YOUR COMPANY IS LOOKING FOR BUSINESS FINANCING SOLUTIONS!
Small Business Finance Alternatives & Debt Capital Source Of Funding
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
Here's a question. Are you getting any? What else could we be referring to other than your business financing? In the case of Canadian business it pretty well always comes down to the fact that your company is in a stage, and that stage of development pretty well dictates the type of financing and sources of capital you need, the type of financing you can get, and the amount involved. No mystery there.
DOES YOUR COMPANY RECOGNIZE THE TYPE OF BUSINESS CAPITAL YOU NEED?
So when we sit down with clients and talk about their current failures in raising capital or monetizing assets what seems to be the problem? Do you want to know the answer to that question? We think it’s because a solid majority of business owners and financial managers aren't able to match the sources of capital with their actual needs. Or even more basic, who to turn to when they need some help in making that match.
MANY BUSINESS CAPITAL SOLUTIONS ARE INAPPROPRIATE FOR YOUR COMPANY
One glaring mistake we often seem is that many businesses are focused on trying to raise funds via venture capitalists and private investors/angel investors, business incubators, etc. The amount of financing that is done in this area is minute compared to the other debt and asset monetization solutions that are in fact available. Sorry to burst your bubble on that one.
The major differentiator in business financing that’s available, as we’ve hinted, is whether your first is in a start-up or early stage, or if it in fact up, running, and growing. While certain types of non-bank financing might seem expensive at times the reality is there is nothing more expensive than giving up equity ownership.
We would say though that for many medium-sized firms that are growing, profitable, have good niches, etc that solutions such as an IPO or reverse takeover might in fact make sense. In a perfect world, (and we know it’s not) the reality is that successful business financing comes when you have the right mix of capital without giving up any levels of flexibility and ownership.
SPEND TIME UNDERSTANDING WHAT SOURCES OF FINANCING ARE AVAILABLE TO YOUR COMPANY
Can we offer up some solid tips of just conceptually being ‘successful ‘when it comes to business finance in Canada? Consider this: just spending some time on learning ‘the lingo ‘in some of the different types of financing you consider is worth the time. You then will of course be less intimidated. Secondly, look for some of the hidden costs in any financing solution that’s proposed or offered up. Thirdly, look at any source of capital or financing as a journey, without losing track of the big picture. Many of the solutions we work on are in fact intermediate and the business owner and manager forget they aren’t locked into any solution forever. So in summary we’re talking about getting to know your sources of finance as well as the techniques and attitude you need to adopt in closing those deals.
Small businesses and larger firms in SME should be able to demonstrate the ability to repay debt capital via cash flow projections. A track record of proper financing statements is also important. At 7 Park Avenue Financial, we prepare business plans that reflect where our clients are and where they are taking their business.
TALK TO 7 PARK AVENUE FINANCIAL ABOUT THESE SOURCES OF FINANCING FOR BUSINESS
Are we able to provide a concise list of sources of capital and financing for the business owner to consider? We think we can come pretty close. Assuming we are out of the start-up phase consider and investigate the following:
A/R Financing
Inventory Loans
Access to Canadian bank credit
Non bank asset based lines of credit
SR&ED Tax credit financing
Equipment / fixed asset financing
Cash flow loans
Royalty finance solutions
Government Of Canada Small Business Loan Program - The Guaranteed federal business loan
Capital Pool Companies
Purchase Order Financing
Start-up financing sources for a business present somewhat of a different challenge - many entrepreneurs start with personal equity contributions, as well as that ' love money' that might come from friends and family, an angel investor, etc. While some choose to pursue the ' government grand and subsidy' route at 7 Park Avenue Financial we have found that process too long, cumbersome and often without bearing fruit. Bank loans are available for startups but they are closely tied to owner personal credit history, credit scores, and net worth. The Government Small Business Loan is probably the best start-up financing we recommend, as well as that of Canada's non-bricks and mortar government crown corporation.
CONCLUSION
Whether it's short term or long term finance solutions we have demonstrated it's critical to understand your options. Interest payments will vary based on the form of financing you choose. Rates are higher in alternative financing but they often provide more or all the capital you need. That's important if your firm is in a high growth stage.
All of a sudden our comments about learning some of the ‘lingo’ around these might make a lot more sense, right? Seek out and speak to a trusted, credible and experienced Canadian business financing advisor who can assist you in completing your journey for business finance capital.
Click here for the business finance track record of 7 Park Avenue Financial
Stan Prokop
7 Park Avenue Financial/Copyright/2020/Rights Reserved
