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Sunday, May 25, 2014
SME Commercial Finance : Let Confidential Factoring Be Your Invisible Cash Flow Weapon
SME Commercial Finance Has One Solution For Flawed And Hard To Fix Business Financing : Here It is
OVERVIEW – Information on confidential factoring in Canada . SME Commercial Finance solutions include, but are not limited to , creative solutions including confidential invoice discounting . Here’s how it works
SME Commercial Finance (small to medium enterprise) Options can be found in both new and old business financing solutions. A twist on one of those old options, invoice discounting, is found in CONFIDENTIAL FACTORING. It is one finance solution that helps the business owner/ financial manager fixed ‘flawed’ or non existent financing. Let's dig in.
A/R financing on its own has been around for awhile - hundreds of years to be exact! Does a finance solution that old still work? Absolutely, which is why tens of thousands of businesses just like yours access this ' cash flow acceleration ' technique.
Unless you're working with an expert you might find the industry itself does a fairly good job, hopefully unintentional, of educating and offering Canadian business with this working capital ' fix'. Part of that is the terminology, which might include references to ' invoice discounting ', ' asset based lending' ' receivable finance ' etc.
So while wading through those terms the business owner/manager in the SME commercial area loses the key meaning of this financing solution. And here it is: Products and services you sell to your business clients generate sales revenue on invoicing.
Utilizing a solution such as (confidential) factoring allows you to receive 90% of your sale as soon as it is invoiced. The remaining 10%, less a finance charge, is banked by yourself as soon as your client pays, which typically these days is in the 30-60 day range. By the way a tight credit and collection policy make solutions such as confidential factoring even more appealing when considering this SME COMMERCIAL FINANCE option.
The whole aspect of ' CONFIDENTIAL ' factoring really revolves around an ' old school ' 'new school ' term we need to clear up. The majority, pretty well close to 99% of business factoring companies ‘notify ' a client, i.e. your customer! When they are financing your receivables. CONFIDENTIAL A/R FINANCE skips this process, allowing you to bill and collect your own receivables. That whole ' verification' and ' notification' process can be a huge turn off for companies that see the true value of this method of Canadian business financing.
So whether it makes simple ' economic sense' not to involve your clients in your own financing, or whether the optics of wondering what clients and vendors might think about your access and need of capital , the bottom line is that utilizing this finance vehicle has given you full blown cash flow financing and its nobody's business but yours.
And here's another dose of reality - you just might find your competitors will now be wondering about where that new found financing strength came from , as they see your company taking on larger orders and contracts.
If your firm is looking to finance sales at reasonable and competitive costs and you require cash flow to grow that might not be available from traditional bank sources seek out and speak to a trusted, credible and experienced Canadian business Financing Advisor with a track record of success on the merits of CONFIDENTIAL FACTORING in the SME Commercial Finance solutions category .
Stan Prokop - 7 Park Avenue Financial :
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 90 Million $ of financing for Canadian corporations . Info /Contact :
http://www.7parkavenuefinancial.com/confidential-factoring-sme-commercial-finance.html
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CONTACT:7 Park Avenue Financial
South Sheridan Executive Centre
2910 South Sheridan Way
Suite 301
Oakville, Ontario
L6J 7J8
Direct Line = 416 319 5769
Office = 905 829 2653
Email = sprokop@7parkavenuefinancial.com
' Canadian Business Financing with the intelligent use of experience '
Stan Prokop
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