entered into an amendment to the Secured Credit Facility to upsize the Secured Credit Facility to $125 million. On September 16, 2022, the Company entered into an amendment to the Secured Credit Facility to upsize the Secured Credit Facility to $200 million. On May 9, 2024, the Company entered into an amendment to the Secured Credit Facility to reassign commitment amounts and negotiate Secured Credit Facility fees.

In May 2024, the Company extended its $200,000,000 Secured Credit Facility with Webster, the Administrative Agent, to June 30, 2028. The Secured Credit Facility carries an interest rate of 3M SOFR plus 2.9%. On June 27, 2025, the Company entered into an amendment to the Secured Credit Facility to reduce the Applicable Spread to 2.3%, plus following the occurrence and during the continuation of an Event of Default, 2.00%.

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#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Notes to Consolidated Financial Statements – (continued)
(Unaudited)

**Note 7. Borrowings (continued)**

As of March 31, 2026 and December 31, 2025, the Secured Credit Facility commitment amounts were as follows:

---

| | | |
|:---|:---|:---|
|  | **As of March 31, 2026** | **As of December 31, 2025** |
| **Secured Credit Facility Lender** | **Commitment**  | **Commitment**  |
| Webster Bank | $87500000 | $67500000 |
| Dime Community Bank | 25000000 | 25000000 |
| First Foundation Bank | - | 20000000 |
| Woodforest National Bank | 20000000 | 20000000 |
| Peapack-Gladstone Bank | 17000000 | 17000000 |
| Hanmai Bank | 15500000 | 15500000 |
| Apple Bank | 15000000 | 15000000 |
| &nbsp;&nbsp;&nbsp; Total Commitment | $200000000 | $200000000 |

---

Borrowings can be increased to a maximum of $350 million in accordance with the Secured Credit Facility accordion feature terms and conditions and are limited by various advance rates and concentration limits.

As of March 31, 2026 and December 31, 2025, the total fair value of the borrowings outstanding under the Secured Credit Facility was $108,400,000 and $122,300,000, respectively. The fair value of the borrowings outstanding under the Secured Credit Facility are based on a market yield approach and current interest rates, which are Level 3 inputs to the market yield model.

Inclusive of syndication, agency, and administrative fees paid to Webster and fees related to the Note Purchase Agreement (as defined below), the total annualized cost of capital is estimated to be 6.3%. The Company will also pay a non-utilization fee on the average daily unused amount of the aggregate commitments until the commitment termination date (as defined in the Loan Agreement). As of March 31, 2026, the total commitments under the Secured Credit Facility were $200 million. Proceeds from borrowings under the Secured Credit Facility may be used to finance certain investments, fulfill payment obligations under the Secured Credit Facility, make distributions/payments permitted by the Loan Agreement. All amounts outstanding under the Secured Credit Facility must be repaid by June 30, 2028. The Company's obligations to the lenders under the Secured Credit Facility are secured by a first priority security interest in substantially all of the Company's assets, subject to certain exclusions.

Borrowings under the Secured Credit Facility are limited by various advance rates and concentration limits. In connection with the Secured Credit Facility, the Company has made certain customary representations/warranties and is required to comply with various covenants, reporting requirements and other customary requirements for similar facilities. The Secured Credit Facility is subject to customary events of default for similar financing transactions. Upon the occurrence and during the continuation of an event of default, Webster may declare the outstanding advances and all other obligations under the Secured Credit Facility immediately due and payable.

 **Note Purchase Agreement**

On January 2, 2026, the Company entered into a Note Purchase Agreement ("Note Purchase Agreement") governing the issuance of $25,000,000 in aggregate principal amount of Floating Rate Senior Unsecured Notes ("Notes") due January 15, 2029, with a floating interest rate per annum equal to the SOFR (which is based on the TSFR3M Index Screen Rate and more fully defined in the Note Purchase Agreement) plus 3.75% to a qualified institutional investor in a private placement.

Interest on the Notes will be due quarterly on the 15th day of January, April, July and October each year, beginning on April 15, 2026. The Notes may be redeemed in whole or in part at any time or from time to time at the Company's option at par plus accrued interest to the prepayment date and, if applicable, a make-whole premium. In addition, the Company is obligated to offer to prepay the Notes at par plus accrued and unpaid interest up to, but excluding, the date of prepayment, if certain change in control events occur. The Notes are general unsecured obligations of the Company that rank pari passu with all outstanding and future unsecured unsubordinated indebtedness issued by the Company.

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#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Notes to Consolidated Financial Statements – (continued)
(Unaudited)

**Note 7. Borrowings (continued)**

The Note Purchase Agreement contains customary terms and conditions for senior unsecured notes issued in a private placement, including, without limitation, affirmative and negative covenants such as information reporting, and a minimum asset coverage ratio of 1.50 to 1.00.

In addition, in the event that a Credit Rating Event (as defined in the Note Purchase Agreement) occurs, the Notes will bear interest at a fixed rate per annum which is 0.50% above the stated rate of the Notes from the date of the occurrence of the Credit Rating Event to and until the date on which the Credit Rating Event is no longer continuing.

The Note Purchase Agreement also contains customary events of default with customary cure and notice periods, including, without limitation, nonpayment, incorrect representation in any material respect, breach of covenant, certain cross-defaults or cross-acceleration under other indebtedness of the Company, certain judgments and orders and certain events of bankruptcy.

As of March 31, 2026, the fair value of the outstanding Notes was $25,000,000. The fair value determination of the Note is based on a market yield approach and current interest rates, which are Level 3 inputs to the market yield model.

The components of the Company's interest expense and other debt financing expenses, average outstanding balances and average stated interest rates (i.e. the rate in effect plus spread) were as follows:

---

| | | |
|:---|:---|:---|
|  | **For the three months ended March 31,** | **For the three months ended March 31,** |
|  | **2026** | **2025** |
| Interest expense - Secured Credit Facility | $1563943 | $2169421 |
| Interest expense - Senior Unsecured Note | 457347 |  |
| Unused commitment fees | 118814 | 99564 |
| Amortization of deferred financing costs - Secured Credit Facility | 153514 | 137400 |
| Amortization of deferred financing costs - Senior Unsecured Note | 27425 |  |
| Utilization fees | 39356 | 135392 |
| &nbsp;&nbsp;&nbsp; Total interest and other debt financing fees | $2360399 | $2541777 |
| Average debt outstanding | $129948889 | $120348889 |
| Average stated interest rate | 6.31% | 7.31% |

---

**Note 8. Income Taxes**

The amount of taxable income to be paid out as a distribution is determined by the Board each quarter and generally is based upon the annual earnings estimated by management of the Company. Net capital gains, if any, are distributed at least annually, although the Company may decide to retain all or some of those capital gains for investment and pay corporate-level income taxes on those retained amounts. If the Company chooses to do so, this generally would increase expenses and reduce the amount available to be distributed to stockholders. In the event the Company's taxable income (including any net capital gains) for a fiscal year fall below the amount of distributions declared and paid with respect to that year, however, a portion of the total amount of those distributions may be deemed a return of capital for tax purposes to the Company's stockholders.

Because federal income tax regulations differ from accounting principles generally accepted in the United States, distributions in accordance with tax regulations may differ from net investment income and realized gains recognized for financial reporting purposes. Differences may be permanent or temporary in nature. Permanent differences are reclassified among capital accounts in the consolidated financial statements to reflect their appropriate tax character. Temporary differences arise when certain items of income, expense, gain or loss are recognized at some time in the future.

The calculation of reclassifications due to permanent book-to-tax differences and tax character of distributions declared are performed at each calendar year end and have no impact on net assets.

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#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Notes to Consolidated Financial Statements – (continued)
(Unaudited)

**Note 8. Income Taxes (continued)**

The following permanent differences were reclassified for tax purposes for the year ended December 31, 2025:

---

| | |
|:---|:---|
|  | **For the year ended**<br> **December 31, 2025** |
| Increase (decrease) in capital in excess of par value | $3844330 |
|  Increase (decrease) in accumulated undistributed (overdistributed) earnings | (3844330) |

---

Taxable income generally differs from net increase (decrease) in net assets resulting from operations for financial reporting purposes due to temporary and permanent differences in the recognition of income and expenses and generally excludes unrealized gain (loss) on investments as investment gains and losses are not included in taxable income until they are realized. The temporary and permanent differences in the recognition of income and expenses for the year ended December 31, 2025 are primarily due to organizational cost amortization.

Capital losses in excess of capital gains earned in a tax year may generally be carried forward and used to offset capital gains, subject to certain limitations. Under the Regulated Investment Company Modernization Act of 2010, capital losses incurred after September 30, 2011 are not subject to expiration and retain their character as either short-term or long-term capital losses. As of December 31, 2025, the Company had no short-term capital loss carryforwards. As of December 31, 2025, the Company had no long-term capital loss carryforwards.

For income tax purposes, distributions paid to stockholders are reported as ordinary income, return of capital, redemption, long term capital gains or a combination thereof.

The following table provides the tax character of distributions declared for the year ended December 31, 2025:

---

| | |
|:---|:---|
|  | **For the year ended**<br> **December 31, 2025** |
| Ordinary income | $22467977 |
| Long-term capital gains | 812178 |
| Total | $23280155 |

---

As of March 31, 2026, the estimated cost basis of investment for U.S. federal income tax purposes was $385,643,930 resulting in estimated net unrealized loss of $3,634,317, comprised of estimated gross unrealized gains of $30,346,817 and gross unrealized losses of $33,981,134. As of December 31, 2025, the estimated cost basis of investment for U.S. federal income tax purposes was $390,821,061, resulting in estimated net unrealized loss of $15,777,316, comprised of estimated gross unrealized gains of $24,160,846 and gross unrealized losses of $39,938,162. As of March 31, 2026, the estimated cost basis of investment held in the Holding Company for U.S. federal income tax purposes was $27,474,575, resulting in estimated net unrealized gains of $21,371,629, comprised of estimated gross unrealized gains of $26,968,844 and gross unrealized losses of $5,597,215. As of December 31, 2025, the estimated cost basis of investment held in the Holding Company for U.S. federal income tax purposes was $27,474,575, resulting in estimated net unrealized gains of $19,212,681, comprised of estimated gross unrealized gains of $25,050,814 and gross unrealized losses of $5,838,133.

The Company recognized the following excise taxes related to the Company's status as a RIC:

---

| | | |
|:---|:---|:---|
|  | **As of March 31, 2026**  | **As of December 31, 2025**  |
| Excise tax expense | $- | $79746 |
| Total<br>| $- | $79746 |

---

The Company recognized the following benefits (provisions) for deferred taxes on the change in unrealized appreciation and depreciation on investments held in the Holding Company:

---

| | | |
|:---|:---|:---|
|  | **As of March 31, 2026**  | **As of December 31, 2025**  |
|  Benefit (provision) for taxes on unrealized appreciation (depreciation) on investments | $(453379) | $2059533 |
| Total | $(453379) | $2059533 |

---

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#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Notes to Consolidated Financial Statements – (continued)
(Unaudited)

**Note 8. Income Taxes (continued)**

As of March 31, 2026 and December 31, 2025, $4,488,042 and $4,034,663, respectively, was included in deferred tax liabilities on the Consolidated Statements of Assets and Liabilities primarily relating to deferred taxes on unrealized gains on investments held in the Company's subsidiary and other temporary book to tax differences of the subsidiary.

