MCA debt in Colorado
With about 730,900 small businesses employing around 49% of the workforce (SBA 2025 profile), Colorado has a large base of owners using short-term financing. Restaurants, health care and construction lead small-business employment.
Colorado MCA law: what actually protects you
Disclosure requirements
Colorado has not enacted a commercial financing or MCA disclosure law, so funders don't have to show you a standardized total cost or APR before you sign.
Judgment by confession
Colorado bans confessions of judgment in consumer credit. For a business MCA, have any confession clause reviewed before you rely on it being unenforceable.
Is an MCA subject to usury limits?
Colorado's criminal usury statute makes charging more than 45% a year a felony (C.R.S. 18-15-104), and its civil cap is also 45% (C.R.S. 5-12-103). Effective rates on MCAs often exceed that, so if an MCA is treated as a loan, Colorado law can matter. Most contracts choose New York law, which an attorney will weigh too.
What this means for Colorado owners
Colorado's rules on confessions of judgment in business contracts aren't as clear-cut as in some states, so treat any confession clause as live until an attorney tells you otherwise. On the rate side, Colorado is one of the few states where usury law could still matter if an MCA is recharacterized as a loan, so the effective annual rate on each of your advances is worth calculating.
If you're behind on an MCA in Colorado
- Calculate the effective annual rate; Colorado's 45% usury limit can matter if an MCA is treated as a loan.
- Restaurants and hospitality: see how split-funding MCAs work and our food service page.
- Medical and dental practices: see our healthcare page on matching payments to reimbursement cycles.
- Check for UCC liens before applying for new financing. See how to check for a UCC lien.
- Don't take a new advance to cover an old one without modeling the combined debit. See how MCA stacking works.
How we help Colorado owners
We are a flat-fee, independent MCA debt advisory firm working with owners nationwide by phone and video from our office in Jersey City, New Jersey. We don't lend, broker or take a percentage of any settlement. We review your contracts and bank statements and give you a written plan comparing reconciliation, renegotiation, refinancing, settlement through a licensed provider, or attorney review.
Start with our MCA debt relief consulting overview, or see MCA debt help in other states.
We work with owners throughout Colorado, including Denver, Colorado Springs, Aurora, Fort Collins, Boulder and Grand Junction.
Frequently asked questions
Renaissance Capital Advisors provides strategic consulting and referral services only. We are not licensed attorneys, CPAs, financial advisors, or a debt settlement company. Regulated debt-resolution work is performed by appropriately licensed third parties. Nothing on this page constitutes legal, tax, accounting, or financial advice. Consult a licensed professional before making binding decisions.