WELCOME !

Thanks for dropping in for some hopefully great business info and on occasion some hopefully not too sarcastic comments on the state of Business Financing in Canada and what we are doing about it !

In 2004 I founded 7 PARK AVENUE FINANCIAL. At that time I had spent all my working life, at that time - Over 30 years in Commercial credit and lending and Canadian business financing. I believe the commercial lending landscape has drastically changed in Canada. I believe a void exists for business owners and finance managers for companies, large and small who want service, creativity, and alternatives.

Every day we strive to consistently deliver business financing that you feel meets the needs of your business. If you believe as we do that financing solutions and alternatives exist for your firm we want to talk to you. Our purpose is simple: we want to deliver the best business finance solutions for your company.



Wednesday, July 12, 2017

Franchise Finance In Canada : Need Some Help ?








Canadian Business Financing For A Franchise? Just A Thought – Do It Right The 1st Time With Franchising Lenders





Information on business financing for a franchise in Canada . The lenders and the offering







We guess they call it ' crunch time '. As far as you are concerned your chances of success are excellent... now it's time to find the business financing you need for your franchise... from lenders that provide the funds you need.




Let's ensure you've got the basics covered, starting with the amount of funding you need, and solutions for each part of that capital. I guess we're saying also that in many cases you need to potentially cobble together a solution from a number of financing sources. It's somewhat rare that one franchise lending solution is going to cover all your financing needs, simply because we're talking about different classes of assets.



So what makes up a franchise structure? Typically there are several components - the franchise fee itself, potentially inventory, and equipment and leaseholds. Any business, whether its a franchise or not requires working capital for ongoing operations ; and remember also that a key component of that working capital are the royalty fees that you pay back every month to the franchisor . Typically royalty fee arrangements that we see all the time are in the 8% range, but that varies per size and type of franchise of course.



In order to determine your strategy and chances of success you have to spend some time checking one specific person out ...that’s YOU! So that should be easy to do, right? Your ability to position your personal finances and your background and experience plays a huge part in franchise approval. One of the documents you'll need is a PNW statement - a statement of personal net worth. A simpler definition - what you have; what you owe!



Your PNW form is assessed as a key part of the credit approval decision, in conjunction with your personal credit history. Remember that as successful or well known as your franchisor might be... from a lenders perspective you are still essentially a ' start up ‘. If you're buying an existing franchise, we guess you could call it a re-start!



In Canada, similar to the U.S. your personal ' score' at the credit bureau has to be over a certain threshold. The entire system is run on a scoring system with 800 being perfection at the credit bureau. So what’s a satisfactory score - we'll share with you that in Canada the majority of lenders, of all types of business and personal financing rely on a score in the 650 range. And trust us... higher is better. This whole exercise also allows you to determine what amount of capital you can put into the business, as it's not possible to get 100% financing for all your franchise financing needs - typically 10- 40% should come from yourself.



In assessing your overall financing situation take into consideration that the lender will quite often being factoring in a ' worst case' scenario , one that assumes that perhaps your sales and profit and cash flow ( out of which you repay your franchise loan ) might not be as optimistic or real as you have positioned



Our theme today is of course ' doing it right the first time ‘. That’s where your business plan or executive summary comes in play. It should be clear, understandable, at the same time positioning you and the industry in a positive light. We advise clients that a key goal here is simply realistic financial projections, and don’t forget to include repayment of franchise debt! We're often dismayed by how much none financially oriented clients spend for a business plan - a slick proper one should not cost you more than 1k in our opinion.



Doing some careful preparation in the areas we have discussed will help you ensure both final financing approval, as well as a shorter timeline than we see many clients suffer ring through. And help is only a call away via a Canadian business financing advisor who has credibility, experience, and can be trusted - ensuring you final business financing approval from your franchise.




7 Park Avenue Financial :

South Sheridan Executive Centre
2910 South Sheridan Way
Suite 301
Oakville, Ontario
L6J 7J8



http://www.7parkavenuefinancial.com


Business financing for Canadian Firms , specializing in working capital, cash flow, asset based financing , Equipment Leasing , franchise finance and Cdn. Tax Credit Finance . Founded 2004 - Completed in excess of 100 Million $ of financing for Canadian corporations .







