Utah SB 183 is the state’s answer to the growing demand for MCA Loan Disclosure Laws that protect small businesses from predatory financing.

Utah SB 183 — The MCA Loan Disclosure Law Protecting Small Business Owners

August 29, 2025
Ben Wilson

Utah SB 183 is the state’s answer to the rising demand for MCA Loan Disclosure Laws. These rules are designed to protect small businesses from predatory financing. Merchant Cash Advances (MCAs) often promise fast cash. But hidden fees, unclear repayment schedules, and aggressive collections have left many owners struggling.

SB 183 changes that. It requires lenders to be transparent so business owners understand the true cost of financing before they commit.

What Is Utah SB 183?

SB 183 sets new standards for commercial financing providers. It applies to:

MCA companies
Factoring firms
Certain online lenders

Before a financing agreement is finalized, these providers must give borrowers clear, standardized disclosures.

Under SB 183, lenders must show:

Total repayment amount
All fees and charges
Payment frequency and method
Estimated annualized cost of financing
Any prepayment penalties

This ensures borrowers can compare offers side by side and make informed decisions.

Why SB 183 Matters for Small Businesses

For years, Utah business owners faced the same risks seen nationwide: unclear MCA contracts, stacked loans, and repayment terms that drained cash flow.

SB 183 changes this by requiring:

Clearer disclosures so borrowers can compare multiple offers
Accurate cost breakdowns so owners see the real price of financing
Protection from misleading terms that trap businesses in debt

How SB 183 Fits Into the Bigger Picture

Utah SB 183 joins a growing list of MCA Loan Disclosure Laws across the U.S., including:

State	Law	Key Feature
California	SB 1235	First state law requiring standardized MCA disclosures
Texas	HB 700	Plain-language repayment terms and fee breakdowns
New York	S5470-B	APR-style disclosures + detailed repayment transparency
Utah	SB 183	Mandatory clear disclosures before MCA contracts

Debt Consultants Group Insight

We monitor state-by-state MCA Loan Disclosure Laws like Virginia’s HB 1027 to protect borrowers from predatory terms and help them negotiate fair settlements. If you’ve been offered an MCA in Virginia — or you’re weighed down by stacked contracts — understanding these new protections is your first step toward financial relief.