To Governor Greg Abbott:

We, the undersigned business owners and supporters of Main Street in Texas, urge you to veto HB 700 — the so-called “Commercial Sales-Based Financing Transparency & Registration Act.”

Transparency isn’t the issue. We’re not fighting clear terms or honest business. We welcome it. What we reject — and what HB 700 quietly imposes — is a web of penalties and restrictions that do nothing to help small businesses and everything to cut off their access to flexible working capital.

HB 700 might look harmless on paper. In reality, it undermines one of the few funding options available to businesses left out by traditional banks: sales-based financing. For businesses recovering from COVID, battling inflation, or dealing with payroll delays, this isn’t just another bill. It’s a death sentence disguised as protection.

Here’s what’s at stake:

• Confessions of judgment are banned — even when both parties agree to them. This will push legitimate providers out of Texas entirely.
• Auto-ACH payments are now restricted unless a lien is filed — meaning providers will be forced to secure every advance with collateral, eliminating unsecured options that many businesses rely on.
• Up to $10,000 in fines per paperwork violation. No private right of action — just the state enforcing penalties on technicalities.
• Disclosure mandates that misrepresent how sales-based financing actually works, confusing borrowers and scaring off brokers.

That’s not transparency. That’s overregulation.

Who does this help? Not Texas business owners.

It helps big banks maintain control. It helps lawmakers say they’ve done something about predatory lenders — without understanding how actual funding works in the trenches. And it helps copycat legislation in states like Florida and Georgia gain traction by citing Texas as precedent.

If this law goes into effect on September 1, 2025, the fallout will be immediate:

• Thousands of small businesses will lose funding options overnight.
• Out-of-state providers will exit the market to avoid $10K-per-violation risks.
• Brokers will stop offering sales-based options to stay compliant, leaving clients with zero alternatives.

This isn’t hypothetical. We’ve seen it in New Jersey and Virginia. Businesses were forced to shut down because they couldn’t bridge the gap between receivables and payroll. Texas is next — unless you act.

Governor Abbott, you’ve stood for business before. Do it again.

Veto HB 700. Not because you’re against transparency — but because this bill disguises restriction as protection. Let’s fix what’s broken without destroying what’s working.

At Ulrich Jones & Associates, we work with brokers and business owners across the state who’ve built their livelihoods on access to short-term, flexible capital. These are honest people who don’t qualify for SBA loans, who can’t wait 90 days for bank approvals, and who can’t afford to pledge assets just to stay afloat.

They’re not predators. They’re parents. They’re entrepreneurs. They’re Texans.

We call on you to stand with them. Veto HB 700.

Then let’s build a better alternative — one that protects without punishing, and informs without restricting.

Sincerely,

[Your Name / Business Name]
[ZipCode]
[Email]

Sign the petition. Protect Texas business funding.
Visit ulrichjones.com/petition to add your name.

Apply for compliant funding today
Visit ulrichjones.com/fq for fast, transparent working-capital solutions.

Focus keyword: veto HB 700
Supporting keywords: Texas small business, sales-based financing, business funding, Ulrich Jones

```