7 Park Avenue Financial




Direct Line = 416 319 5769

Office = 905 829 2653




Email = sprokop@7parkavenuefinancial.com


' Canadian Business Financing With The Intelligent Use Of Experience '


ABOUT THE AUTHOR
Stan has had a successful career with some of the world’s largest and most successful corporations.
Prior to founding 7 Park Avenue Financial in 2004 his employers over the last 25 years were, ASHLAND OIL, ( 1977-1980) DIGITAL EQUIPMENT CORPORATION, ( 1980-1990) ) CABLE & WIRELESS PLC,( 1991 -1993) ) AND HEWLETT PACKARD ( 1994-2004 ) He is an expert in Canadian Business Financing.

Stan has over 40 years of business and finance executive experience. He has been recognized as a credit/financial executive for three of the largest technology companies in the world; Hewlett-Packard, Digital Equipment and Cable & Wireless. Stan has had in depth, hands on experience in assessing and evaluating thousands of companies that are seeking financing and expansion. He has been instrumental in helping many companies progress through every phase of financing, mergers & acquisitions, sales and marketing and human resources. Stan has worked with startups and public corporations and has many times established the financial wherewithal of organizations before approving millions of dollars of financing facilities and instruments on behalf of his employers.


Tuesday, July 11, 2017

Let Equipment Financing Remove The Need To Juggle Asset Acquisition Needs










Need New Assets Or Technology To Run & Grow Your Business ? Tried This?


OVERVIEW – Information on equipment financing in Canada. Using strategies such as the sale leaseback and lease financing in general businesses can acquire assets they require to grow sales and profits







Equipment financing provides an ultra solid solution for companies that require new assets and technology. One way to achieve cash flow nirvana is to refinance assets you already own under a sale leaseback strategy. Let's dig in.

Simply speaking you use unencumbered assets in your business to generate additional cash flow and in some cases enhance your financial statement metrics as well as potentially positively having a positive impact on taxation and profit of your firm. Talk about a win win.

Let's talk a bit more about those 'motivations ' for considering the strategy. Your firm is of course in business to earn a profit you're you and your other shareholders. When you take debt of your balance sheet your profits become greater, because they are a larger percentage of your total assets.

The arithmetic is quite simple, your earnings divided by your asset base - when assets are taken off your balance sheet by the sale leaseback strategy ( remember, you have sold the equipment to the lease company but of course you still use the asset ) your ROA - known as return on assets is magnified! That's a good thing!


What is another motivator to consider such a transaction? If you have traditional bank lines of credit and term loans, attached to those arrangements are the ' covenants ', or promises you made to the lender with respect to certain rations of debt and operating ability. Many of these ratios 'magically' improve once you have completed your sale leaseback strategy, because debt has gone off your books.

There are two essential types of business equipment financing in the leasing world - capital leases, and operating leases. Operating leases are generally utilized by firms that have a bit more financial sophistication. You don't own the asset, but you are using it for economic benefit. You probably don't ever intend or desire to own the asset. So how does this information relate to our sale leaseback strategy?

Cash your company receives from a sale leaseback is new cash that you will invest in hopefully other growth opportunities for your firm. In some cases you can now actually refinance old loans at a better rate, which is also financially advantageous.

In lease financing your ability to properly control and minimize cash outflows is what asset financing/refinancing is all about!

In summary, sale leaseback strategies, while a bit specialized, can be very powerful if you are looking for additional cash flow, have balance sheet issues, or concerns about asset obsolescence and replacement. Seek out and speak to a trusted credible and experienced business financing advisor. Sale Leaseback financing - Think about it!







7 Park Avenue Financial :

South Sheridan Executive Centre
2910 South Sheridan Way
Suite 301
Oakville, Ontario
L6J 7J8



http://www.7parkavenuefinancial.com


Business financing for Canadian Firms , specializing in working capital, cash flow, asset based financing , Equipment Leasing , franchise finance and Cdn. Tax Credit Finance . Founded 2004 - Completed in excess of 100 Million $ of financing for Canadian corporations .







7 Park Avenue Financial



Direct Line = 416 319 5769


Office
= 905 829 2653



Email = sprokop@7parkavenuefinancial.com



' Canadian Business Financing With The Intelligent Use Of Experience '



ABOUT THE AUTHOR
Stan has had a successful career with some of the world’s largest and most successful corporations.
Prior to founding 7 Park Avenue Financial in 2004 his employers over the last 25 years were, ASHLAND OIL, ( 1977-1980) DIGITAL EQUIPMENT CORPORATION, ( 1980-1990) ) CABLE & WIRELESS PLC,( 1991 -1993) ) AND HEWLETT PACKARD ( 1994-2004 ) He is an expert in Canadian Business Financing.

