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
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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.
Thursday, July 17, 2014
Cash Flow Finance Needs : Behind The Scenes Solutions In Working Capital Financing In Canada
Here’s Your ‘ Eject Button ‘ For Bad Working Capital and Cash Flow Situations
OVERVIEW – Information on cash flow finance options for Canadian business owners and financial managers . Are you up to date with available solutions for your business working capital needs?
Cash flow finance brings out the curiosity in business owners and financial managers in Canada. That curiosity is often driven by wondering what the competition is doing, and, as importantly, have the company’s current strategies around working capital financing really worked out. Let's dig in.
Unfortunately in many cases you might feel that it’s about time to press the ' EJECT ' button from your current financing situation. Cash should be moving through you business... but it isnt. Part of the reason is the age old issue that sales growth and profit don't equal cash in a ‘business to business' environment. Over the long term things seem to always work out... it's the short term that is the challenge.
If you feel your business is ' failing ' in the cash area it boils down to your business model , how you manage your assets, and what type of financing you are or arent using to manage the whole sales/cash cycle.
In certain cases businesses need to either acquire or replace assets. Here some of those liquidity dangers we have been talking about get really exacerbated. That is because it's even more dangerous when you use daily operating working capital and cash on hand to acquire assets that will be used by your business over the long term.
The solution to that problem is typical leasing finance - With either no o minimum cash outlay your business has the ability to acquire production assets, new technology, and rolling stock. Etc. Almost any asset can be financed under different ownership or renting structures. So if you're focused on long term survival and growth that won’t come at the expense of a cash flow crisis investigate the equipment lease finance option.
The textbooks, as always, have the tools to tell us where our business is at in terms of cash flow and working capital. They do this through the use of financial ratios which pinpoint the businesses overall solvency. However even when those ratios they give us are positive a cash flow crisis can be just around the corner. That's because your investment in receivables and inventory look great on paper, they just aren't converting to cash. That's when investors, lenders, bankers, and suppliers start to sense a problem and in business it's all about your reputation, especially when it comes to suppliers and lenders.
How does the business address ' bad ' working capital and cash flow situations. Whether you qualify for a traditional solution or alternative solutions a number of scenarios can reverse the upcoming cash flow crisis you are sensing.
They include:
A/R Finance
Inventory Finance
Traditional bank credit lines
Non bank asset based lines of credit
Sale leaseback of owned assets
Working capital term loans
Purchase order financing
Tax credit (typically SR&ED) monetization
Which one of these, singularly or together will give you the ' EJECT ' button from that bad cash flow scenario? The answer lies in seeking out and speaking to a trusted, credible and experienced Canadian business Financing Advisor with a track record of success who can assist you with your working capital challenges.
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/business-cash-flow.html
Have A Question /Comment On Our Blog Or Canadian Business Financing Alternatives ?
CONTACT:
7 Park Avenue FinancialSouth 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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