WELCOME !

Thanks for dropping in for some hopefully great business info and on occasion some hopefully not too sarcastic comments on the state of Business Financing in Canada and what we are doing about it !

In 2004 I founded 7 PARK AVENUE FINANCIAL. At that time I had spent all my working life, at that time - Over 30 years in Commercial credit and lending and Canadian business financing. I believe the commercial lending landscape has drastically changed in Canada. I believe a void exists for business owners and finance managers for companies, large and small who want service, creativity, and alternatives.

Every day we strive to consistently deliver business financing that you feel meets the needs of your business. If you believe as we do that financing solutions and alternatives exist for your firm we want to talk to you. Our purpose is simple: we want to deliver the best business finance solutions for your company.



Showing posts with label growth strategies. Show all posts
Showing posts with label growth strategies. Show all posts

Wednesday, December 30, 2020

A Business Finance Strategy Doesn’t Have To Be A Long List - Growth Strategies For The SME Sector In Canada



 

 

 

HOW TO DESIGN GROWTH STRATEGIES

 Business Finance Strategy Growth Strategies For Canadian Business


A business finance strategy doesn't necessarily have to be a long list of technicalities when it comes to financing the SME (small to medium enterprise) in Canada. Designing growth strategies can be a simple plan or process around getting the financing you need. Let's dig in.

 

While a business plan and formal cash flow forecast of needs aren't critical to your planning finance for your business they will go along way to understanding your needs, particularly the cash flow estimates which will dictate how much financing is required, and when.

 

HOW DOES A BUSINESS MANAGE GROWTH

 

We have seen that it is key for owners and managers to ensure they can exert control of business growth challenges. Understanding the company's objectives area and ensuring that financing is in place to sustain that growth is key to business success. The ability to have a business plan and understand the turnover of assets in key categories such as accounts receivable and inventory is key. Ensure your company has the right mix of debt and equity.

 

WHAT ARE SOURCES OF CANADIAN FINANCING

 

Remember also that Canadian business financing comes from various sources - that includes Canada's chartered banks, commercial credit unions, insurance companies, and independent commercial finance companies - Canadian and subsidiaries of U.S. firms.

 

DON'T FORGET THESE OTHER SOURCES OF FINANCING THAT ARE OFTEN OVERLOOKED

 

Remember also to consider some sources of financing that never make it to the top of the obvious list when the business owner or a financial manager is planning financing. They include suppliers, and even the government, primarily through the BIL/CSBF program, commonly known as the SBL loan.

 

SR&ED CLAIMS ARE FINANCEABLE

 

Don't forget also that if your firm has a research component you can file SR&ED claims, and, more importantly, finance that sred claim  as soon as you have filed, recovering valuable cash flow for ongoing growth and development of your products or services.

 

WHY IS ASSET TURNOVER IMPORTANT

Also, we are in a never-ending discussion with clients on asset turnover and sales when it comes to short term corporate  finance. Why? Simply because better asset utilization will increase profits and cash flow, and those profits, kept in the business, are... you guessed it... a source of financing!

 

THE BUSINESS CAPITAL STRUCTURE

 

When thinking about your finance needs it's important to ' bucket' those needs into the category of either debt or equity - two very different kettles o fish!  How you arrange you’re financing via debt or equity dramatically affects the returns and risk to owners and other stakeholders, i.e. your lenders.

 

Top experts in finance always tell us that the proper use of debt in your overall capital structure is a great way to fund your operations and provide better returns to owners. At the far end of the spectrum though is the fact that too much debt brings risk and potential bankruptcy when cash flow cannot repay those arrangements.

 

MONETIZING KEY ASSETS

 

We're huge fans of asset monetization as an alternative to debt. A growing business will always have receivables, inventories, contracts, etc. Those can be financed via the bank or a non-bank lender, providing you with ongoing cash flow but without taking on long-term debt with fixed repayments.