Stan has over 40 years of business and finance executive experience. He has been recognized as a credit/financial executive for three of the largest technology companies in the world; Hewlett-Packard, Digital Equipment and Cable & Wireless. Stan has had in depth, hands on experience in assessing and evaluating thousands of companies that are seeking financing and expansion. He has been instrumental in helping many companies progress through every phase of financing, mergers & acquisitions, sales and marketing and human resources. Stan has worked with startups and public corporations and has many times established the financial wherewithal of organizations before approving millions of dollars of financing facilities and instruments on behalf of his employers.







Monday, July 10, 2017

Financing Receivables & Sales Is Best Achieved With These Various Factoring Solutions











The Rise..And Continuing Rise Of A/R Finance Solutions In Canada





OVERVIEW – Information on business factoring in Canada. Financing receivables is an accepted way of ensuring your company can satisfy critical cash flow needs . Understanding how a/r finance works, what it costs , and how it can benefit your business is important








Factoring, known as the receivable financing solution continues to gain momentum as a financing alternative of choice for Canadian business owners and financial managers. We know why. Let's dig in.

The main reason? It's a case of a common sense approach to improving cash flow and working capital without taking on any debt and at the same time allowing your firm to grow without traditional type financing that might be difficult, or in some cases, impossible to achieve.

A lot has changed in the part of alternative financing, including rates / costs that have improved a great deal!


Clients ask us what risk or cost is involved in locking into a one year contract - the reality is that most firms considering factoring (also known as receivable financing, receivables discounting) actually do stay with this type of facility for at least a year. Firms that factor their accounts receivable usually have two options at the end of a one year fixed term - either move to a competitive factor facility, or in some cases migrate back to or achieve traditional Canadian chartered bank line of credit financing.

Never any doubt that traditional bank financing always has the lower rate, the reality is that it in many cases does not provide you with the amount of working capital you need if you are in high growth mode. Alternatively you may also have trouble meeting some of the bank ratio and covenant guidelines that come with those very respectable bank facilities.

We point out always to customers that the largest corporations in Canada and the U.S. in some cases also use A/R financing type facilities - it simply gives your firm, as well as the large firms, maximum leverage on working capital without taking on debt.
.

The amount of your factoring facility and the rate it commands is dependent on three issues -

1 The general overall risk profile of your firm - re growth, profitability, type of industry etc

2. The size of your total receivables

3. The overall customer quality or credit worthiness of your customer base


If you are having financial or growth challenges it is generally not recommended by finance people that you take on more debt - factoring solves this problem nicely - you are simply liquidating your receivables faster without borrowing .

Our most recommended solution for our clients? Confidential A/R financing!.. Allowing you to bill and collect your own receivables while retaining all the benefits of factoring.

Seek out a trusted, experienced and credible advisor in this niche area of Canadian business financing and assess your factoring options relative to type of facility that meets your growth needs. A factor facility with rates, terms and structures that suit your business model and provide you with all the working capital and cash flow you need is a competitive advantage.



7 Park Avenue Financial :

South Sheridan Executive Centre
2910 South Sheridan Way
Suite 301
Oakville, Ontario
L6J 7J8

http://www.7parkavenuefinancial.com



Business financing for Canadian Firms , specializing in working capital, cash flow, asset based financing , Equipment Leasing , franchise finance and Cdn. Tax Credit Finance . Founded 2004 - Completed in excess of 100 Million $ of financing for Canadian corporations .







7 Park Avenue Financial


Direct Line
= 416 319 5769

Office = 905 829 2653


Email
= sprokop@7parkavenuefinancial.com


' Canadian Business Financing With The Intelligent Use Of Experience '


ABOUT THE AUTHOR

Stan has had a successful career with some of the world’s largest and most successful corporations.
Prior to founding 7 Park Avenue Financial in 2004 his employers over the last 25 years were, ASHLAND OIL, ( 1977-1980) DIGITAL EQUIPMENT CORPORATION, ( 1980-1990) ) CABLE & WIRELESS PLC,( 1991 -1993) ) AND HEWLETT PACKARD ( 1994-2004 ) He is an expert in Canadian Business Financing.