#### Note 9. Stock Issuances
**On July 29, 2025, the SEC issued the Multi-Class Order granting the Company's application for exemptive relief from sections 18(a)(2), 18(c), 18(i) and 61(a) under the 1940 Act. Under the terms of the Multi-Class Order, effective March 31, 2026, the Company is offering Class I, Class S, Class D and Class SP shares of Common Stock under the Multi-Class Offering. Effective March 31, 2026, all issued and outstanding shares of Common Stock were reclassified as Class I shares. As of March 31, 2026, there were 10,016,984, Class I shares outstanding and no Class S, Class D or Class SP shares outstanding.** 

As of March 31, 2026 and December 31, 2025, the total number of shares of all classes of capital stock that the Company has the authority to issue was 200,000,000 shares of Common Stock, par value $0.001 per share.

New Stockholders admitted to the Company or existing Stockholders increasing their Capital Commitments at a particular closing will be required to purchase shares of the Company with an aggregate purchase price necessary to ensure that all Stockholders in the Company have generally contributed the same percentage of their Capital Commitments to the Company immediately following such purchase (a "Catch-up Purchase") and each such Stockholder shall be issued a number of shares of the Company based on a per share purchase price determined by the Board. A Catch-up Purchase may be made in multiple installments as determined by the Advisor based on the Company's capital requirements. The per share purchase price shall be at least equal to the NAV per share in accordance with the limitations of Section 23 of the 1940 Act. The Board may set the price per share above the NAV per share based on a variety of factors, including without limitation, the total amount of the Company's organizational and other expenses that will have accrued following the Company's initial closing.

For the three months ended March 31, 2026 and 2025, the Company entered into subscription agreements (collectively, the "Subscription Agreements") with new investors, providing for the private placement of common shares. Under the terms of the Subscription Agreements, investors are required to fund drawdowns to purchase common shares up to the amount of their respective capital commitments on an as-needed basis with a minimum of 8 business days' prior notice. As of March 31, 2026 and December 31, 2025, the Company had received capital commitments totaling $294,909,780 and $292,885,780, respectively.

As of March 31, 2026, net contributions of $287,070,558 had been made by Stockholders and $7,839,222 remained available to be drawn by the Company.

The following tables summarize the issuance of Class I shares for the three months ended March 31, 2026 and 2025:

---

| | | | |
|:---|:---|:---|:---|
|  **Date** | **Price per share** | **Shares Issued** | **Proceeds** |
|  **For the three months ended March 31, 2026** | | | |
| March 26, 2026 | $23.34 | 49191.00 | $1155000 |
|  |  | 49191.00 | $1155000 |

---

For the period ended March 31, 2025 there were no new share issuances.

---

| | | | |
|:---|:---|:---|:---|
|  **Date** | **Price per share** | **Shares Issued** | **Proceeds** |
|  **Stock issued in connection with dividend reinvestment plan** | | | |
| January 30, 2026  | $23.48 | 115306 | $2727836 |
| &nbsp;&nbsp;&nbsp;Total |  | 115306 | $2727836 |

---

---

| | | | |
|:---|:---|:---|:---|
| **Date** | **Price per share** | **Shares Issued** | **Proceeds** |
| **Stock issued in connection with dividend reinvestment plan**  | | | |
| January 31, 2025 | $24.47 | 109175 | $2671518 |
|  |  | 109175 | 2671518 |

---

As of March 31, 2026, the Company received subscriptions in advance of $312,500.

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#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Notes to Consolidated Financial Statements – (continued)
(Unaudited)

#### Note 10. Discretionary Repurchase of Shares of Common Stock and Distributions
On July 29, 2025, the SEC issued the Multi-Class Order granting the Company's application for exemptive relief from sections 18(a)(2), 18(c), 18(i) and 61(a) under the 1940 Act. Under the terms of the Multi-Class Order, effective March 31, 2026, the Company is offering Class I, Class S, Class D and Class SP shares of Common Stock under the Multi-Class Offering. Effective March 31, 2026, all issued and outstanding shares of Common Stock were reclassified as Class I shares. As of March 31, 2026, there were 10,016,984, Class I shares outstanding and no Class S, Class D or Class SP shares outstanding.

Beginning with the quarter ended September 30, 2022, the Company began to conduct quarterly tender offers, at the Board's discretion, in accordance with the requirements of Rule 13e-4 under the Exchange Act and the 1940 Act, to permit Stockholders to tender their shares of common stock at a specific per share price ("Purchase Price") based on the Company's NAV as of the last date of the quarter in which the tender offer is conducted. The Company intends to conduct each tender offer to repurchase up to 2.5% of the number of shares of common stock outstanding as of the end of the prior quarter in which the tender offer is conducted, subject to numerous restrictions that limit Stockholders' ability to sell their shares of common stock.

The following tables summarize the repurchase of Class I shares for the three months ended March 31, 2026 and 2025.

---

| | | | |
|:---|:---|:---|:---|
|  **Quarter Ended**  | **Purchase Price** | **Shares Repurchased** | **Amount** |
|  **Stock repurchased in connection with tender offer** | | | |
| March 31, 2026 | $23.34 | 253072.52 | $5906689 |
|  Total |  | 253072.52 | $5906689 |

---

---

| | | | |
|:---|:---|:---|:---|
|  **Quarter Ended** | **Purchase Price** | **Shares Repurchased** | **Amount Paid in Cash** |
|  **Stock repurchased in connection with tender offer** | | | |
| March 31, 2025 | $24.55 | 256233.52 | $6290542 |
|  Total |  | 256233.52 | $6290542 |

---

The Company's distributions are recorded on the record date. For the three months ended March 31, 2026, the following table summarizes the distribution declared on Class I shares and that remains payable as of March 31, 2026.

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| &nbsp;&nbsp;&nbsp; **Date Declared** | &nbsp;&nbsp;&nbsp; **Record Date** | &nbsp;&nbsp;&nbsp; **Payment/Issuance Date** | **Amount Per Share** | **Amount Paid in Cash** | **Amount Settled via** <br> **Newly Issued Shares** | **Total** |
|  **For the three months ended March 31, 2026** |  |  | | | | |
|  December 30, 2025<br>| December 31, 2025<br>| January 30, 2026<br>| $0.56 | $3072262 | $2727836 | $5800098 |
| March 30, 2026 | March 30, 2026 | May 20, 2026 | $0.55 | $2985728 | $2662803 | $5648531 |
| &nbsp;&nbsp;&nbsp; Total  |  |  | $1.11 | $6057990 | $5390639 | $11448629 |

---

The following table summarizes the settlement of distributions declared and recorded as of March 31, 2025, respectively, and the subsequent payment and issuance of those distributions for the three months ended March 31, 2025 on Class I shares:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **Date Declared** | **Record Date** | **Payment/Issuance Date** | **Amount Per Share** | **Amount Paid in Cash** | **Amount Settled via** <br> **Newly Issued Shares** | **Total** |
|  **For the three months ended March 31, 2025** |  |  | | | | |
| December 31, 2024 | December 31, 2024 | January 31, 2025 | $0.54 | $2651253 | $2671518 | $5322771 |
| &nbsp;&nbsp;&nbsp; Total |  |  | $0.54 | $2651253 | $2671518 | $5322771 |

---

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#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Notes to Consolidated Financial Statements – (continued)
(Unaudited)

#### Note 11. Commitments, Contingencies, and Risks
*Commitments:* As of March 31, 2026 and December 31, 2025, the Company had $11,900,441 and $5,692,616 in outstanding commitments to direct investments and $1,101,695 and $1,101,695 in outstanding commitments to fund investments, respectively.

---

| | |
|:---|:---|
| **March 31, 2026** | **Outstanding** <br> **Commitments** |
| **Direct Investments** | |
| Ambient Enterprises Holdco LLC | $1465673 |
| IPA Intermediate Co., LLC | 212766 |
| Kelso Industries | 2331429 |
| MechanAir, LLC | 3557540 |
| The Stonewall Group LLC | 3725329 |
| 48forty Intermediate Holdings, Inc. (Alpine Acquisition Corp) | 607704 |
| &nbsp;&nbsp;&nbsp; **Total Direct Investments** | $11900441 |
| **Fund Investments** |  |
| Madryn Select Opportunities, LP | $1101695 |
| &nbsp;&nbsp;&nbsp; **Total Fund Investments** | $1101695 |
| **Total** | $13002136 |

---

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#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Notes to Consolidated Financial Statements – (continued)
(Unaudited)

**Note 11. Commitments, Contingencies, and Risks (continued)** 

---

| | |
|:---|:---|
| **December 31, 2025** | **Outstanding** <br> **Commitments** |
| **Direct Investments** | |
| Ambient Enterprises Holdco LLC | $1922310 |
| IPA Intermediate Co., LLC | 212766 |
| MechanAir, LLC | 3557540 |
| &nbsp;&nbsp;&nbsp; **Total Direct Investments** | $5692616 |
| **Fund Investments** |  |
| Madryn Select Opportunities, LP | $1101695 |
| &nbsp;&nbsp;&nbsp; **Total Fund Investments** | $1101695 |
| **Total** | $6794311 |

---

Management believes that the Company's available cash balances provide sufficient funds to cover its unfunded commitments as of March 31, 2026 and December 31, 2025.

*Indemnifications:* In the normal course of business, the Company enters into contracts and agreements that contain a variety of representations and warranties that provide general indemnification. The Company's maximum exposure under these agreements is unknown, as these involve future claims that may be made against the Company but that have not occurred. The Company expects the risk of any future obligations under these indemnification provisions to be remote.

*Legal proceedings:* In the normal course of business, the Company may be subject to legal and regulatory proceedings that are generally incidental to its ongoing operations. While there can be no assurance of the ultimate disposition of any such proceedings, the Company is not currently aware of any such proceedings or disposition that would have a material adverse effect on the Company's consolidated financial statements.

*Concentration of credit and counterparty risk:* Credit risk arises primarily from the potential inability of counterparties to perform in accordance with the terms of the contract. In the event that the counterparties do not fulfill their obligations, the Company may be exposed to risk. The risk of default depends on the creditworthiness of the counterparties or issuers of the instruments. It is the Company's policy to review, as necessary, the credit standing of each counterparty.

