The Only Disadvantage Of Factoring Receivables And Why Confidential Accounts Receivable Finance Works!

Use Confidential Invoice Financing as your Best Cash Flow Tool

Information on financing receivables . Receivable finance solutions such as Confidential Invoice Discounting are a solid way to enhance cash flow when unlimited amounts of traditional financing aren't available

Looking for a creative, ‘outside the box’ Canadian business financing solution? You may have investigated factoring receivables already but either didn’t understand how accounts receivable financing works, or, probably more to the point weren’t comfortable with how it works for your firm on a daily basis.

We've got the perfect solution for those worries, and its called confidential receivable financing, in Europe its more commonly known as C I D, confidential invoice discounting .

Let's examine why this type of business financing works in general, and then let's focus in on why our solution makes a solid solution even better.

In general terms when you 'factor ' your receivables you essentially sell them to the factoring firm. That can be done on a one of basis, on a periodic basis, or all the time. That’s one of the key advantages of this type of financing, you only use what you need, and... More importantly, you only pay for what you use!

Paying for what you use in accounts receivable financing is key because factoring, in general terms can be a more expensive type of financing. We say ' can be ' because quite frankly if you use it properly it actually could be a cheaper method of financing than your bank. That's a point our clients are always amazed at when we discuss this type of Canadian business financing.

The cost of factoring receivables can be significantly offset, or in some cases removed completely by your firm using these funds to take supplier discounts and purchase more efficiently and at better prices .

And... Think about this carefully, if you can finance your receivable the days you issue the invoice (that’s what factoring does) then you are in a position to generate funds to sell more products and services to your customers, generating additional margins and profits.

Or, of course, you could take the non factoring approach and wait for your customers to pay you in 30, 60, or... dare we say it, 90 days. And that hasn’t worked for you in the past, which is why you are looking for a better solution.
So lets examine how factoring works, and lets get you over the hump, so to speak, on why our preferred type of accounts receivable financing is confidential invoice discounting .


When you generate an invoice under a factoring receivables agreement you receive 90% of the invoice in the form of immediate funds the same day. The other 10% is a holdback, and is remitted back to you promptly when you customer pays, less the financing charges, which are typically 1.5 - 2% for a 30 day period.

In 99% of traditional factoring arrangements the factor company verifies your invoice with your customer and actually collects it. Under confidential invoice discounting you bill and collect your own receivables, and are in a position to finance your firm without your customers and suppliers having anything to do with how you finance your business.

Speak to a trusted, credible and experienced Canadian business financing advisor on why confidential accounts receivable financing will work for your firm, allowing you to supercharge that cash flow and those profits!



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

Canadian ABL Financing – Why Asset Based Finance Lending Is A Class By Itself : Trusted And Versatile !

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Asset Based Lines Of Credit For Canadian Business

Information on ABL financing in Canada . How does this type of asset finance differ from bank facilities and why asset based lending increases borrowing power for working capital purposes

'Confidence in good sense ' - that’s one definition of the word trusted. And we think that’s a great way of thinking about ABL financing and asset finance in Canada. So ABL... What is it? It stands for asset based lending, and the simple definition of this new Canadian business financing facility is simply as follows.

ABL is a revolving line of credit facility whereby your assets are secured by the facility you borrow against all those assets on a daily basis.

But, and its a big but, as opposed to bank financing via a Canadian chartered bank facility you are allowed to borrow against the real world maximum liquidity of those assets . Typical assets secured under an ABL financing facility are receivables, inventory, fixed assets, and on occasion real estate if that also fits into your asset equation.

The uniqueness of Asset based lending is simply that the majority of these facilities are offered by what we call ' non - banks - given that that majority of Canadian business owners and financial managers associated ' borrowing' and lines of credit with Canadian chartered banks. Instead , the ABL community tend to be independent finance firms, some of whom are U.S. based but doing business here , who focus and have tremendous expertise in the one thing you cherish most - your business assets !

So where does the versatility com from then? That’s the great part of a line of credit via asset finance strategy. It's all about what we call ' maximization ' (is that really a word?). In ABL financing usually 90% of receivables become an immediate borrowing base, and inventory tends to be financed in the 30 -70% range. In case you haven’t figured it out yet (we’re sure you have) that’s about 30-70% more than you probably were getting before. And, under the concept of true asset finance, the appraised value of your unencumbered fixed assets also now become part of your daily borrowing ability for cash flow and working capital as you need it . Tell us that isn’t versatility!