Stan has over 40 years of business and finance executive experience. He has been recognized as a credit/financial executive for three of the largest technology companies in the world; Hewlett-Packard, Digital Equipment and Cable & Wireless. Stan has had in depth, hands on experience in assessing and evaluating thousands of companies that are seeking financing and expansion. He has been instrumental in helping many companies progress through every phase of financing, mergers & acquisitions, sales and marketing and human resources. Stan has worked with startups and public corporations and has many times established the financial wherewithal of organizations before approving millions of dollars of financing facilities and instruments on behalf of his employers.

Sunday, July 9, 2017

Asset Based Line Of Credit Solution : The Future Of Credit Lines?











Confessions Of An Asset Based Line Of Credit Supporter : This Business Financing Solution Works


OVERVIEW – Information on asset based line of credit solutions in Canada. These facilities margin your current assets , allowing you to borrow against receivables and inventory . Additionally fixed assets can also be financed within these facilities




The asset based lines of credit is a solid solution for Canadian business financing needs when it comes to line of credit. It might just be the future of business credit lines.

It's an alternative to a Chartered bank line of Credit - (in some cases the banks themselves even offer this unique financing as a subset of their services!) We're unabashed supporters of this facility... so... let's dig in.

Asset based lending should not be confused with 'loans 'or 'term debt '. It’s a working capital or line of credit facility that is tied to your firm's inventory, receivables, and in some cases equipment and real estate can be added.

Fun fact? Some of Canada’s largest corporations in Canada are now utilizing this type of financing. So if some of Canada's largest corporations have abandoned traditional bank financing should your firm at least consider and learn more about this type of facility. The benefits are worth investigating.

Rates on ABL facilities in Canada vary, and you can pretty well guess the parameters of why they vary - which is simply:

" Deal size of the facility

" Your firms overall credit quality, and some component of assessing what industry you are in and

" How your industry functions Vis Vis profitability, seasonality, and other industry dynamics.

" We can say in general that rates on ABL facilities in Canada go from 7-9% per annum to 1 ½% per month depending on most of the factors we listed above.


Overall credit quality challenges should not deter you from looking into a Canadian asset based lending solution - for the simple reason that this type of financing focuses on assets, not overall balance sheet and income statement quality. Simply put, your company might be currently losing money or experiencing a unique challenge, but you might find you still qualify for a very significant facility.



On a day to day business the most significant feature of an asset based line of credit is the ability for you to bridge cash flow that you have tied up in inventory and receivables.

Your asset based line of credit will fluctuate based on the key elements of the ABL security, namely the receivables and inventory. The good news is that as your receivables and inventory grow you can draw down on more funds - unlike a bank facility which might have certain caps on how much exposure the bank will take with your firm on an operating line basis.

The one aspect that you should consider in such a financing solution is additional reporting, but if you can properly account and report on receivables, inventory, etc you should not be concerned.

Many clients tell us that some of the additional 'reporting' that comes with an asset based credit line actually has helped them understand their business better!

Looking for liquidity, working capital and cash flow and a solution that is non bank in nature? Talk to an expert in the area, determine if this financing meets your needs, and ensure, with the help of an expert, that you access the type of facility that provides you with working capital in a manner that suits your company's cash cycle.



7 Park Avenue Financial :
South Sheridan Executive Centre
2910 South Sheridan Way
Suite 301
Oakville, Ontario
L6J 7J8



http://www.7parkavenuefinancial.com


Business financing for Canadian Firms , specializing in working capital, cash flow, asset based financing , Equipment Leasing , franchise finance and Cdn. Tax Credit Finance . Founded 2004 - Completed in excess of 100 Million $ of financing for Canadian corporations .







7 Park Avenue Financial



Direct Line = 416 319 5769

Office = 905 829 2653



Email
= sprokop@7parkavenuefinancial.com


' Canadian Business Financing With The Intelligent Use Of Experience '



ABOUT THE AUTHOR
Stan has had a successful career with some of the world’s largest and most successful corporations.
Prior to founding 7 Park Avenue Financial in 2004 his employers over the last 25 years were, ASHLAND OIL, ( 1977-1980) DIGITAL EQUIPMENT CORPORATION, ( 1980-1990) ) CABLE & WIRELESS PLC,( 1991 -1993) ) AND HEWLETT PACKARD ( 1994-2004 ) He is an expert in Canadian Business Financing.

