A Working Capital Breakthrough – Financing Your SR ED tax credit claims ( SR&ED ) makes Sense!

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How and Why to Finance research and development tax credits

Information on financing sr&ed tax credit claims in Canada, Financing your investment in r&d capital is a solid working capital and cash flow solution

There is generally a limited number of ways to finance your company and generate working capital. Yet one of these ways is somewhat unknown to many Canadian firms who do any type of research and development under the SR ED tax credit program. And it is a pretty simple decision - finance your tax credit as soon as you have filed it!



Cash is flowing out of Canada's sr&Ed program - why not let it flow towards your company. Without a doubt this is the largest incentive for Canadian firms to fund research, because under the program you of course recover a significant portion of all you have spent, at the same time enhancing your firm’s competitiveness in its products and services.



So hopefully we have articulated to a certain degree the benefits of filing a sred claim... so how do we finance it. The answer is simply to contact a sred tax credit Canadian business financing advisor. The elements of a successful sred financing are quite simple: have your claim prepared by a sred consultant that has proper experience in your area or industry. As soon as the claim is prepared it is filed by your firm and your accountants, and you apply for a refund at the same time you file your financial statements.






Discussions with clients around sr ed , aka sr&ed research development tax credits focuses typically around two area, the actual benefits they attain from their r&d, and, as importantly the financial impact the sred cash has on their balance sheets and working capital .



So who is the sr&Ed candidate from a viewpoint of both maximizing the program, while at the same time benefiting from financing the claim? In a world, everyone, as long as you are filing. However if we had to profile the typical firm that both files and finances their sr&ed calim via a sred loan it would be a company that typically is in the technology industry and is in its early cycle of development, revenue, etc . But, that having been said many mature manufacturing or ' old economy ' type firms have been filing successfully for many years and reaping those same benefits.



So how does SRED translate into working capital in an innovative manner? It’s in the financing, or we can call it the ' monetizing ' of your claim. Think of it frankly as financing or monetizing any one of your receivables, in the same manner that you do with your bank or an independent finance firm. You are in effect ' discounting ' that receivable today to receive the benefits of cash flow and working capital now. Of your you can go to the mail box every day for the next 3-12 months and see if your sred cheque was ' in the mail ' , but why not one up your competition and finance your claim for that working capital breakthrough we are talking about it .



Think of the positive dynamics around that - you have accelerated R&D competitiveness, you have been reimbursed for those expenses under the sred program, and now you're taking that money that is non repayable - yes non repayable! And financing that claim to fund the on going growth and profits of your company.



Financing of the claim involves a very standard business application, with the focus of the sred as your collateral. You're not taking on extra debt remember, you are just monetizing your claim for cash flow.



The sred loan is a bridge type loan , and is liquidated against the final cheque from the government re your refund. In the meantime you have working capital to reduce payables, fund ongoing R&D again, or simply for any general corporate purpose. The whole process can usually be accomplished in a couple weeks. We're guessing it’s taken you that long sometimes to finance your new photocopier!



Speak to a trusted, credible and experienced business financing advisor on the benefits of cash flowing your sr&Ed claim for working capital now.

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

Click here for 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 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.
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

One Way To Buy A Company . Use ABL Finance Via An M & A Business Loan For Acquisition Financing

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Acquisition Finance For Success – The Why And How



Information on acquisition financing in Canada . Consider a business loan via ABL finance to successfully complete your transaction with no money down ? !

There's just a lot of interest these days, it seems, in acquisition financing as a way for Canadian business to achieve various different objectives. On way in which they can be successful is via an ABL finance business loan to finalize that objective.


Why do companies want to acquire each other ? Of course it's for a variety of reasons, including growing sales, becoming a market leader in their niche, cost reduction, or buying the ' secret sauce' technology of another firm.


We're always on the look for some new thoughts in Canadian business financing , so we were drawn to an article in one of the two leading Canadian business newspapers the other day which had the catchy title of buying a company with ' no money down. The article was written by one of Canada's respected investment officers and fund managers.


No money down? And acquire a significant business at the same time. We were intrigued. The essence of the article was that many ' bargains ' are available in Canadian business - it’s a question of finding them! The article went on to say that the essence of such a search, once you have found a target firm, is to go back 50 years. Go back 50 years ? !Actually what the author meant was that at this point in your search it's time to call on Benjamin Graham , acknowledged as the father of value investing by almost all, including his prize teach pet student Warren Buffet .


