Arkansas Code of 1987 (2023) › Title 15 - NATURAL RESOURCES AND ECONOMIC DEVELOPMENT (§§ 15-1-101 — 15-76-324) › Subtitle 1 - DEVELOPMENT OF ECONOMIC AND NATURAL RESOURCES GENERALLY (§§ 15-1-101 — 15-14-108) › Chapter 5 - ARKANSAS DEVELOPMENT FINANCE AUTHORITY (§§ 15-5-101 — 15-5-1908) › Subchapter 14 - VENTURE CAPITAL INVESTMENT ACT OF 2001 (§§ 15-5-1401 — 15-5-1416) › Section 15-5-1403 - Definitions

As used in this subchapter:
(1)
"Accredited investor" means an accredited investor as defined in
17 C.F.R. § 230.215
, as it existed on January 1, 2013;
(2)
"Authority" means the Arkansas Development Finance Authority;
(3)
"Bond guaranty" means a special obligation of the Bond Guaranty Reserve Account as defined in §
15-5-403
;
(4)
"Capital guaranty" means the guaranty provided by the authority under §
15-5-1405
;
(5)
"Certificate" means a document executed by the authority extending a capital guaranty to the designated investor group;
(6)
"Designated investor group" means the investor group selected by the authority under this subchapter;
(7)
"Equity capital" means capital invested in common stock or preferred stock, royalty rights, limited partnership interests, limited liability company interests, and any other equity, securities, or rights that evidence ownership or investment in private enterprises;
(8)
"Investor group" means any individual, corporation, partnership, limited liability company, or other lawfully organized entity;
(9)
"Near-equity capital" means capital invested in unsecured, undersecured, subordinated, or convertible loans or debt securities;
(10)
"Person" means any individual, corporation, partnership, or other lawfully organized entity;
(11)
"Review committee" means a committee composed of the President of the Arkansas Development Finance Authority, the Director of the Arkansas Economic Development Commission, and the members of the Board of Directors of the Arkansas Development Finance Authority;
(12)
"Revolving fund" means a bank account:
(A)
Created by the designated investor group in a financial institution located in this state; and
(B)
Used solely as provided in this subchapter;
(13)
"Tax credit" means an income tax credit granted to the authority under this subchapter;
(14)
"Technology-based enterprises" means a group of growing businesses in one (1) or more of the following business sectors:
(A)
Advanced materials and manufacturing systems;
(B)
Agriculture, food, and environmental sciences;
(C)
Biotechnology, bioengineering, medical technology, and life sciences;
(D)
Information technology;
(E)
Transportation logistics; and
(F)
Biobased products;
(15)
"Venture capital funds" means private, for-profit investment funds that seek to invest in technology-based enterprises; and
(16)
"Venture Capital Investment Trust" means the public trust formed July 21, 2003, under §
28-72-201
et seq., the trustees of which are the President of the Arkansas Development Finance Authority, the Director of the Arkansas Economic Development Commission, and the Secretary of the Department of Finance and Administration, and that has as a principal purpose increasing the availability of equity capital and near-equity capital for emerging and expanding enterprises in the State of Arkansas.
Amended by Act 2019, No. 925,§ 4, eff. 7/24/2019.
Acts 2001, No. 1791, § 3.