Stan has over 40 years of business and finance executive experience. He has been recognized as a credit/financial executive for three of the largest technology companies in the world; Hewlett-Packard, Digital Equipment and Cable & Wireless. Stan has had in depth, hands on experience in assessing and evaluating thousands of companies that are seeking financing and expansion. He has been instrumental in helping many companies progress through every phase of financing, mergers & acquisitions, sales and marketing and human resources. Stan has worked with startups and public corporations and has many times established the financial wherewithal of organizations before approving millions of dollars of financing facilities and instruments on behalf of his employers.













Thursday, July 6, 2017

Lease Equipment Financing Secrets : Just The Facts On Financing Assets










How To Use Lease Financing To Your Company’s Advantage


OVERVIEW : Information on lease equipment financing as a solution of new and used asset acquisitions




Lease equipment financing is clearly one of a number of financing strategies that is employed by Canadian business owners and financial managers. New? No.. not really, but misunderstood? Perhaps. This is clearly not a new financing solution: Do you as a business owner or financial mgr understand the benefits of lease financing. Let's dig in.

Those benefits: They revolve around your firm using the asset, new or used, and becoming productive, growing your sales and profits through the use, not the ownership, of the asset.

Naturally if you utilize lease financing in Canada primarily for cash flow benefit you of course have the option of structuring your lease so that you own the asset also. The old saying of ' profiting through use, rather than ownership' has never been truer.

When we sit down with business owners and financial personnel to discuss their lease financing transaction, or their overall financing strategy for their firm we continually come back to the point that getting the right asset at the right price, and next : properly financing that asset.


Every business today is challenged to be more competitive in the new global market , whether your firm is state of the art leading edge technology driven, or if you are a Canadian nail maker competing with off shore competitors in China . So utilizing the best, latest, and right equipment for your firm is what Canadian lease financing is all about.

There is no one lease financing solution for every business in Canada. Lease structures differ, different users focus in on different benefits they wish to achieve, and even governments utilize the strategy for different reasons. Many people are surprised to know that municipal, provincial and federal governments all utilize lease financing strategies.

In the past we have spoken of different firms, as noted above, focusing in on different lease benefits. We also need to point out that when your Canadian firm enters into a single lease, or perhaps an overall lease financing strategy that the transaction has implications on your taxes, you're accounting treatment of the lease and how the lease needs to be structured from a viewpoint of rate, term, etc.

Naturally everything we are talking about pre-supposes you will be approved for your lease transaction from a ' credit approval ' perspective.

Different aspects of your company’s overall credit quality will affect the rate, term of your lease, and the amount of the approval. A down payment might be requested in some situations. The current reality is that there are so many flexible lease structures that the vast majority of firms can attain some level of lease finance success.

Bottom line? It is simply that Canadian equipment financing is a valuable tool in any business owner's tool kit in Canada. Understand the benefits you wish to achieve, and work with a trusted lease advisor to ensure you maximize the lease benefits for your firm.



7 Park Avenue Financial :

South Sheridan Executive Centre
2910 South Sheridan Way
Suite 301
Oakville, Ontario
L6J 7J8


http://www.7parkavenuefinancial.com



Business financing for Canadian Firms , specializing in working capital, cash flow, asset based financing , Equipment Leasing , franchise finance and Cdn. Tax Credit Finance . Founded 2004 - Completed in excess of 100 Million $ of financing for Canadian corporations .







7 Park Avenue Financial


Direct Line
= 416 319 5769

Office = 905 829 2653



Email
= sprokop@7parkavenuefinancial.com


' Canadian Business Financing With The Intelligent Use Of Experience '




ABOUT THE AUTHOR
Stan has had a successful career with some of the world’s largest and most successful corporations.
Prior to founding 7 Park Avenue Financial in 2004 his employers over the last 25 years were, ASHLAND OIL, ( 1977-1980) DIGITAL EQUIPMENT CORPORATION, ( 1980-1990) ) CABLE & WIRELESS PLC,( 1991 -1993) ) AND HEWLETT PACKARD ( 1994-2004 ) He is an expert in Canadian Business Financing.

