Business Loans And A Line Of Credit : Checking Out Asset Lending Is Worth It

The Unboxing Of A New Type Of Business Credit Line

OVERVIEW – Information on ‘ ABL ‘ – The asset based lending solution for a corporate line of credit . Not all business loans and revolving facilities are created equal and offer the same benefits . Here’s an alternative solution that makes sense for thousands of business owners in Canada

Business loans , when it comes to a line of credit provide owners/financial managers with the challenge of financing working capital needs. While the majority of companies in the SME sector want to rely on Canadian chartered banks for these needs ' Asset Lending' has emerged as an alternate - and quite often easier to achieve. We're ' unboxing ‘ABL (asset based lending) for your consideration. Let's dig in.

The easiest way to think of an asset based credit line is to simply take a look at your balance sheet. The total assets you have in receivables, inventory and equipment are essentially your ' box' of assets that are margined under a new separate non bank line of credit facility. ( While banks also offer this type of lending more often than not it's for transactions in the 5-10 Million dollar range and up, obviously eliminating many firms in the SME sector who typically have revenues in that range, not assets!)

So while our banks focus on what they do best - addressing cash flow and risk and outside collateral and guarantees, the asset lending model looks to the main source of fluctuating repayment - your sales and your assets. (Sales create receivables) The majority of asset loans tend to reflect a higher amount of risk as companies in the SME sector ( Most define this as firms with under 25 Million $ in sales ) typically present a higher risk rating when it comes to overall credit quality .

While asset based lending solves problems of high growth and erratic profits and balance sheet structures it also can address problems such as financial distress. Notably it is also used in many situations in acquisition financing, as it allows you to monetize the assets of the target firm.

How does the asset lender offering these types of business lines of credit then manage the overall risk - allowing them at the same time to offer higher levels of financing than you typically could achieve from a bank? The answer - specialized knowledge of the true value of your assets as well as placing a higher value on more regular reporting of asset categories such as a/r, inventory , and equipment values .

Equipment becomes a component of your credit facility, and is almost always subject to an appraisal. Rarely will a bank lend against fixed assets as a part of your revolving credit line - the asset based lender will.

Successful business owners/mgr's will always be open to checking out newer forms of financing that might assist in growth and profits. If you're looking to ' unbox’ new types of business credit alternatives seek out and speak to a trusted, credible and experienced Canadian business financing advisor who can assist you with your needs.

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 100 Million $ of financing for Canadian corporations . Info /Contact :

7 PARK AVENUE FINANCIAL = CANADIAN BUSINESS LINE OF CREDIT AND LOAN EXPERTISE



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 '

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.





Stan Prokop

The Best Business Revolving Credit Line Is Actually A Choice For Canadian Companies

Business Credit Lines Are A 4 Lane Highway : Which Lane Are You In ?

OVERVIEW – Information on business choices within the need for a business revolving credit line . What types of financing work best are what are some of the cost and operating issues in bank and non bank corporate credit facilities

Business revolving credit line needs are a necessity for almost all Canadian businesses in the SME Commercial sectors of the economy. But did you know that this type of credit / borrowing facility is actually a 4 lane highway. The challenge? Which lane are you in? Let's dig in.

Why does business prefer revolving facilities? It's probably because they have maximum borrowing flexibility and it's established once up front.

Your business might not need a line of credit if you're one of the lucky ones that actually have ' negative working capital ‘, which is in effect a cash type business where you collect monies before you pay suppliers, etc . Examples might be an internet retailer or certain retailers. But that's the rarity of course and the category your company probably does not fall into.

So, as we asked, if biz credit lines are a 4 lane highway, which lane are you in?!
One of those lanes is a traditional Canadian chartered bank line of credit. It's in effect an open ended credit facility which your business draws on as needed. Given today’s low rates its maximum flexibility at lowest cost - if you qualify! (Miscellaneous fees typically apply) .Security for bank credit lines is typically an all encompassing security agreement (‘GSA’) and guarantees of the others. Potentially outside collateral is also required, as well as the potential requirement to maintain certain minimum account balances. Typical bank advances for receivables are 75% of your accounts that are less than 90 days old.

Let's not also forget that banks and other commercial lenders typically will ask you to maintain certain financial ratios and covenants when it comes to your balance sheet or cash flow. Failure to meet those makes you ' off side'!

