UNAUDITED FINANCIAL STATEMENTS

Consolidated Statements of Assets and Liabilities as of March 31, 2018 and 2017 (unaudited)

Consolidated Statements of Operations for the three months ended March 31, 2018 and 2017 (unaudited)

Consolidated Statements of Changes in Net Assets for the three months ended March 31, 2018 and 2017 (unaudited)

Consolidated Statements of Cash Flows for the three months ended March 31, 2018 and 2017 (unaudited)

Consolidated Schedule of Investments as of March 31, 2018 (unaudited)

Consolidated Schedule of Investments as of December 31, 2017 (unaudited)

Notes to Consolidated Financial Statements (unaudited)

Consolidated Schedule of Investments In and Advances to Affiliates as of March 31, 2018

AUDITED FINANCIAL STATEMENTS

Reports of Independent Registered Public Accounting Firm

Consolidated Statements of Assets and Liabilities as of December 31, 2017 and 2016

Consolidated Statements of Operations for the three years ended December 31, 2017

Consolidated Statements of Changes in Net Assets for the three years ended December 31, 2017

Consolidated Statements of Cash Flows for the three years ended December 31, 2017

Consolidated Schedule of Investments as of December 31, 2017

Consolidated Schedule of Investments as of December 31, 2016

Notes to Consolidated Financial Statements

Consolidated Schedule of Investments In and Advances to Affiliates as of December 31, 2017

Exhibit

Number

Exhibit

Number

Exhibit

Number

Exhibit

Number

Exhibit

Number

Exhibit

Number

Filed herewith.

Previously filed as part of the Registration Statement on Form N-2 of the Company, as filed on February 22, 2005.

Previously filed as part of Pre-Effective Amendment No. 1, as filed on May 17, 2005 (File No. 333-122950) to the Registration Statement on Form N-2 of the Company.

Previously filed as part of Pre-Effective Amendment No. 2, as filed on June 8, 2005 (File No. 333-122950) to the Registration Statement on Form N-2 of the Company.

Previously filed as part of Post-Effective Amendment No. 1, as filed on June 10, 2005 (File No. 333-122950) to the Registration Statement on Form N-2 of the Company.

Previously filed as part of the Current Report on Form 8-K of the Company, as filed on August 5, 2005.

Previously filed as part of Post-Effective Amendment No. 3, as filed on March 9, 2006 (File No. 333-126604) to the Registration Statement on Form N-2 of the Company.

Previously filed as part of the Pre-Effective Amendment No. 1, as filed on October 17, 2006 (File No. 333-136918) to the Registration Statement on Form N-2 of the Company.

Previously filed as part of the Current Report on Form 8-K of the Company, as filed on December 6, 2006.

Previously filed as part of the Current Report on Form 8-K of the Company, as filed on August 1, 2006.

Previously filed as part of the Current Report on Form 8-K of the Company, as filed March 9, 2007.

Previously filed as part of the Current Report on Form 8-K of the Company, as filed May 4, 2007.

Previously filed as part of the Pre-Effective Amendment No. 1, as filed May 15, 2007 (File No. 333-141828), to the Registration Statement on Form N-2 of the Company.

Previously filed as part of the Securities to be Offered to Employees in Employee Benefit Plans on Form S-8, as filed October 2, 2007.

Previously filed as part of the Pre-Effective Amendment No. 2, as filed June 5, 2008 (File No. 333-150403), to the Registration Statement on Form N-2 of the Company.

Previously filed as part of the Annual Report on Form 10-K of the Company, as filed on March 16, 2009.

Previously filed as part of the Current Report on Form 8-K of the Company, as filed on November 4, 2011.

Previously filed as part of the Current Report on Form 8-K of the Company, as filed on April 11, 2011.

Previously filed as part of the Registration Statement on Form N-2 of the Company, as filed on February 8, 2012 (File No. 333-179431).

Previously filed as part of Post-Effective Amendment No. 1, as filed on April 17, 2012 (File No. 333-179431), to the Registration Statement on Form N-2 of the Company.

Previously filed as part of Post-Effective Amendment No. 2, as filed on July 6, 2012 (File No. 333-179431), to the Registration Statement on Form N-2 of the Company.

Previously filed as part of Post-Effective Amendment No. 5, as filed on September 24, 2012 (File No. 333-179431), to the Registration Statement on Form N-2 of the Company.

Previously filed as part of Post-Effective Amendment No. 7, as filed on October 2, 2012 (File No. 333-179431), to the Registration Statement on Form N-2 of the Company.

Previously filed as part of Post-Effective Amendment No. 3, as filed on July 12, 2012 (File No. 333-179431), to the Registration Statement of the Company.