Stan has over 40 years of business and finance executive experience. He has been recognized as a credit/financial executive for three of the largest technology companies in the world; Hewlett-Packard, Digital Equipment and Cable & Wireless. Stan has had in depth, hands on experience in assessing and evaluating thousands of companies that are seeking financing and expansion. He has been instrumental in helping many companies progress through every phase of financing, mergers & acquisitions, sales and marketing and human resources. Stan has worked with startups and public corporations and has many times established the financial wherewithal of organizations before approving millions of dollars of financing facilities and instruments on behalf of his employers.




Avoiding Business Loan & Financing Mistakes : Cracking Funding Obstacles












Going From Pain To Pleasure In Business Loan & Financing Success


Information on business banking and financing alternatives for the Canadian business landscape


Canadian chartered banks, usually by virtue of their 'relationship' with business owners and entrepreneurs are in a position to pass on valuable financing tips and information on business loans and working capital for start up or smaller firms.

Although the banks are a solid source of such information the banks themselves, by virtue of their charters and credit policies, are unable to directly satisfy all  the financing needs of the customer.

Business owners are often therefore encouraged by banks to 'self finance 'the venture via equity or owner capital and commitment. It is clearly a misconception that banks play a key and major role in the financing of new ventures.

 Possibly the only exception to this statement is the fact that the banks offer up, in their role as administrators, the Government Small Business Loan, which is a Canadian federal government program providing loans up to, in some cases 500,000.00$ for purchase of real estate, business assets, or leasehold  improvements. (The more typical loan amount maximum is 350,000.00$)

We may or may not agree with Canadian banking policies on start up and young venture financing, we should however appreciate the banks stance - they are lending out our capital at very low rates, with potential to lose the entire investment if your firm can't repay loans and financing.


How can the small or newer business succeed in financing options? Businesses of the size that we are discussing need thousands, literally millions of dollars of financing to fuel their growth in Canada. In our commentary that we are providing it is important to note that as companies develop along the 'stage of development 'timeline they of course have much more access to traditional bank and private equity financing.

We are primarily talking about earlier stage companies, who may be still developing products and services and may not be yet profitable as they start delivering and billing for those products and services.

If there's any good news around the needs of growing and newer businesses it's the emergence of numerous  alternative financing ' solutions that can be easily accessed by business owners and financial mgrs.

They include :

A/R Financing

PO Finance

Working capital term loans

Equipment financing

Sale Leasebacks

Franchise Loans

Non bank asset based revolving lines of credit - aka ' ABL's '


If you are mature company looking for the best in capital solutions or a part of the small to medium enterprise sector with growth  and financing challenges seek out and speak to a trusted, credible and experienced Canadian business financing advisor.

7 Park Avenue Financial :
South Sheridan Executive Centre
2910 South Sheridan Way
Suite 301
Oakville, Ontario
L6J 7J8

http://www.7parkavenuefinancial.com

Business financing for Canadian Firms , specializing in working capital, cash flow, asset based financing , Equipment Leasing , franchise finance and Cdn. Tax Credit Finance . Founded 2004 - Completed in excess of 100 Million $ of financing for Canadian corporations .





Direct Line = 416 319 5769

Office = 905 829 2653



Email = sprokop@7parkavenuefinancial.com


' Canadian Business Financing With The Intelligent Use Of Experience '


ABOUT THE AUTHOR

Stan has had a successful career with some of the world’s largest and most successful corporations.
Prior to founding 7 Park Avenue Financial in 2004 his employers over the last 25 years were, ASHLAND OIL, ( 1977-1980) DIGITAL EQUIPMENT CORPORATION, ( 1980-1990) ) CABLE & WIRELESS PLC,( 1991 -1993) ) AND HEWLETT PACKARD ( 1994-2004 ) He is an expert in Canadian Business Financing.

Stan has over 40 years of business and finance executive experience. He has been recognized as a credit/financial executive for three of the largest technology companies in the world; Hewlett-Packard, Digital Equipment and Cable & Wireless. Stan has had in depth, hands on experience in assessing and evaluating thousands of companies that are seeking financing and expansion. He has been instrumental in helping many companies progress through every phase of financing, mergers & acquisitions, sales and marketing and human resources. Stan has worked with startups and public corporations and has many times established the financial wherewithal of organizations before approving millions of dollars of financing facilities and instruments on behalf of his employers.