What's recommended by these ' guru's is to look at ‘ net working capital ‘ - something we focus on a lot in our own preachings. That figure is made up of receivables, inventories and any cash on hand.


What about the other assets though? Essentially it's offered up that they don't mater. We think they do, but Mr. Graham and Buffett actually disagree with us .. the nerve!


So this is where we come in. Where the author of the article focuses on dealing with Canadian chartered banks we prefer a faster better route, ABL finance.


The beauty of ABL financing, via an asset based line of credit is that it can also include the fixed assets that seemed to have been discounted by Mr. Graham and Mr. Buffett.


A true asset based line of credit encompasses our previously mentioned current asset accounts, as well as unencumbered fixed assets. And while the article we referenced focused on bank financing the reality is that an acquisition financing via ABL finance provides a higher margin level on these assets. Typically those margins are 90% of receivables, significant inventory advances subject to appraisal / valuation, and financing for liquidation value of fixed assets.


More often than not firms in the SME sector that want to buy another business can generate no interest in Canada from ' private equity ' or ' VC' firms, as those firms focus on larger transactions.


So, no money down? The jury might still be out on that one, but we do assure clients that an ABL loan is a great financing alternative when you are looking to purchase another firm for competitive reasons.


Speak to a trusted, credible and experienced Canadian business financing advisor when you want to further your acquisition finance objectives.

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

Click here for 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 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.
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

How To Manage Costs Of Sales Of Receivables Via Factoring – Business Cash Flow Financing Explained!

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A Better Alternative – Understanding A/R Financing Costs

Information on how to understand and manage the costs of sales of receivables when utilizing the business cash flow strategy known by most business owners as factoring or invoice financing

When Canadian business owners and financial managers contemplate sales of receivables as a business cash flow strategy often the cost, and understanding the dynamics of that cost is top of mind. In general A/R financing, aka ' factoring' is somewhat understood in the Canadian business financing marketplace. And if it isn’t understood, it certainly is not as well known as to its mechanics, benefits, and how to do it the pr
When Canadian business owners and financial managers contemplate sales of receivables as a business cash flow strategy often the cost, and understanding the dynamics of that cost is top of mind. In general A/R financing, aka ' factoring' is somewhat understood in the Canadian business financing marketplace. And if it isn’t understood, it certainly is not as well known as to its mechanics, benefits, and how to do it the proper way.



We have often thought that it's simply that when firms are usually entertaining a new cash flow or working capital strategy it's because ' dire straits' have set in, and the company finds itself short of cash or generally unable to meet obligations on both operating expenses and other debt such as equipment leases, etc.


We have often preached that some of those basic problems can be fixed without external financing, i.e. a stricter credit granting policy, better matching payables outflows to A/R inflows.


However, when it’s absolutely certain that a new business financing strategy is required A/R financing is certainly one that thousands of firms are considering everyday. Why? Simply because it brings fast efficient cash flow to your firm through the sales of receivables. The way that A/R finance works couldn’t be more simple- that why we're often dismayed when we learn clients have been misinformed or led astray on pricing and factoring mechanics on day to day operations... simply speaking... how it works!!


If we had to simply one key benefit of factoring pricing it’s simply that you are only paying for the financing you are using. Using a simple (that’s our style by the way!) example of a 100.00 invoice it works as follows. As soon as you generate the invoice and can validate internally that you have shipped or earned the revenue for your product or service you receive a large amount, typically 90%, as an immediate payment for the sale of that invoice.


We can hear you already. ‘What about that other 10%"? The industry terms that the holdback and you get that back, less the financing cost, as soon as your customer pays. And by the way, if you have a number of accounts, and are utilizing an a/r finance strategy doesnt it make common sense to sell, or ' factor' your better paying customers. That’s because, as we have said, you only pay for what you use and your financing costs are decreased with those better paying customers.


Many of the benefits of factoring are overlooked because of the cost factor. We won’t even mention that your company now has the ability to simply survive sometimes, but more importantly, think Sales! Revenue! It's these lost opportunities that no longer are ' lost' since you are now immediately cash flow positive - what an exhilarating feeling that must be. Instead of uncollected A/R the left hand side of your balance sheet now shows ' Cash on hand’!


