Financing Sources In Canada : Tracking The Real Payoff In Cash Flow AR Finance

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Here’s Your Breakdown Of Financing Sources For Cash Flow And A/R Finance

OVERVIEW – Information on financing sources in Canada that augment working capital . Cash flow and AR Finance solutions are at the heart of sound company financing practices

Financing sources for cash flow and a/r financing are at the heart of the sometimes complicated business of cash mgmt and working capital financing . We're breaking down the basics. Let's dig in.

The ultimate effect of poor business financing strategies is of course failure of the company; the ability of the business owner / financial mgr to manage inflows and outflows of capital also has a key effect on profitability. Many businesses in the SME commercial segment of the Canadian economy don't even practice rudimentary cash flow planning - doing that successfully and regularly allows owners/mgrs to get a better handle on their expenses and receivables.

Proper mgmt of your business operations allows business to generate more sales or take on more contracts, and also make any necessary investments in R&D or equipment needed.

Bank lines of credit, which requires typically collateral over all the assets of your company , while providing usually all the credit line you need to run your business also has some limiting factors, not the least of which is the fact that the bank won't allow other senior or junior lenders to access that collateral security .

However, no one denies the fact that bank capital provides the lowest cost of flexible ' interest only ' financing when it comes to revolving lines of credit. Key factors that allow you to be approved for bank credit lines are of course clean financials that exhibit profit and a healthy balance of debt and owner equity. And did we forget to mention personal guarantees of the owners?

Short term financing sources also are internally manageable. We're talking about your ability to manage trade creditors and suppliers. After your business establishes itself with suppliers, large and small, payables mgmt allows you to extend cash flow needs by delaying payables via extended terms.

Don't forget also that managing your own receivables and cash flow leads to higher profits, lower bad debts, and less reliance on outside financing.

Many owners/mgrs, particularly in start up or early stage growth augment cash flow by using personal resources such as credit cards, home equity, etc. While thousands of firms compliment cash flow needs with those two resources sooner or later the company must face the fact that financing a large amount of day to day expenses with personal credit probably leads to more troubling questions! That's a domino theory you don't want to explore.

Financing your sales via the sale of your accounts receivable, aka ' factoring’ is a very specialized form of cash flow financing. A/R finance allows you to access cash as soon as you generate a sale and issue an invoice. A properly implement AR Finance strategy (our recommendation is a CONFIDENTIAL RECEIVABLE FINANCE strategy) will finance unlimited growth and sales and does not come with all the requirements of Canadian chartered banks.
Other short term sources of capital include :

Inventory loans
Sale Leasebacks
SR&ED Tax Credit Financing

If you're looking for the payoff in proper financing sources for your business seek out and speak to a trusted, credible and experienced Canadian business Financing Advisor with a track record of success who can assist you with your cash flow finance needs.



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 - Completed in excess of 100 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 & Contact Details :

http://www.7parkavenuefinancial.com/financing-sources-cash-flow-ar-finance.html

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


Fax = 905 829 2653


Email = sprokop@7parkavenuefinancial.com

' 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.
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 finance executive 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.




Stan Prokop

Turbo Charge Your Banking Via A Business Line Of Credit ABL Revolver!

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Information on the ABL revolver as a totally new solution for a business line of credit. Business banking that makes sense!

Small, medium or large? We're not talking about a coffee cup size... we're referring to the fact that no matter what your size of business your access to a business line of credit is the lifeblood of your company. That's why an ABL revolver (ABL = asset based line of credit) is potentially the solution to turbo charge

your working capital and cash flow. Let's examine how.

Clients seem to always wrestle with the fact that they don't really understand the differences between this type of business financing and banking as opposed to a 'regular' operating facility with the bank. The differences could not be more dramatic. While a bank facility (by the way, we are all for them also, when they work! ) focuses significantly on your balance sheet ratios and over all profitability, etc the ABL revolver solution hones in on one issue only - your assets and their overall quality and size. It is on that quality and size that the ABL business line of credit is structured.

Borrowing power is what business lines of credit are of course about. When you utilize the ABL approach you in effect leverage all the power of the assets, which certainly isn't like what we like to call ' traditional bank borrowing '.

