The Evolution Of The Sale Leaseback Transaction In Canada

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Sale Leasebacks :

Get The Most From Your Lease Finance Company

Information on the sale leaseback strategy as a solid mechanism to generate working capital or as part of a refinance strategy

The sale leaseback transaction in Canada. It's back. Let's examine the resurgence of this unique financing transaction via a lease finance company or other financial firm.

Canadian business owners and financial managers, as owners of certain asset classes, have the ability to enter into a sale lease back scenario. It couldn't be more basic - you sell the asset to a buyer, typical a finance firm and that firm immediately becomes the lender or lessor of your transaction. And that asset is of course still there!

The two key elements that are happening should be quite clear - you have received cash flow and working capital for your firm on an asset that was unencumbered, and at the same time you are still ( hopefully !) using the asset to generate profit and operational capabilities for your firm .

In essence you're getting capital and cash flow from an asset that was otherwise non-performing. It's important to point out that your balance sheet still stays intact from a viewpoint of leverage, and in certain cases can actually improve.

It should go without saying that the financing can be a combination of one asset, or even different asset classes. For instance you could do a sale leaseback on your premises and the equipment if you are a manufacturing firm in Canada.

We referenced earlier the ' evolution' of the sale leaseback. In recent years a lease finance company was somewhat more reluctant to enter into such a transaction; if we could be blunt and straightforward (that’s our style!) transactions of this type were viewed as a ' cash grab' by firms who had some significant challenges. Bottom line it wasn't readily apparent the transaction made sense... for the lease finance company or other lender!

We like to view the transaction as simply one additional tool kit in the business owner’s pouch of financing or re-financing alternatives. If your firm is expanding, or is in a position of having to repay or arrange some other business debt then the transaction might make significant sense. Other times the new capital simply can make your business either grow or be more efficient.

Another way of looking at it is from the viewpoint of your core competencies - do you in effect necessarily want or need to be an owner of certain assets. just for the sake of ownership.

Naturally it's critical to determine the amount of capital you can extract from such a transaction. Business owners should ensure, either on their own or through an advisor, that they have a solid understanding of the current market value of the asset. However, if truth were to be told (again, that’s our style!) You will probably be required to get an appraisal done at your own cost at the request of the lease finance company or other lender.

Appraisals themselves have many nuances, and this is simply one more solid reason to ensure you have some solid advice in this area. Lenders or lessors focus on the liquidation value of the asset in a ' worst case' scenario. Business owners tend to view the asset in terms of its value today and in the business in the future. There is often a large difference between those two points of view!

The sale leaseback can also often enhance your operating ratios such as debt to equity, etc You definitely want to be in a position to understand the effect of the transaction from an accounting viewpoint, as well as ensuring you have the permission from any other ' secured lender' to complete the transaction properly .

When working capital, cash flow, growth, or balance sheet issues force you to consider alternative methods of raising capital don't forget those ' treasures in the barn ' - i.e. the assets you have in your firm that you own already.

Speak to a trusted, credible and experienced Canadian business financing advisor on how the sale lease back transaction has evolved into a solid business financing tool your firm can use today.




7 Park Avenue Financial :
South Sheridan Executive Centre
2910 South Sheridan Way
Suite 301
Oakville, Ontario
L6J 7J8

Direct Line = 416 319 5769

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

Leasing IT Cloud Financing Services . Lease Your Hardware And Software Needs

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Technology Finance Lease Solutions for Canadian Business

Information on technology financing needs around the acquisition of computers, software, hardware, and cloud solutions in Canada

IT cloud financing services and the leasing of such services for hardware and software needs presents new challenges for the Canadian business and financial managers looking to leverage technology via lease financing. Oh, and by the way, financing ' the cloud ' presents probably just as many challenges for lessors and finance institutions also!

Cloud technology is of course the newest kid on the block. It’s another new concept to comprehend, essentially the use of computing as resources, both hardware, and software, over a network. That network typically is of course the internet.

