Best Practices On Getting Canada Government Loans. Let The SBL Loan For Small Business Work For You

Get On Board with The Gov’t SBL Loan !


Information on Canada government loans. What best practices can Canadian business owners use to successfully receive the SBL loan for small business.



Canada government loans for small business. Are there some ' best practices ' to follow to ensure they work for you, and that of course you get approved? We think there are.

If you have worked in a larger corporation at any time (trust us ... we have) they always talk about ' best practices. They are defined as practices or methods that will ‘consistently show results superior to those by other means’. We’re not the biggest fans of buzzwords and ' corporate speak ' but we will say that it does seem quite applicable to our subject, the SBL loan in Canada.

When Canadian business owners, from start up to SME consider applying for Canada government loans it’s all about the rules. And when it comes to those rules that's where it gets a little tricky, because if the truth were to be told ( and we're telling it ) there are two sets of rules . One is the rules set out by the Small business loan program (The CSBF) and the other rules seem to be set out by those that run the program on a daily basis, ie the Canadian chartered banks and other miscellaneous institutions.

That’s where solid ' best practices ‘tell you that you don't want to be really ' winging it’ when it comes to applying and getting approved.

In reality the short list is really just that, quite short when it comes down to program qualifications. You need a crisp business plan and cash flow projection. Your plan should cover some real basics, and we assure clients it doesn’t have to read like a book. That's not the intent.

You just want to be able to convey a concise description of who you are, what your business is, who you compete against, and how you will operate and sell. It's as simple as that. If you can talk to those key points we feel you should be able to convey them in writing also, don’t you think?

That business plan and cash flow is the key document in successfully obtaining Canada government loans for small business. Those loans range up to $ 350,000.00 in value, have great rates considering that you are a start up or SME enterprise, and additional enhancements to the program include limited personal guarantees (clients love that one) as well as the ability to prepay without penalty.

Supporting documents are key to your plan, and they include what we always have felt were the basics - tax returns showing you have no arrears (after all it’s a government loan!), copies of your incorporation data, a premises lease. and supporting invoices or quotes you want financed .

All of the above data we shared are in fact our recommended ' best practices ' when it comes to the small business loan program in Canada. You increase your chances via an organized and positive approach, and basic attention to detail.

Speak to a trusted, credible and experienced Canadian business financing advisor who can assist you on the approval your firm or start up deserves.




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 :

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

5 Reasons To Consider Canada Government loans . How To Use the SBL Federal Loan Program

SBL Loans - Consider the Program For These Business Needs

Information on Canada government SBL LOANS . The federal small business loan can be used for a variety of business uses .. here are some of them .


We're big supporters of the Canada government loans, commonly called the ' SBL loan ‘. Why? This federal loan (you’ll soon see it’s not as federal as you think ... it's more local ...) can be used for a variety of solid business reasons. What are those uses then? Let's explore.


Canada government loans are the ideal financing solution for a business start up. SBL financing compliments significantly your own equity contribution to the business. A large amount of outside collateral is in fact not required for the federal SBL loan. Traditional financing via Canada's chartered banks and other lenders often make it difficult to achieve any proper level of start up financing.

Amortizations are available that make sense for your start up. You are trying to minimize monthly payments and maximize cash flow. There isn't a day when we don't talk to an entrepreneurial client who doesnt feel their resolve to start and succeed in business isn’t tested, so the federal small business loan is a solution to the testing of your resolve!

Our second category or use of this financing is ' Equipment. When you are looking to purchase assets to grow and maximize your profits government loans make a tremendous amount of sense.

Your equity contribution, i.e. the down payment that you would typically associate with a lease financing is low, the 5-7 year term amortizations make sense, and the bottom line it's a classic use of matching your new assets useful economic life to the term of a loan.


Use # 3 for Canada government loans. Buying a business. Funding from our proposed financing solution allows you to purchase an existing business.

We caution clients that the requirement for purchasing a business using the SBL vehicle requires that the seller agree to an asset sale, as opposed to a share sale. Almost any industry can be financed in this manner, as long as there are assets in the business that you are acquiring.

The good news here is that the emphasis on the financing of your proposed purchase is focused on the previous success of the business, as well as your ability and experience to run and grow the business. The SBL loan can also finance real estate as part of a business purchase - in this case the traditional limit of financing actually increases to $ 500,000.00.

Potential use # 4 for the Federal small business loan - refinancing! If you or your firm incorporated or otherwise have purchased assets within the last 6 months they can be refinanced under our proposed program. This generates working capital that can be put back in your business. In certain cases an appraisal might be required on the asset, but that is a very modest expenditure relative to the benefits of the financing received that come back into your business cash flow.

Finally, use # 5 for Canada government loans. It's buying and financing a franchise. Entrepreneurs in Canada finance thousands of franchises each year under the program, which in many ways is perfectly suited to the challenges of a franchise.

There you have it, 5 solid uses for the utilization for the federal SBL Loan. As we noted federal denotes Ottawa and government, but Canada’s chartered banks administer and fund the program under federal auspices. Speak to a trusted, credible and experienced Canadian business financing on how you or your business can utilize this valuable Canadian business financing vehicle.





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 :

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