Section 7-27-202 - Disclosures for commercial financing transactions(1) Before consummating a commercial financing transaction, a provider shall disclose the terms of the commercial financing transaction in accordance with this section and rules made by the commissioner.(2) A provider shall disclose the following information in connection with each commercial financing transaction: (a) the total amount of funds provided to the business under the terms of the commercial financing transaction;(b) the total amount of funds disbursed to the business under the terms of the commercial financing transaction, if less than the amount described in Subsection (2)(a);(c) the total amount to be paid to the provider under the terms of the commercial financing transaction;(d) the total dollar cost of the commercial financing transaction, calculated by finding the difference between: (i) the amount described in Subsection (2)(a); and(ii) the amount described in Subsection (2)(c);(e)(i) the manner, frequency, and amount of each payment; or(ii) if the amount of each payment may vary, the manner, frequency, and estimated amount of the initial payment; and(f) a statement of whether there are any costs or discounts associated with prepayment under the commercial financing transaction, including a reference to the paragraph in the commercial financing transaction agreement that creates each cost or discount.(3) The commercial financing transaction agreement shall include a description of the methodology for calculating any variable payment amount and the circumstances that may cause a payment amount to vary.(4) The provisions of this section apply to a commercial financing transaction consummated on or after January 1, 2023.Amended by Chapter 114, 2024 General Session ,§ 2, eff. 5/1/2024.Added by Chapter 449, 2022 General Session ,§ 7, eff. 5/4/2022.