SBL Government Loans Might Be The Business Loan Solution Your Start Up Needs!

Another Option to the brother- in- law loan ?




OVERVIEW – Information on start up financing in Canada. SBL government loans just might be the business loan that successfully starts your business



Experts agree that start up financing in Canada is a challenge for any entrepreneur. Did it every used to be easy? We're not sure but we do know that capital for the ' start up ' is in fact one of the most challenging issues that you will face. By the way, that goes for debt and equity... although today we're focusing on the debt component of your business. The world of angel investors and private equity and VC's are a subject for another day!


Government SBL loans are an alternative to the entrepreneur having to take a home equity loan, borrow from friends and family (it’s never good to borrow money from your brother in law!)

Or seek alternative financing capital that is available, but comes with higher rates and more restrictive structures.

So, can we say there is less capital around and that it's harder to achieve - The pundits out there will debate all day on that one. Instead we'll focus on getting clients the financing they need, at solid ' big business ' rates, terms and structures, via SBL government loans.

Most Canadian business owners/manager is somewhat skeptical when it comes to the phrase ' government' and small business success. We won't weigh in on the hundreds of reasons they might be thinking that way - all we can say is that the Government small business loan, via Industry Canada has helped thousands and thousands of start up businesses every year. So the proof is in the pudding we maintain!

A key element to understanding the program is simply grasping that you are not dealing directly with Ottawa on these loans, they are offered by your bank when you are able to (finally) find a banker that is familiar and has success with the program. What the government does do is to ' guarantee ' that loan to the bank for the majority of the loan. If you're a good banker that’s a strong incentive to make more loans!

Why would the government get involved in start up financing? The bottom line - we don't care, and we know our clients don't care; they just think it’s a great thing to be able to access financing, to a maximum of 350k, at rates just several points over prime. (By the way, prime couldn't be any lower these days, right?)

We do suspect though that Industry Canada, the sponsor of the program likes to feel that they are stimulating the economy and helping out one of the largest sectors of the economy, the SME sector.

So, start ups. A challenge to finance? Always, but one sure fire solution is SBL start up financing that gets your business out of the gate. Speak to a trusted, credible an experienced Canadian business financing advisor who can assist you with your needs.

7 PARK AVENUE FINANCIAL
START UP FINANCING 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/start_up_sbl_loans_government_business_loan.html

Start Up To Established Company – Who Qualifies for The Canadian SBL Government Loan - A Great Business Loan For Your Firm

Everything You Need To Know Re: SBL Financing


Informatiion on the Canadian SBL government loan program . Who qualifies and how to successful utilize this financing for your start up or established business . Business Loans For Your Firm.



Government ... Business Financing ... those two terms shouldn’t raise fear and apprehension in the minds of our clients. But... guess what? They often do! And that means they might be unable to access the Canadian government loan. SBL loans are quite simply, in our opinion, the absolute best method of financing your start up or small business venture .And the word ' small ' is relative, as our program pertains to businesses with revenues under 5 Million dollars. That’s not chump change, right??!

Canadian business owners looking to either start a business or expand their current business spend a lot of time seeking financing to complement those two goals. Ironically the one entity they often think can't or won't help or assist them in fact is the only entity that is set up to absolutely help them. Why, because it's actually Canadian chartered banks that take the hand off from Industry Canada to approve and administer the BIL/CSBF program in Canada. We'll keep things simple and refer to it as the SBL loan!



So who qualifies for these loans, financing things such as equipment, leaseholds, software, etc? Canadian citizens or those legally allowed to borrow in Canada are eligible to receive such financing. Naturally you can not have defaulted on a loan in the past, and you must be up to date with your income tax filings and any balances owing Canada Revenue Agency. That makes sense , doesn't it - receiving an SBL loan from the government and being in good standing with them re your personal tax filings, etc.

As we said, it’s the banks and a few other select institutions that administer and fund the government loan program. Over 7000 businesses just like yours received funding in the 2010 timeframe as an example.

