Business Finance Options Harder To Find Than Atlantis? Alternative Financing Is The Solution

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Solving The Fundamental Problem Of Business Financing Options . Hint .. It’s Alternative Finance Solutions

Business finance options seem harder to find these days than the lost continent of Atlantis. So when clients say that traditional solutions are no long working or accessible by them our answer is simple - consider alternative financing scenarios. Let's dig in.

Part of the problem faced by many business owners is simply time... they know they need new or better... or even ' some' business financing... they just don't know where to look for it .



In a lot of cases the entrepreneur spends a lot of time searching for equity capital and are disheartened to find out that they were so not ready for that option. By the way, equity capital dilutes ownership of course, so giving away a large piece of the pie early in your business success reduces the chances of long term return on your investment.



Many top experts feel that the equity route though is in fact better than debt or asset monetization. We respectfully disagree, as no matter how costly these solutions are... properly structured they can still allow you to achieve sales growth and profits without giving up ownership. That's our story and we're sticking to it!



No discussion on Canadian business financing can take place without talking about ' WHEN THE BANK SAYS NO ‘. We don’t think it's that complex really. As one expert puts it the business owner or financial manager fails to understand that the bank has a deal with its depositors... the money is safe and unavailable to risk start ups, early stage companies, or firms experiencing financial difficulties .



We're the first to point out that if your firm has profits, cash flow, and collateral, clean financials, etc you're 100% eligible for bank term loans and commercial revolving credit facilities.



So what are some of those alternative financing solutions that can still generate capital and cash flow for your business? They include:



SR&ED TAX CREDIT FINANCING - This financing funds your research and development

GOVERNMENT SBL LOANS

ASSET BASED NON BANK LINES OF CREDIT - (They finance inventory, receivables and equip all in one borrowing facility

CONFIDENTIAL RECEIVABLE FINANCING

SALELEASE BACK



What then is required to access these alternative financing solutions? In almost all cases just you’re current financials and a sales or cash flow forecast is a great start. You will not, we repeat NOT be successful if you, or your advisor can't articulate sales growth, receivable collections, gross margins, etc. That's just common sense by the way.



Asset monetization strategies will focus on your balance sheet. Hard assets can be refinanced through bridge loans or sale leaseback strategies.



Receivables of any type can easily be financed in Canada. This even includes contract monetization scenarios. And by the way, service companies can easily cash flow their A/R... your firm doesnt necessarily have to sell a hard asset product.



Yes, its true that we’ve spend hundreds of years searching for the continent of ATLANTIS. Our point - Alternative financing solutions can be found today, they are here, or just around the corner via the assistance of a
trusted, credible and experienced Canadian business financing advisor




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

Business Finance Options : Does This Operating Financing Strategy Makes Sense For Your Company ?

A Simple Financing Strategy To Increase Sales : Finance Them !

OVERVIEW – Information on business finance options in Canada. Financing sales via the right operating financing solutions is a winning business strategy

Business finance options
in Canada often involve focus and need to increase sales revenues. There is a limited number of ' Operating financing' options but the selective use of one or a combination of these creates a ' win win' strategy for sales and profits. Let’s dig in.

More often than not it's the inconsistency of sales growth

that drives financing needs. These ' spikes' in revenues often place demands on other parts of the business such as asset acquisition requirements, payrolls, etc.








The full blown solution to this challenge is a business line of credit that covers operating financing needs. The ability to borrow against existing receivables and inventory in times of sales growth is critical ; inability to finance your working capital needs leads to the proverbial business ' cash flow crunch '.

Financing receivables and inventory is accomplished via bank credit lines, invoice financing, and a combo of these to via an asset based non bank business line of credit.

This latter solution is called an ' ABL ' - the industry's acronym for asset based lending. In fact the true asset working capital facility actually can include your equipment / fixed assets as borrowing collateral. In the last few years this type of lending in Canada has seen at least double digit growth, and has become a very competitive niche lending business in Canada.

In terms of borrowing power Canadian banks typically use a 75% borrowing margin - asset based lenders more often than not are comfortable with 90% borrowing. Simply speaking, using the ABL solution as an example , a 10,000 invoice for example allows borrowers to access 9000$ in cash flow / borrowing power as soon as the invoice is created and the sale is made.

While Cdn banks take a floating charge over all the assets of your business asset based lenders price these transactions differently. While pricing is a key issue in asset based credit vs. the bank ( bank pricing is much less ) often the key factor in choosing such a non bank facility is the access to capital, given stringent bank requirements and borrowing caps.

