New York Funding
Commercial financing disclosure context for New York
Overview
New York requires standardized disclosures for covered commercial financing offers under the Commercial Finance Disclosure Law.
Transaction scope
Commercial financing of up to $2,500,000, including sales-based financing, closed-end financing, open-end financing, factoring, lease financing, and general asset-based financing, subject to exemptions.
Reviewed status
DFS final regulation adopted February 1, 2023.
Last reviewed 2026-05-11
Key Requirements
- Provide standardized disclosures when covered financing offers are extended
- Calculate finance charges and APR according to DFS rules
- Use product-specific disclosure formatting
- Report estimated and retrospective APR data when required by regulation
Required Disclosures
- Finance charge
- Annual percentage rate
- Payment amount and frequency
- Term or estimated term
- Prepayment policy
- Other potential fees
- Product-specific disclosures for sales-based, factoring, lease, and asset-based financing
Penalties for Non-Compliance
- DFS regulatory enforcement
- Potential civil penalties for covered violations
- Possible restitution or injunctive relief through DFS enforcement authority
Registration and Enforcement Notes
The reviewed DFS Commercial Finance Disclosure Law guidance focuses on standardized disclosures and reporting instructions, not a blanket DFS provider-registration requirement.
DFS may enforce disclosure violations and require compliance with calculation, formatting, and reporting requirements.
Additional Resources
How Alpha Capital Group Reviews State Context
At Alpha Capital Group, we review state-specific commercial financing requirements with product structure, transaction size, and partner obligations in mind. Our process is designed to support:
- Complete transparency in all financing terms
- Clear disclosure of fees, rates, and payment structures
- Review of applicable state-specific registration requirements
- Adherence to all telemarketing and solicitation laws
- Maintenance of required records and documentation
Our team reviews state-level commercial financing disclosure context and partner requirements as part of business-purpose funding preparation. This page is informational and is not legal advice.
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Our team understands the regulatory landscape in your state and can help you navigate the requirements.
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