Because ABL financing increases your ability to borrow for liquidity purposes it allows you to put aside the challenges of meeting qualifications for chartered bank lines of credit - all those things your banker loved to talk about - leverage, cash flow coverage, minimum debt to equity ratios and on it goes... you know the drill.

So, is your firm eligible? It is if you meet the sole criteria - you have assets! The beauty of asset finance is that it works for small firms, major corporations, firms that have financial challenges, and those enjoying the best of all worlds, high growth and profits and a need for constant new working capital.

So, got what it takes? If you have the need, for increased, flexible and higher lines of borrowing power then speak to a trusted, credible and experienced Canadian business financing advisor who will ensure you have a facility that meets your firms unique survival, growth, and financing needs.






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

Inigo Montoya’s Guide to Cash Flow Financing : The Business Working Capital Loan demystified !

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New Rules For Working Capital Finance In Canada


Information on the concept of cash flow in business financing in Canada . What type of working capital loan makes sense for your firm?

Have we got a story for you! Actually it's not even a story, it’s a fairy tale. A fairy tale? Truth to be told it’s actually been told already - we talking about the movie ' THE PRINCESS BRIDE ' which some might associate for kids, but it's actually on a few different levels.

A character in the movie is Inigo Montoya . So, Inigo Montoya? The Princess Bride? Oh, yes and cash flow financing! What in the heck could they have to do with each other? Let's explain.

In the movie our friend Inigo is known for always saying ' I do not think it means what you think it means ‘. That's our premise today on ' cash flow. With apologies to Inigo Montoya.


Business cash flow financing. We hear that a lot, clients want to talk to us about it a lot, and most of all, we hear about it in an inconceivable number of ways. Cash flow and its sister, working capital can be used in very direct ways or obscure ways. The offerings that bring about cash flow financing solutions are both direct and indirect.


A good bottom line for us to focus on is that cash flow is a crucial way of determining your company’s health. So that is why it’s a good way to get a handle on processes around cash flow in your company, our terminology (here we go again with Inigo) as well as what internal and external ' players' can affect your cash flow performance...

As we said, cash flow, as well as profit are what most people would agree are the two most important measurements to determine if Canadian business owners and financial managers are winning. The reality is though that while you might look at those two measurements over, say, a yearly period they are quite different and have different uses or meanings to you, the business owner or manager.

Suffice to say that when you are looking at operational issues and challenges the focus is often more clearly on cash flow and working capital as opposed to profit. Ironically we find that when we talk to people about their stock investments in individual firms they talk about profit more than cash flow... we'll never figure that one out.

Should you be surprised when you are doing well, (from a profit perspective meaning of course expenses were less than sales) that you are out, or short of cash? Naturally if you could immediate ' cash flow ' or monetize all that revenue you wouldn’t be in this position, right.

The three elements of your cash flow statement are financing, investment and operations. They affect cash flow in different ways. Challenges arise when you find you can't invest what you need in your business or that you need to take on more debt.

So, cash flow. As we said, there isn't a day when we don't hear about a different meaning or interpretation of the term. In a way they are all correct, it’s about managing your cash inflows, budgeting your cash flow, granting credit to clients,

Are their solutions to your working capital loan or monetization challenges in Canada? You bet there are. They include turning that revenue and those receivables and inventory into business working capital, either via a loan or direct monetization. Solutions include receivable finance, inventory financing, sale leaseback finance , asset based lending, confidential invoice finance, tax credit monetization, and a working capital term loan.

Speak to a trusted, credible and experienced Canadian business financing advisor for solutions that make sense to you. With apologies to our good friend Inigo Montoya!

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


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

Know The Happiness Formula For Cash Flow Financing And Working Capital Problems ?

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Are You A Great Cash Flow Manager ?


Information on cash flow financing management and working capital problems and their solutions in the Canadian business space.

Cash flow financing in Canada. Is there in fact a ' happiness formula' for solving and managing through cash flow problems? In our opinion it's really a combination of management as well as sourcing the proper solution based on your firm’s particular situation.

Let's examine some tools, tips and strategies around what we might consider a ' Happiness Formula '! in Canadian business financing .

A good way to address the topic is to focus on 3 sub topics - understanding what is in your financial statements, using that information to work through your cash flow cycle, and, finally, financing cash producing assets... properly.

We have said it before, and of course we'll say it again, too many business owners and financial managers focus on their financial statements from a viewpoint to looking primarily at their income statement, perhaps then the balance sheet.

Guess what though; probably the most important way to view cash flow management and to identify working capital problems is in that third part of your financials, it’s the ' Cash Flow Statement '. For us old timers it was also aptly called ' Sources and Uses ' and we're talking cash of course! We love the line ' Cash ... where got ... where gone'!


