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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 receivable credit solution. Show all posts
Showing posts with label receivable credit solution. Show all posts

Tuesday, February 11, 2014

Receivables Funding In Canada: Let A Receivable Credit Solution Become Your Key To Cash Flow Challenges













Is Receivable Funding Your Golden Chance For Cash Flow Success?



OVERVIEW – Information on receivables funding solutions in Canada. The Receivable Credit solution comes in various forms – which one works for your firm



Receivables funding
in Canada, thankfully, comes with choices. Is a receivable credit solution your firm's ' golden chance ' at working capital success. It just might be, and here's why. Let's dig in.

It clearly is a good thing that the business owner has choices in A/R financing. One of those reasons is that bank financing, for some, or all of the cash flow financing you need simply might be unattainable by Canadian chartered bank standards.

So enter A/R finance. It comes in various ' sizes' and ' flavors’. It can be a stand alone solution, or in some cases it can be a sub set of an asset based line of credit, that type of facility monetizes both receivables and inventory and equipment into one revolving line of credit.

And, throwing more choice into the mix, the Canadian business owner and financial manager has the choices of utilizing ' traditional ‘A/R factoring, or it can opt for our preferred and recommended solution: CONFIDENTIAL RECEIVABLE FINANCING.

The key difference in understanding non bank receivable financing simply boils down tot two things:

UNDERSTANDING PRICING
UNDERSTANDING HOW IT WORKS


While it only makes sense that an alternative non bank solution will be more costly thousands of firms gravitate to this method of business financing simply because it gives them all the cash flow and working capital they need based on their sales level - with virtually no upper limit to financing available.

If you opt for traditional financing, most typically called ' FACTORING' you're involved in a tri part deal between yourself, your lender, and your client. Your client pays the lender, the one key advantage to your firm is that you receive the cash, at your option, the day you make and invoice the sale. That's clearly cash flow power. The cost of that transaction, typically 200$ on a $10,000.00 invoice ( assuming 30 day terms/payment) can often be very justified when you consider your new found ability to buy inventory, reduce payables, take discounts with your own suppliers, or negotiate better pricing.

Two other key factors come into play when considering non bank receivables funding. First of all, you aren't taking on debt; the accounting treatment of A/R financing is simply not ' borrowing' when recorded by your accountants. And finally, you can of course bring in new equity into your firm, or consider a working capital term loan - but those two solutions simply dilute ownership and bring debt to the balance sheet.

The Confidential A/R financing we mentioned simply allows you to receive all the benefits we mentioned, but it’s not longer a ' 3 way ' - because you bill and collect your own receivable with no notice to any client or vendor.

Is a receivable credit solution in the works for your firm? It just might be the ' golden chance ' for cash flow peace of mind. Seek out and speak to a trusted, credible and experienced Canadian business Financing Advisor with a track record of success who can guide you through the myriad of lingo and options for this very popular method of financing growth.



Stan Prokop
- 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 90 Million $ of financing for Canadian corporations . Info /Contact :


7 Park Avenue Financial = Canadian A/R Funding Solutions






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

Direct Line = 416 319 5769

Office
= 905 829 2653



Email = sprokop@7parkavenuefinancial.com


' Canadian Business Financing with the intelligent use of experience '