So, why would a business such as yours want to unlock that borrowing power? The reality is there are some very recurring needs for firms which choose this type of business financing. First of all they either can't get or can't get enough working capital borrowing power against their inventory, receivables and equipment. Secondly, all sorts of other problems, challenges, and yes opportunities can e overcome with an asset based line of credit.

Many examples exist of firms who have doubled and in some cases tripled their business financing access via this type of finance. The answer is simple - it's based on asset size, not ratios and covenants and external collateral.

Those include firms which have large seasonality issues, companies who which to merge with or acquire a competitor on an asset financing basis, and, most commonly, firms that view themselves in turnaround or restructuring mode when it comes to where they are at in their life cycle - i.e. coming out of a challenging economic time or negative business event (operating losses, etc).

Did we just say ' operating losses '? Yes, the reality is that even firms who are experience operating losses and could otherwise not achieve maximum operating cash flow are excellent candidates for ABL financing. We should mention that the type of facility you get, the pricing on that facility, and how the facility works vary within ABL revolver financing depending on your overall transaction size and asset coverage.

We must never forget also that these type of facilities never bring debt to your balance sheet, you view them similarly as an operating line, in that you are just monetizing your assets for working capital and cash flow - the only difference is you've got tremendous flexibility around borrowing power - because you are borrowing against a base of receivables, inventory, unencumbered equipment, and in some cases real estate also.

In summary ABL revolver financing gives you a full service business financing, its cost effective, addresses almost every financing problem you have had related to cash flow, and is available in facilities from 250k to many millions of dollars.


It somewhat of a secret to many that some of Canada's largest corporations choose this type of financing over a traditional bank facility. Speak to a trusted, credible and experienced Canadian business Financing Advisor with a track record of success
on why ' ABL ' give you that ' turbo charge' boost in cash flow we've talked about.


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 - Completed in excess of 100 Million $$ of financing for Canadian corporations . Core competancies include receivables financing, asset based lending, working capital, equipment finance, franchise finance and tax credit financing.


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

Fax = 905 829 2653

Email = sprokop@7parkavenuefinancial.com

' 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.
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 finance executive 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.




Stan Prokop




Article Source: http://EzineArticles.com/6059576

Equipment Leasing In Canada : The Path To Asset Finance Success

Getting Strategic With Asset Acquisitions – Utilizing Equipment Financing Correctly

OVERVIEW – Information of the business owners ability to source effective equipment leasing options in Canada that make sense for long term growth and success

Equipment leasing in Canada gives business owners/financial mgrs the ability to ' get strategic' around their asset financing needs. The ability to utilize lease financing strategically allows your business to successfully manage growth as it relates to acquiring the assets you need. Let's dig in.

We're constantly amazed (and it never stops) around clients who only focus on the ' interest rate ' as their sole concern when it comes to equipment finance. While that may be beneficial to lessors who market ' low rates' the reality is there is a lot more going on even in a very ' standard' lease transaction.

Even miscellaneous fees not part of the ' interest rate' can drive up your total cost. Many businesses miss the ' true cost ' when they don’t factor in down payments, advance payments (i.e. first and last) etc. Having said that no one disputes the fact that today’s low rates are an attractive part of the asset finance decision.

Issues you need to look at and understand include the timing of cash flows, what happens at the end of the lease (spoiler alert - it can be a surprise!), as well as your ownership options and the ability to return assets, cancel the lease (you can’t) or buy out the asset early.

Having warned you about some of the important technicalities of leasing in Canada why do thousands of firms (almost 80% of business some stats say) gravitate to lease finance. As we said they in many cases feel somewhat ' cash strapped' when it comes to both running and growing their business.

While most of the major Canadian chartered banks participate in leasing finance in some manner issues such as tying up your bank credit facilities or meeting stricter bank approval criteria always become daunting issues to consider commercial finance firms who offer or specialize in asset financing. In some cases that might even mean a ' term loan' when a lease might not make sense.

We also encourage business owners/mgrs to perform at least a rudimentary, if not full blown ' lease vs. buy ' analysis to make sure they are in fact making the right asset acquisition choice. Quite often leasing' wins' simply because it's associated with ' ease of acquisition' given that your lease company pays the supplier and in many cases can include items such as delivery, install, warranty, add on’s, etc.