So what we are saying is that this particular part of your financials can lead you to our sought after 'Happiness Formula.’

The simple part of looking at this statement is the fact that it quickly identifies the gap between profits and cash - and as most business owners know they are often, if not always, NOT the same!

The bigger that gap is of course a solid place to and time to start thinking about solving working capital problems.

So how do you in fact secure the proper cash flow financing in Canada. And don’t forget that it’s not just about surviving in business; it’s about growing your business. That growth will simply enhance the value of your company.

The cash flow statement will properly identify your overall business or operating cycle. In fact it’s even a precise calculation that you can use to track how long 1 Dollar flows through your company, from order to collected receivable. The longer the time gap the more working capital problems and challenges you have.

Cash flow financing come from two areas, borrowing, or simply turning your assets such as A/R and inventory over. Naturally you also want to manager your fixed assets so they are in a proper relation to your overall equity and capital structure.

And those solutions to cash flow finance in Canada? They are varied - they include chartered bank facilities, asset based non bank lines of credit, receivable and inventory financing that are again non-bank in nature. Additional sources are monetization of tax credits or the sale and leaseback of owned assets.

Still searching for the Cash flow Happiness Formula? Speak to a trusted, credible and experienced Canadian business financing advisor today.

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


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

Cash Flow Financing ! Problems And Oh Yes Business Solutions !

Two Great Tips On The Cash Flow Conundrum!

Information on cash flow financing solutions and techniques for the Canadian business owner and manager . Problems can be solved via internal techniques and real world working capital tools.

Cash flow financing for your business. We're sharing some solid solutions and tips for business finance problems and challenges.


Whether your financing challenges are temporary, or seem to be occurring all the time the Canadian business owner and financial manager is always looking for a fix to that dilemma. So our focus on strategies and straightforward business financing methods that... you got it... fix the problem.


Tip # 1 - Don't pay anyone! Well we're kidding of course, but a better way of saying what we intended to mean is that you can manage a lot of your cash by using an internal solution... payables management. The trick of course is having key vendors and supplies that value your business and want to work with you to keep your business - somewhat of a classic win / in scenario, don't you think.


The ability to turn your stated 30 day terms into 60 and 90 days with your vendors allows many companies to actually become self financing. That's almost cash flow nirvana - not borrowing and growing your business. It's no secret that some of the largest companies in the world pay firms such as yours slowly just to optimize their corporate cash flow. The nerve of those guys.


Our final point on this technique is simply that you don't want to end up ruining a key supplier / vendor relationship, so a proper sharing of the facts keeping in mind the value of the relationship is critical.


Tip # 2- Accelerate collections, finance receivables, and better yet... do both! When we talk to clients about their cash flow financing challenges it’s often about their customers owing them money and not paying. The internal things you can do to fix this problem are of course to be more firm with collections and enforce your terms. Big companies hold shipments to their clients, so you should not be afraid to also. We'd also consider raising prices to clients that don't pay. Just keeping a constant watch on your days sales outstanding or collection period is going to make you a true ' Master' of business solutions and solving those working capital problems .


You might also want to offer a discount for prompt payment. One key point here is that you need to have some decent gross margins when it comes to offering a typical 2% discount for prompt payment. But don't forget also that you can take those same funds you receive and take discounts with your own suppliers. Another key concept here is to understand your borrowing rates and bench mark them against discounts you might offer for prompt payment

Solutions for cash flow
abound in Canada. It's all about picking the right one for your firm.

They include:


Receivable finance

Working capital term loans

Asset based lines of credit

Business commercial bank facilities

Tax Credit Monetization

Supply Chain Finance

Securitizing your receivables or contracts


Seek out and speak to a trusted, credible and experienced Canadian business financing advisor who can assist you with your business problems via real world solutions.

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

Back By Popular Demand ! Canadian Working Capital Cash Flow Financing And Loan Alternatives

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Canadian Business Financing and Cash Flow Solutions And Alternatives!

Information on working capital cash flow financing in Canada . What business loan and other finance facilities work best for your firm

‘Focus On Growth ‘- That was the heading in a business article in one of Canada's two leading business newspapers. We try as often as we can to translate their interpretations of whats happening back to where we work every day, which is the real world!

So, working capital and cash flow financing , whether through a loan or other facilities. That’s our focus today. A key point made in the article focused on the fact that so many firms had cut costs or held back that they missed, or are missing major growth opportunities to grow both sales and profits . The focus of the Canadian business owner and financial manager was ' cash shortages ‘, said the article, thereby impacting growth.

