Our blog highlights Canadian Business Financing solutions via receivable finance , equipment finance, working capital financing, asset based lending, business acquisition financing,franchise finance, and tax credit monetization via SRED and Film Tax Credits. Our goal is to educate and assist Canadian businesses with their financing needs. You Are Looking For Canadian Business Financing! Welcome to 7 Park Avenue Financial Call Now ! - Direct Line - 416 319 5769
Friday, March 22, 2013
Confidential Invoice Factoring & AR Discounting In Canada
Taking The Controversy Out Of Receivable Financing ?
Information on how confidential invoice factoring and AR Discounting programs work in Canada
Confidential Invoice Factoring & AR Discounting in Canada. The whole issue of receivable finance is always a bit controversial. That is whether it is part of the debate of whether it’s a non- traditional type of financing, or often the issue simple revolves around the cost and day to day dynamics of this method of financing your business.
Let's take a step back for a minute. Every business owner and financial manager recognizes the constant battle between sales growth and their cash flow challenges. It's essentially a constant battle for supremacy almost, don’t you think?
Canadian businesses have been intuitively addressing our Canadian chartered banks as ' the' solution to their financing needs. However experts tell us that a large majority of Canadian business does not have the access they need to ongoing working and or long term capital.
That lack of capital essentially becomes an ' obstacle to growth, often being a larger challenge than growing your revenues, beating your competition and managing your assets
We maintain that using what we term a ' confidential’ receivable finance program is one way to ' diffuse ' the whole issue. How? Simply by providing you with a method of financing your business through the growth in A/R that comes from sales in a manner that lets you be totally in charge of your billing, collecting, client relationships... all the while having total access to cash flow for every sale you make . All the time, or some of the time!
Confidential invoice factoring and discounting is fast becoming a preferred solution for funding Canadian business. While cost is often a factor in the decision to finance your company in this manner the ability to get all the cash you need all of a sudden becomes a very acceptable option.
AR Discounting facilities, on a confidential basis, work the same way as traditional asset factoring. It simply a process in which a charge, similar to the Canadian bank agreements is place against your receivables. The application process is always significantly faster than a bank type financing.
In cases where it makes sense to all parties the Canadian business owner and financial manager might be surprised to know that the Confidential facility can co-exist with your bank arrangement if you have one, if, and its a big if, it makes sense to all parties : your firm, your bank, and your Confidential AR finance provider . That's probably more of a subject for another day.
Part of the attraction of a confidential facility is that there is no relationship interference between your company, your clients, or vendors. A lot of the controversy around traditional factoring and invoice discounting in Canada arises from the concern of client perception, especially if you're dealing with larger companies. That becomes a non issue with your confidential AR facility allowing you to bill and collect your own receivables, all he while generating cash on a regular basis consistent with your sales.
Seek out and speak to a trusted, credible and experienced Canadian business financing advisor on this unique method of cash flowing your sales, without the controversy!
Stan Prokop - founder of 7 Park Avenue Financial –
CANADIAN BUSINESS FINANCING
Originating business financing for Canadian companies , specializing in working capital, cash flow, asset based financing . In business 10 years - has completed in excess of 80 Million $$ of financing for Canadian corporations . Core competancies include receivables financing, asset based lending, working capital, equipment finance, franchise finance and tax credit financing.
Info re: Canadian business financing & contact details :
CONFIDENTIAL INVOICE FACTORING AND A/R DISCOUNTING
7 Park Avenue Financial
South Sheridan Executive Centre
2910 South Sheridan Way
Suite 301
Oakville, Ontario
L6J 7J8
Phone = 905 829 2653
Fax = 905 829 2653
Email = sprokop@7parkavenuefinancial.com
Stan Prokop
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