Investing in and expanding in your business is a win/win scenario when lease financing is used effectively. Seek out and speak to a trusted, credible and experienced Canadian business finance advisor who can ensure your asset finance option is the correct one.

Documentation is key when entering into a lease. Over the long term it might make sense to work with on commercial lease company with whose terms your firm is familiar and comfortable with.

In years past many firms, large and small gravitated toward ' operating leases' versus the traditional ' lease to own’ capital lease. While operating leases have lost some of their luster due to worldwide accounting rule changes they still offer a ton of flexibility around lower pricing, shorter terms, and the ability to simply return the asset or even upgrade it. The necessity to spend some time around thinking about how long your firm will use the asset is critical - that will affect monthly payments, lease structure, and cash outflows.


If your firm is focused on asset finance success solutions seek out and speak to a trusted, credible and experienced Canadian Business Financing advisor who can assist you with asset financing solutions that make sense for your company.


7 PARK AVENUE FINANCIAL = CANADIAN EQUIPMENT LEASE FINANCE 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 - Completed in excess of 100 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 & Contact Details :

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

Fax = 905 829 2653

Email = sprokop@7parkavenuefinancial.com


' 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.
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 finance executive 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.








Stan Prokop








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

Fax = 905 829 2653

Email = sprokop@7parkavenuefinancial.com

' 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.
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 finance executive 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.








Stan Prokop

The SR ED Tax Credit Loan : Turning Refundable SR&ED Credits Into Cash Via a SR ED Financing Consultant

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Is Utilizing SR&ED Credits without financing them absurd ? You decide

OVERVIEW – Information on the SRED tax credit loan in Canada. A SR ED financing consultant can accelerate the cash flow investment your firm has in refundable tax credits

A SR&ED tax credit loan seems like common sense logic for your firm's R&D claim. A SR ED financing consultant is best prepared to assist you in cash flowing you claim. Here is why... and how, so let's dig in.

If business people believe that time is truly money then the investment your firm makes in Canada's Scientific Research and Experimental Development is true wealth! The process, especially for first time claimants can be a bit of a journey!

The role of your SR&ED financing advisor is NOT the same as that of the consultant that prepares your claim. Probably 99% of the refundable tax credit claims that are in fact filed in Canada are prepared by industry consultants who have both the expertise and reputation in preparing a claim that is both technically correct, as well as .. you guessed it... approved!

Since SRED claims are done in almost any industry it makes sense for you to pick the right firm or person that has the expertise to maximize your claim. The best people in this industry maintain solid relationships and communications with the good folks at Revenue Canada!


Over the years many changes, mostly positive have altered ' SHRED ‘. They include changes in per cent ages claimed/allowed, as well as the filing process itself, which has been greatly streamlined. It's interesting to note that the majority of these consultants tend to get paid on a contingency basis - that helps alleviate the risk and time involved in preparing claims, putting the risk and pressure on the consultant, not your firm.

If you do in fact buy into our ' time is money' concept then the actual time it takes to file a claim and have it either reviewed or audited by Revenue Canada just adds to the logic that you should consider financing your claim .

It is certainly not unusual to wait for the better part of a year for your refund. Therefore financing that claim either as you prepare it, or as soon as you file makes solid ' cash flow' sense. If your firm has come this far in investing time and money in your research tax credit refund cash flowing it now and using the funds for any general company purpose certainly is a strong argument.

Any claim of almost any amount can be financed should you choose to cash flow your claim. Financing SR&ED claims can be done for any company, both start up, and ' mature'. First time filers welcome!

If your firm makes the decision to finance your claim seek out and speak to a trusted, credible and experienced Canadian business Financing Advisor with a track record of success
who can assist you with your SRED TAX CREDIT LOAN needs.


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 - Completed in excess of 100 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 & Contact Details :


7 PARK AVENUE FINANCIAL = CANADIAN SR&ED TAX CREDIT FINANCING EXPERTISE



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

Fax = 905 829 2653

Email = sprokop@7parkavenuefinancial.com

' 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.
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 finance executive 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.






