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
Monday, January 19, 2015
SR ED Financing : What You’re Missing In Sred Tax Credit Finance Loans
The True Tragedy Of SR&ED Claims Is Waiting ! Until Now
OVERVIEW – Information on sred tax credit finance loans in Canada . SR ED financing is the monetization of research credits for effective use of cash flow and working capital
SRED tax credit finance loans eliminate the pain of... waiting... for your refundable tax credit under Canada’s ' Scientific Research & Experimental Research' program. SR ED financing can quickly and efficiently complete the cycle in your firms R&D strategy. Let's dig in.
The Canadian SR&ED program is categorically one of the most solid initiatives in helping the private sector finance economic growth. Given that in the recent years the program has been scaled back a bit (less % credits = less refund cheque) the ability to maximize, and monetize the total benefit of the program is key.
Remember also that the program is a combination of co-operation from both federal and provincial governments, depending on which province your firm originates. SR ED financing by the way finances both parts of the claim at the same time - federal and provincial.
It goes without saying that the actual quality of your claim is key in both initial approval under the program as well as one consideration in financing approval. While the smallest per cent age of firms still prepare their own claims (and in many cases are successful) the vast majority of refund claims are prepared by qualified independent SR& ED consultants. They may be associated with the large C.A. / Accounting firms, or in a lot of cases are simply independent contractors.
While in the past these consultants were ' behind the scenes ' they are now clearly up front, including being identified on your claim, as well as having to state their remuneration on claims preparation. (The majority of SR ED consultants prepare claims at their expense and time, choosing to take a % of the successful claim as their ' fee'.
Since SRED Tax Credit Finance Loans are in effect short term bridge loans it makes total sense for business owners/managers to ensure their claim has taken advantage of govt offerings such as ' pre claim ' approval . Naturally any claim of good quality that doesnt even necessitate and audit is a good thing. Suffice to say the govt is on record as saying that claims they consider ' high risk ' will be audited and scrutinized with more vigor.
Let's get back to basics - i.e. the financing of your claim. It's possible to receive financing approval in a matter of days based on a simple application process that identifies your firm, its business, a copy of your claim, and details on who prepared it.
Business owners/managers seem always open to some good news - in the case of SR ED financing it's good to know that claims can be financing even prior to final filing... and if that wasn't enough next years claim financing can commence almost immediately. That’s cash flow acceleration 101!
SR&ED loans are structured as short term bridge loans - no payments are made by your company for the duration of the loan. Loan advances are typically 70% of the total amount of your combined federal and prov. claim.
If you're looking to eliminate a true business tragedy (waiting for a govt refund chq ! ) seek out and speak to a trusted, credible and experienced Canadian business Financing Advisor with a track record of success who can assist you with your r&d tax credit finance request.
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 :
7 PARK AVENUE FINANCIAL = CANADIAN SR&ED FINANCE EXPERTISE
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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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