Small Business Financing Disclosure Act of 2023

This bill requires small business lenders to provide clear, standardized disclosures about loan terms, similar to consumer loan rules. It mandates that providers disclose the annual percentage rate (APR), payment amounts, term, finance charge breakdown, and prepayment costs for loans under $2.5 million to small businesses. Key provisions include standardized APR calculations for sales-based financing and factoring, prohibitions on "double-dipping" fees when refinancing, and requirements for transparent collateral terms. The law applies to all small business financing (including lines of credit and equipment loans) but excludes personal loans. It takes effect 36 months after enactment, with the Consumer Financial Protection Bureau required to issue final rules within two years.