Glossary · Commercial credit
What is a UCC-1 financing statement?
A UCC-1 financing statement is a public notice, filed with a Secretary of State under Article 9 of the Uniform Commercial Code, that a lender (the secured party) has taken a security interest in a borrower's (the debtor's) collateral.
When a business borrows money or finances equipment, the lender files a UCC-1 with the state to publicly 'perfect' its security interest — establishing priority over other creditors if the borrower defaults. The filing names the debtor, the secured party, and a description of the collateral.
Because UCC-1 filings are public and post continuously as businesses take on financing, they are widely treated in the merchant-cash-advance, factoring and equipment-finance industries as a near-real-time buying signal: a business that just filed a UCC-1 has demonstrably taken capital, and is a candidate for refinancing, additional working capital, or related services.
A UCC-1 generally lapses after five years unless a continuation statement (UCC-3) is filed. A termination statement ends it early.
Source: State Secretary of State offices (Article 9, Uniform Commercial Code).
FAQ
Common questions
Is a UCC-1 filing public?
Yes. UCC-1 financing statements are filed with and published by state Secretary of State offices, and are searchable official records.
How long does a UCC-1 last?
A UCC-1 is generally effective for five years, after which it lapses unless a continuation statement (UCC-3) is filed to extend it.
Why do lenders use UCC filings as leads?
A new UCC-1 identifies a business that just pledged collateral for financing — a documented sign it is actively taking capital, which the lending industry treats as a high-intent buying signal.
Turn it into leads
Related lead types
Related terms
Keep reading
Turn UCC-1 financing statement into a lead feed
ParseData watches this record and alerts you when a new one appears — self-serve, observational, dated.