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Never Worry About Business Sources Of Finance With These Tips
The types of business financing your firm needs and the sources of business finance is vital knowledge for every business owner and financial mgr. Your inability to source funds can put a stop to both your daily operations ( ie suppliers / payrolls, etc ) as well as certainly slowing, if not halting your ability to expand .
There isn't a day when 7 Park Avenue Financial doesn't get a call from potential clients looking to capitalize on growth opportunities in a variety of manners, ie new contracts, market expansion, acquisitions , mergers, etc. Know sources of funds for your business is important!
So that brings many business owners to the immediate ' go to '. That go to? Canadian banks . But when business ventures down the Canadian chartered bank or business credit union route new rules apply, and to be approved you need to play by the rules .
Those ' rules '? It comes to to proper credit ratings of owners, ability to produce proper financial statements, profitability, and a reasonable debt load . That coupled with some level of collateral, even it it's a ' promise to pay ' by owners themselves makes bank financing work. And the rates, terms and structures are very flexible in virtually unlimited amounts of capital.
Have we forgotten something ? What about new firms, struggling firms, or businesses that can't satisfy all the criteria needed to access what the Bay street folks call ' traditional finance '. That's when non conventional business financing, aka ' alternative finance ' comes to the rescue of the business owner. We're assuming by know you've abandoned the ' friends and family ' route which seems to almost always in our experience lead to , shall we say ' relationship problems'!
So what are these lesser well known ' sources of finance ' , how do they work, and where are they available . Generally speaking they are available from what we call ' non bank ' commercial finance companies .
Sources of Finance :
Inventory Loans
Purchase Order Financing
A/R financing
Short Term Working Capital Loans
Non bank asset based lines of Credit
Sr&ED Tax Credit Financing
Sale leaseback of assets
Equipment Leasing
In almost all cases the main source of ' collateral ' for all these is the key asset in question . In the case of working capital loans the emphasis is simply your ability to demonstrate that you have sales and revenues that are somewhat regular historically.
Bottom line? We hate ' wise guys ' but 'wise' business people need to know all their options in today's ultra competitive business capital landscape.
7 Park Avenue Financial :
South Sheridan Executive Centre
2910 South Sheridan Way
Suite 301
Oakville, Ontario
L6J 7J8
Click Here For 7 PARK AVENUE FINANCIAL website !
7 Park Avenue Financial provides value added financing consultation for small and medium sized businesses in the area of cash flow , working capital , and debt financing .
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 .
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
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