In Canada the ' fee' to sell a receivable is in the 1-2 % range on a monthly basis. The danger is when clients compare this directly to commercial bank interest, which in many ways is the wrong analogy. And remember, there is not debt here, you're monetizing or cash flowing assets on your balance sheet. In many cases we see you now have the ability to double your revenue without taking on additional debt, if in fact that debt was available to you.


Looking for the inside scoop? Speak to a trusted, credible and experienced Canadian business financing advisor who can assist you in ensuring that sales of receivables as a business cash flow strategy , if done properly, with the right partner, is a solid path to growth and success.

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

Click here for 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 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.
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

Canadian Business Line Of Credit News - Must Know Info on Non - Bank ABL Financing and A Credit Revolver Loan

Why ABL Loans Are A Bank Alternative Financing

Information on ABL Financing in Canada – why is this newer method of non bank credit revolver a better line of business financing and how the operating loan works in asset based finance

Are you totally on top of the newest trend in Canadian business financing these days? Then of course you're fully aware are knowledgeable on ABL Financing for a business credit revolver loan versus the alternative... a bank line of operating credit.

What's that ? You're not? No problem... read on!

No Canadian business owner of financial manager these days disputes with us the challenges of obtaining what everyone seems to call ' traditional bank financing. For all the right reasons (probably ... hopefully?!) Canadian banks hunkered down and tightened the lending strings a bit after the 2008-2009 financial debacle.

Therefore it’s not hard to determine how various specialized funds and independent finance firms came to a high level of prominence by offering ABL financing. A = Asset B= Based L = Loan .. It’s as simple as that.

Do you recognize any parts of the following story ... we think you will. You feel as if you had hit an impasse in expanding your firm. Personal funds have been depleted and your efforts to find that elusive ' traditional ' financing have failed. Additionally your firm might have some real challenges in perhaps returning to profit after you industry has been out of favor with those people in the glass towers that seem to know everything...

Is there really a viable solution to that business financing challenge, i.e. a real world alternative to a bank line and credit revolver loan? Enter asset based financing and asset based lines of credit!

Depending on the size of your facility and the overall financial condition of your firm the cost of ABL financing will either be lower, competitive, or higher than your current finance arrangements. ‘Thanks a lot ' we can hear you say, as that sure wasn’t very informing in nature! But we stand by that comment because of the complexity involved in assessing the size of your financing requirements, the overall credit worthiness of your company, and the mix of financing you need when it comes to ABL financing . The bottom line is simply that every situation is unique and needs to be addressed in that manner.

The essence of our message is hopefully clear - you do have a Canadian business financing alternative, and its a non bank revolving credit revolver , via an independent firm that provides you with very high liquidity rations on key assets such as receivables, inventory, and in many cases fixed assets and a/r.

Do we qualify? is question number 1 or 2 more often and not from clients . The answer in the ABL financing world is that everyone qualifies with only one criteria being required - you have business assets! because that’s what an ABL financing credit revolver is all about . And , as we said, it might be more expensive, and due diligence on your operations and assets might be a bit more rigorous ( in fact it will be for sure - ABL lending focuses on assets , not ratios !).

Whats happening in the Canadian ABL loan marketplace. Lots. Billions of dollars of financing is being accessed everyday by your competitors who are knowledgeable abut this new type of Canadian business financing. And it’s sure cheaper than bringing in additional equity, if in fact that could be arranged.

Interested? Intrigued? Want to know more? Speak to an experienced, trusted, and credible Canadian business financing advisor for the scoop on an ABL loan versus bank line. We guarantee you will be glad you did.




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

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 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.
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 ‘ 411 ‘ On Working Capital Finance In Canada - Cash Financing Loans And Solutions

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Canadian Working Capital Financing Alternatives


Information on working capital finance solutions in Canada . How can you measure your cash flow financing needs and why types of loans and facilities work to solve working capital challenges

You're a Canadian business owner or financial manager... you've just dialed ' 411' for info on working capital financing ! What alternatives, types of loans and cash flow financing are available for your firm?

Let's discuss your question, with a focus on ' solutions ‘! Before getting to our answer let’s all agree it’s important to understand the question and subject. Our terms of reference are simple today - operating liquidity - it's the other half of working capital, balanced also by your fixed assets as part of your total equity structure.