‘Make better use of your cash ‘said the article, and encouraged you to maximize supplier credit, and at the same time work the other end of the spectrum, which is your own receivables policy.

A constant comment we hear from clients is that they not only don’t know ' the fix ' to a working capital and cash flow problem, they often actually don’t understand what the problem is or how to measure it. Let's look at some of those measurement tools, and more importantly, ' the fixes'!

As business owners ourselves we can relate to the fact that every time a business feels some sort of cash shortage you might feel your business is ' in trouble '.

Businesses finance working capital through the current asset accounts, namely receivables and inventory. In Canada those assets are financed either through a bank line of credit, or various types of working capital facilities that are more alternative in nature. They include asset based lines of credit, receivables financing facilities, and purchase order financing.

The latter three solutions tend to be more expensive for Canadian business, but in our experience provide you with much more cash flow and working capital. Important also to remember this type of solution is not a loan alternative, you are simply monetizing or cash flowing your assets, and that’s a good thing.

We spoke of ways to measure the strain you have on working capital. Business owners need to realize that only efficiently moving receivables and inventory can be financed. If you are financing through a bank then not only is your margining limited but you more often than not have a borrowing limit. That can really impact growth ability.

It’s also important for Canadian businesses to understand that access to more working capital shouldn’t make them lose their focus on losses and unprofitability.

Let's look at a quick example - let’s say a business has an operating line of credit of 1.2 Million as an example. The firm borrows to the maximum but then sales drop off significantly. Your bank reduces the credit line because your borrowing and margining power just is not there due to those slow sales. This then puts tremendous pressures on those supplier payables resulting in both loss of credibility with suppliers and operating losses due to those lower sales. It's a vicious circle.

The bottom line is of course that lack of working capital and cash flow financing can kill your business - short term losses aren’t great, but they are manageable. But insolvency due to real cash flow challenges is very real and deadly

And back to our article that we mentioned on growth. Small and medium sized business in Canada has the ability to access traditional credit, as well as numerous other ' growth' working capital alternatives. A loan or debt is typically not the answer to growth.

So investigate cash flow financing alternatives such as tax credit financing, working capital facilities that are non bank in nature and margin A/R and inventory, as well as more esoteric financing such as purchase order finance and specialized inventory finance. Want more info... seek a trusted, credible and experienced Canadian business financing advisor who can put you on track to ' growth ‘!

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

Surviving A Working Capital Financing and Funding Challenge

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Tips on Cash flow Financing Solutions for 2018

Information on traditional and alternative working capital and financing funding solutions in Canadian business

Did we really even have to mention it, but a major CFO survey, just released, stated that ' Cash flow is Top Concern Priority .... ‘. When has working capital financing and working capital funding in general ever been more important.
Let's take a look at the Canadian situation and how you can solve some of those working capital challenges that were re iterated as concerns in the survey, which was done, by the way by TD. And by the way, putting ' surveys' aside, we'll offer some ' real world' solutions to some of the issues highlighted in the bank survey!

Intensity? The survey actually used that word when Canadian business owners and financial managers described their necessary day to day attention to working capital management. As a business owner you have to look at your overall structure and ensure you can manage cash flow on a day to day basis.

The survey intimated that although you could cut costs to manage and conserve cash flow most Canadian business owners don’t feel that’s the optimal strategy, only 7% actually.

Access to working capital financing and working capital funding
was a major concern by respondents. We are reminded of headlines that say things like ‘90% of all jobs aren’t advertised”. Well, do you know what, when we sit down with clients we strongly feel that they often don’t understand that 90%of financing options aren’t generally known to Canadian business. Did you know there are hundreds of non - bank finance entities, all very unique in nature, that finance receivables, inventory, purchase orders (yes, purchase orders! tax credits (you can finance a tax credit? - YES you can!).

The survey indicated that technology is by far the top area of planned capital investment, and you should be aware there are a number of solid capital and operating lease solutions that provide you with total flexibility in acquiring, and more importantly, using technology .

Alternately the Canadian lease financing industry is back on its feet and numerous solutions for equipment acquisition via leases, loans, bridge loans, etc are available.

Want those real world alternative financing solutions we talked about - consider non bank asset based lines of credit or receivables discounting. Your cash flow is at risk if you aren’t properly managing your A/R and financing it in a manner that suits your firm’s business model and cash conversion cycle.

You could of course stop your life and spend a lot of time investigating these solutions but we strong recommend to clients that they simply seek a trusted, credible, and experienced business financing advisor to sour the working capital financing and working capital funding they need for short term liquidity and long term survival .


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