Previously filed as part of Post-Effective Amendment No. 8, as filed on October 17, 2012 (File No. 333-179431), to the Registration Statement on Form N-2 of the Company.

Previously filed as part of the Current Report on Form 8-K of the Company, as filed on December 20, 2012.

Previously filed as part of Post-Effective Amendment No. 5, as filed on July 14, 2014 (File No. 333-187447), to the Registration Statement on Form N-2 of the Company.

Previously filed as part of Post-Effective Amendment No. 6, as filed on August 11, 2014 (File No. 333-187447), to the Registration Statement on Form N-2 of the Company.

Previously filed as part of Post-Effective Amendment No. 8, as filed on March 25, 2015 (File No. 333-187447), to the Registration Statement on Form N-2 of the Company.

Previously filed as part of the Registration Statement on Form N-2 of the Company, as filed on April 20, 2015 (File No. 333-203511).

Previously filed as part of Pre-Effective Amendment No. 1, as filed on June 8, 2015 (File No 333-203511), to the Registration Statement on Form N-2 of the Company.

Previously filed as part of the current report on Form 8-K of the Company, as filed on June 30, 2015.

Previously filed as part of the Current Report on Form 8-K of the Company, as filed on November 13, 2015.

Previously filed as part of the Current Report on Form 8-K of the Company, as filed on December 18, 2015.

Previously filed as part of the Current Report on Form 8-K of the Company, as filed on February 25, 2016.

Previously filed as part of the Current Report on Form 8-K of the Company, as filed on March 8, 2016

Previously filed as part of the Current Report on Form 8-K of the Company, as filed on April 11, 2016

Previously filed as part of the Current Report on Form 8-K of the Company, as filed on May 10, 2016.

Previously filed as part of Post-Effective Amendment No. 3, as filed on May 2, 2016 (File No. 333-203511), to the Registration Statement on Form N-2 of the Company.

Previously filed as part of Post-Effective Amendment No. 6, as filed on June 27, 2016 (File No. 333-203511), to the Registration Statement on Form N-2 of the Company.

Previously filed as part of Post-Effective Amendment No. 7, as filed on July 5, 2016 (File No. 333-203511), to the Registration Statement on Form N-2 of the Company.

Previously filed as part of the Current Report on Form 8-K of the Company, as filed on July 19, 2016.

Previously filed as part of the Current Report on Form 8-K of the Company, as filed on July 22, 2016.

Previously filed as part of Post-Effective Amendment No. 10, as filed on October 14, 2016 (File No. 333-203511), to the Registration Statement on Form N-2 of the Company.

Previously filed as part of the Current Report on Form 8-K of the Company, as filed on January 5, 2017.

Previously filed as part of the Current Report on Form 8-K of the Company, as filed on January 25, 2017.

Previously filed as part of the Current Report on Form 8-K of the Company, as filed on April 7, 2017.

Previously filed as part of Post-Effective Amendment No. 1, as filed on September 13, 2017 (File No. 333-214767), to the Registration Statement on Form N-2 of the Company.

Previously filed as part of Post-Effective Amendment No. 2, as filed on October 25, 2017 (File No. 333-214767), to the Registration Statement on Form N-2 of the Company.

Previously filed as part of the Current Report on Form 8-K of the Company, as filed on October 26, 2017.

Previously filed as part of the Current Report on Form 8-K of the Company, as filed on November 2, 2017.

Previously filed as part of the Current Report on Form 8-K of the Company, as filed on November 2, 2017.

Previously filed as part of the Annual Report on Form 10-K of the Company, as filed on February 22, 2018.

Previously filed as part of the Registration Statement on Form N-2 of the Company, as filed on April 13, 2018 (File No. 333-224281).

Previously filed as part of Post-Effective Amendment No. 4, as filed on April 26, 2018 (File No. 333-214767), to the Registration Statement on Form N-2 of the Company.

Previously filed as part of the Quarterly Report on Form 10-Q of the Company, as filed on May 3, 2018.

Previously filed as part of Pre-Effective Amendment No. 1, as filed on June 1, 2018 (File No 333-224281), to the Registration Statement on Form N-2 of the Company.

Previously filed as part of the Current Report on Form 8-K of the Company, as filed on June 1, 2018.

Previously filed as part of Post-Effective Amendment No. 1, as filed on June 14, 2018 (File No. 333-224281), to the Registration Statement on Form N-2 of the Company.

SEC registration fee

FINRA filing fee

NYSE listing fee

Accounting fees and expenses

Legal fees and expenses

Printing expenses

Miscellaneous

Total

This amount has been offset against filing fees associated with unsold securities registered under a previous registration statement.