A 2nd type of revolving credit line is a more basic solution. It's A/R financing on its own, often called ' Factoring' but coming with many additional ' flavors ‘. In many forms of factoring you will be required to have your clients notified of the whole process - with client payments going to the lender. To avoid this somewhat ' undesirable ' process we recommend a better solution to clients: CONFIDENTIAL RECEIVABLE FINANCING. This form of ' factoring' allows you to bill and collect your own receivables with no notification to others. Canadian business owners no doubt love this type of control.

Key benefits of A/R financing inlcude the fact that no credit limit is set on your business - it fluctuates with your sales revenue. Typically higher costs come with this type of financing, but the benefits are significant - unlimited cash flow potential to grow your business.

A 3rd lane on our business credit line highway is the 'ABL ' Asset based business line of credit. This facility, offered by both banks and more notably commercial finance firms allows you to borrow under one facility based on the total ongoing value of your A/R, Inventory and Fixed Assets. Borrowing advances are therefore much more generous, and it’s very common to double your borrowing power under ABL facilities as compared to a bank fixed credit limit.


Our 4TH lane on the business credit line highway includes your ability to access numerous miscellaneous single solutions to working capital borrowing - they inlcude inventory finance ( suited to retailers /distributors ) , tax credit financing for SR&ED claims, PO Financing, and Royalty finance .

Which lane on our business credit line highway does your firm belong in? 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 cash flow finance needs.



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 100 Million $ of financing for Canadian corporations . Info /Contact :

7 PARK AVENUE FINANCIAL = CANADIAN REVOLVING BUSINESS CREDIT LINE EXPERTISE





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 '

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.



Stan Prokop

Cash Flow / Finance Working Capital Challenges : A Really Complete Explanation On Cash Flow Solutions

Superintelligent AI Is Not Needed For Accessing Reasonable Working Capital & Cash Flow Solutions

OVERVIEW – Information on cash flow solutions for Canadian business. The ability to finance working capital separates winners from losers in business financial success

Cash flow for Canadian businesses and the ability to finance working capital is a top priority for successful companies - of any size - start up, SME, or large corporation. Let's examine how and why companies need and use working capital - and by the way it doesn't require superintelligent artificial intelligence! Let's dig in.

In truth the ability to finance your business on a day to day basis means different things to different owners/managers and how they address the challenge differs often. The essence of successful short term financing for your business is ensuring your ' current assets ' - cash / A/R / inventory are turned and financed properly. The ability to both run your company and plan for growth is what cash flow is all about.

Unexpected cash flow needs always pop up in business - some call it ' seasonal bulges ‘, in other cases it might be new or large orders/contracts. Retailers planning for seasonality is a solid example. The goal? Simply to have enough cash on hand to meet your obligations.

One of the great surprises ( and by the way it shouldn't be !) is that fast growing sales and profits can actually lead to a business failure for the simple reason that working capital needs consume cash as you build up inventories, buy new assets, and grow your a/r . Firms that invest in longer term assets and projects should consider:

Equipment Financing

Working Capital Term Loans

Cash Flow financing

to address their long term plans.


Firms that invest in R&D and who are not public companies should take strong advantage of the governments SR&ED program - and by the way these refundable tax credits can be financed for short term working capital - eliminating the need to wait for your claim.

By the way, it's unfortunate that many business owners/mgrs, most often in the SME sector, seem to think they can use CRA obligations to finance their working capital needs. This often leads to disastrous consequences, given the heavy hand that CRA can hold over a business based on unpaid ' superpriorities'.

A good way to always consider how and why you need to finance your working capital is to simply view the need for positive working capital as the right balance of any debt you have combined with your owner equity. The problem? Companies in the SME sector, including start ups of course often can/t raise equity or debt to the extent they need it.

Mistakes in cash flow financing are often made when firms don't match short term finance solutions with short term needs.

Short term financing solutions to be potentially considered are:

Chartered bank facilities for business credit lines - these open ended ' loans' provide great liquidity at good rates and maximum limits are typically established

Commercial finance A/R financing

Asset based non bank business lines of credit - A solid way to finance assets and generate cash flow based on your sales and assets - it is the non bank alternative to cash flow

SR&ED tax credit financing

PO/Contract financing

If you're looking to finance working capital and cash flow needs with traditional or alternative solutions that make sense for your business 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 needs.

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 100 Million $ of financing for Canadian corporations . Info /Contact :

7 PARK AVENUE FINANCIAL = CANADIAN WORKING CAPITAL AND CASH FLOW FINANCING EXPERTISE



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 '

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.