(Note that generally speaking asset credit lines are often unlimited inn size- capped only by your sales levels, given those sales create ongoing receivables borrowing power) Simply speaking - banks have credit limits on operating facilities, asset based financiers don't.

Traditional non bank A/R financing, typically called ' factoring' often has a requirement that your clients be notified about the financing. The way around this is to consider a CONFIDENTIAL RECEIVABLE FINANCE solution, which empowers your firm to bill, collect (and borrow!) against all or some of your receivables generated by sales. The ability to access the right facility and not get ' locked in' is also important. Here advisory expertise is recommended.

While certainly industries are touted as being the perfect candidates for A/R finance the reality is that every type of business and industry that generates commercial (“B2B") sales qualified for financing.

If you're looking for the most sensible option to increase operating financing requirements 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 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 :


7 PARK AVENUE FINANCIAL = CANADIAN OPERATING 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

Growth Financing In Canada : Are You Mapping Your Business Finance Options Correctly

Perks and Pitfalls In Growth Financing In Canada

OVERVIEW – Information on growth financing solutions in Canada. Business finance options to grow your company work best in a well mapped out and planned strategy

Business finance options , when it comes to growth financing are more successful when they are mapped out properly. We're examining the perks and pitfalls of growth finance. If you have no growth plans you have no worries at all! Let's dig in.


The ability to determine or calculate how fast you want to grow depends on several factors, one of which is financing. In some cases you might want to grow ' non organically ' - that is to say buying/acquiring another firm. Given that debt and equity are essentially the only two considerations you have which one works for you. More importantly what types of debt financing are available?

At certain points in time your business is well past that start up stage- it's time for take off! The majority of businesses in the SME COMMERCIAL area have limited equity options, so it’s all down to either debt... of monetizing assets they already have. If you don't have some record of success at this point financing will almost always be a challenge.

If you buy into the fact that growth should be carefully mapped out it's critical to have a business plan that demonstrates both your operating as well as growth requirements. The ability to assess collateral will often point to commercial finance companies, as opposed to banks, for the financing you need. When outside collateral and personal guarantees don't cut it with the bank commercial finance firms have numerous options to run / grow your business.

They include:

A/R Financing
Royalty Finance
PO / Contract financing
Asset based non bank business lines of credit
SR&ED Financing
Equipment financing/Sale Leasebacks
Working capital term loans
Unsecured cash flow loans
Govt Guaranteed 'SBL' Loans

While financing costs are higher but give you finance alternatives, and the ' perk' here is of course that equity funding can be avoided with ownership being fully maintained. Remember also that your own operating cash flow can be a large component in your growth plans. Profits and asset turnover in receivables, inventories and payables mgmt will produce cash flow that can grow your company.

Bottom line, it's ' back to basics' mgmt! - A combination of internal liquidity and proper use of outside business credit.

Management of those items will also decrease the amount of operating credit line you require. And if your business requires larger capital investments Equipment financing via capital and operating leases is a choice preferred by most financial officers/owners.

As a business owner/financial mgr growth financing means utilizing your ' financial toolkit' of internal and external tools as they relate to outside financing , selling or refinancing your assets, and taking on the right amount of debt to grow your business.

If you want to have a solid grasp on the' perks and pitfalls' of growth financing , as well as having access to business options that make sense for your firm/industry 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 mapping out growth finance options.


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/growth-financing-business-finance-options.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

Business Finance Options In Canada : Corporate Funding Solutions And Alternatives

Waiting for the ‘ Second Coming’

In Business Financing In Canada : It Might Have Already Arrived !


Information on how owners/managers can access business finance options in the Canadian marketplace. Corporate funding alternatives exist in traditional and alternative solutions if you can position your firm properly




Business finance options in Canada, when achievable, provide a sense of security to Canadian business owners and financial managers. When we talk to many clients and business folks they feel their financing solutions are limited; in other cases they know they have options but don't know where to look or who to talk to. Let's dig in.


Our position? The second coming in Canadian business financing might already be here - you just didn’t get the memo!

The reality is there are many traditional and alternative financing strategies that give the owner/manager a broad spectrum of funding alternatives , And trust us, we're not talking about large well funded already public companies with access to capital , equity markets , and Bay Street smarts . Those solutions apply equally as much to the SME (Small to medium Enterprise) sector in Canada.

Financing is of course required for a variety of circumstances; it might be growth, operations, turnaround / recapitalization, and even the acquisition or merger of your firm with/by another.

It's not secret that the Canadian business financing landscape has evolved dramatically in only a few short years since the 2008/2009 financial debacles every company on the planet felt the brunt of.

There is one huge irony

we've observed - the constant message by Canadian banks and financial pundits that there is a lot of corporate funding and capital alternatives available to business. Yes, we agree, it’s just that the hurdles to achieve those goals seem much higher. The bar has been raised.