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#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Notes to Consolidated Financial Statements – (continued)
(Unaudited)

#### Note 12. Financial Highlights
The following is a schedule of financial highlights for the three months ended March 31, 2026 and 2025:

---

| | | |
|:---|:---|:---|
|  | **For the three months ended March 31, 2026** | **For the three months ended March 31, 2026** |
|  | **2026** | **2025** |
|  **Per share data:** |  |  |
|  Net asset value at beginning of period | $23.48 | $24.43 |
|  Net investment income (loss) <sup>(1)</sup> | 0.41 | 0.42 |
|  Net realized and unrealized gain (loss) <sup>(1)</sup> | - | (0.30) |
|  Net increase (decrease) in net assets resulting from operations <sup>(1)</sup> | 0.41 | 0.12 |
|  Stockholder distributions <sup>(2)</sup> | (0.55) | - |
|  Dividend reinvestment plan distributions <sup>(2)</sup> | (0.26) | (0.27) |
|  Other <sup>(3)</sup> | 0.26 | 0.27 |
|  Net asset value at end of period | $23.34 | $24.55 |
|  Net assets at end of period | $233782772 | $238358817 |
|  Shares outstanding at end of period<sup>(7)</sup> | 10016984 | 9710243 |
|  Total return <sup>(4)</sup> | 1.77% | 2.71% |
|  **Ratio/Supplemental data:** |  |  |
|  Ratio of expenses to average net assets before incentive fees<sup>(5)</sup> | 8.26% | 8.81% |
|  Ratio of expenses to average net assets after incentive fees <sup>(5)</sup> | 8.33% | 9.16% |
| Ratio of net investment income (loss) to average net assets after incentive fees<sup>(5)</sup> | 7.26% | 8.14% |
|  Portfolio turnover <sup>(6)</sup> | 2.72% | 4.31% |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1) The per share data was derived by using the weighted average shares outstanding during the periods presented.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2) Management monitors available taxable earnings, including net investment income and realized capital gains, to determine if a tax
 return of capital may occur for the year. To the extent the Company's taxable earnings fall below the total amount of the Company's distributions for that fiscal year, a portion of those distributions may be deemed a tax return of
 capital to the Company's stockholders. The tax character of distributions will be determined at the end of the fiscal year.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3) Includes the impact of different share amounts used in calculating per share data as a result of calculating certain per share
 data based on weighted average shares outstanding during the period and certain per share data based on shares outstanding as of a period end or transaction date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(4) Total return is calculated as the change in net asset value ("NAV") per share during the period, divided by the beginning NAV per
 share and assumes reinvestment of dividends at NAV. Total return is not annualized.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(5) Ratios are annualized for periods less than one year. To the extent incentive fees and waivers are included within the ratio,
 they are not annualized.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(6) Ratio is not annualized.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(7) E ffective March 31, 2026, as part of the Company's offering of multiple classes of shares of Common Stock, all shares of the Company's
 Common Stock issued prior to March 31, 2026 were reclassified as Class I shares of Common Stock to conform with the current period presentation. As of March 31, 2026, there were 10,016,984 Class I shares outstanding and no Class S, Class D, or Class SP shares outstanding.

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#### STAR MOUNTAIN LOWER MIDDLE-MARKET CAPITAL CORP.

#### Notes to Consolidated Financial Statements – (continued)
(Unaudited)

#### Note 13. Subsequent Events
The Company has evaluated subsequent events through May 15, 2026, the date on which the consolidated financial statements were issued.

On March 30, 2026, the Company declared a dividend of $0.55 per share to Stockholders of record as of March 30, 2026, which will be paid in the form of cash and shares on or about May 20, 2026. On May 20, 2026, the Company will pay a total distribution of $5,648,531, of which $2,985,728 will be paid in cash and $2,662,803 in the form of shares.

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| | |
|:---|:---|
| **Item 2.** | **Management's Discussion and Analysis of Financial Condition and Results of Operations** |

---

#### FORWARD-LOOKING STATEMENTS
Statements contained in this Quarterly Report on Form 10-Q (including those relating to current and future market conditions and trends in respect thereof) that are not historical facts are based on current expectations, estimates, projections, opinions and/or beliefs of Star Mountain Lower Middle-Market Capital Corp. (the "Company"), Star Mountain Fund Management, LLC (the "Advisor") and Star Mountain Capital, LLC ("Star Mountain"). Such statements involve known and unknown risks, uncertainties and other factors and undue reliance should not be placed thereon. Certain information contained in this Quarterly Report on Form 10-Q constitutes "forward-looking statements," which can be identified by the use of forward-looking terminology such as "may," "will," "should," "seek," "expect," "anticipate," "project," "estimate," "intend," "continue," "target," or "believe" or the negatives thereof or other variations thereon or comparable terminology. Due to various risks and uncertainties, actual events or results or the actual performance of the Company may differ materially from those reflected or contemplated in such forward-looking statements. These statements are not guarantees of future performance and are subject to risks, uncertainties, and other factors, some of which are beyond the Company's control and are difficult to predict, that could cause actual results to differ materially from those expressed or forecasted in the forward-looking statements including, without limitation, the risks, uncertainties and other factors the Company identifies in the section entitled "Item 1A. Risk Factors" in Part I of our Annual Report on Form 10-K for the year ended December 31, 2025 and in "Item 1A. Risk Factors" in Part II of our subsequently filed Quarterly Reports on Form 10-Q and in the Company's filings with the Securities and Exchange Commission ("SEC").

Although the Company believes that the assumptions on which these forward-looking statements are based are reasonable, some of those assumptions are based on the work of third parties and any of those assumptions could prove to be inaccurate; as a result, the forward-looking statements based on those assumptions also could prove to be inaccurate. In light of these and other uncertainties, the inclusion of a projection or forward-looking statement in this Quarterly Report on Form 10-Q should not be regarded as a representation by us that the Company's plans and objectives will be achieved. Investors should not place undue reliance on these forward-looking statements, which apply only as of the date of this Quarterly Report on Form 10-Q. The Company does not undertake any obligation to update or revise any forward-looking statements or any other information contained herein, except as required by applicable law. The safe harbor provisions of Section 21E of the Securities Exchange Act of 1934 ("Exchange Act"), which preclude civil liability for certain forward-looking statements, do not apply to the forward-looking statements in this Quarterly Report on Form 10-Q because the Company is an investment company.

The following factors are among those that may cause actual results to differ materially from the Company's forward-looking statements:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the Company's future operating results;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• changes in the general interest rate environment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• inflation could adversely affect the business, results of operations and financial condition of the Company's portfolio companies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the Company's business prospects and the prospects of the Company's prospective portfolio companies;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the impact of increased competition;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the Company's contractual arrangements and relationships with third parties;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the dependence of the Company's future success on the general economy and its impact on the industries in which the Company invests;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the ability of the Company's prospective portfolio companies to achieve their objectives;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the relative and absolute performance of the Advisor;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the ability of the Advisor and its affiliates to retain talented professionals;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the Company's expected financings and investments;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the Company's ability to pay dividends or make distributions;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the adequacy of the Company's cash resources;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• risks associated with possible disruptions in the Company's operations or the economy generally due to war or terrorism or other disruptive geopolitical events domestically and/or globally;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• geopolitical conflicts, including sanctions and market volatility related to such conflicts, may adversely impact the industries and portfolio companies in which the Company invests;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the impact of future acquisitions and divestitures;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the Company's regulatory structure as a business development company ("BDC") and tax status as a regulated investment company (a "RIC"); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• future changes in laws or regulations and conditions in the Company's operating areas.

#### Overview:
Star Mountain Lower Middle-Market Capital Corp. is an externally managed, non-diversified, closed-end management investment company that has elected to be regulated as a BDC under the 1940 Act, as amended. In addition, for U.S. federal income tax purposes, the Company has elected to be treated and intends to continue to be treated as a RIC under the Subchapter M of the Internal Revenue Code of 1986, as amended. As such, the Company is required to comply with various regulatory requirements, such as the requirement to invest at least 70% of the Company's assets in "qualifying assets," source of income limitations, asset diversification requirements, and the requirement to distribute annually at least 90% of the Company's taxable income.

The Company's investment objectives are to generate current income and capital appreciation. The Company seeks to achieve its investment objectives by investing primarily in privately negotiated loans and equity investments to SMBs generally with annual revenues greater than $15 million and earnings before interest, taxes, depreciation and amortization of less than $50 million. Generally, these businesses are owner-operated with an average 20+ year operating history. To accomplish this, the Company makes direct investments in SMBs and makes investments in investment funds focused primarily on investing in SMBs generally not owned by large private equity firms.

The Company seeks to provide investors with access to a diversified portfolio of credit investments generating current income distributions with equity upside. Capital protection is achieved through defensive structures with affirmative, negative and financial maintenance covenants and active portfolio management which results in generally low volatility and low correlation to public market indices. The Company aims to target diversification of assets by vintage, industry and geography through direct originations and acquisitions of loan portfolios.

The Company's investment strategy may be complemented by secondary fund investments and secondary loans, consisting of generally non-brokered purchases of limited partnership interests in lower middle-market credit-oriented funds and secondary loans. This complementary strategy may result in portfolio construction and diversification benefits.

The Company's investments are subject to a number of risks. See *"Part I. Item 1A. Risk Factors"* of the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2025 as filed with the SEC on March 31, 2026.

#### Portfolio and Investment Activity:
For the three months ended March 31, 2026, the Company invested (net of original issue discount) $1,985,887 in one new portfolio company and invested $13,527,098 in 11 existing portfolio companies as reflected in the Consolidated Schedule of Investments. For the three months ended March 31, 2025, the Company invested (net of original issue discount) $12,312,500 in one new portfolio company and invested $9,866,818 in 7 existing portfolio companies as reflected in the Consolidated Schedule of Investments.

The Company had $9,606,371 in principal repayments for the three months ended March 31, 2026. An amount of $9,037,256 was received in cash as of March 31, 2026 (with the remaining balance as the change in receivable from December 31, 2025). The Company had $14,815,684 in principal repayments for the three months ended March 31, 2025. An amount of $15,157,155 was received in cash as of March 31, 2025 (with the remaining balance as the change in receivable from December 31, 2024).

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As of March 31, 2026 and December 31, 2025, the Company's investments consisted of the following:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **March 31, 2026** | **March 31, 2026** | **December 31, 2025** | **December 31, 2025** |
| **Fair Value:** | | | | |
| &nbsp;&nbsp;&nbsp; First Lien Senior Secured Loan | $302130532 | 82.80% | $300852563 | 80.20% |
| &nbsp;&nbsp;&nbsp; Senior Unsecured Notes | 3698085 | 1.50 | 3763831 | 1.00 |
| &nbsp;&nbsp;&nbsp; Preferred Equity Securities | 67974382 | 14.40 | 62479421 | 16.70 |
| &nbsp;&nbsp;&nbsp; Warrants and Other Equity Securities | 6281368 | 0.70 | 6022684 | 1.60 |
| &nbsp;&nbsp;&nbsp; Fund Investments | 1925246 | 0.60 | 1925246 | 0.50 |
| &nbsp;&nbsp;&nbsp; Total | $382009613 | 100.00% | $375043745 | 100.00% |

