Government Small Business Financing . What’s Behind SBL Loan Power?

An Important Finance Solution You Have Never Heard Of?


OVERVIEW – . Information on government small business financing in Canada . The SBL loan is both misunderstood and underutilized by many companies who are looking for finance solutions – start ups and franchises included



Government small business financing . The SBL loan program might well be one of the best business financing solutions that many Canadian business owners, managers and start ups have... are you ready... not even heard of.

So what is in fact SBL loan power, and what might some of the reasons be that you aren't familiar with the program? Let's dig in!

We might be a little biased because we work with the program all the time, but top experts also agree that the SBL government small business financing program is one of the best things the good folks at the government actually do for the SME sector. The ' SME ' definition means different things to different people - so we should clarify that in the context of SBL loans the actual size you your company, from a sales/revenue perspective, must be less than 5 Million dollars.

We're not 100% sure that the program helps a smaller business become a huge business, but it sure helps when financing is a challenge. A lot of businesses in a variety of industries, including franchises by the way are finance via the SBL loan.

Party of the mystery of the govt small business financing program is that there is no government for you to deal with! That is because all you have to do is visit, on your own, or with an experienced advisor a banker that is familiar and knows how to ' execute' on the program. Want to know a secret? In our experience only a smaller portion of business bankers like and have knowledge of the program.

In the last year Canadian chartered banks in Canada would have approved almost 8000 loans under the program, for billions of dollars - and there is no reason you should not be ' on the program'!

Business people are always thinking about personal guarantees, and in the course of Canadian business financing, unless you're a huge corporation that is doing incredibly well, personal guarantees are in fact required. But here's the good news, under the SBL program only a 25% guarantee is required. And by the way, you aren't putting up personal collateral, or having liens placed against your home - it’s simply a ' promise to pay ' without additional collateral being demanded.

The two parties to SBL's are simply you and the bank. The government, via INDUSTRY CANADA, guarantees a large amount of the loan to the bank

So what in fact is needed to properly get approved for the funding you need? It's not a long list - we're focusing on a business plan or executive summary, a proper cash flow forecast, a current personal net worth statement of the borrower, and an itemized list of what you wish to finance.

It's important to note that the SBL loan only finances equipment and leasehold improvements and real estate. This is not a cash flow, inventory or receivable loan. Business owners / borrowers should be able to demonstrate that they have reasonable personal credit.

Don't believe all the myths or negative things you hear about government financing via an 'SBL'. And if you don't want to ' slow down ' the process seek out and speak to a trusted, credible and experienced Canadian business financing advisor

who can assist you with SBL loan power! It just might be a financial solution you never heard of!




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 = SBL LOAN EXPERTISE






7 Park Avenue Financial
South Sheridan Executive Centre
2910 South Sheridan Way
Suite 301
Oakville, Ontario
L6J 7J8
Phone = 905 829 2653
Fax = 905 829 2653
Email = sprokop@7parkavenuefinancial.com



















Stan Prokop

Government Loans For New Business . The SBL Loan Program In Canada

BREAKING NEWS! YOU ARE ELIGIBLE TO APPLY FOR A GOVERNMENT BUSINESS LOAN



OVERVIEW – .Information on government loans for new business in Canada. The benefits of the SBL loan are substantial for the Canadian entrepreneur and business owner




It shouldn't be, but it is. You are probably eligible for government loans for new business in Canada. The term many people use for this financing is the ' SBL LOAN '. Oh, by the way although thousands of business owners and entrepreneurs use the program for new or ' start up ' businesses you can still be an established business and use the program. Essentially the only rule here is that your business must be under $5,000,000.00 in revenue/sales.

In talking to clients all day everyday one thing is clear, whether its reality or perception the general feeling is that Canada’s chartered banks aren’t doing cartwheels when it comes to being interested in business financing in the SME sector. Those certainly arent the type of bankers we're hanging out with, so we suppose you're just handing out with the wrong crowd!

Experts offer up several reasons re the bank lending scenario - reasons given include small business loans cant be packaged and sold like mortgages, but still require a lot of work, admin, underwriting, etc Many people also offer up that small business loans aren't profitable . Who knows?

