SRED Bridge Loan Finance : Your Masters Degree In How To Actually Get Your Refundable Research Development SR ED Credit Filed And Financed

Is Your Company The ‘ Wrong Way Feldman’ Of SR&ED Claim Filing And SR ED finance?

OVERVIEW – Information on the SRED Bridge loan. The refundable Research Development SR ED Credit recoups r&d capital and accelerates cash flow

A SR&ED Research and Development Tax Credit absolutely doesn't require a masters degree to successfully file, or finance the claim. How then does the whole process work, and when it comes to receiving your credit or financing it via a SRED Bridge Loan can you avoid being a ' Wrong Way Feldman'? Let's dig in.

Wrong way Feldman? He was a character on the iconic ' Gilligan’s Island' TV series - portrayed as being very incompetent. Quite a character, as a pilot he had fear of flying! (He once flew to New Orleans by mistake, intending to land in Minneapolis!)

So how do you avoid those ' Wrong way' moves in both the preparation and financing of your claim? ... Allowing your firm to receive your share of the billions in R&D credits annually. And by the way, to finance your claim is even easier when your filing and prep process are done properly. (SRED Bridge loans can often be successfully accomplished within a couple of weeks from start to finish).

The ability to recoup capital, i.e. the refundable SR&ED tax credit, while both staying competitive through improved products and processes is what 'SR ED' is all about .

What resources do you have at your availability to properly prepare and finance a claim? More about the financing later, but when it comes to filing a research and development sr Ed credit it's all about the quality of preparation. That work, almost 99% of the time is done by qualified SR&ED consultants - working in conjunction with your firm and your accountants re the year end filing process.

Typical claims capture the technical narrative and data as well as itemizing the expenses and costs relative to your claim - Typically 35-40 % of all your expenses are recovered under the R&D credit. We see clients claiming anywhere from 25k to $1,000,000.00 in refunds.

The end result of a successful claim? You receive a refund in the form of a cash return. However that whole process, depending on the gov'ts timing, as well as yours can take many months. Here's where financing your SR&ED credit might well make perfect sense - if only for the reason of generating additional cash flow for more r&d needs as well as daily operational and investment needs . (Your SRED refund, of the financing of the claim allows you to use the refund for any general company purpose).

SRED bridge loans are constructed to provide 70% funding of the total value of your claim. No payments are made during the duration of the loan, which can be prepaid at any time, or of course when the govt sends that final actual refund chq. It's also interesting to note that you can finance any or a combination of last years, this years, and next years claim! Talk about flexibility and access to funds!

If you're looking to be avoid being a ' Wrong Way Feldman" in research credit funding focus on the proper basics : Identifying eligibility, keeping careful track of your spend in r&d, working with a SR&ED consultant with a good reputation, and following CRA filing procedures.

And financing your claim ? Seek out and speak to trusted, credible and experienced Canadian business Financing Advisor with a track record of success who can help you finance your claim and generate that immediate cash flow recovery.



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


7 PARK AVENUE FINANCIAL = CANADIAN SR&ED LOAN 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 Sred Bridge Loan Or Media Credits Tax Credit Loans Round Out Your Research And Project Success

The Problem Of Waiting For SR&ED And Film Tax Credits - Solved!

OVERVIEW – Information on the SRED bridge loand and tax credit loans for media credits in Canada . How to eliminate ' the wait'



SRED (SR&ED) R&D tax credits, as well as media credits for projects in film, television and animation play a special role in two key areas of business in Canada. As with any aspect of business there are downsides occasionally, and in this case it's all about ' waiting ' for your refund. Let's dig in.

A Sred bridge loan and tax credit loans for media credits alleviate ' waiting '. Let's take a look a how certain aspects of ' waiting' can be accelerated, turning your credits into valuable cash flow.

As we've said, we're talking about two of the most popular government programs in Canada, the SR&ED research program, as well as the Entertainment industry’s government tax incentives. They are different, and, guess what, they are similar. In fact you’d be surprised at many of the overlapping issues, similarities, etc.

Let's talk about SRED (‘Scientific Research & Experimental Development ' ) first. Your ability to prepare a quality claim will always accelerate both the approval, as well as the financing of your claim. The vast majority of SRED claims are prepared by a third party that clients engage - they are the infamous ' Consultant ‘with claim preparation expertise in (hopefully) your industry. Their ability to properly ' write up' and file your claim, while maintaining a good ' audit trail ' will always speed up due diligence by both the government as well as your SR&ED financier , the latter being of course involved when you choose to finance or ' cash flow' your claim.

In talking to clients we've financed claims for over the years it's clear that having filed once already simply builds on your expertise to file successfully again. But don't despair. First time claims, done properly, can be successful, and YES... They can be financed!

The whole process of SR&ED research credits revolves around how your company attempted to resolve ' uncertainty ' in your company and industries technology, processes, etc. But remember, there's no uncertainty in financing your claim - any claim that is either filed or in process is eligible for financing, accelerating your recovery of cash spent.

With due respect to research in Canadian industry it's safe to say ' HOLLYWOOD NORTH ' ,

aka Canada is a bit more of a seductive conversation when it comes to tax media credits that the federal and provincial government provides for projects in animation, software, film, and TV. These credits are for 100% Canadian projects, as well as projects, that must be pre approved, that have foreign ownership content... aka the Joint Venture... often with those Hollywood folks who find the appeal of our tax credits too irresistable to dismiss.

