Creative Ways To Use A Capital Leasing Company In Canada. Lease Finance Companies Have Your Solution In Hand

Mastered These Inside ‘ Scoops’ On Lease Financing In Canada?


Information on use of a capital leasing company in Canada . Creative methods to use lease finance companies for sales growth and cash conservation.



Is your company getting the most from an asset and capital leasing company in Canada? Let's examine how your firm can maximize some really creative benefits from lease finance companies in the Canadian marketplace.

Equipment finance doesn't have to be a ' complex ' form of business financing if you’re aware of the some key concepts, some of which are perhaps a bit more sophisticated than others... but bottom line you should never lose out on the advantages simply because you weren't aware.

There are numerous nuances in lease finance - they revolve around the areas of legal, financial, tax and accounting. Exploiting some of these areas to your firms advantages bring you maximum creativity.

It's safe to say that we are maintaining that you have to be involved and consider every aspect of the lease transaction - as benefits and creativity come at all stages, i.e. evaluation structuring, credit approval, documentation, and end of term.

Just simply by working with the right asset capital leasing company can save you time and money. Did you know many transactions today that are a smaller dollar limit can be approved within 24 hours, and often don't require even full financial statement disclosure?

If you know the general makeup of lease finance companies in Canada you're in a position to maximize your overall cost. In Canada the marketplace is broken down into small, mid and large ticket lessor. When you understand the ' credit box’... i.e. the financial criteria required for approval, you can save thousands of dollars on lease pricing.

We're often asked who has the lowest rates in Canada. In general we can say that Canadian chartered bank lease subsidiaries and divisions offer the best pricing, typically 200 basis points or less over bank cost of funds.

Another great alternative for Canadian lessees is to work with a captive finance firm. Although they are also highly competitive in price also there’s an extra creative advantage to utilizing a captive firm. Simply speaking, they are incented to make the sale and provide credit approval, if only because they are supporting the parent companies sales activities.

Did you also know that many captive firms for hardware and equipment will also consider financing a competitive product - there are various reasons they do that, but suffice to say you're the winner on that one?

Lease finance companies in Canada also provide you with a very creative hedge against obsolescence. Also, numerous ways of achieving end of term loss minimizations are available to the Canadian business owner.

We think many firms probably don't utilize the creativity embedded into operating leases in Canada. Although international accounting changes minimize some of the benefits of this off balance sheet strategy there are great reasons still to consider a FMV lease ( fair market value ) particularly when you are financing technology or large ticket capital equipment .

If your firm is somewhat ham strung on financial performance, rations, covenants, etc lease finance companies are the ultimate solution for capital and cash flow preservation.

Lease structures are virtually unlimited in Canada, and identifying what’s important to your firm will allow you to structure term, payments, end of lease obligations, etc... and on it goes.

Speak to a trusted, credible and experienced Canadian business financing advisor. Get creative when it comes to using lease finance companies in the Canadian marketplace.








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/capital_leasing_company_finance_companies_canada.html

Looking To Fund Your Business ? 5 Tips On Start Up & Small Business Finance Companies And Banking In Canada

Strategies for Working Capital and Financing Success

Information on how to fund your new or established business in Canada . Advice for Working with finance companies for loans and banking success for cash flow and working capital needs .



It sometimes seems that when you're bigger things always seem a bit easier - not always but most of the time.

That’s why when you are looking to fund your business and you're a small to medium sized business owner or financial manager knowing which firms and finance companies are appropriate to deal with seems like a challenge. And business banking from a borrowing perspective seems like a huge challenge.


And another thing, if it’s not all the time, it’s sometimes, because at certain points in your company's growth and history you are looking for business funding of some sort. What are the options - who can you turn to? Never fear... real world advice is here!

Business financing to either start or grow your business is available in a variety of ways and solutions. Let's examine 5 key topic areas.

The number 1 solution, as perceived by many business people is banks and commercial credit unions. However, perception is certainly not always reality as many have discovered. However if you are in a position to demonstrate to the bank that your own pockets (i.e. your own money!) is committed to the business then they are certainly a good place to start.

Want to know who we think is the absolute best bank in town? We’re sure you do, and here’s the answer, its one that houses a banker who is committed to grow and understand your business.

One of the best programs offered by the bank is co sponsored by the government, it’s the SBL loan program, providing you with great rates, terms and structures, and even limited personal liability for the financing.