Rather than weigh in the eternal discussion of bank lending to business in Canada let's focus in on the benefits of the SBL program. I guess you could say we're staying positive!

The focus around government loans for new business is simply serving the purpose of addressing your financing needs for two asset categories - equipment and leaseholds. (Real estate is allowed also -however the program just doesnt seem to be used much in this regard)

One of the key ' misunderstandings ' around the SBL loan is that isn’t a cash loan or that it can be used to finance receivables and inventory, or goodwill, or franchise fees. Not the case. End of story.

It's important for the Canadian entrepreneur to understand that because the program is SME based that the owner/owners must have a reasonable personal credit history. By that, in Canada we mean a credit bureau score of 650+.

There are reasons why you wouldn’t be approved for an SBL loan in Canada. Your greatest chances of success are when you have a solid business plan or executive summary, as well as a cash flow that represents how you are going to generate profits and cash flow. We don’t recommend showing that you plan to lose money or use cash, not generate it! Some do that, we don't!

Many business owners we meet can't explain or articulate their business, how they make money and key issues in your industry.

Back to those key benefits of government loans for new business:

They include:

5-7 year amortization terms
Competitive interest rates - currently 3% over prime
Low personal guarantee (25% of your loan amount)
Repayment without penalty

Getting approved for an SBL loan is clearly a combination of art and science - we've shared a lot of the ' science '. Seeking an experienced, credible and trusted Canadian business financing advisor will help you match that science with the art of 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 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 :

http://www.7parkavenuefinancial.com/government-loans-for-new-business-sbl-loan.html



7 Park Avenue Financial
South Sheridan Executive Centre
2910 South Sheridan Way
Suite 301
Oakville, Ontario
L6J 7J8
Phone = 905 829 2653
Fax = 905 829 2653

Email = sprokop@7parkavenuefinancial.com



















Stan Prokop

5 Reasons To Consider Canada Government loans . How To Use the SBL Federal Loan Program

SBL Loans - Consider the Program For These Business Needs

Information on Canada government SBL LOANS . The federal small business loan can be used for a variety of business uses .. here are some of them .


We're big supporters of the Canada government loans, commonly called the ' SBL loan ‘. Why? This federal loan (you’ll soon see it’s not as federal as you think ... it's more local ...) can be used for a variety of solid business reasons. What are those uses then? Let's explore.


Canada government loans are the ideal financing solution for a business start up. SBL financing compliments significantly your own equity contribution to the business. A large amount of outside collateral is in fact not required for the federal SBL loan. Traditional financing via Canada's chartered banks and other lenders often make it difficult to achieve any proper level of start up financing.

Amortizations are available that make sense for your start up. You are trying to minimize monthly payments and maximize cash flow. There isn't a day when we don't talk to an entrepreneurial client who doesnt feel their resolve to start and succeed in business isn’t tested, so the federal small business loan is a solution to the testing of your resolve!

Our second category or use of this financing is ' Equipment. When you are looking to purchase assets to grow and maximize your profits government loans make a tremendous amount of sense.

Your equity contribution, i.e. the down payment that you would typically associate with a lease financing is low, the 5-7 year term amortizations make sense, and the bottom line it's a classic use of matching your new assets useful economic life to the term of a loan.


Use # 3 for Canada government loans. Buying a business. Funding from our proposed financing solution allows you to purchase an existing business.

We caution clients that the requirement for purchasing a business using the SBL vehicle requires that the seller agree to an asset sale, as opposed to a share sale. Almost any industry can be financed in this manner, as long as there are assets in the business that you are acquiring.

The good news here is that the emphasis on the financing of your proposed purchase is focused on the previous success of the business, as well as your ability and experience to run and grow the business. The SBL loan can also finance real estate as part of a business purchase - in this case the traditional limit of financing actually increases to $ 500,000.00.

Potential use # 4 for the Federal small business loan - refinancing! If you or your firm incorporated or otherwise have purchased assets within the last 6 months they can be refinanced under our proposed program. This generates working capital that can be put back in your business. In certain cases an appraisal might be required on the asset, but that is a very modest expenditure relative to the benefits of the financing received that come back into your business cash flow.

Finally, use # 5 for Canada government loans. It's buying and financing a franchise. Entrepreneurs in Canada finance thousands of franchises each year under the program, which in many ways is perfectly suited to the challenges of a franchise.

