CUMMINGS PROPERTIES MANAGEMENT, INC. STANDARD FORM AMENDMENT TO LEASE #1

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                                                                   EXHIBIT 10.26

                      XXXXXXXX PROPERTIES MANAGEMENT, INC.
                                  STANDARD FORM
                             AMENDMENT TO LEASE #1

      In connection with a lease currently in effect between the parties at 00-X
Xxxxxxxx Xxx, Xxxxxx, Xxxxxxxxxxxxx, commencing on December 15, 1998 and
terminating December 14, 2003, and in consideration of the mutual benefits to be
derived herefrom, Xxxxxxxx Properties Management, Inc., LESSOR, and
MicroFinancial, Inc., LESSEE, hereby agree to amend said lease as follows:

1.    Paragraph G of the Rider to Lease is hereby deleted.

2.    LESSOR and LESSEE agree that, as a result of LESSEE's remeasuring the
      leased premises, the size of the leased premises is hereby reduced by 325
      square feet to a new total of 44,659 square feet. This change affects the
      size of the ground level (only), and not the mezzanine level space, as set
      forth in Paragraph C of the Rider to Lease.

      All other terms, conditions and covenants of the present lease shall
continue to apply except that adjusted base rent shall be decreased by $2,526.50
annually, from a total of $687,719.00 to a new annual total of $685,192.50 or
$57,099.37 per month. Annual base rent for purposes of computing any future
escalations thereon shall be $685,192.50. This amendment shall be effective
December 15, 1998 and shall continue through the balance of the lease and any
extensions thereof unless further modified by written amendment(s).

      In Witness Whereof, LESSOR and LESSEE have hereunto set their hands and
common seals this 3rd day of November, 1998.

LESSOR:  XXXXXXXX PROPERTIES           LESSEE:  MICROFINANCIAL, INC.

            MANAGEMENT, INC.

By:   /s/ Xxxxxxx Xxxxxxxx             By:   /s/ Xxxxxxx X. Xxxxxx
   ------------------------------         ------------------------
      Xxxxxxx Xxxxxxxx,                      Xxxxxxx X. Xxxxxx,
      Executive Vice President               Executive Vice President, Chief
                                               Operating Officer and Chief
                                                 Financial Officer