Stan Prokop

Business Financing Loans In Canada Also Come From Specialty Lenders : Here’s Why and How They Work

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We’re Fact Checking Specialty Financing In Canada : Mining The Alternative Finance Landscape

OVERVIEW – Information on finance solutions from specialty non bank lenders. Business Financing Loans From Alternative Lending Sources help Bootstrap Canadian Businesses

Business financing loans from specialty lenders continue to have a strong appeal to business owners and financials mgrs faced with the challenged of growing (and running!) their business. What is the appeal of specialized non bank financing, and why should they be considered as an alternative solution to more traditional funding? We're doing some ' fact checking' for you, so let's dig in.

Two fundamental factors which drive your firms need for financing include the size, as well as the ‘life stage ' of your company (i.e. start up, growth mode, mature business, etc.) The other key factor related to this is the owner/financial mgr decision to take on more debt or, alternately seek out more owner equity. Remember also that many forms of specialized financing, including:

A/R Financing

Inventory Finance

Sale Leasebacks

SR&ED Tax credit financing

in fact can solve your problem, without bringing on any new debt to the balance sheet. That's because those solutions we've named actually monetize assets you already have.

Many clients we meet are confused around the issue of what documentation and security are required for various types of alternate financing. While many solutions that are non bank in nature differ from bank financing the reality is that much of the documentation around these financings is quite similar. That includes GSA’S (General Security Agreements) which are the backbone of more senior all encompassing facilities, as well as personal guarantees from owners.

The personal guarantee issue for owners tends to be a thorny one, and as a general rule it can be said that less ' reliance' is placed on those ' PG'S ' that are the bane of the entrepreneur .

We make the case that one other form of alternative finance that can be considered more ' traditional' in nature is often overlooked. That's the 'Govt of Canada Guaranteed Small Business Loan' program. Recent changes to limits are definitely in favor of the start up or emerging firm in the small to medium sized commercial finance arena.

While assets, cash flow and profits, as well as reasonable owner equity are a key requirement for bank financing in Canada the broad appeal of specialty financing is that not every one of these requirements has to be in place for business financing loans from specialized commercial finance firms. These firms include Equipment Lessors, Factoring Companies, Asset Based Lenders, Merchant Advance companies, and Sales Royalty finance companies.

While specialty lenders don’t necessarily focus on firms that are in somewhat of a distressed financial position the hard core reality is that the solutions they offer are in fact often perfectly suited to ' righting the ship '.

By the way even firms in the process or state of bankruptcy have access to specialized lending which can often save the company

If you're looking for some serious ' fact checking' on forms of non bank financing that will work for your firm seek out and speak to a trusted, credible and experienced Canadian business Financing Advisor with a track record of success who can assist you with your business financing loans and asset monetization needs.


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

Fax = 905 829 2653

Email = sprokop@7parkavenuefinancial.com

' 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.
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 finance executive 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.






Stan Prokop

Bank Financing In Canada : Business Loans & Other Alternative Finance Solutions For Your Consideration

Looking For Best Answers in Commercial Bank and Business Financing Alternatives?

OVERVIEW – Information on bank financing requirements and solutions in Canada. Business loans to properly fund your business can also be achieved via numerous alternative finance funding choices

Bank financing in Canada is, no question about it, the most commonly thought of source for business loans. Another solution is alternative finance capital - more widely available than ever these days. Let's dig in.

There is no question that the wide availability of bank funding has the potential to serve all the needs of Canadian business - that’s in the form of business revolving lines of credit, fixed term loans, and a wide variety of other products and services. The challenge for Canadian business owners/ financial mgrs? Trying to understand exactly how ' the bank' thinks!

If there's any good news on Canadian banking it’s that our banks continue to be #1, world class in capital, profits, mgmt, etc. For the business owner this is a two edged sword, because those bank offerings come with a prerequisite of collateral, personal guarantees, cash flow, and conservative loan to value scenarios.

Companies in Canada that are ' start up' in nature, as well as ‘collateral light)! makes that decision to borrow very difficult on most occasions. Think of it as ' lower risk lending’, but oh those great rates and access to capital!

The other common challenge to owners/mgrs are the financial covenants and ratios that might be difficult to satisfy, much less explaining to wives and husbands the whole issue of personal guarantees, notwithstanding the ability of some business people to feel confident they can negotiate some level of guarantee re: personal assets/holdings.