Stan Prokop

Equipment Finance Leasing In Canada : Exploring The Real Benefits of Lease Financing

Does Lease Financing In Canada Really Work ? You Decide

OVERVIEW – Information on equipment finance solutions in Canada . Lease financing is touted as a popular way to acquire assets . Here’s how and why leasing an asset works.

Equipment Finance for asset acquisition in Canada is one of the most touted business finance strategies. Leasing assets via lease financing has numerous benefits and considerations that many business owners/financial managers never really truly consider. Let's dig in.

The ability to both run and grow a business often depends on the assets you need to acquire, or upgrade. Certain specific considerations must be made when entering into proper lease financing strategies - it's at that time that the owner/manager can truly achieve business economics that makes sense and provide a competitive advantage.

Almost every business in Canada, bit or small, new or established, uses assets to generate sales and profits. The decision points that revolve around the asset acquisition strategies you employ typically revolve around how your balance sheet looks, as well as your overall cash flow situation and the ability to get approved given you have other forms of operating or term debt .

Few businesses exist that don't utilize equipment finance - whether it comes down to corporate jets, shop floor equipment, lab equipt, technology... well you get the drift!

It's actually fairly easy to come up with at least 8 ' solid ' reasons to consider leasing your assets. While it would be rare for all these benefits to pertain to your firm we're quite sure many do. They include:

The ability to acquire assets with little or no down payment

Your firms ability to conserve valuable cash flow

The ability to manage the tech risk that comes with certain assets that evolve or need constant upgrading - (think computers/software, etc)

Utilizing lease finance as an inflation hedge

The ability to realize the economic benefits of assets without a 100% outlay in cash re having to purchase an asset

Managing the tech curve given constantly changing times

Balance sheet and income statement considerations

Using operating leases as a way to manage changes in tech in your assets


Many business owners or managers might feel their company or organization isn’t a user of equipment finance strategies. The reality? Whether you're a start up, Financial Post 100 firm, or a govt organization or non profit it's safe to say leasing assets is used in your sector.

What does the owner/manager need to do to asses a proper asset finance strategy? Typical considerations include:

Knowing how lease finance fits into your overall financial plan

Understanding how you will use the asset and for what period of time (leases typically are a minimum of 5 and a maximum of 7 years in term length)

Understanding whether you want to either own, or use an asset - Respectively capital lease and operating lease options need to be considered

If you're looking to truly succeed in asset acquisition a proper equipment finance strategy will help you reach that goal: seek out and speak to a trusted, credible and experienced Canadian business Financing Advisor with a track record of success who can assist you in lease financing strategies that make sense.


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 100 Million $ of financing for Canadian corporations . Info /Contact :


7 PARK AVENUE FINANCIAL = CANADIAN EQUIPMENT FINANCE EXPERTISE



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 '

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.



Stan Prokop

Sred Tax Credit Financing And Factoring : The Quick Way To Address The Wait In Your SR ED Credits Claim n Canada

Breaking Into The Holy Grail Of SR&ED - Cash !

OVERVIEW – Information on Sred tax credit financing in CANADA . Factoring SR&ED / SR ED credits is a common method to achieve the full cash flow benefits of Canada’s refundable r&d program credits

Sred tax credit financing is simply the quick way to end the wait for your SR&ED refund. The finance and factoring of sr ed credits allows the business access into the ' holy grail ' of Canada's ' Scientific Research and Experimental Development' program - aka ' SHRED'. Let's dig in.

By both improving their products and processes the refundable credit R&D program allows firms such as yours to stay competitive. That reason, coupled with the govt's willingness to assist in the financing of that R&D capital investment you make clearly makes this program a winner for the thousands of firms that routinely recoup billions of dollars annually.

While your company, your Sred consultant, and your accountant are responsible for preparing and submitting and filing your claim the fourth leg on that stool is your ability to finance that claim. Notwithstanding the Canadian gov'ts stated commitment to process claims quickly the bottom line is that a considerable waiting period can occur before your claim is received, processed, potentially audited, and finally .. refunded!

That interim period is often the most difficult one for many firms, many of which are start up or early stage and require cash flow sources they might otherwise not qualify for. Many earlier stage firms rely on this loan as the most important aspect of their annual cash flow planning. Enter financing and factoring of your SR ED credits!

The question clients always us is of course ‘How much can we get? ‘as it pertains to their SRED tax credit filing. There's a two pronged simple answer there. The total amount of your actual SR ED refund is determined by yourself in conjunction with your ' SHRED ' consultant and your accountant.