There you have it, 5 solid uses for the utilization for the federal SBL Loan. As we noted federal denotes Ottawa and government, but Canada’s chartered banks administer and fund the program under federal auspices. Speak to a trusted, credible and experienced Canadian business financing on how you or your business can utilize this valuable Canadian business financing vehicle.





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/canada_government_loans_sbl_loan_federal.html

How To Increase Chance Of Loan Approval For Canadian Government Business Loans – SBL Loan Advice

Something Worth Considering ! Government Business Loans

Information on Canadian government business loans . How entrepreneurs, business owners and financial managers can increase chances of loan approval for the Small Business SBL Loan .



Odds. We can't speak for you but we like them when they are stacked in our favor! So is there a way to increase your chances of loan approval for the SBL Loan... Canadian government business loans? We know there is! and we’re going to show you how.

Some folks might consider us biased, but we think it's very obvious that the Canadian BIL/CSBF program is, bar none, one of the best programs in Canada for small business, and that’s including start ups by the way. First of all, its about those great rates, terms and structures, as well as limited personal liability, but primarily because with a basic understanding of key program requirements you can find yourself ' APPROVED ‘ ( that’s one of our favorite words by the way) in a matter of days .

So what’s all this about stacking the odds in your favor? Most Canadian business owners and financial managers we meet, including those entrepreneurs starting a business have in some cases not heard of the program. However, more importantly those that have view the words such as ' government' ' bank’ with a bit of trepidation, sometimes based on real world experience.

The reality is that if you understand the key requirements of the program you are in a position to better address those issues, in effect ' finesse' them and tilt the odds of approval in your favor. Doesnt it make sense that if you understand the requirements, and present them in a professional manner you would be in a position to garner a full approval for your financing?

We feel sorry for the business owners and entrepreneur, including franchisees that show up at our door with tales of being declined or having spent too much time facilitating their SBL Loan financing. And suffice to say we even know their story before they tell it to us... simply that they failed to provide the right documentation in a coherenet understandable manner.It's a simple case of positoning yourself, your business, and your business financial future . That is often done by a strong business plan or executive summary.

Having to continually go back and address the providers of government business loans with additional information can of course create a negative spin on your financing request. That's not good.

In Canada the SBL Loan program is run by INDUSTRY CANADA. That’s the federal government by the way! We are sure they are nice people, but guess what? The bottom line is that you will never meet them as the Canadian government business loans are administered by your local bank.

The odds of increasing your chances of loan approval for an SBL loan improve directly in relation to the knowledge and quality of your banker. We're sorry to say that many bankers often exhibit signs of not being knowledgeable about the program or even supportive of the general spirit of the program. And by the way, that spirit is just one thing - providing your new or existing business with up to 350k in financing for equipment, leaseholds, software, real estate, etc on terms you would never normally achieve under normal business financing. Enough said.

If you want the complete attention of your banker have a solid package. There are only 4 or 5 things required in that package, so it’s hardly rocket science.

Want even better odds? Speak to a trusted, credible an experienced Canadian busines financing advisor who can fast track you to SBL loan success.


ABOUT THE AUTHOR - STAN PROKOP

FOUNDER - 7 PARK AVENUE FINANCIAL

CANADIAN BUSINESS FINANCING !

We finance the little guy .. P.S. We finance the big guys also!


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

Why Is The Canada Government SBL Loan For Small Business A Canadian Success Story

Wow! A ' favorable termination of attempts ‘. Could there be a more perfect dictionary definition of the government of Canada SBL loan for small business. We don't think so. Why?

First of all we meet clients all day every day that aren’t even aware of one of the most powerful programs in Canadian business financing in Canada. And in a time when programs of all types are under attack... guess what, this program got even better. Can you believe it? We couldn’t.

We're talking about BIL /CSBF. What the heck is that??? .. we can already hear you saying . It seems like government and business always have acronyms that confuse the little guy. The BIL/ CSBF program is simply the government small business financing program sponsored by Industry Canada.

Again, we’re astounded by the fact that thousands of small, and new (yes even start ups, franchises, etc) are eligible for the program and not even taking advantage of it.

