Mill City Ventures III collateralizes $10M loan to Mustang Funding

Mill City Ventures III (MCVT) entered into a Security Agreement with Mustang Funding. Under the Security Agreement, Mill City Ventures obtained a second-position lien on substantially all of Mustang Funding’s assets to serve as collateral for Mill City Ventures’ $10M principal amount loan to Mustang Funding. The Security Agreement, deemed effective as of January 24, 2025, reinforces Mill City Ventures’ commitment to risk-managed, short-term commercial lending strategies. Under the terms of the agreement, Mustang Funding pledged a broad range of assets as collateral for its $10M promissory note in favor of Mill City Ventures. This collateral ensures the protection of Mill City Ventures’ interests while enabling Mustang Funding and its subsidiaries to continue accessing capital to support business operations. The loan, advanced in stages beginning in December 2022 and ending in September 2023, has been amended multiple times to align with evolving business needs.