UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549


                                 CURRENT REPORT

                     Pursuant to Section 13 or 15(d) of the
                         Securities Exchange Act of 1934


        Date of Report (date of earliest event reported): August 4, 2004

                           MICROFINANCIAL INCORPORATED
             (Exact name of registrant as specified in its charter)


                                  MASSACHUSETTS
                 (State or other jurisdiction of incorporation)


                               1-14771 04-2962824
                               ------------------
          (Commission file number) (IRS Employer Identification Number)


                       10-M Commerce Way, Woburn, MA 01801
                --------------------------------------------------
               (Address of principal executive offices) (Zip Code)


        Registrant's telephone number, including area code: 781-994-4800
        ----------------------------------------------------------------


                                       N/A
                                       ---
          (Former name or former address, if changed since last report)







Item 5.  Results of Operations and Financial Condition
         ----------------------------------------------

         Pursuant  to  Form  8-K,  General  Instructions  F,  Registrant  hereby
incorporates by reference the press release attached hereto as Exhibit 99.

Item 7.  Financial Statements and Exhibits.
         ---------------------------------

           Exhibit                       Exhibit Title
           -------                       -------------
           Exhibit 99                    Press Release dated August 4, 2004


                                   SIGNATURES

Pursuant to the  requirements  of the  Securities  and Exchange Act of 1934,  as
amended,  the  Registrant has duly caused this report to be signed on its behalf
by the undersigned hereunto duly authorized.

                                 MICROFINANCIAL INCORPORATED
                                 Registrant



                                 By:  /s/ James Jackson
                                    --------------------------------------------
                                     James Jackson
                                     Vice President and Chief Financial Officer

Dated: August 5, 2004