The actual financing of your claim delivers a total cash flow benefit of typically 70% of that total claim. For example a 200k claim typically qualifies you for a SR&ED bridge loan of 140k. By the way , you can finance, at your choice, last years claim, this years filing, or even next years claim as you embark on further r&d. Typical claims deliver a refund approximating 30-40% of your total r and d spend. The folks known as ' SRED Consultants' add credibility to your claim via their expertise, as well as their ability to maximize the full amount you are eligible to receive back.

Processing your claim in a timely manner, and then taking advantage of the ability to finance your claim delivers cash flow your company can use for any general corporate purpose, many times being simply... more r&d.

The additional benefit of 'factoring' (aka ' selling ') your SR&ED credit is that these loans are structured as ' bridge loans' with no payments made. The loan is collapsed when you receive your refund, at which time financing costs are calculated and deducted.

If you're looking for the holy grail of SR ED, i.e. your cash !... 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 SRED Tax Credit Financing needs.


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 100 Million $ of financing for Canadian corporations . Info /Contact :

7 PARK AVENUE FINANCIAL = CANADIAN SR&ED TAX CREDIT FINANCING/FACTORING EXPERTISE

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 '

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.



Stan Prokop

Turnaround Financing Real Thing Solutions : Restructuring Finance And Workouts

Opening the Vault of Turnaround Finance Solutions To Avoid A Business Doomsday

OVERVIEW – Information on turnaround financing solutions in Canada. Successful workouts require restructuring finance expertise in several key areas of your company

Turnaround Financing in Canada is required when your current financial obligations with banks or other lenders are deemed ' non performing'. The right kind of restructuring finance in workouts such as this can return your company to financial health. Let's dig in.

Companies who are in some form of financial distress clearly must be able to demonstrate a willingness to turn their financial situation around. In the majority of cases it's all about ' assets' and ' asset quality'. These need to be refinanced in a manner that removes financial distress in the business without typically resorting to additional owner equity which is difficult to achieve at these times.

Sometimes your situation might be company specific, othertimes it's systemic to your entire industry at certain points in the business/economic cycle.

Effective financing is a key part of any workout scenario. Although it's often far from being the only challenge it's certainly a key one. The focus will always be on cash flow and the balance sheet. At the same time though a lot of time will be spent on cost cutting, relationships with suppliers, etc.

What then are the financing mechanisms that are a part of restructuring finance? Because Canadian chartered bank solutions are often rare for SME Commercial workouts many forms of alternative or quasi traditional financing are the only solution. These include:

Receivables financing

ABL Solutions - Asset based business credit lines that combine A/R, inventory and equipment into one borrowing solution

Equipment Financing / Sale Leasebacks

Cash Flow Loans - secured/unsecured

Tax Credit Bridge Loans

Typical financing rates and costs for the above solutions are almost always higher than bank financing. It's very important to note that these solutions we have noted, while effective, typically are a bridge back to traditional financing and the ability to fully recover. The goal of every business owner in workouts and distress scenarios is to retain operating control without having to give up the business to lenders or another party.

Any assistance your receive during restructuring will typically always be focused on the concept that the business can be saved and it's ability to get back to profits and cash flow positive scenarios. The ability to maintain relationships with lenders and trade creditors is key. In many cases your new business plan is shared with suppliers and creditors to maintain credibility.

If you're looking to open the vault

of doomsday financing solutions seek out and speak to a trusted, credible and experienced Canadian business Financing Advisor with a track record of success
who can assist you in access to business credit solutions as part of the restructuring finance process.

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 100 Million $ of financing for Canadian corporations . Info /Contact :

7 PARK AVENUE FINANCIAL = CANADIAN BUSINESS TURNAROUND FINANCING EXPERTISE



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 '

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.





Stan Prokop

A Working Capital Blast Off Strategy : Cash Flow Finance 101 For SME Companies In Canada

Why Growth Sucks .. The Cash Out Of Your Business And Here’s The Fix !

OVERVIEW – Information on the financing and working capital needs for Canadian business . A true cash flow finance strategy requires information about your growth and operating plans and is often unique to your industry and business

Working capital shortages, seeming either permanent, or temporary, quickly have business owners in the SME (small to medium enterprise) commercial sector realizing one thing... Growth sucks... the cash flow out of your business. So the question quickly becomes: What is the right cash flow finance strategy for your company? Let's dig in.


