YOUR COMPANY IS LOOKING FOR BUSINESS FINANCE!
SMALL BUSINESS FINANCE CANADA - ASSET FINANCING & FINANCE FOR BUSINESSES
You've arrived at the right address! Welcome to 7 Park Avenue Financial
Financing & Cash flow are the biggest issues facing business today.
ARE YOU UNAWARE OR DISSATISFIED WITH YOUR CURRENT BUSINESS FINANCING OPTIONS?
CALL NOW - DIRECT LINE - 416 319 5769 - Let's talk or arrange a meeting to discuss your needs
EMAIL - sprokop@7parkavenuefinancial.com
7 Park Avenue Financial
South Sheridan Executive Centre
2910 South Sheridan Way
Oakville, Ontario
L6J 7J8
Business financial solutions in Canada (or lack thereof!) are the key to allowing business owners and financial managers to capitalize on growth initiatives by financing a business .. properly! Let's dig in.
DO YOU NEED HELP IN NAVIGATING THE BUSINESS FINANCING MAZE IN CANADA VIA TRADITIONAL AND ALTERNATIVE SOLUTIONS
The myriad of finance offerings in the SME Commercial Finance sector can be a double-edged sword. That's because lack of information, knowledge, of clarity around who is offering these solutions often confuse business people when, in fact, they are meant to solve growth problems That, coupled with the fact that many industries vary in the types of financial solutions that fit them best makes matters even more confusing.
INVENTORY FINANCING
A good example is a type of finance that's often the most sought by small businesses and even retailers - Inventory financing. This type of capital need is driven by the need to purchase and turn over inventory. It is a key part of the ' bridge ' between client order, delivered product, and the generation of receivables, which still have to be collected!
Banks and many commercial lenders shy away from inventory as a financeable asset only because they don’t have the expertise to manage and fund such an asset class. However, this has created opportunities for other lenders to focus on this niche and create an entire market around inventory financing.
THE BUSINESS CREDIT LINE ADDRESSES ALL YOUR BUSINESS FINANCING NEEDS FOR WORKING CAPITAL
The most common method is to make inventories a part of an overall business credit facility. While that can be a Canadian chartered bank if your company is creditworthy, 'more often than not, the proper solution is an asset-based line of credit, known as the ' ABL, 'which includes inventory as part of your financing margin, together with receivables and equipment.
TRADITIONAL BANK FINANCING AND GOVERNMENT LOANS
Bank term loans are low cost and have great term amortizations, but because they are cash flow and covenant based in our banking system, they are more difficult to achieve. While the Canadian govt backed loan program (‘CSBF’) provides thousands of businesses a year with billions in financing, it only finances two asset classes - equipment and leaseholds. Popular misconceptions that this loan can provide working capital or inventory financing - the simple answer - It does not - So those types of solutions come from Canadian financing companies.
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WHAT IS THE BEST NON BANK ACCOUNTS RECEIVABLE FINANCING SOLUTION
We spoke of that bridge from the time your firm takes an order to get paid from clients. Receivables are a part of that bridge, and this asset can typically be financed at 75-90% of the total A/R value. Receivables financing is accomplished through a bank facility or, as common these days, via invoice finance. Our recommended solution to clients is ' CONFIDENTIAL RECEIVABLES FINANCE ' if only for a reason... you guessed it... is that it’s CONFIDENTIAL.
ASSET ACQUISITIONS VIA EFFECTIVE EQUIPMENT LEASE FINANCING
In Canada, equipment lessors and commercial mortgage firms can satisfy the bulk of capital options for equipment and real estate. They are typically long-term in nature, 5-20 years, respectively.
DEBT AND ASSET MONETIZATIONS PROVIDE THE BUSINESS CAPITAL YOU NEED
While personal equity and outside equity capital aren't often the most desirable methods to attract capital, the best solution is simply choosing the right debt or asset monetization solution that meets your company and industry needs.
CONCLUSION
If you want to explore business financial solutions in more detail, with a view towards growth, seek out and speak to 7 Park Avenue Financial, a trusted, credible and experienced Canadian business financing advisor who can assist you in tapping into second-stage financing solutions.
Click here for the business finance track record of 7 Park Avenue Financial
Stan Prokop
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