---

The table below describes investments by industry composition based on fair value as of March 31, 2026 and December 31, 2025:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **March 31, 2026** | **March 31, 2026** | **December 31, 2025** | **December 31, 2025** |
| **Fair Value:** | | | | |
| Aerospace & Defense | $9428950 | 2.50% | $8756759 | 2.40% |
| Building Products | 2126879 | 0.60 | 2056098 | 0.60 |
| Chemicals | 19848031 | 5.20 | 19898602 | 5.40 |
| Commercial Services & Supplies | 14063487 | 3.70 | 14183797 | 3.80 |
| Construction & Engineering | 81054857 | 21.20 | 66511406 | 17.70 |
| Consumer Finance | 3698085 | 1.00 | 3763831 | 1.00 |
| Distributors | 7013954 | 1.80 | 7300311 | 1.90 |
| Diversified Financials | 1925246 | 0.50 | 1925246 | 0.50 |
| Diversified Telecommunication Services | 20514218 | 5.40 | 21129751 | 5.60 |
| Electrical Equipment | - | - | 877249 | 0.20 |
| Entertainment | 31282035 | 8.20 | 31388774 | 8.40 |
| Food Products | 11976037 | 3.10 | 11852852 | 3.20 |
| Healthcare Providers & Services | 40190344 | 10.50 | 39110377 | 10.40 |
| Hotels, Restaurants & Leisure | 8402226 | 2.20 | 8266981 | 2.20 |
| Household Durables | 3867034 | 1.00 | 3867034 | 1.00 |
| Household Products | 14085320 | 3.70 | 13833981 | 3.70 |
| Leisure Products | 3379042 | 0.90 | 3407718 | 0.90 |
| Machinery | 2942355 | 0.80 | 3645509 | 1.00 |
| Media | 20423991 | 5.30 | 21105771 | 5.60 |
| Personal Products | 4522415 | 1.20 | 4532223 | 1.20 |
| Professional Services | 49217599 | 12.90 | 55315203 | 14.70 |
| Software | 417215 | 0.10 | 640379 | 0.20 |
| Specialty Retail | 7035076 | 1.80 | 7052922 | 1.90 |
| Trading Companies & Distributors | 15238852 | 4.00 | 14804024 | 3.90 |
| Transportation Infrastructure | 9356365 | 2.40 | 9816947 | 2.60 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total | $382009613 | 100.00% | $375043745 | 100.00% |

---

#### Portfolio Asset Quality:
The Advisor employs an investment risk rating to assign each investment an investment grade no less than quarterly. The system is intended primarily to reflect the underlying risk of a portfolio investment relative to the Company's initial cost basis in respect of such portfolio investment (i.e., at the time of origination), although it may also take into account under certain circumstances, the portfolio company's cash flow generation relative to underwriting expectations, recent business performance trends, collateral coverage and other relevant factors. When necessary, the Advisor will update its investment risk ratings, borrowing base criteria and covenant compliance reports. The investment risk rating of a particular investment should not, however, be deemed to be a guarantee of the investment's future performance.

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| | |
|:---|:---|
| Investment <br> Performance <br> Risk Rating | Summary Description |
| Grade 1 | Investment is performing above expectations. Full return of principal, interest and dividend income is expected. |
| Grade 2 | Investment is performing in-line with expectations. Risk factors remain neutral or favorable compared with initial underwriting. All investments are given a "2" at the time of origination |
| Grade 3 | Investment is performing below expectations. Capital impairment or payment delinquency is not anticipated. The investment may also be out of compliance with certain financial covenants. |
| Grade 4 | Investment is performing below expectations. Quantitative or qualitative risks have increased materially. Delinquency of interest and / or dividend payments is anticipated. No loss of principal anticipated. |
| Grade 5 | Investment is performing substantially below expectations. It is anticipated that the Company will not recoup its initial cost basis and may realize a loss upon exit. Most or all of the debt covenants are out of compliance. Amortization, interest and / or dividend payments are substantially delinquent. |

---

In the event of credit deterioration, the Advisor may form a team or engage outside advisors to preserve the value of the Company's investment, including requirement of additional equitization from the ownership group or exercising other creditor rights.

For investments rated Grade 4 or Grade 5, the Advisor enhances its level of scrutiny over the monitoring of such portfolio company and will develop an action plan to address the underperformance. The Advisor's senior investment team has extensive experience managing investments through workouts, restructurings, and bankruptcies.

The following table shows the distribution of the Company's investments on the 1 to 5 investment performance risk rating scale as of March 31, 2026 and December 31, 2025:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **March 31, 2026** | **March 31, 2026** | **December 31, 2025** | **December 31, 2025** |
| **Investment Performance Risk Rating** | **Investments at<br> Fair Value** | **Percentage of<br> Total Investments** | **Investments at<br> Fair Value** | **Percentage of<br> Total Investments** |
| &nbsp;&nbsp;&nbsp; 1 | $70378329 | 18.40% | $70383783 | 18.80% |
| &nbsp;&nbsp;&nbsp; 2 | 188835829 | 49.40 | 170700370 | 45.50 |
| &nbsp;&nbsp;&nbsp; 3 | 102202622 | 26.80 | 73906574 | 19.70 |
| &nbsp;&nbsp;&nbsp; 4 | 12141080 | 3.20 | 51139493 | 13.60 |
| &nbsp;&nbsp;&nbsp; 5 | 8451753 | 2.20 | 8913525 | 2.40 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total | $382009613 | 100.00% | $375043745 | 100.00% |

---

#### Results of Operations:
The following table represents the operating results for the three months ended March 31, 2026 and 2025:

---

| | | |
|:---|:---|:---|
|  | **For the three months ended March 31,** | **For the three months ended March 31,** |
|  | **2026** | **2025** |
| Total investment income | $9185443 | $10347315 |
| Total expenses | 5033959 | 6132727 |
| &nbsp;&nbsp;&nbsp; Net investment income | 4151484 | 4214588 |
| Net realized gain (loss) on investments | (7802110) | 1863881 |
| Net change in unrealized gain (loss) on investments | 8328142 | (4880585) |
| Benefit (provision) for taxes on unrealized appreciation (depreciation) on investments | (453379) | (50148) |
| &nbsp;&nbsp;&nbsp; Net increase (decrease) in net assets resulting from operations | $4224137 | $1147736 |

---

#### Revenues:
The Company generates revenues primarily through receipt of interest income from the Portfolio Investments the Company holds. In addition, the Company generates income from various loan origination and other fees and dividends on direct equity investments. The debt the Company invests in will typically not be rated by any rating agency, but if it were, it is likely that such debt would be rated below investment grade.

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#### Investment Income:
The composition of the Company's investment income was as follows for the three months ended March 31, 2026 and 2025:

---

| | | |
|:---|:---|:---|
|  | **For the three months ended March 31,** | **For the three months ended March 31,** |
|  | **2026** | **2025** |
| **Non-controlled/non-affiliate investment income** |  |  |
| Interest income | $7750256 | $8034188 |
| PIK interest income | 359635 | 839888 |
| Other income | 164457 | 221307 |
| Dividend income | 148972 | 178187 |
| **Controlled/affiliate investment income** |  |  |
| Interest income | 417821 | 862309 |
| PIK interest income | 313446 | 211436 |
| Other income | 30856 | - |
| &nbsp;&nbsp;&nbsp; Total investment income | $9185443 | $10347315 |

---

#### Operating Expenses:
The composition of the Company's operating expenses was as follows for the three months ended March 31, 2026 and 2025:

---

| | | |
|:---|:---|:---|
|  | **For the three months ended March 31,** | **For the three months ended March 31,** |
|  | **2026** | **2025** |
| Interest and other financing fees | $2360399 | $2541777 |
| Management fees (Note 6) | 1185892 | 1187647 |
| Professional fees | 479125 | 598046 |
| Incentive fees (Note 6) | 167800 | 866402 |
| General and administrative fees | 307476 | 260380 |
| Legal expenses | 436142 | 86060 |
| Director expenses | 35000 | 35000 |
| &nbsp;&nbsp;&nbsp; Total Expenses | $4971834 | $5575312 |

---

#### Income Taxes, Including Excise Tax:
The Company has elected to be regulated as a BDC under the 1940 Act. The Company has also elected to be treated as a RIC under Subchapter M of the Code and intends to qualify annually as a RIC. As long as the Company maintains its status as a RIC, it generally will not pay corporate-level U.S. federal income taxes on any ordinary income or capital gains that it distributes at least annually to its Stockholders. Rather, any tax liability related to income earned by the Company represents obligations of the Company's Stockholders and will not be reflected in the consolidated financial statements of the Company.

To qualify as a RIC under Subchapter M of the Code, the Company must, among other things, meet certain source-of-income and asset diversification requirements. In addition, to qualify for RIC tax treatment, the Company must distribute to its Stockholders, for each taxable year, at least 90.0% of its "investment company taxable income" for that year, which is generally its ordinary income plus the excess of its realized net short-term capital gains over its realized net long-term capital losses. In order for the Company not to be subject to U.S. federal excise taxes, it must distribute annually an amount at least equal to the sum of (i) 98.0% of its net ordinary income (taking into account certain deferrals and elections) for the calendar year, (ii) 98.2% of its capital gains in excess of capital losses for the one year period ending October 31 in that calendar year and (iii) any net ordinary income and capital gains in excess of capital losses for preceding years that were not distributed during such years and on which the Company paid no U.S. federal income tax. The Company, at its discretion, may carry forward taxable income in excess of calendar year dividends and pay a 4.0% nondeductible U.S. federal excise tax on this income. For the three months ended March 31, 2026, the Company did not record an expense for U.S. federal excise tax. For the year ended December 31, 2025, the Company recorded a net expense on the Consolidated Statements of Operations for U.S. federal excise tax of $79,746.

The Company accounts for income taxes in conformity with ASC Topic 740 — Income Taxes ("ASC Topic 740"). ASC Topic 740 provides guidelines for how uncertain tax positions should be recognized, measured, presented and disclosed in the consolidated financial statements. ASC Topic 740 requires the evaluation of tax positions taken in the course of preparing the Company's tax returns to determine whether the tax positions are "more-likely-than-not" to be sustained by the applicable tax authority. Tax benefits of positions not deemed to meet the more-likely-than-not threshold would be recorded as a tax expense in the current year. It is the Company's policy to recognize accrued interest and penalties related to uncertain tax benefits in income tax expense. For the three months ended March 31, 2026 and for the year ended December 31, 2025, the Company recorded a $453,379 and $50,148 deferred tax liability for the unrealized appreciation of investments held in the Holding Company, respectively.

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#### Net Increase (Decrease) in Net Assets Resulting from Operations:
For the three months ended March 31, 2026, the net increase (decrease) in net assets resulting from operations was $4,224,137. Based on the weighted average Class I shares of Common Stock outstanding for the three months ended March 31, 2026, the Company's Class I per share net increase (decrease) in net assets resulting from operations was $0.41.

For the three months ended March 31, 2025, the net increase (decrease) in net assets resulting from operations was $1,147,736. Based on the weighted average Class I shares of Common Stock outstanding for the three months ended March 31, 2025, the Company's Class I per share net increase (decrease) in net assets resulting from operations was $0.12.

#### Net Gain (Loss):
We recognize realized gains or losses on investments based on the difference between the net proceeds from the disposition and the cost basis of the investment without regard to unrealized gains or losses previously recognized. We record current period changes in fair value of investments within net change in unrealized gain (loss) on the Consolidated Statements of Operations.

#### Financial Condition, Liquidity and Capital Resources:
The Company will generate cash primarily from the net proceeds generated from private offerings, and from cash flows from fees, interest and dividends earned from investments and principal repayments, proceeds from sales of investments and borrowings under the Company's Secured Credit Facility. The Company's primary use of funds will be direct credit and equity investments in SMBs, payments of expenses and distributions to holders of the Company's Common Stock and, to a lesser extent, the Company may invest in limited partnership interests of funds focused on making investments in SMBs. As of March 31, 2026 and December 31, 2025, the Company had approximately $6.2 million and $5.5 million, respectively, in cash on deposit with financial institutions and $133.4 million and $122.3 million, respectively, in debt outstanding.

