With the new year upon us, California’s Commercial Financing Disclosures Law is now in effect.
This addition to the California Financial Code requires MCA funders to make certain disclosures to recipients of funding pursuant to MCAs. The new law is available online at http://leginfo.legislature.ca.gov/faces/billTextClient.xhtml?bill_id=201720180SB1235. MCA funders based out of California or funding merchants located in California should make sure that they are providing the required disclosures when making new deals. Gene Rosen’s Law Firm assists MCA funders in preparing funding agreements and disclosure forms.