So do banks ' like ' the program and recommend or steer clients toward the program. We have got our own opinions on that. While the government guarantees the majority of the loan to the bank we find that many bankers aren’t either fully up to speed with the loan approval process... and, heaven forbid...they feel it is ' a lot of paperwork '. Good commercial and small business bankers in Canada ( yes , they exist, trust us on that one please ) view SBL loans as a way to help you achieve business financing for a start up or relatively new business when they otherwise might be constrained to help you within normal bank confines .

The government loan program caps out at 500,000.00 for real estate, and 350,000.00 for equipment, leaseholds, software, etc. Loans are pegged to 3% over the current Canadian prime rate. Each loan is adjudicated for approval under the exact guidelines of the program.

We spoke earlier of clients having a fear of properly dealing with government, a business financing process, etc. Can that be avoided? It sure can. Seek an expert such as a trusted, credible and experienced Canadian business financing advisor who can literally fast track you through the entire process within a matter of days, with your co operation of course. Unlock the power of SBL loans to realize your business potential.





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/government_loan_sbl_loans_start_up.html

Don’t Let Business Franchise Financing Approval Stop your Start Up Or Restaurant Dream In Canada

The Secret To Business Franchise Start Up Loans For Canadian Entrepreneurs



Information on business franchise financing in Canada . Whether it’s a restaurant or other type of business, start up, or established you have financing options to ensure success.



You're there... almost. You've made the decision to buy a business - it could be a restaurant or any other business for that matter. So let’s make sure franchise financing is not going to hold you back on realization of your dream and vision as a Canadian entrepreneur.

So how exactly do you find the funds you need. It's actually a process of careful planning around the type of financing that suits your purchase, and finding and working with the right lender to ensure the business is finance properly. Naturally planning and demonstrating you have thought out the financing is key also.

In terms of franchise financing your business - again it could be a restaurant, or one of the hundreds of other franchising opportunities out there in the Canadian marketplace... its important to break down the total financing need into categories, because in most cases each ' category' of your requirement is financed a bit differently . As an example the working capital component, what you need to run the business on an on going basis is usually financed by a traditional offering such as a business line of credit, or business credit cards if it’s a smaller business.

We encourage clients to cover the actual franchise fee out of their own equity contribution to the business, as it's challenging, if not impossible in the Canadian marketplace to finance your actually franchise fees. Items such as equipment, leasehold improvements, software, point of sale systems, etc are very financeable. And truth to be told these items make up the bulk of your financing needs more often than not.

Franchise financing around your business is in fact a 'niche ' or specialized sector in Canada. But the reality is that many of the same principles apply to financing your start up, restaurant purchase, or any other business for that manner.

What then are some of the basics around the process that allow you to get to the financing goal line... successfully! Items such as having a handle on your personal net worth and knowing what you maximum equity contribution to the business will be in terms of your personal financial situation are important.

We won’t say it's impossible, but the reali8ty is that you must have a decent personal credit score and history to be considered for franchise financing for your chosen business. The entire credit history of every Canadian is actually based on one number called a beacon score, and you require a certain ' beacon ' to be approved for business or for that matter any other type of financing. Bottom line, obtain your score and understand how it fits into the big picture.

In your business plan or executive summary ensure you focus on key items such as the following - info on your own experience, information on the industry and type of business you re purchasing, and finally . Perhaps most important, a financial projection.

Ensure that financial projection makes sense from a viewpoint of reasonable profit expectations - with a focus also on how your loan financing will be paid back. The reality is that this document and how it is presented can make or break your financing approval.

While financing in some form could be provided by your franchisor, this in our experience is very rare - they are selling franchises, not borrowing funds to allow you to borrow from them. So review carefully, with professional assistance, your key financing options - these include the specialized BIL/CSBF loan, equipment financing tailored to your asset needs, and working capital options that might come in a variety of financing ' flavours'.

You have a good chance of accelerating your approval by working with an expert - that works in all manners of business. So seek a trusted, credible and experienced Canadian business financing advisor who can assist you in turning the business ownership dream into financial reality.



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 .Info re: Canadian business financing & contact details :

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