Understanding Cash Flow For Business : Why Receivable Factoring Just Might Be The Solution

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You’re at the Crossroads for a Business Financing Decision

Information on receivable financing and business cash flow strategies in Canada - Factoring and Confidential Receivable finance solutions might be the right solution to your working capital challenges

Choices. Alternatives. Robert Johnson, an old blues legend wrote of being at the ' crossroads ' and had choices.
That’s what Canadian business is looking for more than ever when it comes to the Canadian business financing marketplace for small and medium size businesses. (We suspect the big guys want the same thing!).

If your business can't obtain any (or enough) cash flow for business growth then receivable factoring just might be an option. Naturally you're the client, so we'll let you decide.

Clients always ask ' why can my firm obtain working capital financing via receivable factoring when we can via the bank. The answer is really not that mysterious - it’s a case of your new financing partner looking solely at the asset and not the big picture, which our friends at the bank tend to be focused on.

And don’t get us wrong, if you firm can obtain ' all ' the financing it needs from a Canadian chartered bank you clearly have the ultimate cash flow security in place... however the reality is that we havent really met many of those firms in the tumultuous environmENT post 2008-2009 global business financial meltdown.

So yes, the cost of factoring in general is more expensive (in some cases it actually might be cheaper!) but with receivable factoring your are operating your business in an entirely different manner.

As a Canadian business owner and financial manager you should not feel embarrassed that you haven’t heard a lot about receivable financing via a factoring working capital facility. It’s been around as a financing tool for quite some time, but it’s been a little under the radar, and oft considered an alternative tool for Canadian business financing.

Essentially it is the sale, on a one of, or ongoing basis (it’s your choice) of your receivables to a third party. You receive funds instantly, and we mean basically same day! And the total focus is very simple and straightforward - the transaction is only about the value of your receivable, its not additional debt for your balance sheet, and it monetizes your receivables to the extent that you choose.

Control is the key word here, as you control what you need to borrow, when, and what those funds will be used for. Traditionally all our clients use the funds for just one purpose - financing their business for more growth and profits.

Perception is often confused with reality, and the perception is that a receivable factoring strategy to generate cash flow for business is expensive. Yes, no... Maybe! The cost of this type of financing tends to be in the 1-3% per month range. What many of our clients miss is that putting yourself in this type of facility assures you unlimited sales and profit growth. Your investment in receivables (and inventory) has essentially been monetized on a long term basis. Also, the funds you obtain from this type of financing allow you to take supplier discounts, enhance supplier relationships, purchase smarter and in larger quantities, and increase your A/R and inventory turns, which technically play a huge role in your return on equity.

So, is receivable financing and factoring your working capital solution for business cash flow - only you can decide, but you do have choices and alternative you previously might not have been aware of. Speak to a trusted, credible, an experienced Canadian business financing advisor to ensure you choose the right method of financing when you're at the crossroads!







7 Park Avenue Financial :
South Sheridan Executive Centre
2910 South Sheridan Way
Suite 301
Oakville, Ontario
L6J 7J8

Direct Line = 416 319 5769

Email = sprokop@7parkavenuefinancial.com

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 .

' 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

How To Manage Costs Of Sales Of Receivables Via Factoring – Business Cash Flow Financing Explained!

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A Better Alternative – Understanding A/R Financing Costs

Information on how to understand and manage the costs of sales of receivables when utilizing the business cash flow strategy known by most business owners as factoring or invoice financing

When Canadian business owners and financial managers contemplate sales of receivables as a business cash flow strategy often the cost, and understanding the dynamics of that cost is top of mind. In general A/R financing, aka ' factoring' is somewhat understood in the Canadian business financing marketplace. And if it isn’t understood, it certainly is not as well known as to its mechanics, benefits, and how to do it the pr
When Canadian business owners and financial managers contemplate sales of receivables as a business cash flow strategy often the cost, and understanding the dynamics of that cost is top of mind. In general A/R financing, aka ' factoring' is somewhat understood in the Canadian business financing marketplace. And if it isn’t understood, it certainly is not as well known as to its mechanics, benefits, and how to do it the proper way.



We have often thought that it's simply that when firms are usually entertaining a new cash flow or working capital strategy it's because ' dire straits' have set in, and the company finds itself short of cash or generally unable to meet obligations on both operating expenses and other debt such as equipment leases, etc.


We have often preached that some of those basic problems can be fixed without external financing, i.e. a stricter credit granting policy, better matching payables outflows to A/R inflows.


However, when it’s absolutely certain that a new business financing strategy is required A/R financing is certainly one that thousands of firms are considering everyday. Why? Simply because it brings fast efficient cash flow to your firm through the sales of receivables. The way that A/R finance works couldn’t be more simple- that why we're often dismayed when we learn clients have been misinformed or led astray on pricing and factoring mechanics on day to day operations... simply speaking... how it works!!


