Looking For Some Business Financing Oxygen? Try Asset Finance Via An Equipment Finance Company. Here’s Why!

Looking For The Best Resource In Asset Acquisitions for Canadian Business


Information on asset finance solutions for business financing in Canada . Why the equipment finance company is solution #1 .



Looking for some breathing room , aka some business financing ‘oxygen’

for the finance of assets in Canada ? You just found it .

The challenge of matching capital outlays for the assets / equipment you need for your business can be a significant one... a bit more so if you industry is capital intensive .

Does asset finance have to always be difficult? We know it's never easy, but utilizing lease finance is certainly one way to remove a lot of the challenge.

In many ways it's a perfect world when you consider the lease finance option. Why? Because you're benefiting from the combo of tax and accounting benefits which accrue to the lease decision, coupled with the concept of being able to upgrade, return, buy new or used again, etc . (Yes used assets can in general be easily financed, as long as there is a mutual agreement of value between yourself and the equipment finance company you are dealing with).

The equipment lease option is at the other end of the spectrum of purchasing / buying assets outright. The methodology a business owner or financial manager uses to make that decision is commonly called the ' lease vs. buy ' choice.

Part of the appeal of equipment finance is simply that your lessor is the one that's of course paying directly for the assets, and by the way that can very typically include costs associated with delivery, installation, etc. Even software and other intangibles such as warranty can be financed.

It goes without saying that the buyer of the assets retains title to the asset. Your firm uses it during the term of the lease, and then, based on the type of lease you have entered into (there are two - capital and operating) title / ownership revert to your company, or stay with the lessor.

The operating lease strategy we refer to above typically has title and return of the equipment staying with the lessor. However your firm has of course derived the benefits of usage.

Many assets you require for your business should not necessarily ever be owned. Best example - Computer and telecom asset classes. They depreciate quickly, technology changes, and more often than not the new product line is. you guessed it.. newer. faster, and even cheaper !

We can never over emphasize to clients how critical it is to spend a bit more time on your lease documentation with respect to your firm’s rights and obligations. Unfortunately we see our clients often over focused on rates, monthly payments. Etc. They can't believe it when we tell them they get to pick their own rate. Unbelievable?! Not really, because the industry is very competitive and your overall credit quality is easily determined by the lessor, and you, the (hopefully astute) borrower.

We further note to clients that the entire operating lease industry is in some minor upheaval since international accounting standards have changed dramatically relative to what counts and doesn't count in a ' True ‘ operating lease . Key point - the manufacturer finance facility, aka the industry ' captive ‘companies that finance the parent company products are often the best place to achieve true operating lease nirvana.

Speak to a trusted, credible and experienced Canadian business financing advisor who can assist you with your asset finance needs.

7 PARK AVENUE FINANCIAL
CANADIAN LEASE FINANCE EXPERTISE



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/asset_finance_business_financing_equipment_company.html

Guess What Canadian Business Financing Equipment Company Has The Best Finance Lease For You ?

Think about it... Should you really have to be ' 'guessing ‘which business financing equipment company has the right finance lease for you? We don't think so, that’s for sure, so let's give you solid info on how to select and work with a great financing partner.

Many business owners and financial managers in Canada simply don't realize there are well over a 100, if not more finance lease firms in Canada. If you have all the time in world (you don't - we're sure of that) you could start at 'A' in the yellow pages. Want a better way? First determine why you lease equipment.

Why you lease equpment invariably revolves around the asset type that your firm finances. The equipment finance company you work with, more often than not, specializes in certain asset categories. Also, Canadian business often does not realize that the size of a transaction determines who you work with - simply because your new business financing partner also has its own restrictions on how much it can lease, and to whom.

‘Size counts ‘... or ' Size doesn't count ‘are expressions we hear a lot these days. In Canadian equpment financing when it comes to a finance lease size does count. But it's not your problem; it’s your equipment company that has that challenge. In Canada the entire leasing industry is broken down into 3 tiers. Those three tiers are small ticket, mid ticket, and... you guessed it ' large ticket '.

So a bottom line great piece of advice we can give you is simply to ensure that whether you are financing a 2,000$ photocopier or a 20 Million dollar corporate jet you need to focus in on selecting the equipment finance company that specializes in your asset and size category . Right away we've saved you tons of time, right?

Do you change your key suppliers every time you purchase something for your business? We certainly don't think you do that, so surely you can see the benefits of working with a lessor on a long term relationship basis. But getting back to our time management issue how does one do that?

You need to focus in on a partner firm that specializes in the asset sizes and asset types of equipment that you finance. Don't have time to do this? Your decision just got a lot easier - simply seek out the service of a trusted Canadian business financing advisor who specializes and has experience in equipment company finance lease transactions. That resource can save you time, and even money, as many small nuances in lessor pricing strategies can cost you thousands of dollars if you don’t have the right advice behind you ,

Key attributes of a long term business financing partner are of course listening to you needs, and flexibility in structuring transactions that make sense for you firm. You also have to be flexible of course, as a key part of the lease finance decision revolves around your firm’s credit quality - which determines the pricing and structure of all your equipment financing needs.

In summary, simply focusing on working with an expert in lease finance can save you time and dollars in a large manner - and as we have shown, taking the time to understand how the market is segmented in Canada will also benefit your long term finance strategy when it comes to leasing.
And help is on the way by simply called a trusted, credible and experienced Canadian business financing advisor with a background in what you need to accomplish. That removes your guesswork, don't you think?


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

http://www.parkavenuefinancial.com/business_financing_equipment_company_finance_lease.html