So let’s get you up to speed. Quickly. The Canada Small business financing program , also called by us ordinary guys ' the SBL ' (small business loan) is simply the official government program to encourage financing of small and medium sized businesses in the Canadian business financing arena.

Who is eligible? It’s pretty simple. Any business with either real revenues, or sales, or forecasted sales less than 5 Million dollars. When you're starting out we can assure you it will take a little while to get to 5M in revenue, so that’s why again we're amazed at who doesn’t take advantage of the program .

Ok, we're interested, we can hear you say. Whats the bare bones explanation of the program. Ready - here it goes. It's a loan for a maximum of 350,000.00 for the purchase of equpment, leasehold improvements, software, or real estate. Is it just us, but doesn’t things like equipment and improvements to your business cover a lot of your financing needs? When the loan is for real estate only, guess what... you can borrow up to $ 500,000.

Qualifications? You want to know them, we've got them. To qualify you need to have a business plan, demonstrate the need for financing via a quote of vendor invoice, and you must have a 10% investment into the amount of financing you need. For example, you want to buy a franchise business in the Canadian business marketplace. The franchise costs 350,000.00$. You put in 10%, and our SBL loan program covers the balance.

Do you have to drive to Ottawa to get the loan? We're kidding of course - the good news is that the government of Canada sponsors the loan and assumes the majority of ' risk ' but the actual government of Canada small business loan program is administered by your bank.

We don’t want to get too personal here, because we love our Canadian banks, but it's sometimes a challenge finding everyone who knows about this program and can get you funded quickly. But guess what? Last year 7,441 of your competitors and business friends took advantage of the program, for a total of 957 Million dollars! And you hadn't even heard of the program?!

Want to know more ?Business financing success is all about experience, trust and credibility, seek out a Canadian business financing advisor who can fast track you to business financing success using this great Canadian financing tool to grow or start your business .

P.S. And you wont believe the great rates, terms and structures of the SBL loan also! Trust us on that.



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.7parkavenuefinancial.com/sbl_loan_government_for_business_canada_canadian.html

The Power Of The Government of the Canada small Business Financing Loan - SBL 101 !

Power - The dictionary defines it as the possession of control. You want it? We're going to give it to you as it relates to the government of Canada Small Business Financing Loan... we affectionately call it the ' SBL ‘! (That’s small business loan by the way ...)

So clients are always asking whats so great about the program? We'll give you thing things, actually four! Rate, term, structure, and by the way, a very limited (in our opinion) personal guarantee.

Industry Canada is the government agency that sponsors this great loan program. We're sure the department is staffed by some great people - it must be, because it’s a great program, right? However, you are never going to really meet these folks, as the government has chartered the Canadian banks and other miscellaneous financial institutions to run the SBL loan program on their behalf. So essentially its small business financing at the street level, which is right where you want it.

So how does the program work...? In fact an even better question might be why this type of financing should appeal to your firm.

The bottom line is that your firm is a ' for profit ' (we’re all for profit!) company and are either a start up or revenues under 5 Million dollars then you are a prime candidate for a government SBL small business financing loan.

So why banks don’t just makes these types of loans without all the government backing. Simply because (and we think you might have experienced this already) you might not qualify for what us folks in the real world of Canadian business financing call ' traditional financing '. Traditional of course refers to borrowers who are viewed as strong applicants because of high net worth, ultra solid personal credit history, strong balance sheets, and outside collateral. Who wouldn’t have problems coming up with those these days?!

The Canada Small Business Financing program in fact is very specifically designed to appeal to borrowers such as yourself who perhaps might not qualify for the traditional financing and criteria we've just spoken about.

I don’t think we have ever had a client meeting where the question ' how much can we get?" comes up. Our answer, plenty! If in fact you think 350,000.00 $ is plenty - we do. That’s the current cap on the program - but we'll share a tiny secret here, if you were to utilize the program for a real estate purchase for your business the program caps out at 500,000.00$ . Wow!

Sounds great so far? We have always thought so, so bringing new converts on board is a pleasure. Seek out a trusted, credible and experienced Canadian business financing advisor. You'll then focus on how the program works, if you qualify, next steps, structure, and finally, your approval!

-

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.7parkavenuefinancial.com/sbl_loan_government__small_business_financing.html