So notwithstanding the important of bank ' relationships' as well as the dangers of being put into ' special loans' it’s important to consider alternatives.

Alternatives? You bet. They include asset based lenders who focus only on the assets of the company, placing full focus on only your assets and their borrowing capacity. Those assets include receivables, inventory, and equipment and real estate if the latter is applicable.

Other solutions include Accounts Receivable financing based solely on your A/R and sales growth. Commonly known as factoring, it’s a solid solution when sales are growing and traditional finance is less available.

Other forms of alternative finance include inventory loans, PO finance, working capital term loans, sale leasebacks, and equipment financing.

If you're focused on the ' best answer' to your needs in Canadian business financing seek out and speak to a trusted, credible and experienced Canadian business Financing Advisor with a track record of success
who can assist you in your bank financing or alternative finance needs in business loans and cash flow finance.




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 - Completed in excess of 100 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 & Contact Details :


7 PARK AVENUE FINANCIAL = CANADIAN BANK FINANCING & ALTERNATIVE FINANCE EXPERTISE



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

Fax = 905 829 2653

Email = sprokop@7parkavenuefinancial.com

' 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.
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 finance executive 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.




Stan Prokop

Business Financing Maximized ! Understanding Your Financial Statements For Loan Purposes

Your Business Financial Statements Know A Lot About You!

OVERVIEW – Information on the use of financial statements for the purposes of business financing and loans . The key to the successful finance of your company revolves around understanding your financial limitation and capacity

Business financing in Canada for loan and cash flow purposes requires a basic solid understanding of your financial statements. And you would be surprised at what those financials know about your company! Let's dig in.

One top expert describes your financials as being a ' customer factory ‘, literally a machine that helps you ' create and keep customers'. Your ability to get the' factory ' funded is job #1. The profit and cash flows that come out of that job create long term success in your business.

If your company has challenges in both created profits and cash flow the long term value of your company is jeopardized to a certain extent. How then does the business owner/ financial manager successfully manage different aspects of the business that affect cash flow? Understanding those ' cash flow drivers' we've talked about in the past is key.

Company gross margins create stronger profit potential and in some cases affect the type of financing you can access. As an example thousands of firms utilized A/R Financing, aka ' Factoring' as a method to access business credit lines they require. Strong gross margins allow you to absorb the cost of this financing, which is typically, if not always more expensive than Canadian chartered bank financing.

Firms that require an investment in inventory require different types of financing. These might include:

Bank revolving credit lines
Non Bank Asset based lines of credit
Inventory Loans

Your financials will tell you how much inventory is on the balance sheet, how fast it turns, and will ultimately prove your gross margin / profit assumptions on the products you sell.

While many business owners/ clients we meet have an ' intuitive' feeling about the financial health of their receivables and inventories the fact is that some time spent calculating your receivable and inventory turnover will ultimately prove whether your assumptions are in fact correct... or wrong.

By the way, those ‘ratios" (we call the business relationships!) are the same ones used by bankers and other commercial lenders to determine business financing approval.

Business lines of credit are key to feeding your working capital and cash flow need. Your balance sheet ultimately dictates what amount of cash you need on an ongoing basis to satisfy working capital needs. The right type of business credit line will then affect your balance sheet payables, payroll needs, investments in the future, etc. Those firms that invest in R&D are encouraged to both file and finance their SR&ED claims, allowing you to bring that cash investment back onto the balance sheet.

Understanding your financial statements allows you to determine cash needs, understand your profitability and asset turnover, as well as determining the amount of debt your firm can take on and manage. In some cases utilizing a SALE LEASEBACK strategy will allow your financials to generate cash flow on existing owned assets.

If you're looking to maximize business financing through the proper use of financials and matching financing appropriately seek out and speak to a trusted, credible and experienced Canadian business Financing Advisor with a track record of success who can assist you with your loan and finance needs.



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 - Completed in excess of 100 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 & Contact Details :

7 PARK AVENUE FINANCIAL = CANADIAN BUSINESS FINANCING EXPERTISE




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

Fax = 905 829 2653

Email = sprokop@7parkavenuefinancial.com

' 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.
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 finance executive 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.






Stan Prokop