For the first time your firm actually is using computing power and doesn't necessarily know where those resources might be located. Naturally as in all aspects of technology and tech finance it’s a case of you using the hardware and software, not necessarily caring about where it is and who is managing or running it.

Naturally the benefits of financing and leasing cloud services are quite clear - lower costs, ease of use, and your ability to add on hardware and software when you need it.

Although cloud computing and financing are relatively new it's surprising to see statistics that indicate at least 1/3 of all businesses intend to finance their cloud services.

It's certainly a different way to structure a transaction. We've always preached the creativity and benefits of hardware, service, and software leasing and it just seems that creativity is again an understatement when you utilize this form of financing. It is clearly a new business niche in Canadian business financing .

We find some a bit of irony in the concept of IT Cloud financing. What is that irony? Simply that for those of use old enough to remember it seems like ' timesharing ' all over again! except we seemed to always know the address of our timeshare firm, and we could actually drive there and see the hardware and software!

Business owners, chief information officers and finance managers are again looking to leasing as a methodology to gain benefits and limit the risk involve in technology purchases of hardware and software.

Naturally there are risk factors in any aspect of business and Canadian leasing companies who participate in cloud financing

are probably struggling to determine what that level of risk is. We would think overall credit quality is key in this new form of financing. It's difficult to structure payments and rates around IT CLOUD finance when in essence the service you are utilizing is ' metered ‘, similar to electricity we would say.

It's the ability of your lessor or computer company to measure what you are using and where that hardware and software computing power is coming from that is key. And if you don’t pay, there is certainly no ability to ' repossess' assets, that’s for sure.

Consider leveraging both the power of the internet and leasing as a method to maximize your software and hardware needs. IT Cloud finance allows you to share resources, and therefore lower your cost.

Your benefits include lower cost of ownership, the concept of paying for what you only use, and the ability, as always with lease finance, to add on to what you might need, easily... and faster.

Speak to a trusted, credible an experienced Canadian business financing advisor who can work with you to meet your IT Cloud hardware and software needs.







7 Park Avenue Financial :
South Sheridan Executive Centre
2910 South Sheridan Way
Suite 301
Oakville, Ontario
L6J 7J8

Direct Line = 416 319 5769

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

What You Need To Know About Equipment Leasing Companies in Canada

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Tips on Commercial Equipment Leasing To Save You Money and Time

Information on equipment lease financing in Canada the the companies that offer equipment lease financing & equipment loans. Navigating lease financing minefields!

If you have made the decision to contact equipment leasing companies
in Canada you probably already have some sense of the advantages of commercial equipment leasing . How do you ensure you can get approved and also successfully negotiate the leasing benefits that are most important to your firm . Lets explore some money saving and time saving tips on equipment finance in Canada .

Just knowing which type of lease you need or that makes sense should be strategy number one – its not a complicated minefield of lease types – there are only two types of leases you should be looking at . The technical term for these two leasing types is capital lease, or operation lease . Which one makes sense for your firm? To make that decision simply focus on the end means – ask yourself this question – ‘ Does my business ultimately want to own this equipment, or are we more focused just for using it to generate revenue and profits for a specific period of time ?” That specific period of time might also have to do with the technology you are acquiring that down the road might be outdated or require enhancement or replacement .

So the simple rule is as follows – Negotiate a capital lease for equipment you want to keep and own, and negotiate an operating lease for commercial equipment you want to use and return . Equipment leasing companies may or may not offer your type of lease, so understand the overall market for your type of transaction .

What many Canadian business owners and financial managers don’t understand is how the pricing of a lease if reflected in both the type of lease you acquire, as well as the overall lease structure .

Example : If you firm is leasing a smaller ticket item leasing companies sense that you are more aware of the monthly cash flow and payments you are required to make . As a result the lease company can significantly adjust their rates based on your negotiations around which payment you feel you could make on the lease . A monthly payment of $ 515.00 is required for a 5 year capital lease of 25,000.00 of equipment . If the lessor tells you the monthly payment is 575.00$ per month they have just raised the rate to 14%. So focus on a combination of rate and monthly payment in your negotiations and understand how those fluctuations work .