So how does the owner/manager, whether it be a start up or a mid market size type firm achieve access to financing. First of all they need to know if they are looking for and suited for the right amount of ' debt' or ' equity '. As importantly they need to know who to access for that funding - it might be a bank, but it also might equally be available from independent commercial finance companies and asset based cash flow lenders.

Naturally it takes a bit of time to search out these alternatives, and to feel secure you are dealing with and talking to the right parties. Here is might be highly advisable to 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 positioning your business for the financing it deserves

What then are some of those solutions and finance options? They include:

Receivables financing

Inventory finance

Sale leaseback

Equipment leasing

Bridge loans

Commercial bank lines of credit

Asset based non bank credit line facilities

Term loans/ Working Capital Term loans

Government SBL loans ( max to 350k)

Securitization

Mezzanine Financing


How to approach those solutions? The way we do it with clients is pretty straightforward:

Understand your current financial position

Ensure a cash flow or business overview/plan is available

Commit time to speaking to qualified capital sources

Pick the financing alternative that is achievable in current circumstances

In essence you want to properly ' navigate’ those sometimes complex financing waters.

When you understand your current liquidity and capital structure issues you've clearly discovered, you guessed it, the 2nd coming of business financing and corporate funding in Canada.



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


7 Park Avenue Financial = Canadidan Business Finance Options


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

Direct Line = 416 319 5769

Office = 905 829 2653



Email = sprokop@7parkavenuefinancial.com


' Canadian Business Financing with the intelligent use of experience '

Stan Prokop

Business Finance Options Harder To Find Than Atlantis? Alternative Financing Solutions Are The Answer

Solving The Fundamental Problem Of Business Financing Options . Hint .. It’s Alternative Finance Solutions


OVERVIEW – Information on business finance options in Canada. How alternative financing solutions via asset monetization and debt allow the business owner to avoid equity dilution




Business finance options seem harder to find these days than the lost continent of Atlantis.

So when clients say that traditional solutions are no long working or accessible by them our answer is simple - consider alternative financing scenarios. Let's dig in.

Part of the problem faced by many business owners is simply time... they know they need new or better... or even ' some' business financing... they just don't know where to look for it .

In a lot of cases the entrepreneur spends a lot of time searching for equity capital and are disheartened to find out that they were so not ready for that option. By the way, equity capital dilutes ownership of course, so giving away a large piece of the pie early in your business success reduces the chances of long term return on your investment.

Many top experts feel that the equity route though is in fact better than debt or asset monetization. We respectfully disagree, as no matter how costly these solutions are... properly structured they can still allow you to achieve sales growth and profits without giving up ownership. That's our story and we're sticking to it!

No discussion on Canadian business financing can take place without talking about ' WHEN THE BANK SAYS NO ‘. We don’t think it's that complex really.

As one expert puts it the business owner or financial manager fails to understand that the bank has a deal with its depositors... the money is safe and unavailable to risk start ups, early stage companies, or firms experiencing financial difficulties .

We're the first to point out that if your firm has profits, cash flow, and collateral, clean financials, etc you're 100% eligible for bank term loans and commercial revolving credit facilities.

So what are some of those alternative financing solutions that can still generate capital and cash flow for your business? They include:

SR&ED TAX CREDIT FINANCING - This financing funds your research and development
GOVERNMENT SBL LOANS
ASSET BASED NON BANK LINES OF CREDIT - (They finance inventory, receivables and equipt all in one borrowing facility
CONFIDENTIAL RECEIVABLE FINANCING
SALE LEASE BACK

What then is required to access these alternative financing solutions? In almost all cases just you’re current financials and a sales or cash flow forecast is a great start. You will not, we repeat NOT be successful if you, or your advisor can't articulate sales growth, receivable collections, gross margins, etc. That's just common sense by the way.

Asset monetization strategies will focus on your balance sheet. Hard assets can be refinanced through bridge loans or sale leaseback strategies.

Receivables of any type can easily be financed in Canada. This even includes contract monetization scenarios. And by the way, service companies can easily cash flow their A/R... your firm doesn't necessarily have to sell a hard asset product.

Yes, its true that we’ve spend hundreds of years searching for the continent of ATLANTIS. Our point - Alternative financing solutions can be found today, they are here, or just around the corner via the assistance of a trusted, credible and experienced Canadian business financing advisor.



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 – Business Finance Options Expertise

Stan Prokop

Business Finance Options In Canada . How To Assess Commercial Loan And Financing Alternatives In Canada

Making These Mistakes When It Comes To Financing Alternatives?