In accordance with the 1940 Act, the Company generally is required to meet a coverage ratio of total assets to total borrowings and other senior securities, which include all borrowings and any preferred stock that may be issued in the future, of at least 150%. If this ratio declines below 150%, the Company cannot incur additional debt and could be required to sell a portion of the Company's investments to repay some debt when it is disadvantageous to do so. On May 14, 2021, Stockholders of the Company approved the adoption of the 150% threshold pursuant to Section 61(a)(2) of the 1940 Act and such election became effective that same day. As of March 31, 2026 and December 31, 2025, the Company's asset coverage for total borrowings and other senior securities was 278.6% and 209%, respectively.

#### Capital Contributions:
For the three months ended March 31, 2026 and for the year ended December 31, 2025, the Company entered into subscription agreements (collectively, the "Subscription Agreements") with new investors, providing for the private placement of common shares. Under the terms of the Subscription Agreements, investors are required to fund drawdowns to purchase common shares up to the amount of their respective capital commitments on an as-needed basis with a minimum of 8 business days' prior notice. As of March 31, 2026 and December 31, 2025, the Company had received capital commitments totaling $294,909,780 and $292,885,780, respectively.

The following tables summarize the issuance of Class I shares for the three months ended March 31, 2026 and 2025:

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| | | | |
|:---|:---|:---|:---|
| **Date** | **Price per share** | **Shares Issued** | **Proceeds** |
| **For the three months ended March 31, 2026** | | | |
| March 26, 2026 | $23.34 | 49191.00 | $1155000 |
|  |  | 49191.00 | $1155000 |

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For the period ended March 31, 2025, there were no new share issuances.

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| | | | |
|:---|:---|:---|:---|
| **Date** | **Price per share** | **Shares Issued** | **Proceeds** |
| **Stock issued in connection with dividend reinvestment plan** | | | |
| January 30, 2026 | $23.48 | 115306 | $2727836 |
| &nbsp;&nbsp;&nbsp; Total |  | 115306 | $2727836 |

---

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| | | | |
|:---|:---|:---|:---|
| **Date** | **Price per share** | **Shares Issued** | **Proceeds** |
| **Stock issued in connection with dividend reinvestment plan** | | | |
| January 31, 2025 | $24.47 | 109175 | $2671518 |
|  |  | 109175 | 2671518 |

---

#### Distributions:
The Board will determine the timing and amount, if any, of the Company's distributions. The Company intends to pay distributions on a quarterly basis. In order to avoid corporate-level tax on the distributed income as a RIC, the Company must distribute to Stockholders at least 90.0% of ordinary income and realized net short-term capital gains in excess of realized net long-term capital losses, if any, on an annual basis out of the assets legally available for such distributions. In order for the Company to avoid certain excise taxes imposed on RICs, the Company currently intends to distribute, or be deemed to distribute, during each calendar year an amount at least equal to the sum of (1) 98.0% of the Company's ordinary income for the calendar year, (2) 98.2% of the Company's capital gain in excess of capital loss for the one-year period ending on October 31 of such calendar year and (3) any ordinary income and net capital gain for preceding years that were not distributed during such years and on which the Company paid no U.S. federal income tax.

The Company has adopted an "opt out" dividend reinvestment program ("DRP") for Stockholders. When a distribution is declared, Stockholders' cash distributions will automatically be reinvested (net applicable withholding tax) in additional shares of Common Stock unless a Stockholder specifically "opts out" of the Company's DRP. Stockholders may opt out of the Company's DRP by providing notice twenty (20) business days in advance of the distribution payment date.

If a Stockholder opts out, that Stockholder will receive cash distributions. Although distributions paid in the form of additional shares of Common Stock will generally be subject to U.S. federal, state and local taxes in the same manner as cash distributions, Stockholders participating in the Company's DRP will not receive any corresponding cash distributions with which to pay any such applicable taxes. If distributions paid exceed tax earnings and profits, portions of the distribution can be recorded as a return of capital.

The following table summarizes the settlement of distributions declared and recorded on Class I shares for the three months ended March 31, 2026 and the subsequent payment and issuance of those distributions for the three months ended March 31, 2026:

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| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **Date Declared** | **Record Date** | **Payment/Issuance Date** | **Amount Per** <br> **Share** | **Amount Paid in Cash** | **Amount Settled via** <br> **Newly Issued Shares** | **Total** |
| **For the three months ended March 31, 2026** |  |  | | | | |
| December 30, 2025 | December 31, 2025 | January 30, 2026 | $0.56 | $3072262 | $2727836 | $5800098 |
| March 30, 2026 | March 30, 2026 | May 20, 2026 | $0.55 | $2985728 | $2662803 | $5648531 |
| &nbsp;&nbsp;&nbsp; Total |  |  | $1.11 | $6057990 | $5390639 | $11448629 |

---

The following table summarizes the settlement of distributions declared and recorded as of March 31, 2025, respectively, and the subsequent payment and issuance of those distributions for the three months ended March 31, 2025 on Class I shares:

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| **Date Declared** | **Record Date** | **Payment/Issuance Date** | **Amount Per** <br> **Share** | **Amount Paid in Cash** | **Amount Settled via** <br> **Newly Issued Shares** | **Total** |
| **For the three months ended March 31, 2025:** |  |  | | | | |
| December 31, 2024 | December 31, 2024 | January 31, 2025 | $0.54 | $2651253 | $2671518 | $5322771 |
| &nbsp;&nbsp;&nbsp; Total |  |  | $0.54 | $2651253 | $2671518 | $5322771 |

---

#### Contractual Obligations:

#### Investment Advisory Agreement; Administration Agreement
The Company's investment activities are managed by Star Mountain Fund Management, LLC and supervised by the Board, a majority of whom are independent. Under the Investment Advisory Agreement, the Company pays Star Mountain Fund Management, LLC a quarterly management fee based on the Company's average gross assets (excluding cash or cash equivalents but including assets purchased with borrowed amounts) as of the end of each of the two most recently completed calendar quarters as well as incentive fees based on the Company's performance.

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The Company has entered into an Administration Agreement with Star Mountain Fund Management, LLC to serve as Administrator for the Company. Pursuant to the Administration Agreement, Star Mountain Fund Management, LLC provides the Company with services such as accounting, financial reporting, legal and compliance support and investor relations support, necessary for the Company to operate or engage a third-party firm to perform some or all of these functions. The Company has entered into a sub-administration agreement with SS&C Technologies, Inc. (the "Sub-Administrator"), under which the Sub-Administrator provides various accounting and administrative services to the Company.

#### Expense Waiver Agreement
Effective March 31, 2026, the Company entered into an expense waiver agreement between the Company and the Advisor, whereby the Advisor agreed to reimburse a portion of Class SP's expenses (excluding management fees, acquired fund fees and expenses, taxes and custody fees) equal to 0.25% of Class SP's average quarterly net assets, on an annualized basis (the "Expense Waiver Agreement").

See "Note 6. Transactions with Related Parties" to our Consolidated Financial Statements for additional information regarding the Advisory Agreement, the Administration Agreement, Expense Waiver Agreement and the fee arrangements thereunder.

#### The Secured Credit Facility
On July 2, 2021, the Company entered into a Loan and Servicing Agreement (the "Loan Agreement") with Sterling National Bank ("SNB"), which provides for a $55 million senior secured revolving credit facility ("Secured Credit Facility"). In February 2022, SNB was subsequently acquired by Webster Bank ("Webster"), which took over the relationship with the Company. On January 12, 2022, the Company entered into a second amendment to the Secured Credit Facility to upsize the Secured Credit Facility to $80 million. On May 6, 2022, the Company entered into an amendment to the Secured Credit Facility to upsize the Secured Credit Facility to $125 million. On September 16, 2022, the Company entered into an amendment to the Secured Credit Facility to upsize the Secured Credit Facility to $200 million. On May 9, 2024, the Company entered into an amendment to the Secured Credit Facility to reassign commitment amounts and negotiate Secured Credit Facility fees.

On June 27, 2025, the Company entered into an amendment to the Secured Credit Facility to reduce the Applicable Spread to 2.30%, plus following the occurrence and during the continuation of an Event of Default, 2.00%. The maturity date of the facility is June 30, 2028.

As of March 31, 2026 and December 31, 2025, the Secured Credit Facility commitment amounts were as follows:

---

| | | |
|:---|:---|:---|
|  | **As of March 31, 2026** | **As of December 31, 2025** |
| Webster Bank | $87500000 | $67500000 |
| Dime Community Bank | 25000000 | 25000000 |
| First Foundation Bank | - | 20000000 |
| Woodforest National Bank | 20000000 | 20000000 |
| Peapack-Gladstone Bank | 17000000 | 17000000 |
| Hanmai Bank | 15500000 | 15500000 |
| Apple Bank | 15000000 | 15000000 |
| &nbsp;&nbsp;&nbsp; Total Commitment | $200000000 | $200000000 |

---

Borrowings can be increased to a maximum of $350 million in accordance with the Secured Credit Facility accordion feature terms and conditions and are limited by various advance rates and concentration limits.

As of March 31, 2026 and December 31, 2025, the total fair value of the borrowings outstanding under the Secured Credit Facility was $108,400,000 and $122,300,000, respectively.

Inclusive of syndication, agency, and administrative fees paid to Webster, the total annualized cost of capital is estimated to be 6.3%. The Company will also pay a non-utilization fee on the average daily unused amount of the aggregate commitments until the commitment termination date (as defined in the Loan Agreement). As of March 31, 2026, the total commitments under the Secured Credit Facility were $200 million. Proceeds from borrowings under the Secured Credit Facility may be used to finance certain investments, fulfill payment obligations under the Secured Credit Facility, make distributions/payments permitted by the Loan Agreement. All amounts outstanding under the Secured Credit Facility must be repaid by June 30, 2028. The Company's obligations to the lenders under the Secured Credit Facility are secured by a first priority security interest in substantially all of the Company's assets, subject to certain exclusions.

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Borrowings under the Secured Credit Facility are limited by various advance rates and concentration limits. In connection with the Secured Credit Facility, the Company has made certain customary representations/warranties and is required to comply with various covenants, reporting requirements and other customary requirements for similar facilities. The Secured Credit Facility is subject to customary events of default for similar financing transactions. Upon the occurrence and during the continuation of an event of default, Webster may declare the outstanding advances and all other obligations under the Secured Credit Facility immediately due and payable.

#### Note Purchase Agreement
On January 2, 2026, the Company entered into a Note Purchase Agreement ("Note Purchase Agreement") governing the issuance of $25,000,000 in aggregate principal amount of Floating Rate Senior Unsecured Notes due January 15, 2029 ("Notes"), with a floating interest rate per annum equal to the SOFR (which is based on the TSFR3M Index Screen Rate and more fully defined in the Note Purchase Agreement) plus 3.75% to a qualified institutional investor in a private placement.

Interest on the Notes will be due quarterly on the 15th day of January, April, July and October each year, beginning on April 15, 2026. The Notes may be redeemed in whole or in part at any time or from time to time at the Company's option at par plus accrued interest to the prepayment date and, if applicable, a make-whole premium. In addition, the Company is obligated to offer to prepay the Notes at par plus accrued and unpaid interest up to, but excluding, the date of prepayment, if certain change in control events occur. The Notes are general unsecured obligations of the Company that rank pari passu with all outstanding and future unsecured unsubordinated indebtedness issued by the Company.

