Small business advocates submit public comment in support of transparency in lending in Texas

On April 3, Small Business Majority, alongside Fair Financial Service Project Texas Appleseed, The Responsible Business Lending Coalition, The Texas Association of Community Development Corporations and Business and Community Lenders, submitted a public comment regarding a rulemaking proposal posted in the Texas Register, proposing amendments to 7 TAC §§86.301 - 86.307, 86.310 - 86.313, 86.320 - 86.322. 

Our comments on the rule proposal focus on implementing the newly adopted Chapter 398 in the Texas Finance Code in a manner that provides maximum transparency and protections for Texas small businesses seeking capital. Chapter 398 was adopted due to significant concerns expressed by lenders and small business owners related to commercial sales-based financing transactions.