If we had to simply one key benefit of factoring pricing it’s simply that you are only paying for the financing you are using. Using a simple (that’s our style by the way!) example of a 100.00 invoice it works as follows. As soon as you generate the invoice and can validate internally that you have shipped or earned the revenue for your product or service you receive a large amount, typically 90%, as an immediate payment for the sale of that invoice.


We can hear you already. ‘What about that other 10%"? The industry terms that the holdback and you get that back, less the financing cost, as soon as your customer pays. And by the way, if you have a number of accounts, and are utilizing an a/r finance strategy doesnt it make common sense to sell, or ' factor' your better paying customers. That’s because, as we have said, you only pay for what you use and your financing costs are decreased with those better paying customers.


Many of the benefits of factoring are overlooked because of the cost factor. We won’t even mention that your company now has the ability to simply survive sometimes, but more importantly, think Sales! Revenue! It's these lost opportunities that no longer are ' lost' since you are now immediately cash flow positive - what an exhilarating feeling that must be. Instead of uncollected A/R the left hand side of your balance sheet now shows ' Cash on hand’!


In Canada the ' fee' to sell a receivable is in the 1-2 % range on a monthly basis. The danger is when clients compare this directly to commercial bank interest, which in many ways is the wrong analogy. And remember, there is not debt here, you're monetizing or cash flowing assets on your balance sheet. In many cases we see you now have the ability to double your revenue without taking on additional debt, if in fact that debt was available to you.


Looking for the inside scoop? Speak to a trusted, credible and experienced Canadian business financing advisor who can assist you in ensuring that sales of receivables as a business cash flow strategy , if done properly, with the right partner, is a solid path to growth and success.

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

Click here for 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 .

' 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

Understanding Business Cash Flow

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The term ' cash flow ' is widely used and somewhat widely misinterpreted. Its a specialized term in business and has often confusing definitions. The most pure form is the cash flow statement for any firm. At its simplest its a ' cash in' and ' cash out' analysis. Key to this analysis though is the timing of the receipt of funds. Any good business cash flow statement or projection will show projected inflows and outflows over a period of time - usually annually.

We mentioned wide misinterpretation. That is because it is often confused with other accounting terms such as 'profits ', ' income ', and 'revenue'. Naturally real cash is the life blood of an business. We don't pay our bills with ' revenue'!.

So, yes, our firm makes things, we sell them, and eventually we receive payment. During that time we are paying out cash to employees, suppliers, and also waiting to get paid ourselves. We are only able to pay our bills as a business with real cash!

When businesses prepare a cash flow statement they list their monthly expenses, both fixed and estimated, and then focus on anticipating when customers will pay invoices, thereby generating cash. Naturally there has to be some solid work around any assumptions in that whole process - for example:

Are the projected sales going to be realized

Will the payments from those sales be made on time

How much can be drawn out of the business in the meantime

As most business owners who have borrowed already know this type of document is probably the most important one that the bank or finance company wants to see.

Business owners therefore need to properly understand the total ' cash flow cyccle ' That cycle consists of purchasing inventory, booking receivables around the sales that are made, and then collecting hose receivables. Simply right? Not really, the true challenge is in the following: ' TIMING'!

Many textbooks in finance have been written around the mis-timing of the cash flow cycle - where large and once great companies went bankrupt by misunderstanding the subject of our article.

Most lay people find it very difficult to comprehend that a company that is profitable can go bankrupt. As we have discovered that can absolutely happen as financial managers confuse profits from a sale from receipt of cash from a sale. If the cash pipe is ' blocked ' problems will occur!

In summary, any business owners or financial managers understanding of the business cycle and proper cash flow will add value to the success of the business from a financial perspective.

Stan Prokop is the owner of 7 Park Avenue Financial. The firm originates business financing for Canadian firms, and is a specialist in business financing and working capital and cash flow financing alternatives.

http://www.7parkavenuefinancial.com/business_financing_services.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

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 .

' 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



















Article Source: http://EzineArticles.com/expert/Stan_Prokop/432698


Article Source: http://EzineArticles.com/3519667

Understanding Business Cash Flow

Tweet

The term ' cash flow ' is widely used and somewhat widely misinterpreted. Its a specialized term in business and has often confusing definitions. The most pure form is the cash flow statement for any firm. At its simplest its a ' cash in' and ' cash out' analysis. Key to this analysis though is the timing of the receipt of funds. Any good business cash flow statement or projection will show projected inflows and outflows over a period of time - usually annually.