The Note Purchase Agreement contains customary terms and conditions for senior unsecured notes issued in a private placement, including, without limitation, affirmative and negative covenants such as information reporting, and a minimum asset coverage ratio of 1.50 to 1.00.

In addition, in the event that a Credit Rating Event (as defined in the Note Purchase Agreement) occurs, the Notes will bear interest at a fixed rate per annum which is 0.50% above the stated rate of the Notes from the date of the occurrence of the Credit Rating Event to and until the date on which the Credit Rating Event is no longer continuing.

The Note Purchase Agreement also contains customary events of default with customary cure and notice periods, including, without limitation, nonpayment, incorrect representation in any material respect, breach of covenant, certain cross-defaults or cross-acceleration under other indebtedness of the Company, certain judgments and orders and certain events of bankruptcy.

As of March 31, 2026, the fair value of the outstanding Floating Rate Senior Unsecured Notes was $25,000,000. The fair value determination of the Floating Rate Senior Unsecured Note is based on a market yield approach and current interest rates, which are Level 3 inputs to the market yield model.

The fair value of the borrowings outstanding under the Secured Credit Facility and Notes is based on a market yield approach and current interest rates, which are Level 3 inputs to the market yield model. The components of the Company's interest expense and other debt financing expenses, average outstanding balances and average stated interest rates (i.e. the rate in effect plus spread) were as follows:

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| | | |
|:---|:---|:---|
|  | **For the three months ended March 31,** | **For the three months ended March 31,** |
|  | **2026** | **2025** |
|  Interest expense - Secured Credit Facility | $1563943 | $2169421 |
|  Interest expense - Senior Unsecured Note | 457347 | - |
|  Unused commitment fees | 118814 | 99564 |
|  Amortization of deferred financing costs - Secured Credit Facility | 153514 | 137400 |
|  Amortization of deferred financing costs - Senior Unsecured Note | 27425 | - |
|  Utilization fees | 39356 | 135392 |
| &nbsp;&nbsp;&nbsp; Total interest and other debt financing fees | $2360399 | $2541777 |
|  Average debt outstanding | $129948889 | $120348889 |
|  Average stated interest rate | 6.31% | 7.31% |

---

The unused fees payable and interest expense payable as of March 31, 2026 and December 31, 2025 are included in the credit facility interest payable on the Consolidated Statements of Assets and Liabilities. The utilization fees payable as of March 31, 2026 and December 31, 2025 are included in other payables on the Consolidated Statements of Assets and Liabilities.

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*[**Table of Contents**](#TableofContents)*

See "Note 7. Borrowings" to our Consolidated Financial Statements for additional information regarding the credit agreements and the fee arrangement thereunder.

Off-Balance Sheet Arrangements:

The Company has no off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on the financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources of the Company.

#### Critical Accounting Policies:
This discussion of the Company's operating plans is based upon the Company's consolidated financial statements, which have been prepared in accordance with accounting principles generally accepted in the U.S., or GAAP. The preparation of these consolidated financial statements will require the Advisor to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues, and expenses. Changes in the economic environment, financial markets and any other parameters used in determining such estimates could cause actual results to differ. In addition to the discussion below, the Company's critical accounting policies, including revenue recognition and taxes, have been described in Item 1. Note 2. Summary of Significant Accounting Policies.

#### Valuation of Portfolio Investments:
Investments for which market quotations are readily available are typically valued at those market quotations. To validate market quotations, the Company utilizes a number of factors to determine if the quotations are representative of fair value, including the source and number of the quotations. Debt and equity securities that are not publicly traded or whose market prices are not readily available are valued quarterly at fair value as determined in good faith by the Board, based on, among other considerations, the input of the Advisor, the Company's Audit Committee and two independent third-party valuation firms, engaged at the direction of the Board.

The Board oversees a multi-step valuation process, which includes, among other procedures, the following:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the quarterly valuation process commences with each portfolio company or investment being initially evaluated by the investment professionals of the Advisor responsible for the monitoring of the portfolio investment;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the Advisor's Valuation Committee reviews the valuations provided by the independent third-party valuation firms and develops a valuation recommendation. Valuation recommendations are presented to the audit committee of the Board;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the audit committee of the Board reviews valuation recommendations of the Advisor incorporating any adjustments or further supplements by the Advisor to the valuations; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• the Board discusses these valuations and determines the fair value of each investment in the portfolio in good faith, based on the input of the Advisor, the independent valuation firm, and the audit committee.

The Company applies Financial Accounting Standards Board Accounting Standards Codification 820, Fair Value Measurement ("ASC Topic 820"), as amended, which establishes a framework for measuring fair value in accordance with U.S. GAAP and required disclosures of fair value measurements. ASC Topic 820 determines fair value to be the price that would be received for an investment in a current sale, which assumes an orderly transaction between market participants on the measurement date. Market participants are defined as buyers and sellers in the principal or most advantageous market (which may be a hypothetical market) that are independent, knowledgeable, and willing and able to transact. In accordance with ASC Topic 820, the Company considers its principal market to be the market that has the greatest volume and level of activity. ASC Topic 820 specifies a fair value hierarchy that prioritizes and ranks the level of observability of inputs used in determination of fair value.

The three-tier hierarchy of inputs is summarized below.

&nbsp;&nbsp;&nbsp;&nbsp;• Level 1 - Quoted prices are available in active markets/exchanges for identical investments as of the reporting date.

&nbsp;&nbsp;&nbsp;&nbsp;• Level 2 - Pricing inputs are observable inputs including, but not limited to, prices quoted for similar assets or liabilities in active markets/exchanges or prices quoted for identical or similar assets or liabilities in markets
 that are not active, and fair value is determined through the use of models or other valuation methodologies.

&nbsp;&nbsp;&nbsp;&nbsp;• Level 3 - Pricing inputs are unobservable for the investment and include activities where there is little, if any, market activity for the investment. The inputs into determination of fair value require significant management
 judgment and estimation.

The use of these valuation models requires significant estimation and judgment by the Advisor. The Advisor uses two third-party valuation firms to ensure fair values are determined on an independent basis. While the Company believes its valuation methods are appropriate, other market participants may value identical assets differently than the Company at the measurement date. The methods used by the Company may produce a fair value calculation that may not be indicative of net realizable value or reflective of future fair values. The Company may also have risk associated with its concentration of investments in certain geographic regions and industries.

To the extent that valuation is based on models or inputs that are less observable or unobservable in the market, the determination of fair value requires more judgment. Those estimated values do not necessarily represent the amounts that may be ultimately realized due to the occurrence of future circumstances that cannot be reasonably determined. Accordingly, the degree of judgment exercised by the Company in determining fair value is greatest for securities categorized in Level 3.

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*[**Table of Contents**](#TableofContents)*

The determination of what constitutes ("observable") requires significant judgment by the Company. The Company considers observable data to be market data, which is readily available, regularly distributed or updated, reliable and verifiable, not proprietary, which may fall into different levels of the fair value hierarchy. In such cases, for disclosure purposes, the level in the fair value hierarchy within which the fair value measurement in its entirety falls is determined based on the lowest level input that is significant to the fair value measurement. The categorization of an investment within the hierarchy is based upon the pricing transparency of the investment and observability of prices and inputs may be reduced for many investments. This condition could cause the investment to be reclassified to a lower level within the fair value hierarchy.

The Board, with the assistance of the Advisor, the Company's audit committee, and two independent third-party valuation firms engaged at the direction of the Board, will determine the fair value of the Company's assets, including such assets that are not publicly traded or whose market prices are not readily available, on at least a quarterly basis, in accordance with the terms of ASC Topic 820, Fair Value Measurement and Disclosures. The audit committee is comprised of the Independent Directors.

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| | |
|:---|:---|
| **Item 3.** | **Quantitative and Qualitative Disclosures About Market Risk** |

---

The Company is subject to financial market risks, including changes in interest rates. The Company invests primarily in illiquid debt securities of private companies. Most of the Company's investments do not have a readily available market price, and the Company values these investments at fair value as determined in good faith by the Board, based on, among other considerations, the input of the Advisor, the Company's audit committee and two independent third-party valuation firms, engaged at the direction of the Board in accordance with the Company's valuation policy. There is no single standard for determining fair value in good faith. As a result, determining fair value requires that judgment be applied to the specific facts and circumstances of each Portfolio Investment while employing a consistently applied valuation process for the types of investments the Company makes.

The majority of the loans in the Company's portfolio have floating interest rates, and we expect that the Company's loans in the future may also have floating interest rates. These loans are usually based on a floating benchmark rate (e.g., 3-month SOFR) plus a spread and typically have interest rate re-set provisions that adjust applicable interest rates under such loans to current market rates on a monthly or quarterly basis. The majority of the loans in the Company's current portfolio have interest rate floors which will effectively convert the loans to fixed rate loans for certain periods of time during which the floating rate benchmark is less than such interest rate floor.

A reduction in the interest rates on new investments relative to interest rates on current investments could also have an adverse impact on the Company's net interest income. An increase in interest rates could decrease the value of any investments the Company holds which earn fixed interest rates, including subordinated loans, senior and junior secured and unsecured debt securities and loans and high yield bonds, and also could increase the Company's interest expense, thereby decreasing its net income. Also, an increase in interest rates available to investors could make investment in the Company less attractive if the Company is not able to increase its dividend or distribution rate, which could reduce the value of an investment in the Company.

Investors should also be aware that a change in the general level of interest rates can be expected to lead to a change in the interest rate the Company may receive on many of its debt investments. Accordingly, a change in the interest rate could make it easier for the Company to meet or exceed the performance threshold and may result in a substantial increase in the amount of incentive fees payable to the Advisor with respect to the portion of the incentive fee based on income.

Assuming that the Consolidated Statements of Assets and Liabilities as of March 31, 2026 was to remain constant and that we took no actions to alter the Company's existing interest rate sensitivity, the following table shows the annualized impact of hypothetical base rate changes in interest rates:

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| | | | |
|:---|:---|:---|:---|
| **Change in Interest Rates** | **Increase (decrease) in**<br> **interest income** | **Increase (decrease) in**<br> **interest expense** | **Net increase (decrease) in**<br> **net investment income** |
| Down 100 basis points | $(2799123) | $(1334000) | $(1465123) |
| Down 50 basis points | (1438631) | (667000) | (771631) |
| Down 25 basis points | (719315) | (333500) | (385815) |
| Up 25 basis points | 719315 | 333500 | 385815 |
| Up 50 basis points | 1452096 | 667000 | 785096 |
| Up 100 basis points | 2928386 | 1334000 | 1594386 |
| Up 200 basis points | 5880966 | 2668000 | 3212966 |
| Up 300 basis points | 8833547 | 4002000 | 4831547 |

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*[**Table of Contents**](#TableofContents)*

Although we believe that this analysis is indicative of the Company's existing sensitivity to interest rate changes, it does not adjust for changes in the credit market, credit quality, the size and composition of the assets in the Company's portfolio and other business developments, including borrowing under the credit facility or other borrowings that could affect net increase in net assets resulting from operations, or net income. Accordingly, we can offer no assurances that actual results would not differ materially from the analysis above.

