I 
119TH CONGRESS 
1ST SESSION H. R. 3244 
To require certain entities to clearly disclose to small business concerns 
key information about factoring facility agreements prior to entering 
such agreements with such concerns, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
MAY 7, 2025 
Mr. LUCAS introduced the following bill; which was referred to the Committee 
on Small Business 
A BILL 
To require certain entities to clearly disclose to small busi-
ness concerns key information about factoring facility 
agreements prior to entering such agreements with such 
concerns, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Capital Access for 
Small Businesses Harmonization Act’’ or the ‘‘CASH 
Act’’. 
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SEC. 2. DISCLOSURES FOR SMALL BUSINESSES THAT 
ENTER INTO FACTORING FACILITY AGREE-
MENTS. 
(a) IN GENERAL.—Prior to entering into a factoring 
facility agreement with a small business concern, the pro-
vider for such agreement shall provide to such small busi-
ness concern a written disclosure of the terms of factoring 
transactions under such agreement if— 
(1) the aggregate dollar amount of factoring 
transactions authorized under such agreement, in-
cluding any fees and other charges, is less than 
$500,000; or 
(2) such agreement does not specify the aggre-
gate dollar amount of factoring transactions author-
ized under such agreement, such provider and the 
small business concern reasonably believe that the 
aggregate dollar amount of factoring transactions 
under such agreement, including any fees and other 
charges, will be less than $500,000. 
(b) DISCLOSURE CONTENTS.—Each disclosure re-
quired under subsection (a) with respect to a factoring fa-
cility agreement shall include the following: 
(1) The amount or percentage, as applicable, of 
the difference between the face value of a claim for 
payment sold in a factoring transaction and the 
amount the provider will pay to small business con-
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cern for such claim under such factoring facility 
agreement. 
(2) A list of any fees that may be charged 
under such factoring facility agreement. 
(3) The amount and terms of any reserve under 
such factoring facility agreement. 
(4) The duration of such factoring facility 
agreement. 
(5) An example of a factoring transaction under 
such factoring facility agreement for a claim for pay-
ment sold in a factoring transaction with a face 
value of $10,000 that demonstrates— 
(A) the amount or percentage described in 
paragraph (1); 
(B) any fees that apply with respect to fac-
toring transactions under such factoring facility 
agreement; 
(C) the maximum amount of the reserve 
for such factoring transactions under such fac-
toring facility agreement; and 
(D) the net amount the provider pays to 
the small business concern for such claim in 
such factoring transaction. 
(c) RULE OF CONSTRUCTION.—Nothing in this sec-
tion shall be construed to require a provider to provide 
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to a small business concern the disclosure required under 
subsection (a) with respect to the modification of a fac-
toring facility agreement. 
SEC. 3. FEDERAL PREEMPTION. 
No State or political subdivision of a State may im-
pose a requirement that is in addition to, or inconsistent 
with, the requirements of this Act with respect to requir-
ing providers to make disclosures to small business con-
cerns regarding the terms of factoring transactions under 
a factoring facility agreement. 
SEC. 4. DEFINITIONS. 
In this Act: 
(1) FACTORING TRANSACTION.—The term ‘‘fac-
toring transaction’’ means an agreement for the sale 
of accounts receivable of a small business concern 
for goods the small business concern has supplied, or 
services the small business concern has rendered, 
but for which payment has not yet been made and 
for which the primary source of repayment to the 
provider is payment by the account debtor on the ac-
count receivable being purchased. For purposes of 
this Act, the parties’ characterization of a trans-
action as a purchase and sale of accounts receivable 
shall be conclusive that the transaction is a true sale 
and considered a factoring transaction. The term 
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