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LOANS RECEIVABLE (Tables)
 6 Months Ended
Jun. 30, 2025
Receivables [Abstract]  
Schedule of Loans Receivable, Net
Loans receivable consist of the following (in thousands):
 June 30, 2025December 31, 2024
SBA 7(a) loans receivable, subject to credit risk$20,174 $19,306 
SBA 7(a) loans receivable, subject to loan-backed notes31,002 34,930 
SBA 7(a) loans receivable, subject to secured borrowings1,356 1,383 
SBA 7(a) loans receivable, held for sale— 1,494 
Loans receivable52,532 57,113 
Deferred capitalized costs, net1,013 1,129 
Current expected credit losses(2,451)(2,032)
Loans receivable, net$51,094 $56,210 
Schedule of Allowance for Credit Losses
The following table presents the activity in the Company’s CECL for the six months ended June 30, 2025 and June 30, 2024 (dollar amounts in thousands):
Loans Receivable
Current expected credit losses as of December 31, 2024
$2,032 
Net adjustment to reserve for expected credit losses
39 
Current expected credit losses as of March 31, 2025
2,071 
Net adjustment to reserve for expected credit losses380 
Current expected credit losses as of June 30, 2025$2,451 
Current expected credit losses as of December 31, 2023
$1,680 
Net adjustment to reserve for expected credit losses(36)
Current expected credit losses as of March 31, 2024
1,644 
Net adjustment to reserve for expected credit losses(37)
Current expected credit losses as of June 30, 2024$1,607 
Schedule of Net Book Value of Loans Receivable Portfolio by Year of Origination, Loan Type and Risk Rating The following table presents the net book value of the Company’s loans receivable portfolio as of June 30, 2025 by year of origination, loan type and risk rating (dollar amounts in thousands):
Amortized Cost of Loans Receivable by Year of Origination
As of June 30, 2025
Number of Loans20252024202320222021Prior Total
Loans by internal risk rating:
182$589 $4,715 $5,851 $3,339 $2,586 $8,952 $26,032 
266590 3,233 3,545 3,302 3,448 8,076 $22,194 
32— 471 — — 437 — $908 
43— — 885 713 — 444 $2,042 
5—— — — — — — — 
Total153$1,179 $8,419 $10,281 $7,354 $6,471 $17,472 $51,176 
Plus: SBA 7(a) loans receivable, subject to secured borrowings (1)
1,356 
Plus: Deferred capitalized costs, net1,013 
Less: Current expected credit losses
(2,451)
Total loans receivable, net$51,094 
Weighted average risk rating1.5
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(1)The Company does not assign a risk rating to its SBA 7(a) loans receivable that are subject to secured borrowings or the government guaranteed portion of loans held for sale. The Company has determined there is no credit risk associated with these loans since the SBA has guaranteed payment of the principal.