On this page
| Disclosure law | Yes |
|---|---|
| Broker registration | Yes |
| State calling statute | Federal only |
The narrowest ceiling of any state and one of the few that registers brokers as well as providers. Connecticut is a small market with a rule that catches almost every advance written into it.
The disclosure requirement
| Statute | An Act Requiring Certain Financing Disclosures |
|---|---|
| In force | Enacted 28 June 2023, with disclosure requirements from 1 July 2024 and registration from 1 October 2024. |
| Reaches | Sales-based financing of $250,000 or less — the lowest ceiling of the ten states |
| Must contain | Total amount financed, finance charge, total repayment, payment frequency and amount, prepayment terms, and specific language on the right to prepay. |
| Annualised rate | Not an annualised-rate regime. The disclosure is built on total cost, payment frequency and prepayment. |
Registration and licensing
Annual registration with the Connecticut Department of Banking for both providers and brokers, from 1 October 2024.
Calling into Connecticut
Federal TCPA plus Connecticut’s telemarketing provisions. No FTSA-style private right of action.
What changes for a broker
- At $250,000 the ceiling is low enough that essentially every advance is covered. There is no practical carve-out.
- The prepayment language requirement is specific to Connecticut and is the provision most often missed by providers using a generic multi-state template.
- Broker registration is annual and is enforced by the Department of Banking rather than an Attorney General, which in practice means administrative rather than litigated consequences — but it still lapses.
What Connecticut files look like
Small and concentrated in professional services, healthcare practices, restaurants and specialty retail. Deal sizes are moderate and the merchant base is comparatively sophisticated, with strong proximity to the New York funding market.
Questions
Does Connecticut regulate merchant cash advances?
Yes. An Act Requiring Certain Financing Disclosures applies to sales-based financing of $250,000 or less — the lowest ceiling of the ten states. Total amount financed, finance charge, total repayment, payment frequency and amount, prepayment terms, and specific language on the right to prepay.
Do I need to register to broker MCAs in Connecticut?
Annual registration with the Connecticut Department of Banking for both providers and brokers, from 1 October 2024.
Can I cold call businesses in Connecticut?
Federal TCPA plus Connecticut’s telemarketing provisions. No FTSA-style private right of action.
Whichever state you are dialling, what protects you is the consent record rather than an assurance from a vendor. That is covered in the compliance guide.
Do you sell MCA leads in Connecticut?
Yes. Every lead clears the same six minimums wherever the merchant is — $30K+ monthly revenue, $15K+ requested, six months trading, four months of statements available, U.S.-based, and mobile-verified by a 6-digit code. $60 per lead, in packs starting at 50. We can filter your leads by state, which is a real risk control in Connecticut if you are concerned about the calling rules.