Point # 2 -There isn’t a day when we don’t get a call asking us for some assistance on government grants. There are probably hundreds , if not more , of government grant programs - our own opinion is that they are often difficult to qualify for and at the same time chances of approval on non repayable funds is , suffice to say, slim . We will add though that the SR&ED program is probably the best program in this area, although its not a grant per se. Check it out though if you feel you qualify.

Grant programs are often targeted to very specific cultural or environmental issues , and many come with strings attached, such as matching funds only, etc.

So focus on getting sources of capital to borrow, not give you!

Point # 3- Talk to a Boy Scout. That’s because that organizations motto of ' BE PREPARED ' runs very true in business. Your ability to present yourself, your background, your historical, present and future financials is critical to obtaining business financing from finance companies and banks in Canada. Many clients seem either overwhelmed with how to do this properly, or quite honestly just aren’t qualified. We are all experts inn our own area of expertise, right?

Solid professional assistance from your accountant or Canadian business financing advisor is steps away, and at a nominal cost, all things considered.

Tip # 4- We all know whats in it for us when we borrow funds in a banking or non banking facility. But whats in it for the lender? Never forget that point. Finance companies in Canada are based around risk and reward. Most business owners don’t realize that business financing in Canada is available from a rate of 3% per annum to 3% per month. All types of assets can be financed or monetized. Companies in bankruptcy proceedings can even borrow at low rates. It’s all about the assets, the rate of return, and how you put together your business funding request.

Tip # 5- Always is prepared to deliver on some level of owner equity, i.e. your own contribution into the business. That can be via a cash injection, retained earnings in the business, or assets that aren’t already collateralized.

So, Canadian business financing. It comes in many forms. Receivable financing, equipment finance, working capital cash flow loans, asset based lending, franchise financing, tax credit finance, etc. Speak to a trusted Canadian business financing advisor on how to fund your business, and which finance companies and banking partners are appropriate for you.



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/fund_your_business_finance_companies_banking.html

Why Finance Companies Are Your Best Bet For Leasing Equipment via a Capital Lease

Looking to improve? Aren't we all! Improving your business with respect to the acquisition of new business assets is a major decision for Canadian business. What is the current state of the leasing equipment market in Canada, and what finance companies are your best bet and why?

Even though you're taking on additional debt when you acquire a capital lease option the committing of your cash resources can still be properly managed using an equipment financing strategy. You're making the decision because you want to utilize the asset to improve productivity and profits.

We can certainly help our clients finance the asset, but it’s up to you to ensure you choose the right asset, negotiate a best sale price, and ensure the business asset meets your needs. The reality is of course that your leasing equipment decision is an important one - its an alternative to paying cash outright, or drawing down on credit lines you might have in place - and most of our clients agree that the ability to secure business credit for working capital is a large challenge these days, so using those funds outright for an equipment purchase doesn’t seem to make sense.

You have chosen a capital lease, or a lease to own option. The alternative was an operating lease, or a use and return of the asset and that hasn’t made sense this time around. Finance companies in Canada can structure payments that make sense for your firm. Typically clients have budget constraints, have some seasonality in their business... etc. This is typically when leasing makes more sense than a loan, because it’s so flexible and tailored to meet your specific financing needs.

In the current Canadian leasing equipment landscape and environment of 2010 /2011 you may well be expected to make some sort of down payment, but again, this is negotiable. Talking to your accountant might bring up further reasons why the tax advantages of lease financing might make you decision to finance an even easier one.

Finance companies recognize that you are in many cases using a leasing equipment strategy simply because you can obtain assets you might not be able to afford. These firms have only one mandate... approve and fund your leases! Consequently their credit people are experts in looking at your overall picture, which includes your firm’s financials, the value of the asset itself, which is of course the collateral, and your projected profits via use of the equipment.

Your decision to enter into a capital lease should be relatively straight forward; the challenge is often picking the right partner. The Canadian landscape is made up of hundreds of firms who have specialization, only regional representation, or in some cases your transaction will be viewed as too large, or too small. Navigating that maze is a challenge, so see the service of a trusted, credible and experienced business financing advisor who will help you get approved and negotiate the best terms possible. That added value along can improve your overall return on investment and make your decision to finance a solid one.
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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 6 years - has completed in excess of 50 Million $$ of financing for Canadian corporations .Info re: Canadian business financing & contact details :

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