Name

Hercules Technology II, L.P.

Hercules Technology III, L.P.

Hercules Capital IV, L.P.

Hercules Technology SBIC Management, LLC

Hercules Funding II, LLC

Hercules Funding III, LLC

Hercules Technology Management Co II, Inc.

Hercules Capital Funding Trust 2014-1

Hercules Capital Funding 2014-1 LLC

Hercules Capital Funding Trust 2018-1

Hercules Capital Funding 2018-1 LLC

Achilles Technology Management Co., Inc.

Achilles Technology Management Co I, Inc.

Achilles Technology Management Co II, Inc.

Bearcub Acquisitions LLC

HercGBC LLC

Gibraltar Acquisition LLC

Gibraltar Business Capital LLC

Title of Class

Common stock, par value $.001 per share

to suspend the offering of shares until the prospectus is amended if (a) subsequent to the effective date of its registration statement, the NAV declines more than ten percent from its NAV as of the effective date of the registration statement or (b) the NAV increases to an amount greater than the net proceeds (if applicable) as stated in the prospectus.

Not applicable.

Not applicable.

to file, during any period in which offers or sales are being made, a post-effective amendment to this registration statement:

to include any prospectus required by Section 10(a)(3) of the Securities Act;

to reflect in the prospectus any facts or events arising after the effective date of the registration statement (or the most recent post-effective amendment thereof) which, individually or in the aggregate, represent a fundamental change in the information set forth in the registration statement; and

to include any material information with respect to the plan of distribution not previously disclosed in the registration statement or any material change to such information in the registration statement.

that, for the purpose of determining any liability under the Securities Act, each such post-effective amendment shall be deemed to be a new registration statement relating to the securities offered therein, and the offering of the securities at that time shall be deemed to be the initial bona fide offering thereof;

to remove from registration by means of a post-effective amendment any of the securities being registered which remain unsold at the termination of the offering;

that, for the purpose of determining liability under the Securities Act to any purchaser, if the Registrant is subject to Rule 430C, each prospectus filed pursuant to Rule 497(b), (c), (d) or (e) under the Securities Act as part of a registration statement relating to an offering, other than prospectus filed in reliance on Rule 430A under the Securities Act, shall be deemed to be part of and included in the registration statement as of the date it is first used after effectiveness, provided, however, that no statement made in a registration statement or prospectus that is part of the registration statement or made in a document incorporated or deemed incorporated by reference into the registration statement or prospectus that is part of the registration statement will, as to a purchaser with a time of contract of sale prior to such first use, supersede or modify any statement that was made in the registration statement or prospectus that was part of the registration statement or made in any such document immediately prior to such date of first use;

that for the purpose of determining liability of the Registrant under the Securities Act to any purchaser in the initial distribution of securities, the undersigned Registrant undertakes that in a primary offering of securities of the undersigned Registrant pursuant to this registration statement, regardless of the underwriting method used to sell the securities to the purchaser, if the securities are offered or sold to such purchaser by means of any of the following communications, the undersigned Registrant will be a seller to the purchaser and will be considered to offer or sell such securities to the purchaser:

any preliminary prospectus or prospectus of the undersigned Registrant relating to the offering required to be filed pursuant to Rule 497 under the Securities Act;

the portion of any advertisement pursuant to Rule 482 under the Securities Act relating to the offering containing material information about the undersigned Registrant or its securities provided by or on behalf of the undersigned Registrant; and

any other communication that is an offer in the offering made by the undersigned Registrant to the purchaser.

to file a post-effective amendment to the registration statement, and to suspend any offers or sales pursuant the registration statement until such post-effective amendment has been declared effective under the Securities Act, in the event the shares of the Registrant are trading below its NAV per share and either (a) the Registrant receives, or has been advised by its independent registered accounting firm that it will receive, an audit report reflecting substantial doubt regarding the Registrant’s ability to continue as a going concern or (b) the Registrant has concluded that a fundamental change has occurred in its financial position or results of operations;

Not applicable.

Not applicable.

Signature

Title

Date

/S/ MANUEL A. HENRIQUEZ

Manuel A. Henriquez

Chairman of the Board, President and Chief Executive Officer (principal executive officer)

/S/ DAVID M. LUND

David M. Lund.

Interim Chief Financial Officer

*

Robert P. Badavas

Director

*

Thomas J. Fallon

Director

*

Brad Koenig

Director

*

Jorge Titinger

Director

*

Joseph F. Hoffman

Director

*

Doreen Woo Ho

Director

/S/ MANUEL A. HENRIQUEZ