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