 

 

SOURCES OF BUSINESS FINANCING 

 

Remember also that the stage your business is in actually will in many ways dictate to you what type of financing is achievable and through whom. That financing is going to come from:

A/R Financing


Inventory Loans


Access to Canadian bank credit


Non bank asset based lines of credit


SR&ED Tax credit financing


Equipment / fixed asset financing


Cash flow loans


Royalty finance solutions

 

Purchase Order Financing

 

Short Term Working Capital Loans/ Merchant Advance

 

Securitization

 

 

CONCLUSION 

 

The name of the game always in growth financing is to determine the amount of cash/capital you need before the crunch arrives. Seek out and speak to a trusted, credible and experienced Canadian business financing advisor who can assist you with a business finance strategy and provide alternatives that make sense.



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

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.


' 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. 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




7 Park Avenue Financial/Copyright/2020

Thursday, October 17, 2013

A Business Finance Strategy Doesn’t Have To Be A Long List : Growth Strategies For The SME Sector In Canada








How To Design Growth Financing Strategies


OVERVIEW – Information on achieving the right business finance strategy for Canadian business owners/managers. Planning for growth strategies
might not be as complicated as you think






A business finance strategy doesn't necessarily have to be the long list of technicalities when it comes to financing the SME (small to medium enterprise) in Canada. Designing growth strategy can be a simple plan or process around getting the financing you need. Let's dig in.

While a business plan and formal cash flow forecast of needs aren't critical to your planning finance for your business they will go along way to understanding your needs, particularly the cash flow estimates which will dictate how much financing is required, and when.

Remember also that Canadian business financing comes from various sources - that includes Canada's chartered banks, commercial credit unions, insurance companies, and independent commercial finance companies - Canadian and subsidiaries of U.S. firms.

Remember also to consider some sources of financing that never make it to the top of the obvious list when the business owner of financial manager is planning financing. They include suppliers, and even the government, primarily through the BIL/CSBF program, commonly known as the SBL loan.

Don't forget also that if your firm has a research component you can file SR&ED claims, and, more importantly finance them as soon as you have filed, recovering valuable cash flow for ongoing growth and development of your products or services.

Also we are in a never ending discussion with clients on asset turnover and sales when it comes to business finance. Why? Simply because better asset utilization will increase profits and cash flow, and those profits, kept in the business, are... you guessed it... a source of financing!

When thinking about your finance needs it's important to ' bucket' those needs into the category of either debt or equity - two very different kettles o fish! How you arrange you’re financing via debt or equity dramatically affects the returns and risk to owners and other stakeholders, i.e. your lenders.

Top experts in finance always tell us that the proper use of debt in your overall capital structure is a great way to fund your operations and provide better return to owners. At the far end of the spectrum though is the fact that too much debt brings risk and potential bankruptcy when cash flow cannot repay those arrangements.

We're huge fans of asset monetization as an alternative to debt. A growing business will always have receivables, inventories, contracts, etc. Those can be financed via the bank or a non bank lender, providing you with ongoing cash flow but without taking on long term debt with fixed repayments.

Remember also that the stage your business is in actually will in many ways dictate to you what type of financing is achievable and through whom. That financing is going to come from:


Receivable finance
Inventory financing
Lease back of assets
Equipment finance
Bank lines of credit and term loans
Govt SBL loans
Working capital term loans
Mezzanine cash flow financing


The name of the game always in growth financing is to determine the amount of cash/capital you need before the crunch arrives. Seek out and speak to a trusted, credible and experienced Canadian business financing advisor who can assist you with a business finance strategy and provide alternatives that make sense.




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 10 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 :


7 Park Avenue Financial = Growth Financing Expertise






Have A Question /Comment On Our Blog Or Canadian Business Financing Alternatives ?


CONTACT:
7 Park Avenue Financial

South Sheridan Executive Centre
2910 South Sheridan Way
Suite 301
Oakville, Ontario
L6J 7J8

Phone = 905 829 2653



Email
= sprokop@7parkavenuefinancial.com