**Item 4.** **Controls and Procedures**<br>

#### Evaluation of Disclosure Controls and Procedures
The Company's disclosure controls and procedures are designed to provide reasonable assurances that information required to be disclosed in this Quarterly Report on Form 10-Q and other reports that we file under the Securities Exchange Act of 1934, as amended, is recorded, processed, summarized and reported within the required time periods specified in the SEC's rules and forms and that such information is accumulated and communicated to our management, including our Chief Executive Officer and Chief Financial Officer, to allow timely decisions regarding required disclosures.

The Company's management, including our Chief Executive Officer and Chief Financial Officer, carried out an evaluation of the effectiveness of the design and operation of our disclosure controls and procedures as of the end of the period covered by this report. Based on the evaluation of these disclosure controls and procedures, the Company's management, including our Chief Executive Officer and Chief Financial Officer, concluded that the Company's disclosure controls and procedures were effective as of March 31, 2026. It should be noted that any system of controls, regardless of design and execution, can provide only reasonable assurance of achieving the desired control objectives.

#### Changes in Internal Control Over Financial Reporting
There have been no changes in our internal control over financial reporting, as defined in Rules 13a-15(f) and 15d-15(f) under the Exchange Act, that occurred during our most recently completed fiscal quarter that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

#### Part II. Other Information
**Item 1.** **Legal Proceedings**<br>

The Company is not currently subject to any material legal proceedings, nor, to the Company's knowledge, is any material legal proceeding threatened against us. From time to time, the Company may be a party to certain legal proceedings in the ordinary course of business, including proceedings relating to the enforcement of the Company's rights under loans to or other contracts with the Company's portfolio companies. While the outcome of these legal proceedings cannot be predicted with certainty, the Company does not expect that these proceedings will have a material effect upon the Company's financial condition or results of operations.

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| | |
|:---|:---|
| **Item 1A.** | **Risk Factors** |

---

There have been no material changes during the three months ended March 31, 2026 to the risk factors previously disclosed in our Annual Report on Form 10-K for the year ended December 31, 2025, as filed with the SEC on March 31, 2026, except as set forth below. If any of such changes or risks actually occur, our business, financial condition or results of operations could be materially adversely affected. If that happens, the value of our securities could decline, and you may lose all or part of your investment.

Illiquid Nature of the Company's Common Stock and Restrictions on Withdrawal

The shares may be issued in reliance upon certain exemptions from registration or qualification under applicable Federal and state securities laws and so may be subject to certain restrictions on transferability. There is no public market for the shares and none is expected to develop. In addition, Stockholders will not be entitled to withdraw their Capital Contributions, and shares may not be assigned or transferred without the consent of the Advisor, subject to certain exceptions. Accordingly, the shares constitute illiquid investments and should only be purchased by persons that are "accredited investors" as such term is defined under the Securities Act of 1933, as amended, and able to bear the risk of their investment in shares for an indefinite period of time.

At the discretion of the Board, the Company commenced a share repurchase program in which the Advisor will, in its commercially reasonable judgment subject to market conditions, cause the Company to offer to repurchase shares from Stockholders on a quarterly basis in an amount not to exceed 2.5% of the Company's net asset value. In recent periods, there has been heightened scrutiny and growing negative sentiment in respect of the private credit market, driven by concerns over liquidity, concentration risk and valuation uncertainty, which may result in an increase in the volume of repurchase requests the Company receives.

Significant repurchase requests, whether for a single period or for a sustained period, by Stockholders could adversely affect our ability to conduct our investment program, strain our capacity to source investment opportunities and/or deploy capital promptly on attractive terms and/or increase operational complexity and/or expenses. In addition, Stockholders seeking liquidity may experience delays in fully liquidating their investments and will remain subject to net asset value fluctuations during such periods. Additionally, the presence of large Stockholders or platform concentrations may increase the likelihood of oversubscription in future repurchase offers, further constraining liquidity available to other Stockholders.

**Item 2.** **Unregistered Sales of Equity Securities and Use of Proceeds**<br>

Except as previously reported by the Company on its current reports on Form 8-K, the Company did not sell any securities during the period covered by this Form 10-Q that were not registered under the Securities Act.

**Item 3.** **Defaults Upon Senior Securities**<br>

Not applicable.

**Item 4.** **Mine Safety Disclosures**<br>

Not applicable.

**Item 5.** **Other Information**<br>

During the fiscal quarter ended March 31, 2026, none of our directors or executive officers adopted or terminated any contract, instruction or written plan for the purchase or sale of our securities to satisfy the affirmative defense conditions of Rule 10b5-1(c) or any "non-Rule 10b5-1 trading arrangement."

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*[**Table of Contents**](#TableofContents)*

**Item 6.** **Exhibits**<br>

The exhibits filed as part of this Form 10-Q are set forth on the Index to Exhibits, which is incorporated herein by reference.

#### INDEX TO EXHIBITS

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| | |
|:---|:---|
| **Exhibit** <br> **Number** | **Description of Document** |
| [3.1 Certificate of Incorporation (incorporated by reference to the Company's Form 10 Registration Statement filed on May 7, 2021)](https://www.sec.gov/Archives/edgar/data/1786835/000114036121016448/brhc10024249_ex3-1.htm) | [3.1 Certificate of Incorporation (incorporated by reference to the Company's Form 10 Registration Statement filed on May 7, 2021)](https://www.sec.gov/Archives/edgar/data/1786835/000114036121016448/brhc10024249_ex3-1.htm) |
| [3.1.1 Certificate of Conversion to a Corporation (incorporated by reference to the Company's Form 10 Registration Statement filed on May 7, 2021)](https://www.sec.gov/Archives/edgar/data/1786835/000114036121016448/brhc10024249_ex10-4.htm) | [3.1.1 Certificate of Conversion to a Corporation (incorporated by reference to the Company's Form 10 Registration Statement filed on May 7, 2021)](https://www.sec.gov/Archives/edgar/data/1786835/000114036121016448/brhc10024249_ex10-4.htm) |
| [3.2 By-Laws (incorporated by reference to the Company's Form 10 Registration Statement filed on May 7, 2021)](https://www.sec.gov/Archives/edgar/data/1786835/000114036121016448/brhc10024249_ex3-2.htm) | [3.2 By-Laws (incorporated by reference to the Company's Form 10 Registration Statement filed on May 7, 2021)](https://www.sec.gov/Archives/edgar/data/1786835/000114036121016448/brhc10024249_ex3-2.htm) |
| [4.1 Form of Subscription Agreement (incorporated by reference to the Company's Annual Report on Form 10K, filed with the SEC on March 31, 2026)](https://www.sec.gov/Archives/edgar/data/1786835/000114036126012276/ef20060634_ex4-2.htm) | [4.1 Form of Subscription Agreement (incorporated by reference to the Company's Annual Report on Form 10K, filed with the SEC on March 31, 2026)](https://www.sec.gov/Archives/edgar/data/1786835/000114036126012276/ef20060634_ex4-2.htm) |
| [10.1 Investment Advisory Agreement between Star Mountain Credit Opportunities Fund, LP and Star Mountain Fund Management, LLC (incorporated by reference to the Company's Form 10 Registration Statement filed on May 7, 2021)](https://www.sec.gov/Archives/edgar/data/1786835/000114036121016448/brhc10024249_ex10-1.htm) | [10.1 Investment Advisory Agreement between Star Mountain Credit Opportunities Fund, LP and Star Mountain Fund Management, LLC (incorporated by reference to the Company's Form 10 Registration Statement filed on May 7, 2021)](https://www.sec.gov/Archives/edgar/data/1786835/000114036121016448/brhc10024249_ex10-1.htm) |
| [10.2 Amended and Restated Investment Advisory Agreement dated as of June 14, 2023 between Star Mountain Credit Opportunities Fund, LP and Star Mountain Fund Management, LLC (incorporated by reference to the Company's Current Report on Form 8-K (File No. 814-01399), filed on June 16, 2023)](https://www.sec.gov/Archives/edgar/data/1786835/000114036123030227/brhc20054528_ex10-1.htm) | [10.2 Amended and Restated Investment Advisory Agreement dated as of June 14, 2023 between Star Mountain Credit Opportunities Fund, LP and Star Mountain Fund Management, LLC (incorporated by reference to the Company's Current Report on Form 8-K (File No. 814-01399), filed on June 16, 2023)](https://www.sec.gov/Archives/edgar/data/1786835/000114036123030227/brhc20054528_ex10-1.htm) |
| [10.3 Administration Agreement between Star Mountain Credit Opportunities Fund, LP and Star Mountain Fund Management LLC (incorporated by reference to the Company's Form 10 Registration Statement filed on May 7, 2021)](https://www.sec.gov/Archives/edgar/data/1786835/000114036121016448/brhc10024249_ex10-2.htm) | [10.3 Administration Agreement between Star Mountain Credit Opportunities Fund, LP and Star Mountain Fund Management LLC (incorporated by reference to the Company's Form 10 Registration Statement filed on May 7, 2021)](https://www.sec.gov/Archives/edgar/data/1786835/000114036121016448/brhc10024249_ex10-2.htm) |
| [10.4 Loan and Servicing Agreement, dated as of July 2, 2021, by and among Star Mountain Lower Middle-Market Capital Corp., as borrower, the lenders party thereto and Sterling National Bank, in its capacities as collateral agent and administrative agent (incorporated by reference to Exhibit 10.1 to the Company's Current Report on Form 8-K (File No. 000-56259), filed on July 15, 2021)](https://www.sec.gov/Archives/edgar/data/1786835/000114036121024447/brhc10026887_ex10-1.htm) | [10.4 Loan and Servicing Agreement, dated as of July 2, 2021, by and among Star Mountain Lower Middle-Market Capital Corp., as borrower, the lenders party thereto and Sterling National Bank, in its capacities as collateral agent and administrative agent (incorporated by reference to Exhibit 10.1 to the Company's Current Report on Form 8-K (File No. 000-56259), filed on July 15, 2021)](https://www.sec.gov/Archives/edgar/data/1786835/000114036121024447/brhc10026887_ex10-1.htm) |
| [10.5 First Amendment to Revolving Credit Agreement, dated as of November 10, 2021, by and among the Company, as Borrower, and Sterling National Bank, as Administrative Agent and the Letter of Credit Issuer, and the Lenders party thereto (incorporated by reference to the Company's Current Report on Form 8-K, filed with the SEC on November 12, 2021)](https://www.sec.gov/Archives/edgar/data/1786835/000114036121037608/brhc10030754_ex10-1.htm) | [10.5 First Amendment to Revolving Credit Agreement, dated as of November 10, 2021, by and among the Company, as Borrower, and Sterling National Bank, as Administrative Agent and the Letter of Credit Issuer, and the Lenders party thereto (incorporated by reference to the Company's Current Report on Form 8-K, filed with the SEC on November 12, 2021)](https://www.sec.gov/Archives/edgar/data/1786835/000114036121037608/brhc10030754_ex10-1.htm) |
| [10.6 Second Amendment to Revolving Credit Agreement, dated as of January 12, 2022, by and among the Company, as Borrower, and Sterling National Bank, as Administrative Agent and the Letter of Credit Issuer, and the Lenders party thereto (incorporated by reference to the Company's Current Report on Form 8-K, filed with the SEC on January 14, 2022)](https://www.sec.gov/Archives/edgar/data/1786835/000094562122000021/exhibit101.htm) | [10.6 Second Amendment to Revolving Credit Agreement, dated as of January 12, 2022, by and among the Company, as Borrower, and Sterling National Bank, as Administrative Agent and the Letter of Credit Issuer, and the Lenders party thereto (incorporated by reference to the Company's Current Report on Form 8-K, filed with the SEC on January 14, 2022)](https://www.sec.gov/Archives/edgar/data/1786835/000094562122000021/exhibit101.htm) |
| [10.7 Amendment to Loan and Servicing Agreement and Joinder Agreement, dated as of May 6, 2022, by and among the Company, as Borrower, and Webster Bank, N.A. (f/k/a Sterling National Bank), as Administrative Agent and the Letter of Credit Issuer, and the Lenders party thereto (incorporated by reference to the Company's Current Report on Form 8-K, filed with the SEC on May 12, 2022)](https://www.sec.gov/Archives/edgar/data/1786835/000114036122018783/brhc10037522_ex10-1.htm) | [10.7 Amendment to Loan and Servicing Agreement and Joinder Agreement, dated as of May 6, 2022, by and among the Company, as Borrower, and Webster Bank, N.A. (f/k/a Sterling National Bank), as Administrative Agent and the Letter of Credit Issuer, and the Lenders party thereto (incorporated by reference to the Company's Current Report on Form 8-K, filed with the SEC on May 12, 2022)](https://www.sec.gov/Archives/edgar/data/1786835/000114036122018783/brhc10037522_ex10-1.htm) |
| [10.8 Second Amendment to Loan and Servicing Agreement, dated as of September 16, 2022, by and among the Company, as Borrower, and Webster Bank, N.A. (f/k/a Sterling National Bank), as Collateral Agent, Administrative Agent, Swing Lender, and Sole Lead Arranger, and the Lenders party thereto (incorporated by reference to the Company's Current Report on Form 8-K, filed with the SEC on September 20, 2022).](https://www.sec.gov/Archives/edgar/data/1786835/000114036122034043/brhc10042059_ex10-1.htm) | [10.8 Second Amendment to Loan and Servicing Agreement, dated as of September 16, 2022, by and among the Company, as Borrower, and Webster Bank, N.A. (f/k/a Sterling National Bank), as Collateral Agent, Administrative Agent, Swing Lender, and Sole Lead Arranger, and the Lenders party thereto (incorporated by reference to the Company's Current Report on Form 8-K, filed with the SEC on September 20, 2022).](https://www.sec.gov/Archives/edgar/data/1786835/000114036122034043/brhc10042059_ex10-1.htm) |
| [10.9 Fourth Amendment to Loan and Servicing Agreement, dated as of May 9, 2024, by and among the Company, as Borrower, and Webster Bank, N.A. (f/k/a Sterling National Bank), as Collateral Agent, Administrative Agent, Swing Lender, and Sole Lead Arranger, and the Lenders party thereto (incorporated by reference to the Company's Quarterly Report on Form 10-Q, filed with the SEC on May 15, 2024)](https://www.sec.gov/Archives/edgar/data/1786835/000114036124026065/ef20026310_ex10-9.htm) | [10.9 Fourth Amendment to Loan and Servicing Agreement, dated as of May 9, 2024, by and among the Company, as Borrower, and Webster Bank, N.A. (f/k/a Sterling National Bank), as Collateral Agent, Administrative Agent, Swing Lender, and Sole Lead Arranger, and the Lenders party thereto (incorporated by reference to the Company's Quarterly Report on Form 10-Q, filed with the SEC on May 15, 2024)](https://www.sec.gov/Archives/edgar/data/1786835/000114036124026065/ef20026310_ex10-9.htm) |
| [10.10 Fifth Amendment to Loan and Servicing Agreement, dated as of June 27, 2025, by and among the Company, as Borrower, and Webster Bank, N.A. (f/k/a Sterling National Bank), as Collateral Agent, Administrative Agent, Swing Lender, and Sole Lead Arranger, and Lenders party thereto (incorporated by reference to the Company's Current Report on Form 8-K, filed with the SEC on July 1, 2025)](https://www.sec.gov/Archives/edgar/data/1786835/000114036125024332/ef20051404_ex10-1.htm) | [10.10 Fifth Amendment to Loan and Servicing Agreement, dated as of June 27, 2025, by and among the Company, as Borrower, and Webster Bank, N.A. (f/k/a Sterling National Bank), as Collateral Agent, Administrative Agent, Swing Lender, and Sole Lead Arranger, and Lenders party thereto (incorporated by reference to the Company's Current Report on Form 8-K, filed with the SEC on July 1, 2025)](https://www.sec.gov/Archives/edgar/data/1786835/000114036125024332/ef20051404_ex10-1.htm) |