Clients are always telling us they choose leasing financing as an options because of the focus on cash outflow . However , you should understand that often a down payment or a first and last payment might be required, so factor this type of negotiation into your lease negotiations .

It is important to get a commitment letter that spells out the overall lease payments and structure, and identifies both yours and the lessors obligations for a commercial equipment lease .

It is of course ok to get a competitive quote from another party, the challenge we find is simply that many clients aren’t capable of making an apples to apples comparison to the different rates and options provided . Ultimately as Canadian business owners we prefer to rely on an expert when we deal with any part of our business, including the crucial area of financing . As a result seek out a trusted, credible and successful business financing advisor who can assist you in a success commercial equipment lease financing transaction . This makes even more sense when a larger amount of capital expenditure is required .

If you do choose to work with an expert you will find that you might be saving many thousands of dollars on issues that might involve prepayment obligations, insurance coverage required, upgrade options, equipment registrations fees for collateralization of the lease, and assignment priveliges of both parties . So the bottom line again appears to be that consulting an expert in this area of business finance is highly recommended .

Make equipment financing a successful part of your overall capital expenditure strategy – focus on benefits that make sense for your firm, pick the right lease type, and ensure that the overall terms and pricing match your firms needs . That’s successful commercial equipment leasing in Canada.








7 Park Avenue Financial :
South Sheridan Executive Centre
2910 South Sheridan Way
Suite 301
Oakville, Ontario
L6J 7J8

Direct Line = 416 319 5769

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

Working Capital Finance Loan Advice – What Business Credit Is Available For Your Firm

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Working Capital and Cash Flow Mechanisms for Canadian Business

Information on working capital finance requirements and solutions for business credit for Canadian businesses . Your business doesn’t need a 'loan ' Do you really need a ' loan ' and are there are alternatives to monetize assets into cash flow . P.S. Yes there are!

Have you checked the patient recently for oxygen and blood status? We're talking of course about your business, i.e.
working capital finance which is a true key measure of business credit health. Does a working capital loan need seem like a necessity as your business grows? Let's examine the why and more importantly the ' how ' of cash flow financing in Canada.

It is not hard to determine why there is such a focus on working capital finance in Canadian business - its simply because your ability to both manage, and access cash flow alternatives become the ultimate measure of short term financial health . We say short term because your overall capital structure and debt / equity relationship are of course the other piece of the business finance puzzle. Today we're focusing on short term health!

You know you are in good shape from a business cash flow perspective when you are in a position to meet your short term obligations - typically those are payables and any loan payments becoming due on a monthly basis within the year. If your cash on hand, receivables and inventory turnover are unable to meet those obligations consistently ... well ... its clear you need a working capital solution.

The reality of course is that cash flow fluctuates, and there are times when you have what is known to bankers as a bulge requirement - it is those times you need that access to working capital we spoke of.

So how do you determine what type of business credit financing you need, and, as importantly, how much. Sophisticated larger firms use the capital budgeting process to determine asset needs and why type of investment is required. It’s essentially the mix in the financing of your company - i.e. owner equity, debt, and financing of current assets, which is our focus - ' working capital'!

The good news about working capital finance is that if it is done properly it doesn’t incur debt, or reduce your owner equity - it just increases cash flow and business credit access. To some extent the term ' loan ' in working capital actually reflects a line of credit scenario, not taking more debt on to your balance sheet.

It is possible though in Canada to get a working capital term loan, for larger and medium size companies this is known as sub debt. Payments are fixed and in general the loan is unsecured and based on your cash flow ability to repay, both historically and projected.

If that is not the solution for your firm, what is then? The other solutions are a true bank operating facility, if, and sometimes that’s a big if, you meet bank criteria for lending. Other real world and more probable solutions for working capital finance business credit are asset based lines of credit , working capital facilities of a non bank nature around your inventory and receivables, or simple receivable financing via an invoice discounting facility.

In summary, working capital cash flow financing is not necessarily a ' loan ' per se, but there are options available for business credit financing in Canada. As we have shown you need to determine when you need that capital and why it’s important to have stand by facilities available. Speak to a trusted, credible and experienced Canadian business financing advisor on sourcing your proper working capital and cash flow needs.