We mentioned wide misinterpretation. That is because it is often confused with other accounting terms such as 'profits ', ' income ', and 'revenue'. Naturally real cash is the life blood of an business. We don't pay our bills with ' revenue'!.

So, yes, our firm makes things, we sell them, and eventually we receive payment. During that time we are paying out cash to employees, suppliers, and also waiting to get paid ourselves. We are only able to pay our bills as a business with real cash!

When businesses prepare a cash flow statement they list their monthly expenses, both fixed and estimated, and then focus on anticipating when customers will pay invoices, thereby generating cash. Naturally there has to be some solid work around any assumptions in that whole process - for example:

Are the projected sales going to be realized

Will the payments from those sales be made on time

How much can be drawn out of the business in the meantime

As most business owners who have borrowed already know this type of document is probably the most important one that the bank or finance company wants to see.

Business owners therefore need to properly understand the total ' cash flow cyccle ' That cycle consists of purchasing inventory, booking receivables around the sales that are made, and then collecting hose receivables. Simply right? Not really, the true challenge is in the following: ' TIMING'!

Many textbooks in finance have been written around the mis-timing of the cash flow cycle - where large and once great companies went bankrupt by misunderstanding the subject of our article.

Most lay people find it very difficult to comprehend that a company that is profitable can go bankrupt. As we have discovered that can absolutely happen as financial managers confuse profits from a sale from receipt of cash from a sale. If the cash pipe is ' blocked ' problems will occur!

In summary, any business owners or financial managers understanding of the business cycle and proper cash flow will add value to the success of the business from a financial perspective.


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 .





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



















Article Source: http://EzineArticles.com/expert/Stan_Prokop/432698


Article Source: http://EzineArticles.com/3519667

Business Cash Flow Secret Weapon: Here’s The Best Invoice Discounting & Confidential Factoring Solution

Automate Your Business cash flow – Here’s How !

OVERVIEW – Information on the business cash flow solution known as Confidential A/R financing . Companies using this method of factoring/discounting their invoices create automatic cash flow and working capital

Business cash flow automated? Your ability to monetize your sales revenues as quickly as possible is in fact the automatic cash flow engine for your business. Collecting A/R as quickly as possible or financing via the bank or invoice discounting factoring is the alternate method. In effect it's your secret weapon! Let's dig in

Non bank A/R financing works when you can't obtain traditional bank financing, and when strong or erratic sales growth becomes an impediment to bank finance solutions. In many cases seasonal or bulge cash flow needs can't be addressed by a bank.
We remind clients that your cash flow, when you think of it really can become a competitive advantage. For those can can't access all (or any?) of the bank financing they need Confidential A/R Factoring is an ultra solid alternative. Bank credit is more difficult to achieve, and, to make matters worse in many circumstances we see the amount of credit you can get from a commercial bank in Canada is simply not enough for your needs.

Reasons why some business folks don't like what they hear about ' factoring ' is twofold -


1. They feel it's too expensive (rates are more competitive than ever)

2. They don't like how it works on a day to day basis - (We’ve got your answer to that one)

We think we can dispel both of those issues when it comes to providing a better alternative to address both concerns and misconceptions that our clients have.

So, ' regular ‘ factoring for cash flow for business works as follows - you generate an invoice, you sell the invoice and receive cash, usually the same day. Sounds great so far right?

However, now what happens is that your customer is contacted by the factor firm and they verify the invoice and receipt of goods and services. They also are in collection mode directly with your clients, according to whatever your terms are. The cost of this type of financing in Canada ranges anywhere from 7-8% per annum to 1-3% per month.

Factors determining prices are your firm's general financial profile, the size of the facility you need, and the types of customers and industries you sell into.

THE BETTER SOLUTION: ==>

Here's where confidential factoring discounting comes in. Here's the kicker. You bill and collect your own invoices! You have now regained total control of your factoring facility, are achieving all the benefits, and it is you who decides what amount you wish to finance on a daily, weekly or monthly basis.

Seek out and speak to a trusted credible and experienced Canadian business finance advisor who can assist you with cash flow & working capital 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
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 '

Business Cash Flow A Problem? Here’s 4 Working Capital Financing Solutions! Count ‘em!

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Is 4 Your Favourite Number When It Comes To Business Financing ?

It Just Might Be & Here’s Why!

OVERVIEW – Information business cash flow solutions in Canada. The ability to source the right working capital financing for your company is a ‘ make or break ‘

Business cash flow ! These days you probably would be happy with 1 solid working capital financing solution for your cash flow business needs. We'll beat that and give you 4! How is that for alternative solutions to your working capital and cash flow needs? Let's dig in.