But enough finance and accounting lingo... as a business owner you well know that you have have lots of sales, assets, and still be struggling everyday to meet your current obligations of payables, salaries and wages, lease and loan payments, etc. I

If you weren’t struggling you've solved your working capital and cash flow challenges, but we're assuming you haven’t, that’s why you're here.

If you have access to bank credit ( many small and medium size firms either don't , or don't have enough ) you r banker defines positive working capital finance as the difference between your cash , receivables, and inventory subtracted from your payables and other short term obligations .

But can a firm or business have negative working capital... actually yes. If you are a retail oriented business, or have very short credit terms and turn inventory and sales quickly you actually are winning, not losing. You have negative working capital but have won the cash flow game... essentially you collect quicker than you owe, so to speak.

We encounter many clients that have retail or service oriented businesses but still have cash flow challenges, mostly around growth. A unique new working capital loan solution called the Merchant Cash Advance small business loan is a great way to solve that cash flow financing challenge - so check it out.

What are the solutions to the management though of positive working capital - its a bit of a misnomer because when you think about it the more positive working capital you have ( i.e. inventory and receivables are growing ) the more cash strapped you are

The more common solution clients consider is simply ' bank credit ' - i.e. traditional financing. If you want to know if you qualify for bank financing for operating lines of credit financing you should ensure your firm is profitable, is perceived as stable and growing .. and your balance sheet ratios should be in order . Thousands of firms cant meet those fairly simply tests. Whats the solution?

If your cash conversion cycle (the time it takes a dollar to flow through your company) is high you need a working capital facility that finances both your inventory and A/R. For large firms an asset based line of credit is a working capital operating loan that makes total sense. The majority of these types of facilities are non bank in nature, and offered by specialized finance firms that specialize in cash flow solutions. Oh, and by the way, a lot of those ' bank requirements' we spoke of don’t apply when you consider an asset based line of credit - Why... simply because the focus is on your assets - inventory, receivables, and in some cases your ability to borrow against fixed assets.

The main offerings of Canadian working capital financing are asset based lines of credit, inventory and A/R working capital facilities, as well as receivable financing, augmented in some cases by purchase order or inventory financing. These solutions typically are outside of bank financing, come with a higher cost, but provide thousands of Canadian firms with all the financing they need to grow sales and profits . If utilized properly you have the ability to significantly reduce the costs associated with these types of financing.

So whats our bottom line advice on the information you asked for on working capital and solutions available in the Canadian marketplace. Simply that you need to understand your firms unique operating and cash flow requirements, you have to be able to have some sort of measurement on whether you are winning or losing (the cash conversion cycle formula works best - check it out) and finally you need to be able to seek out and work with a trusted, experienced and credible Canadian business financing advisor to keep you falling off the slippery slope of working capital financial pressures.

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


Click here for 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 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.
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

Finance Challenges ? Why An ABL Lender Has Your Canadian Financing Challenge Solved ! An Asset Lending Loan

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Business Line Of Credit ? – Why ABL is the Answer !

Information on ABL lending and financing in Canada . Why this type of finance loan is saving thousands of companies everyday . An Asset based lender can solve your cash flow challenges

Seems strange, don’t you think ? That the same type of financing that could be a solution for taking your company out of special loans might be the same one that can handle your growth financing needs ?

We are talking about ABL - the finance acronym for ' asset based lending ‘. ABL lending is a powerful financing loan (not really a loan per se) but we will get back to that) offered by a unique type of lender in the Canadian marketplace.

How unique are those lenders - we think very! And we're going to demonstrate why, right about now!

ABL lending and financing is a financing facility that is set up to monetize or cash flow your assets. The closest comparison we can offer you to this type of financing is that it is comparable to a Canadian chartered bank operating line of credit and financing facility. But boy are they different.

Your ABL lender sets up a monetization of all your business assets, but typically the key assets are receivables, inventory, and occasionally complimented by equipment and real estate if those latter two are applicable. We can hear you already, because we have heard it from clients a thousand times ' But why is that different from a bank line of credit?"

The answer is simply, the total focus and amount of the facility is actually based on your total assets, and their current values. Bank operating lines on the other hand are pre set limits that are significantly focused on financial ratio, loan covenants, tangible net worth, and outside guarantees and equity. What a difference, right?