7 Park Avenue Financial :
South Sheridan Executive Centre
2910 South Sheridan Way
Suite 301
Oakville, Ontario
L6J 7J8

Direct Line = 416 319 5769

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

Looking for Small Business Financing? Consider An Account Receivable Financing Strategy

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Could account receivable financing help your firm? The dramatic rise of small business financing in accounts receivable ( by the way, Canada's largest corporations use this tool also!) Is simply a factor of companies such as yours wanting to capitalize on the working capital and cash flow that is, in effect, locked up in receivables

It doesn't take rocket science for any business owner of financial manager to figure out that if his or her firm has investments in receivables and inventory then those assets, typically called ' current assets' requires financing in some form. Of course you can ' self finance ' - meaning simply wait for your inventory to turn into receivables, and then wait probably even longer for A/R to turn into cash. But, doing that forces you to give up on sales opportunities and challenges the very core of your financial health, given that we all agree cash flow is king.

If you are fortunate enough to be financing via a Canadian chartered bank you are of course familiar with ' collateral '- our banks do a great job of explaining that to you! Why don't you use your own firm's collateral, its assets, mainly accounts receivable, and monetize that asset into cash.

Clients are often fairly clear on the benefits of account receivable financing, which is also called invoice discounting or factoring. What they don't seem to have the best handle on is how it works.

One you have such a facility set up it quite frankly is one of the easiest and quickest ways to unlock cash flow and working capital on a daily, weekly, or monthly basis. The power to choose your timeframes remains with yourself. And by the way, you only pay for the financing you are using. Let's get back though, to how it works.

In Canada there are two types of factoring, we'll focus on the most common one, which, by the way, isn't exactly our favorite (there is a better one) but let's keep it simple for now.

After your firm generates an invoice you submit it to your factor firm partner. That could be once invoice, several, or many or all. Funds for those invoices are wired, or sent to you, that same day into your account. Didn't you just feel your cash flow being totally unlocked and flowing?! Approximately 10% is held back as a buffer, but as soon as your client pays you get those funds back also, less what is known as a discount fee, typically between 1 and 3% - 2% is pretty well the norm.

2% you say! Isn't that expensive for small business financing. Absolutely, positively maybe, but we actually don't think it is. That is because all in rates from your bank when you total up all the fees, services, standby fees etc often total in the 11-12% range, not the 6% or 7% you think you are getting. And furthermore, if you take the huge amount of cash you just receive and use it to purchase more efficiently, or takes discounts on supplier invoice payments you make your total cost of capital goes down. And, another point, if you are in a competitive environment, (who isn't) does your ability to have unlimited cash flow put you steps ahead of your competition? We think it does.

There are a number of ways to finance your business. If your firm has A/R assets and you are challenged by the timing in which money flows through your business then consider the benefits of account receivable financing. Speak to a trusted, credible, and experienced business advisor on this popular financing tool for small business financing in Canada.





7 Park Avenue Financial :
South Sheridan Executive Centre
2910 South Sheridan Way
Suite 301
Oakville, Ontario
L6J 7J8

Direct Line = 416 319 5769

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



Article Source: http://EzineArticles.com/expert/Stan_Prokop/432698


Article Source: http://EzineArticles.com/5144522

Debt & Cash Flow Funding For A Cannabis Business Company In Canada

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We've ' Weeded 'Out Alternatives When It Comes to Cannabis Business Financing 

Information On Asset & Cash Flow Financing for Commercial Cannabis Firms

Marijuana business financing has achieved great strides when it comes to equity raises . Pretty well no one can dispute the cash and capital on Canadian stock exchanges. But let's not forget 2 things:

1. Equity is expensive

2. Equity is challenging to raise and not for all firms


So the good news ? Simply that debt and cash flow financing are now significantly more accessible than they were a year or two ago .

