Search Disclosure Guides By State

Revenue-Based Financing Disclosure Guides

California Disclosure Guide

In a significant move on December 9th, 2022, California introduced a fresh disclosure law with a targeted focus. This law imposes explicit requirements on lenders and finance companies when dealing with particular commercial transactions, including small business loans and merchant cash advances. Meticulously outlined within the regulations are the precise contents of these disclosures, encompassing all aspects of commercial loan and cash advance transactions. It mandates the provision of comprehensive information on every term involved, leaving no room for ambiguity.

Virginia Disclosure Guide

Virginia has emerged as the second state to implement a registration regime exclusively aimed at MCA (Merchant Cash Advance) providers. Under this newly enacted law, MCA providers are obligated to register with the Virginia State Corporation Commission before November 1, 2022, and renew their registration on an annual basis. Excitingly, the scope of this law is extended to encompass “sales-based financing brokers,” further bolstering transparency and accountability in the industry. Additionally, both providers and brokers must obtain the necessary authorization to conduct their business operations within the state of Virginia. This progressive step aims to foster a more regulated and secure environment for financial transactions.

Utah Disclosure Guide

With the signing of SB183 into law, Utah has taken a significant stride towards enhancing transparency and accountability in commercial financing. This law now makes it mandatory for commercial financing providers to undergo formal registration with the State and comply with standardized disclosures for all their transactions.

From January 1, 2023 onwards, these providers are required to secure approval from the State before engaging in any business dealings with customers in Utah. The law leaves no room for ambiguity, as it explicitly mandates the inclusion of specific disclosures in all contracts.

Through this proactive legislation, Utah aims to create a more secure and well-regulated landscape for commercial financing, safeguarding the interests of both providers and customers alike.

The CFGMS Compliance Timeline

Dan Taylor

VP of Compliance & Data Assurance

Have questions regarding disclosure?

Reach out directly to our VP of Compliance & Data Assurance Dan Taylor for further information.

CFGMS is staying ahead of disclosure regulations and will continue funding files across the U.S. throughout this period. Together, we will work with new guidelines and continue funding small businesses that need working capital.