OVERVIEW – Information on business finance options . What commercial loans or asset monetization strategies work, or don’t work in Canada



Business finance options in Canada. How does the Canadian business owner and financial manger assess commercial loans and other needs for growth and survival? What are the alternatives when it comes to business financing? Let's dig in.

More often than not it always comes down to those two words ' cash flow'. While everyone accepts the importance of that term sometimes it's difficult for the owner/manager to assess the importance as they are wrestling with growing revenues or profit issues.


So how does the business owner ensure that the right type of financing is in place? While traditional bank commercial loans are often perceived as the ' go to ‘in reality all types of business financing, both traditional and alternative can address your needs. Oh and by the way, you don't need to take on more debt all the time, sometimes it’s a case of managing or monetizing your existing assets.

Simple better asset turnover in accounts such as inventory and receivables significantly enhance cash flow. And just using the right financing for the right need makes your firm a better cash flow and working capital manager.

Take the replenishment of assets such as equipment as an example. Using lease financing as an options can provide a multitude of positives around replacing assets to enhance your operations and competitiveness. Using effective lease strategies to their maximum allows you to grow your business. Some of those very basic tools include the effective use of operating leases, matching the term of the lease to cash flows and useful life expectancy of the asset, etc.

While the ' go to' for asset acquisition in Canada is leasing almost 80% of the time as experts tell us, business owners in the SME sector can also acquire equipment via the Government small business loan . It offers big guy corporate benefits to the little guy, and that’s a rare thing in the Canadian business landscape. For example, under this program terms of 5-7 years are available, personal guarantees are limited to 25%, and there is no charge to repay the loan early. Sometimes even the big guys can't negotiate that one!

Many business owners in the Canadian business landscape, certainly in the SME (small to medium enterprise) sector are unfortunately not known for their planning skills. As a result they are not always proactive in addressing financing needs until a crisis. Other challenges they have include the inability to understand what options are in fact available - therefore they spend hours, days, weeks and months chasing financing options that are never meant to be.

Many business owners, again we're talking about the SME sector often do a poor job of separating their personal financial life from their business life. Issues such as business credit cards or using home equity lines to finance their business can backfire in a big way. We encourage owners, whenever possible, to separate business and personal finances. After all, isn’t that one of the main reasons you incorporated anyway?

Business finance options in Canada include:

Receivable financing
Inventory Finance
Supply Chain/ PO financing
Working Capital term loans
Unsecured cash flow loans
Canadian chartered bank term loans and operating lines of Credit
Equipment financing/bridge loans
SR&ED Tax credit financing
Specialized franchise loans


Which one or what combinations of these are right for your firm? Seek out and speak to a trusted, credible and experienced Canadian business financing advisor who can assist your in assessing alternatives that make sense for your business.




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 = Business Finance Options Expertise









Have A Question Or 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
Fax = 905 829 2653

Email = sprokop@7parkavenuefinancial.com


















Stan Prokop

Business Finance Options. Not The Dark Secrets You Thought They Were When It Comes To Traditional Or Alternative Financing

Are Your Business Finance Options Out Of The Box .. Or In The Box ?

OVERVIEW – Information on business finance options in Canada. Business owners /managers must choose between traditional or alternative financing solutions that match their capital and growth needs



Business finance options in Canada. We constantly hear the term ' out of the box thinking ' these days, denoting some level of creativity . When it comes to alternative financing a number of solutions are available that are non traditional in nature.

However a number of these finance strategies get more and more traction every day. So yes, they are ‘out of the box ' to a certain degree, but we can guarantee you there are no 'dark secrets '. Let's dig in.

Let's take a look at some methods to finance your business that might be ' alternative ' in nature. Every successful business requires some level of owner equity. Many businesses are started by the use of personal assets which are monetized. We've said time and time again that it’s important to separate your business and personal life when it comes to finances.

So while selling or liquidating assets might be considered an ' alternative ' strategy the reality is that your personal resources become completed, they are at risk if there is a business failure and your all important personal credit history might unravel. So yes, it's important to commit equity to a business, combined with the right amount of debt. Ensure though that assets you're tapping are in the right amount and that will help attract the correct amount of debt financing you need.

Many businesses that can't be funded by banks are in fact eligible for bank financing! What do we mean by that -simply whether you consider it ' traditional' or ' alternative bank government guaranteed loans are a great way to finance fixed assets, leaseholds, technology requirements, etc. Bottom line - investigate the SBL program.

We constantly run into many businesses that are financed by credit cards. Here it's a double edged sword. Business credit is accessible - caution must be taken to use the right type of cards and to further ensure your personal credit history will not be tarnished by over use of credit.