One top expert in the cash flow field surely put it right: Cash flow shortages are the ‘first law of entrepreneurial gravity '! Part of that conundrum is the fact that achieving growth through a focus on mostly higher sales ( and hopefully profits ) often has the business running short of working capital given that new assets often need to be purchased or replaced, and the fact that the build up in receivables and inventory add to the cash flow exit .

In many cases relationships with suppliers can be strained during this period as it's a vicious circle of business with each participant in the supplier / customer relationship each trying to maximize their own cash and profit position.

While your financial statements will ' always' tell the tale it’s a hard fact of business that many owners/managers don't necessarily know how to interpret this data. Complicating the problem is that financials reflect what just happened, not what is going to happen! The three basic parts of the cash flow part of your financials will clearly identify your actual operating cash, what money came into the company via any equity, and what went out via borrowing. (By the way, the solution to that is basic effective cash flow forecast planning)

With respect to cash flow planning it quickly becomes obvious to business owners that when done properly they have a new roadmap to removing the stress out of running out of cash, as well as being able to maximize opportunities for growth in sales and profits.

How then does the owner achieve that ' blast off ' strategy we referred to. The essence of your solution is around monetizing assets you already have and /or accessing the right types of debt that match your credit profile and your needs. In the SME COMMERCIAL FINANCE sector these solutions include:

A/R Financing

Inventory Finance

Bank credit facilities

Non bank asset based business credit lines

Financing your refundable Tax Credits (Sr&Ed)

Equipment Leasing/Sale lease backs

Sales / Royalty financing

Working capital term loans

These solutions are both traditional and alternative in nature .Every choice you make in a cash flow finance strategy will affect your business in terms of financing costs and access to new working capital, permanent or operating.

If you're looking for the solutions to the fact that ' growth sucks ... the cash flow out of your business ' 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 a cash flow strategy that makes sense for your business and industry.

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 100 Million $ of financing for Canadian corporations . Info /Contact :

7 PARK AVENUE FINANCIAL = CANADIAN WORKING CAPITAL AND CASH FLOW FINANCE EXPERTISE



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 '

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.





Stan Prokop

Growth Financing For Business Expansion: A Better Funding Blueprint

Avoiding Wrong Choices In Growth Goal Financing In Canada

OVERVIEW – Information on growth financing and funding in Canada. Business expansion requires a careful blueprint for business survival and success

Growth financing for Canadian businesses in the SME (small to medium enterprise) sector has the chance to go awry sometimes. Funding for your business expansion requires a ' blueprint '

that allows you to meet your goals. Let's dig in.

Many top experts tell us that we're in ' boom times' when it comes to current economy status, low interest rates, strong equity markets, etc. Not everyone agrees we're in boom times, but if that's the case then how then does the business owner/financial manager address their ability to meet their growth goals?

One way to think about this in a manner that large corporations do is to utilize the concept of ' zero -based growth'. It's essentially all about using your existing assets to find achievable ' low cost' growth options. That, coupled with utilizing financing that makes sense is a winning strategy. Essentially it's all about maximizing your assets and getting maximum impact from any type of financing you can achieve.

Not all businesses can access the cash they need to grow, and while most agree that Canadian chartered banks provide the lowest cost of capital business borrowing for the SME sector certainly has its success limitations. If you're unable to increase your sales via existing borrowing that's a whole other challenge.

Many business owners/managers feel they have to borrow for assets to increase production. Utilizing borrowing solutions such as equipment lease financing allows you to maximize production and limit cash outflows. Even used equipment can be financed these days if it has a value.

In certain cases it makes solid sense to refinance existing assets using a ' SALE LEASEBACK ' approach, allowing you to take on more production with assets you already owned.

Are their other ways to monetize assets without taking on additional debt on your balance sheet? There certainly are.

They include:

A/R Financing

Inventory Finance

Monetizing SR&ED tax credits if your company utilizes this popular program

Maximizing borrowing capacity via ABL ' non bank' business lines of credit

PO/Contract financing

Sales/Royalty Finance

In many cases simply by utilizing the right type of financing and avoiding taking on major new debt can significantly improve your chances to grow your business.

It goes without saying that a well thought out business plan and realistic cash flow plan will also provide you with the blueprint for growth success you've been looking for. 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 funding and business expansion needs.


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 100 Million $ of financing for Canadian corporations . Info /Contact :

7 PARK AVENUE FINANCIAL = CANADIAN GROWTH FUNDING EXPERTISE



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 '


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.






Stan Prokop