Funding of working capital continues to be a large challenge for Canadian businesses of all size - The business owner/financial mgr want to grow the business. That requires investment and along the way those suppliers and employees want to be paid on time also. That's called running a business.

The most liquid asset any business always has, (next to cash) is your receivables. Working capital financing is best generated by the collection, or financing of your receivables. This can be done by:

Faster collections

Financing / selling your receivables as you generate them

This financing is called receivable discounting or factoring, and is becoming increasing popular every day. For firms qualifying for bank credit, i.e. traditional bank financing via business lines of credit are optimal

You've spent your working capital - would you like to get it back? Clients always ask what we mean by that. Any equipment you have already paid for can often be refinanced, the technical term is sale leaseback, and we find that either that strategy or a short term bridge loan with the equipment as security is exactly what our clients need to bridge the cash flow gap.

We spoke above about receivable financing - one of the best facilities for Canadian business is a combo working capital facility that finances, or ' margins ' both your A/R and your inventory. Since many firms previously couldn't finance their inventory either elsewhere, or via banks, the combined liquidity of borrowing against your A/R and inventory is a true power punch! Typical this type of financing is known as an asset based lending facility, and makes most sense when the facility is at least in the 250k range, and sky is the limit after that.


Many clients are totally unaware the Purchase orders financing is available in Canada. This is a strong potential cash flow saver, and generator, since your suppliers are paid for product when you order it, once you have received the P O. The P O lender takes the inventory and receivable as security, but in effect finances your whole sale. While it is an expensive form of financing if you have good gross margins and could otherwise not facilitate the sale of your large new orders and contracts it's a perfect solution.

In summary, make yourself aware of your Canadian business financing options. Working capital and cash flow are available if you have assets and orders. We have demonstrated that clearly to you via 4 separate solutions. Speak to a trusted, credible and experienced Canadian business financing advisor to determine what works for your firm.

Stan Prokop - founder of 7 Park Avenue Financial –
Originating business financing for Canadian companies , specializing in working capital, cash flow, asset based financing . In business 13 years - Completed in excess of 100 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 & Contact Details :


http://www.7parkavenuefinancial.com

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

Financing & Corporate Loan Success : Beating the Odds In Business Cash Flow Solutions

May The Force ( Of Business Cash Flow ) Be With You

OVERVIEW – Information on how owners/mgrs can assess business cash flow needs . Financing and corporate loan success depends on the understanding around certain internal and external ‘ forces ‘

Financing business cash flow requires that your company is in a position to beat the odds of the many firms that can't or don't know how to access corporate loan or asset monetization. In fact there are key' forces ' in business finance that affect how you'll grow sales and profits. So... may the force be with you! Let's dig in.

The classic scenario of your sales and profits not equaling cash in the bank is in fact the key ' opportunity ' the owner/ financial mgr has to turn their cash flow around. Your ability to buy needed assets is also key.

So what in fact are those forces that need to be addressed? One top expert lists them as follows, and these should always be considered when addressing business financing challenges and opportunities:

Keeping your tax obligations up to date

Ensuring you have the right amount of (good) debt and that your company can repay it

Ensuring you have day to day working capital availability

Solid mgmt of those areas of your business will allow owners and stakeholders to either increase the value of their company or take mgmt dividends, bonuses, salaries, and other distributions.

For assets you need to purchase there is no better strategy than utilizing equipment lease financing. The ability to avoid hefty down payments or to save your line of credit for daily operating needs is key.

Many firms like to ensure they have several months of cash, or cash availability on hand to meet future debt and growth scenarios. That type of solid planning allows you to make the right choices in your business, as opposed to reactive measures which often end up with wrong financing and loan decisions being made.

Business owners should also try and separate their personal financial life from their business as much as possible as it relates to personal guarantees, business credit card debt, etc. The bottom line you want to keep both your ' business cash cow ' and your ' personal cash cow ' healthy.

The concept of real ' operating cash flow ' is critical for owners and financial managers to understand. It starts with your profits at the end of the month and then adding in all the changes that take place in 3 categories- Receivables, Payables and Inventory.

Remember also there are two types of debt, loans, and operating facilities, the ability to use each one properly is key to your business success.

If you're looking to properly manage those ' forces' of cash flow it key to understand when certain types of key business financing solutions will work for your firm. They include:

Bank credit lines

Non bank asset based lines or credit

A/R financing

Inventory loans

Equipment finance / sale leasebacks

SR&ED tax credit financing

If you want to beat the odds consider seeking out and speaking to a trusted, credible and experienced Canadian business Financing Advisor with a track record of success who can assist you with your business cash flow and financing needs.



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 - Completed in excess of 100 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 & Contact Details :



http://www.7parkavenuefinancial.com/business-cash-flow-financing-corporate-loan.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