California SB 1235 — What California Business Owners Need to Know
California Commercial Financing Disclosure (SB 1235)
California requires all commercial financing providers — including MCA companies — to provide standardized disclosures to California businesses before signing. T.A.G. provides all required SB 1235 disclosures with every California MCA offer, including: total amount financed, total repayment amount, estimated APR equivalent, estimated term, and prepayment terms. You will receive this disclosure document before being asked to sign any agreement.
California's SB 1235 is designed to protect small business owners by requiring transparent, comparable cost disclosures. This is a consumer protection benefit — not a reason to avoid California MCA. It means you can make a fully informed decision with all costs clearly laid out.
MCA Qualification Requirements — California
500+
Personal FICO Score
$10,000+
Monthly Revenue
6 months
Min Time in Business
Active CA
Business Bank Account
No open
Bankruptcy
3–6 months
Bank Statements
California Industries T.A.G. Funds
Restaurants and Hospitality
Equipment, remodel, payroll, seasonal working capital
Construction and Contractors
Materials bridge, subcontractor payroll, equipment, job mobilization
Healthcare — Private Practice
Medical equipment, insurance AR gap, expansion
Trucking and Logistics
Equipment acquisition, fuel, repairs, fleet expansion
Retail and E-Commerce
Inventory, marketing spend, peak-season capital
Auto Repair
Equipment, inventory, working capital
HVAC, Plumbing, Electrical
Equipment, crew expansion, seasonal working capital
Professional Services
Operating capital, technology, staff expansion
California Cities We Fund
Los Angeles
San Diego
San Jose
San Francisco
Fresno
Sacramento
Long Beach
Oakland
Bakersfield
Anaheim
Santa Ana
Riverside
Stockton
Chula Vista
Irvine
Glendale
Modesto
San Bernardino
Fontana
Moreno Valley
Oxnard
Salinas
MCA vs. California Bank Loan
| Factor | MCA (T.A.G.) | California Bank Loan |
|---|---|---|
| Funding speed | 24–72 hours | 30–90 days |
| Min credit score | 500 FICO | 650+ FICO |
| Collateral | None | Real estate or assets |
| Time in business | 6 months | 2+ years |
| Disclosure law | SB 1235 compliant | Standard TILA |
| Approval rate | High (revenue-focused) | ~43% rejection rate (Fed Reserve) |
Frequently Asked Questions
- How do I get a merchant cash advance in California?
- Apply online at T.A.G. in under 10 minutes. Submit 3–6 months of California business bank statements. Receive a California SB 1235-compliant offer with full required disclosures. Sign the agreement. Funds in your California bank account in 24–72 hours. Requirements: 500+ personal FICO, $10,000+/month revenue, 6+ months in business, active CA business bank account, no open bankruptcy.
- What is California SB 1235 and how does it affect MCA?
- California SB 1235 requires commercial financing providers (including MCA companies) to provide standardized disclosures to California businesses before signing. Disclosures must include total amount financed, total repayment, estimated APR, estimated term, and prepayment terms. This is a consumer protection benefit — it ensures you can compare MCA costs to alternatives clearly. T.A.G. provides all required SB 1235 disclosures with every California offer.
- Are merchant cash advances legal in California?
- Yes — MCAs are legal in California. California has the most robust disclosure requirements of any state (SB 1235) but MCAs are legal and widely available. They are classified as purchase agreements for future receivables (not loans) and are not subject to California usury laws. T.A.G. is fully compliant with California SB 1235 and all applicable regulations.
MCA Funding by California City
- Merchant Cash Advance Los Angeles CA
- Merchant Cash Advance San Francisco CA
- Merchant Cash Advance San Diego CA