So the appeal of cash and capital to finance sales growth, receivables, equipment and real estate while not diluting owner equity is very attractive to many participants who are searching for lenders for medical cannabis companies as well as legal recreational sales in consumer and commercial market segments.

Cannabis firms that require key assets such as inventory , software, and specialized equipment are often unable to quality for tier one traditional financing .

So some more good news?? Many alternative finance firms are now in a position to offer key financing requirements . Solutions include:


Equipment financing       ( Cannabis firms need assets to operate production facilities )

A/R Finance

Purchase Order Financing

Real estate loans

Royalty Financing

Merchant Advance Working Capital Loans for Retailers

Non bank asset bases lines of credit



So equity is certainly not always the way to solve Cannabis industry financing requirements

Many market participants in fact are prime candidates for debt and cash flow financing as they have revenues , are in a growth industry , and have little current traditional senior debt .


Seek out and speak to a trusted, credible and experienced Canadian business financing advisor who can assist you with your business finance needs.







7 Park Avenue Financial :
South Sheridan Executive Centre
2910 South Sheridan Way
Suite 301
Oakville, Ontario
L6J 7J8

Direct Line = 416 319 5769

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

Confidential Cash Flow Factoring - Turn Accounts Receivable Into Your Best AR Finance Strategy

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We are going to demonstrate how a little known, and in our opinion almost a secret strategy can called confidential cash flow factoring can turn your accounts receivable into a virtual cash flow machine, turning past AR finance obstacles into cash flow solutions!

Search engine analysis will show you that thousands of Canadian businesses search everyday for what they hopefully believe will be valuable information around the most popular method of business financing today. Those businesses, of all types and sizes by the way (even the largest corporations in Canada) want to know why cash flow factoring offers unlimited unlocking of cash flow based on your sales and receivables.

Initial explanations and overviews to clients sometimes become bogged down in key issues such as the cost of this method of AR finance, and, equally important, is the unwillingness of some clients to accept how invoice discounting (that's another name for this type of financing) works.

Canadian business owners and financial managers want to like a good thing, at the same time they want to know how it works and how they avoid any pitfalls. Lets discuss the ' how it works ' portion first and then share with you the method we believe eliminates the major pitfall perceptions viewed by many firms considering this type of financing.

We'll focus on small and mediums sized business - the larger corporations have access to all sorts of financing and external finance strategies - while the small and medium sized businesses in Canada tend to rely on their own cash flow to fund their ongoing growth and working capital. In fact many firms realize they have potential to grow sales and profits, but cant because of that lack of working capital.

Back to the 'how it works'! Cash flow factoring of accounts receivable is the ongoing sale, in whole or in part of your sales invoices as you generate them and deliver products and services to your customer. The invoices are purchased at 1- 3% discount from yourself, and you receive cash, 99% of the time the same day, for those sales. So, in effect all your sales now fuel that cash flow machine you have turned your company into.

So far, so good, right? Where complications arise, especially in Canada, is the fact that this type of financing requires your client to be notified of the process, directly, or indirectly, and payments are required to be forwarded to your factoring finance firm. Canadian business, in our eyes, has a reluctance to involve their customers in their internal financing policies, and challenges. As a result, many firms are skeptical of entering into AR finance of this manner.

Is there a solution? We told you there was - it's a breakthrough called confidential invoice discounting. This type of financing comes at the same cost, allows you to bill and collect your own receivables, and gains all the benefits of that cash flow factoring machine we turned your company into.

Speak to a trusted, credible, and experienced Canadian business financing advisor who can put you into a proper AR finance facility, allowing you to reap the benefits of cash flow invoice financing, while at the same time allowing competitors, customers, and vendors to remain exactly where you want them to be, outside your financing strategies and challenges! Let's let your competitors try and figure our how you're doing so well in both growth and profits.





7 Park Avenue Financial :
South Sheridan Executive Centre
2910 South Sheridan Way
Suite 301
Oakville, Ontario
L6J 7J8

Direct Line = 416 319 5769

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






Article Source: http://EzineArticles.com/expert/Stan_Prokop/432698


Article Source: http://EzineArticles.com/6072401