A. For the purpose of determining whether a person‘s principal place of business is in the Commonwealth, a provider or broker may rely upon (i) any written representation by the person as to whether the person’s principal place of business is in the Commonwealth, or (ii) the business address provided by the person is in the application for financing.

Terms Used In Virginia Code 6.2-2232

  • broker: means a person that, for compensation or the expectation of compensation, obtains or offers to obtain sales-based financing from a provider for a recipient. See Virginia Code 6.2-2228
  • Person: means any individual, corporation, partnership, association, cooperative, limited liability company, trust, joint venture, government, political subdivision, or other legal or commercial entity. See Virginia Code 6.2-100
  • provider: means a person that extends a specific offer of sales-based financing to a recipient. See Virginia Code 6.2-2228
  • Recipient: means a person whose principal place of business is in the Commonwealth and that applies for sales-based financing and is made a specific offer of sales-based financing by a provider. See Virginia Code 6.2-2228
  • Sales-based financing: means a transaction that is repaid by the recipient to the provider, over time, as a percentage of sales or revenue, in which the payment amount may increase or decrease according to the volume of sales made or revenue received by the recipient. See Virginia Code 6.2-2228

B. The provider shall obtain the recipient‘s signature, which may be fulfilled by an electronic signature, on all disclosures required to be presented to the recipient by this chapter at the time the recipient accepts the specific sales-based financing offer.

2022, c. 516.

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