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*[**Table of Contents**](#TableofContents)*

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| |
|:---|
| [10.11 Note Purchase Agreement, dated as of January 2, 2026, between the Company and the purchasers party thereto (incorporated by reference to the Company's Current Report on Form 8-K, filed with the SEC on January 2, 2026)](https://www.sec.gov/Archives/edgar/data/1786835/000114036126000721/ef20062497_ex10-1.htm) |
| [10.12 Star Mountain Lower Middle-Market Capital Corp. Distribution and Servicing Plan (incorporated by reference to the Company's Annual Report on Form 10-K, filed with the SEC on March 31, 2026)](https://www.sec.gov/Archives/edgar/data/1786835/000114036126012276/ef20060634_ex10-13.htm) |
| [10.13 Star Mountain Lower Middle-Market Capital Corp. Class SP Shares Expense Support Agreement (incorporated by reference to the Company's Annual Report on Form 10-K, filed with the SEC on March 31, 2026)](https://www.sec.gov/Archives/edgar/data/1786835/000114036126012276/ef20060634_ex10-14.htm) |
| [31.1\* Certification of Chief Executive Officer pursuant to Rule 13a-14(a)/15d-14(a) of the Securities Exchange Act of 1934, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002](ef20070589_ex31-1.htm) |
| [31.2\* Certification of Chief Financial Officer pursuant to Rule 13a-14(a)/15d-14(a) of the Securities Exchange Act of 1934, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002](ef20070589_ex31-2.htm) |
| [32.1\*\* Certification of Chief Executive Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002](ef20070589_ex32-1.htm) |
| [32.2\*\* Certification of Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002](ef20070589_ex32-2.htm) |

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\* Filed herewith.

\*\* Furnished herewith.

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*[**Table of Contents**](#TableofContents)*

#### SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

Star Mountain Lower Middle-Market Capital Corp.

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| | | |
|:---|:---|:---|
| Date: May 15, 2026<br>| By: | /s/&nbsp;&nbsp;&nbsp;&nbsp; Brett A. Hickey |
|  | Name: | Brett A. Hickey |
|  | Title: | Chief Executive Officer and President |

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| | | | |
|:---|:---|:---|:---|
| Date: May 15, 2026<br>| By: |  | /s/&nbsp;&nbsp;&nbsp;&nbsp; Christopher J. Gimbert |
|  |  | Name: | Christopher J. Gimbert |
|  |  | Title: | Chief Financial Officer |

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## Exhibit 31.1

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#### Exhibit 31.1<br>

#### <br>

#### CERTIFICATION PURSUANT TO

#### RULE 13a-14(a) and 15d-14(a) UNDER THE SECURITIES EXCHANGE ACT OF 1934, AS AMENDED

I, Brett A. Hickey, certify that:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1. I have reviewed this Quarterly Report on Form 10-Q for the quarter ended March 31, 2026 of Star Mountain Lower Middle-Market Capital Corp. (the "registrant");

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(s) 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:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant is made known to us by others within
 those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5. The registrant's other certifying officer(s) 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 the registrant's board of directors (or persons performing the equivalent functions):

<br> (a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

<br> (b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

---

| | | |
|:---|:---|:---|
| Date: May 15, 2026 | By: | /s/ Brett A. Hickey |
|  |  | **Brett A. Hickey** |
|  |  | **President and Chief Executive Officer** |
|  |  | **(Principal Executive Officer)** |

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## Exhibit 31.2

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#### Exhibit 31.2<br>

#### CERTIFICATION PURSUANT TO

#### RULE 13a-14(a) and 15d-14(a) UNDER THE SECURITIES EXCHANGE ACT OF 1934, AS AMENDED

I, Christopher J. Gimbert, certify that:

<br> 1. I have reviewed this Quarterly Report on Form 10-Q for the quarter ended March 31, 2026 of Star Mountain Lower Middle-Market Capital Corp. (the "registrant");

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(s) 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:

(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant is made known to us by others within those entities, particularly during the period in which this report is being prepared;

(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

(c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

(d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5. The registrant's other certifying officer(s) 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 the registrant's board of directors (or persons performing the equivalent functions):

<br> (a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

<br> (b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

---

| | | |
|:---|:---|:---|
| Date: May 15, 2026 | By: | /s/ Christopher J. Gimbert |
|  |  | **Christopher J. Gimbert** |
|  |  | **Chief Financial Officer** |
|  |  | **(Principal Financial Officer)** |

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## Exhibit 32.1

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#### Exhibit 32.1<br>

#### CERTIFICATION PURSUANT TO

#### SECTION 1350, CHAPTER 63 OF TITLE 18, UNITED STATES CODE, AS ADOPTED PURSUANT

#### TO

#### SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the accompanying Quarterly Report of Star Mountain Lower Middle-Market Capital Corp. (the "Company") on Form 10-Q for the quarter ended March 31, 2026 (the "Report"), I, Brett A. Hickey, President and Chief Executive Officer of the Company, certify, pursuant to 18 U.S.C. §1350, as adopted pursuant to §906 of the Sarbanes-Oxley Act of 2002, that:

<br> (1) The Report fully complies with the requirements of Section 13(a) or Section 15(d) of the Securities Exchange Act of 1934, as amended; and

<br> (2) The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

---

| | | |
|:---|:---|:---|
| Date: May 15, 2026 | By: | /s/ Brett A. Hickey |
|  |  | **Brett A. Hickey** |
|  |  | **President and Chief Executive Officer** |
|  |  | **(Principal Executive Officer)** |

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## Exhibit 32.2

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#### Exhibit 32.2<br>

#### CERTIFICATION PURSUANT TO

#### SECTION 1350, CHAPTER 63 OF TITLE 18, UNITED STATES CODE, AS ADOPTED PURSUANT

#### TO

#### SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the accompanying Quarterly Report of Star Mountain Lower Middle-Market Capital Corp. (the "Company") on Form 10-Q for the quarter ended March 31, 2026 (the "Report"), I, Christopher J. Gimbert, Chief Financial Officer of the Company, certify, pursuant to 18 U.S.C. §1350, as adopted pursuant to §906 of the Sarbanes-Oxley Act of 2002, that:

<br> (1) The Report fully complies with the requirements of Section 13(a) or Section 15(d) of the Securities Exchange Act of 1934, as amended; and

<br> (2) The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

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| | | |
|:---|:---|:---|
| Date: May 15, 2026 | By: | /s/ Christopher J. Gimbert |
|  |  | **Christopher J. Gimbert** |
|  |  | **Chief Financial Officer** |
|  |  | **(Principal Financial Officer)** |

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