Certain companies are great candidates for high net worth investors, many of whom are termed ' Angel' investors. They look for good opportunities with firms that have growth and profit potential. Many have experience in the industry you are in, which you benefit from via external expertise. The biggest challenge in Canada is finding Angel investors and understanding they will demand an ' equity ' or ownership role in your business.

Over the years we've worked with a number of clients who have utilized the capital pool or reverse take over option for new financing. Our own experience is that this often does not work, but done properly your firm is certainly more visible to the public and you have the opportunity to attract additional capital.

Many business owners and managers don’t realize they can bulk up on cash simply by selling accounts receivable. This process immediately monetizes A/R into cash, and although more expensive is much cheaper than giving up control and equity ownership. Receivable financing, done right is a solid alternative strategy used by thousands of corporations, large and small, everyday. Our recommended solution in this area is Confidential Receivable Financing , providing you with unlimited credit against your sales and allowing you to bill and collect from your own clients without any third part interference.

Heard of Royalty Finance? We rarely see clients use this method of financing, but it’s certainly up for consideration. It simply allows you to borrow against future sales which creates a win / win strategy for your investor/lender and allows you to avoid debt and grow your company.

Never forget that your suppliers/key vendors are great sources of capital. Just negotiating better payment terms creates business cash flow. In certain cases you might end up considering some sort of more strategic relationship which is of future benefit.

Traditional finance sources include:

Commercial bank lines
Asset based lines of Credit
Bridge Loans/ Sale Leasebacks
Tax Credit Monetization
Supply chain/PO finance

Which traditional or alternative business finance options will provide your company with the capital you need. Seek out and speak to a trusted, credible and experienced Canadian business financing advisor who can assist you with your capital 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 7 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 = Business Financing Options













Stan Prokop

Business Finance Options Canada – Start Up & Commercial Loan Corporate Credit Facilities

It's not as bad as you think. No really, we're serious. We're talking about business finance options in Canada - all the way thru from start up to corporate credit commercial loan facilities.

It's not uncommon for clients to know what or how much they need for their Canadian business financing needs. What their challenge usually concerns knows what their financing choices are, what the various benefits are, and most importantly, how to go about securing that financing. Let’s review!

When you think about it we are talking essentially about sources of funds - and that comes from either borrowing facilities of personal or corporate equity. We're not going to focus too much today on personal resources - typically those are collateral home mortgages, credit cards, and the proverbial friends and family. We'll let you address those yourselves - instead let’s focus on corporate borrowing, whether you are a start up or an established business.

So what are the key essentials in corporate credit facilities? They are supplier credit (most business owners don’t unfortunately consider that as a source of financing, but it is, working capital financing, and loans form banks and the government. (The Canadian SBL loan program goes to 350k and we firmly believe its one of the best facilities available to small and medium sizes business in Canada).

When you think about it no one financing solution will rarely cover off everything you need. In reality it’s a combination of borrowing structures that will allow you achieve all the working or long term corporate credit and capital you need. For example, the majority of equipment in Canada is finance via equipment leasing and financing - which in the 2011 environment enjoys a very robust popularity.

However, lease equipment financing is long term capital, matched against the useful life of the asset - in many cases you are instead looking for operating capital, the ever required ' cash flow ' that is the life blood of your company . That capital is sourced via a bank operating line of credit, a working capital facility via a non bank lender, or a major asset based lending facility that comprises receivables, inventory and fixed assets.

One of the most popular and growing methods of financing today is termed ' factoring ‘. Other names it goes by are receivable finance, invoice discounting, and our favorite C I D, which stands for confidential invoice discounting. This type of financing gives you all the working capital and cash flow you need, hence its popularity, but is more expensive than traditional corporate credit facilities via a bank. It's a very misunderstood form of finance; essentially it’s the sale of your receivables as you generate revenue.

Our afore mentioned C I D facility is a factoring or invoice discounting facility that doesn’t force you to tell your customers that you are financing your firm thru this type of arrangement .

In summary, the type of capital and the amount of business finance you require depends on which stage or cycle your business is in , either start up or advanced and mature .

You can best understand the type of financing you need by ensuring you have a solid handle of your operating expenses and capital costs requirements. Cash flow projections and a list of potential other collateral are always helpful... allowing you to feel confident that you can appro0ach external financing successful.

Consider speaking to a trusted, credible and experienced Canadian business financing advisor on funding you need today and for the future.




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 80 Million $$ of financing for Canadian corporations .Info re: Canadian business financing & contact details :

http://www.7parkavenuefinancial.com/business_finance_options_corporate_credit_loan.html