Producers/ project owners qualify for expenses occurred in key areas such as labor and services. The role of the claim preparation switches here to a tax credit accountant,

formal designation or otherwise, who takes over the same role we spoke about re the ' SRED Consultant'.

A few genres of ' content' aren't eligible for media credits - understandably they include ' adult content', sports events, and some others. Media credits in film, TV and the exploding world of animation involve complementary programs via federal govt and our Canadian provinces. When combined they can often provide, broadly speaking, anywhere from 30-50% of your entire budget. In fact provinces compete with each other vigorously to solicit projects and productions... Vancouver, Toronto and Montreal are epicenters of media projects.



When tax credit loans are desirable for your claims it's a simply process. Here's where a lot of the similarities kick in - Claims in SRED and Media are typically structured as bridge loans with no payments. They often provide a cash flow loan of up to 70% of the total value of your claim. Diligence is given to the amount of your claim, who prepared it, and first time claims are financeable, 2ND time claims even better!

If your firm has SR&ED or Media Credits to finance seek out and speak to a trusted, credible and experienced Canadian business financing advisor. It's all about cash flow, and eliminating the waiting!


Stan Prokop - founder of 7 Park Avenue Financial

http://www.7parkavenuefinancial.com

Originating business financing for Canadian companies , specializing in working capital, cash flow, asset based financing . In business 10 years - has completed in excess of 80 Million $$ of financing for Canadian corporations . Core competancies include receivables financing, asset based lending, working capital, equipment finance, franchise finance and tax credit financing.

Info re: Canadian business financing & contact details :

7 Park Avenue Financial = Tax Credit Financing Expertise




Have A Question /Comment On Our Blog Or Canadian Business Financing Alternatives ?

CONTACT:
7 Park Avenue Financial
South Sheridan Executive Centre
2910 South Sheridan Way
Suite 301
Oakville, Ontario
L6J 7J8
Phone = 905 829 2653


Email = sprokop@7parkavenuefinancial.com

Stan Prokop

Financing sr ed tax credit claims – Why a SRED Bridge Loan Make Sense

Purchased your lottery ticket yet? It's a 3 Billion dollar prize. That’s the feeling our clients have when they have secured their ticket (which is their sr Ed tax credit claim) to the three billion dollars the Canadian government provides each year for the Canadian SR&ED program. And the reality is with a properly submitted claim your odds of winning are much better than those lotteries - they approximate a 100% chance! We haven’t had those odds in our favor in awhile!

Let’s talk about why a sr&Ed bridge loan might make sense for the monetizing of the R&D non repayable grants that the government provides to Canadian firms who submit a claim for the program. Financing a sr ed tax credit claim allows you to cash flow, or monetize , however you want to call it your portion of the largest tax incentive program in Canada .

We have always told clients that the sr&Ed bridge loan makes sense, in our opinion, because it in essence fills the gap between your ability to get approved for the funds and receive those funds.

You have already made your commitment to R&D via your ability to innovate - so why no supercharge that innovation and turn those funds into cash. Financing sr Ed tax credit claim strategies provide your firm with the capital you need to further innovate and of course run your business.

We know by experience with our clients that many of the firms who participate in Canada's Sred program are whats known as pre revenue firms to finance professionals - in other terminology you're a start up, or very close to it. Accessing capital is hard when you are a start up - your firm simply doesn’t have the sales, profits, and the corresponding balance sheet and income statements to support the borrowing of capital.

If you're an established business and you have accounts receivable they can be financed of course. Well, guess what, you do have an account receivable that can be financed, it’s simply that it is known by another name - it’s your sr&Ed claim! A SR&ED bridge loan becomes an external source of capital that you otherwise might not be access based on traditional borrowing requirements.

A great strategy is simply to take advantage of financing sr ed tax credit claim and invest those funds in marketing the viability of your innovation that you achieved via the sr ed process . That is when a sr&Ed bridge loan makes total sense.

Capital is critical to any firm, whether you are the start up we just talked about, or an established firm simply desiring to grow your competitive edge and finance your business on an ongoing basis. Banks, venture capitalists, and private equity investors, etc don’t really finance sred claims.

In order to facilitate the financing of your calim seek an independent finance firm that specializes in this area. A trusted , credible and experience Canadian business financing advisor can have a sr&ed bridge loan completed in a couple of weeks with your firms full co operation . A simple application, a copy of your sred filing, and the normal due diligence associated with any business financing can be completed very quickly and efficiently.

Does it make sense to finance your sr&Ed claim - we think we’ve shown it has. The sred financing closes the gap between your innovation and the continued commercialization of your products and services, providing you with capital to maintain your competitive edge.
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Stan Prokop - founder of 7 Park Avenue Financial -

http://www.7parkavenuefinancial.com

Originating business financing for Canadian companies , specializing in working capital, cash flow, asset based financing . In business 7 years - has completed in excess of 50 Million $$ of financing for Canadian corporations .Info re: Canadian business financing & contact details :

http://www.parkavenuefinancial.com/financing_sr_ed_tax_credit_claims_sred_bridge_loan.html