Account Receivable Funding : Here’s Your Redesign In Receivables Lending Thinking

Mind The Gap ! Fixing You’re A/R Finance Challenge

OVERVIEW – Information on account receivable funding solutions in Canada . Receivables lending is all about choosing the right finance solution for the right reasons – here’s why.. and how

Account receivable funding in Canada conjures up the ' Mind the Gap ' expression for us today. That's of course the out loud warning that subway passengers hear when they board train doors. However in our case we’re always cautioning our clients to mind the gap when it comes to receivables lending. Let's dig in.

That ' gap ' is of course when business owners in the SME (small to medium enterprise) sector in Canada find themselves cash flow poor / challenged while waiting for client receivables to come in. Since A/R and inventory represent your most liquid current assets (next to cash) your ability to ' move ‘(i.e. manage) or finance those assets is key to the survival of your business.

Non bank A/R Finance is the quickest way to working capital success when traditional bank finance doesnt work for your business. For Canadian companies that can't afford to lose sales opportunities or the inability to meet their other operating and loan obligations. The total win/win for this type of financing is when it is receivables lending shortens that gap given that sales are immediately converted to cash. When businesses can't access traditional capital and they don't want to give up expensive equity A/R funding is one solid solution. And the good news about ' limits'? There are none, as basically unlimited financing is available for any business that has the sales revenues/receivables to match.

This type of lending is often short term in nature, as most clients tend to work their way back to what they consider ' traditional' finance that comes with lower costs/rates. Remember also there is no 'debt ' on your balance sheet when AR finance is employed - it’s an asset monetization strategy. During this period of utilizing receivables finance your supplier relationships tend to improve and your general credit profile is enhance given your new liquidity .

The immediate benefit of a combination of A/R financing combined with good management provides a double whammy of business financing success. How for example? Consider a firm that finances AR, receives cash immediately on making a sale, and uses that cash to take supplier discounts or achieve better pricing on service and products they purchase. They have effectively ' minded the gap'! Although the majority of companies out there can't achieve ' negative cash gap ' (receive full payment before they pay suppliers) those that can effectively finance the gap as well as manage assets are... winners.

If there is one thing clients tell us they ' hate' about commercial a/r financing and factoring solutions it's the oft requirement to have their customers ' notified' of the entire financing process . Looking for some good news on that one? We recommend CONFIDENTIAL A/R FINANCING that allows you to achieve all the benefits of receivables lending while at the same time billing and collecting your own accounts.

If you're looking for a total ' redesign'

in finance thinking 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 receivables lending 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 ACCOUNT RECEIVABLE FUNDING /LENDING 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

Account Receivable Funding Is The Recipe For Your Cash Flow Finance Requirements

No Secret Phone Call Required For This Version Of Accounts Receivable Financing – It’s ‘Confidential’ !

OVERVIEW – Information on account receivable funding as a viable cash flow finance solution for Canadian businesses. Exploring the Confidential A/R financing solution

Cash flow finance solutions allow your business to comfortably strengthen your firm’s decision ability as well as financial future. One method employed by thousands of business owners/financial managers is account receivable funding, and in particular we're talking about Confidential Receivable Finance, allowing you to bill and collect your own receivables. And no ' secret phone call ' is required! Let’s dig in.

Planning your cash flow with the right external financing solution allows your business to better identify growth opportunities as well as avoiding the proverbial ' cash flow crunch' that comes with the ebb and flow of sales.

And the right solutions will always help you ensure profits without the risk of lacking working capital. While businesses have numerous traditional and alternative capital raising mechanisms those needs must also be properly communicated to any lender.

If your firm has ' sales ' it's always a candidate for A/R financing. Thousands of firms that can't attract a bank finance solution have the comfort of knowing their sales can be financed via receivables funding. This is short term financing at its best, allowing you to pledge / sell your customer accounts to fund obligations such as payroll, inventory/materials, and... growth in those sales! It's critical to understand that this solution is not a ' loan ' - there are no fixed payments - it’s a continuous revolving credit facility.

The confusion that exists between bank A/R financing and non bank financing lies in the way the collateral (i.e. your A/R) is documented. In the case of the bank its ' pledged ' while Confidential receivable finance via a 3rd party commercial finance firm stipulates specific receivables are ' sold' as opposed to pledged. Simple as that.

While a non bank solution will always be more expensive than the bank it’s a solid, effective way to finance your business. And more often than not it's a ' bridge' to getting back to a formal chartered bank relationship. which in the case of financing receivables is , in essence ' Unsecured Financing '.

There's a whole range of reasons thousands of Canadian businesses gravitate towards 3rd party commercial receivables finance. Has your business ever been in any of the following categories?"

Banks refused to grant you the amount of business credit you need

You have a bank line but it’s not enough!

Your firm is relatively new

One or a few customers represent a large portion of your sales - (known as 'concentration ')

How then does CONFIDENTIAL RECEIVABLE FINANCE work? At the core is the fact that, unlike traditional ' FACTORING' offered by 99% of commercial A/R financiers, no notification is required to your customers. So financing is clearly on the ' honor system '

given that you've received funding for your accounts and are obligated to pay back when your clients pay. Business owners are quick to see the positive impact of maintaining 100% of their client relationships, from sales to final invoicing and collection.

If you feel your firm can benefit from a winning recipe for A/R funding 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 :

http://www.7parkavenuefinancial.com/cash-flow-finance-account-receivable-funding.html






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