Feeling Lost Out On Loan And Finance Options In Canada?
Canadian business loans and financing options are often very near the top of the business owner/financial manager’s ' to do ' list when it comes to running and growing the business. It can be also said that it’s often common for the owner/manager in the SME sector to feel ' lost ' when it comes to achieving those financial goals and accessing the right business loan. Has to be the case? Not really... let's dig in.
WHAT IS THE SME BUSINESS SECTOR?
By now pretty well everyone seems to recognize that the SME (small to medium enterprise) sector in Canada is one of the constant powerhouses of the economy. Everyone seems to have a different definition of what this sector is; some maintain its, for example, companies with under several hundred employees and sales of 20 Million as an example. That's not that SME to us! but less focus on the solutions available to finance those firms.
SMALLER BUSINESSES HAVE A LARGER FINANCING CHALLENGE
The one thing everyone does seem to agree on though is that 'size counts' in business financing and the small to medium guy has a lot more of a challenge in accessing. More often than not it feels like an obstacle course, as the owner /manager finds it very difficult to obtain long term financing options that will help secure business growth.
THE CHALLENGES OF BANKS TO FINANCE SMALL BUSINESS
On occasion, it might help to put yourself in the shoes of the bank or the many commercial lenders that offer financing solutions for working capital business needs to Canadian companies. Lenders focus on key items such as tangible equity, assets, and in many instances outside collateral.
CANADIAN BANK SOLUTIONS FOR THE SME
Canadian chartered banks in Canada are often the 'point person' when business financing discussions come up around the needs of small businesses. While often criticized for providing the financing business needs they do participate positively in a number of ways, including the best interest rate.
Banks typically provide:
Govt Guaranteed Business Loans - The Canada Small Business Financing Program
Term loans
Small overdrafts
Mortgages
They are successful because they are on every corner, have very clear rules and borrowing applications, and can be a source of constant contact with the owner/manager.
ALTERNATIVE FINANCE TO THE RESCUE?
While bank solutions are low cost and accessible it's in fact commercial finance firms that provide a lot of the other financing options that will get small businesses to the goal line. Commercial finance firms generally aren't regulated, take more risk, and are profit-motivated. Additionally, they provide small business loan options simply not available from the banks. It is often important to have a good business plan and cash flow projections - 7 Park Avenue Financial prepares business plans that meet and exceed bank and commercial lender requirements.
LIST OF ALTERNATIVE FINANCING OPTIONS IN CANADA
Those options:
Access to Canadian bank credit
Non bank asset based lines of credit
Equipment / fixed asset financing
Short Term Working Capital Loans/ Merchant Cash Advance/Business Credit Cards - Good personal credit score required - these facilities have higher interest rates but are very easily accessible
CONCLUSION
Whether it's bank financing or non-bank commercial finance options the SME business owner doesn't have to feel lost when it comes to financing options for a small business loan that suits their needs at acceptable interest rates. Seek out and speak to a trusted, credible and experienced Canadian business financing advisor who can assist you with your operational and growth goals when it comes to loans in Canada that suit your funding and growth needs.
7 Park Avenue Financial :
South Sheridan Executive Centre
2910 South Sheridan Way
Suite 301
Oakville, Ontario
L6J 7J8
Click Here For 7 PARK AVENUE FINANCIAL website !
7 Park Avenue Financial provides value-added financing consultation for small and medium-sized businesses in the areas of cash flow, working capital, and debt financing.
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.
Stan has had a successful career with some of the world’s largest and most successful corporations. He is an experienced
business financing consultant
.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 financing 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.
Click here for the business finance track record of 7 Park Avenue Financial
Stan Prokop
7 Park Avenue Financial/Copyright/2020