So is ABL lending better? Ours is to inform, yours is to decide - but abl financing optimizes the amount of financing you can achieve to the max. It is set up as a base of all your assets, with yourself drawing against those assets on a daily basis. That of course matches perfectly the needs of your company, i.e. the daily inflows , outflows, special bulge needs, large new contracts, overcoming slow collection challenges, etc .

Because the abl solution is always focused on your total asset picture it in effect optimizes your total available working capital. We think you're getting the picture. And getting back to that always comparison against a chartered bank facility your borrowings on a daily basis are managed much in the same way - you use those same established ' borrowing base certificates ' that allow you to drawn down on cash flow and working capital on an ongoing basis.

The bottom line -as sales grow and you generate receivable sand inventory your abl loan financing fluctuates to turn your company into a true cash flow machine.

Some of the key issues you need to address in choosing the ' perfect ' ABL lender are as follows - the size of the facility, what information is required of your firm to set up the facility ( appraisals and operating audits are required ) , the timeline to set up the facility ( typically 2- 7 weeks depending on size and your reporting capability ) and issues such as cost and ongoing reporting and monitoring .

In the U.S. stats show that almost 30% of firms use some form of abl lending and loan financing to finance their firms. We are pretty sure the numbers in Canada are lower, but we sure do think you should determine if this type of financing is your total solution to business finance challenges. Speak to a trusted, credible and experienced Canadian business financing advisor about solving your cash flow challenges - today!



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


Click here for 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 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.
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 Bridge Loan – The ‘ Hushed Truth ‘ On ( SR ED )SRED Tax Credit Financing Loans In Canada

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SR&ED ( SRED ) Finance is… Alive and Kicking!

Information on the SR&ED bridge loan in Canada. SRED Tax credit financing is a valuable way to enhance cash flow. SR&ED loans were and are available during recent program changes

The SR&ED bridge loan in Canada. Did it almost become a hushed secret at a timer when the very existence of the SRED tax credit seemed in doubt?


The real secret of SRED loans in Canada is that they were available for your tax credit prior to the current budget, and, guess what. ? .... They remain in place today for your tax credit financing strategy!


Most Canadian business owners who utilize the SR&ED program in Canada were keenly aware that the very existence of the tax credit seemed in doubt in 2012 - That concern is long since gone!!!


Well, the dust has settled and if we had to say there was a general consensus we would have to say that in general there's a status quo around the program. Many firms who felt they would do ' better' or ' worse ' under the new changes are finding that it’s a case of ' it depends ' - so it could have been a lot worse.


Thousands of Canadian businesses received Billions of dollars every year under the program, the formal name of course being Scientific Research & Experimental Development. Hence SR&ED. Your firm’s ability to demonstrate you have improved a process or processes, or come up with new technology or software qualified you for Sred.


We’re e not ( fortunately ?) accountants , we're financiers, so we'll let you talk to your SRED consultant or advisor on the various rates changes that took place, some up, some down , under the program . We would note that the biggest change seems to be the fact that capital expenditures don't qualify under the program, but salaries and materials and portions of your overhead still qualify.


We'd love to take a poll one day on how many Canadian firms know that SR&ED Tax Credit Financing exists in Canada. We'd venture to say is clearly the majority, not the minority. So if we had to reveal that ' hushed secret ' on this major Canadian tax credit incentive it's simply ' Hey, you've got an options on your SR&ED tax credit .. You can wait for months, or much longer for you refund cheq. . OR ... you can finance your claim.


If you do have a claim that's prepared by an experienced and credible SRED consultant that claim can easily be financed. The basic rules around that are as follows - The SR ED bridge loan gives you approximately 70% of the face value of your claim. No payments are made during the loan period - at final approval and payment of your claim by Ottawa and the province you receive your remaining 30%, less financing costs, a simple application and you ability to provide the SRED tax credit as collateral is all that’s required.


So is SRED dead? It looks like it isn’t. We can hear the sigh of relief among all those SR&ED consultants who provide the majority of the writes ups on claims in Canada.


And, don’t forget. SRED tax credit financing loans are here today, they were here yesterday, and they will be here tomorrow.


Speak to a trusted, credible and experienced Canadian business financing advisor on help for SR ED bridge loans for working capital and cash flow for your Canadian firm.






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

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 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.
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