---
kind: "section"
citation: "15 U.S.C. § 80a–59"
title: "15"
title_heading: "Commerce and Trade"
number: "80a–59"
heading: "Functions and activities of business development companies"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/15/80a-59"
units:
  - "Chapter 2D — Investment Companies and Advisers"
  - "Subchapter I — Investment Companies"
---

# §80a–59. Functions and activities of business development companies


Notwithstanding the exemption set forth in [section 80a–6(f) of this title](/usc/15/80a–6.md?p=f), [section 80a–12 of this title](/usc/15/80a–12.md) shall apply to a [business development company](/usc/15/80a–2.md?p=a-48) to the same extent as if it were a registered closed-end investment [company](/usc/15/80a–2.md?p=a-8), except that the [Commission](/usc/15/80a–2.md?p=a-7) shall not prescribe any rule, regulation, or order pursuant to [section 80a–12(a)(1) of this title](/usc/15/80a–12.md?p=a-1) governing the circumstances in which a [business development company](/usc/15/80a–2.md?p=a-48) may borrow from a [bank](/usc/15/80a–2.md?p=a-5) in order to purchase any [security](/usc/15/80a–2.md?p=a-36).


## Source credit

(Aug. 22, 1940, ch. 686, title I, § 60, as added Pub. L. 96–477, title I, § 105, Oct. 21, 1980, 94 Stat. 2285.)