YOUR COMPANY IS LOOKING FOR THE BEST COMMERCIAL LOANS & BANK FINANCING / NON-BANK FINANCING SOLUTIONS!
FUNDING FOR YOUR GROWING THE FULL POTENTIAL OF YOUR BUSINESS NEEDS
You've arrived at the right address! Welcome to 7 Park Avenue Financial
Financing & Cash flow are the biggest issues facing businesses today
ARE YOU UNAWARE OR DISSATISFIED WITH YOUR CURRENT BUSINESS FINANCING OPTIONS?
CONTACT:
7 Park Avenue Financial
South Sheridan Executive Centre
2910 South Sheridan Way
Oakville, Ontario
L6J 7J8
Direct Line = 416 319 5769
Email = sprokop@7parkavenuefinancial.com
SMALL BUSINESS LOANS AND FINANCING SOLUTIONS FOR THE SMALL TO MEDIUM ENTERPRISE IN CANADA
Business loans via commercial bank financing in Canada can often leave business owners / financial managers with the sense that something isn't right. We're looking at access to business capital via bank solutions, ensuring that business credit works for your firm.
THE SME BUSINESS SECTOR OF THE CANADIAN ECONOMY DESERVES BETTER
Let's dig in on business loan commercial financing solutions!
Businesses in Canada can today borrow from a variety of traditional and non-traditional alternative sources of capital and funds to stay competitive. Various qualifications exist for the type of financing you need to grow your business. Depending on what stage the business is in, ie start-up, growth, mature etc ) a variety of qualification criteria exists that include analysis of financial statements, revenue growth, time in business, cash flows, collateral, and owner credit history. That's what the business loan lender is looking for.
HELP TO FINANCE YOUR PROJECTS!
Bank finance solutions are, of course, not the only way for you to fund your business. Other solutions may well achieve the goal - they include financing or purchase and transfer a business for a business acquisition loan request
A/R Financing
Inventory Finance
Working Capital Term Loans
A variety of working capital loans are available to businesses, with terms ranging typically from 2-5 years - Interest rates vary based on the quality of cash flows and overall credit quality of the business. Thousands of Canadian businesses utilize short-term working capital loans which are readily available and based mostly on sales revenues and the personal credit history of the owner/owners. These loans are readily available but come at higher interest rates. Payments are structured to the cash flows of the business via cash flow unsecured loans.
The ability of a business to present its cash flows properly is the key to unsecured cash flow-based loans from traditional financing lenders such as banks or BDC. Talk to the 7 Park Avenue Financial team about qualifying for bank and bdc loans.
Tax Credit Monetization Financing - The popular SR&ED program under the auspices of Revenue Canada and Industry Canada for non-refundable tax credits for research projects - Sred loan solutions fund your refundable tax credit
Government Guaranteed Business Loans
Government-backed loans in Canada via the Canada Small business loan help thousands of businesses every year to grow as well as start-up businesses with affordable financing. Talk to the 7 Park Avenue Financial team to see how you can expedite the loan approval process for these loans - Many businesses experienced long delays in approval which can easily be circumvented with the help of a proven Canadian Business FInancing advisor/originator such as 7 Park Avenue Financial who can help you achieve success in Canada small business financing loan program guidelines to see if your business meets basic criteria.
Under the small business loan guarantee program Loans up to $1,500,000 can be accessed for a variety of business needs including capital assets acquisition, technology financing, real estate purchase for company owned /occupied premises, and general corporate purposes such as working capital.
Loans for Canadian small businesses are at competitive interest rates and there is maximum flexibility around repayment based on the type of financing you require.
MAJOR CHANGES TO THE GOVERNMENT OF CANADA SMALL BUSINESS FINANCING PROGRAM - HOW THE PROGRAM WORKS
There are a number of significant positive changes to the Government Small Business Loan Program used by thousands of businesses in Canada!
- Certain loan amounts available under the program include a new loan cap of 1. Million dollars
- Term loans can now be accessed for equipment and leasehold improvements to a business in the amount of 500k - Intangible costs can be funded to a maximum of 150k - Intangible costs include asset categories such as goodwill, the fee to buy a franchise, and research and development
- Business lines of credit are now available under the program to a maximum facility size of 150k - Previous credit lines were not available under the program
- Certain term loans can have a maximum 15-year amortization - some assets financed might require an appraisal
- Interest rates on the Canada Small Business Financing ' SBL LOAN ' program are very competitive at an interest rate of 3% over prime
- The addition of a business line of credit is a significant positive improvement to the federal guarantee loan program - this allows businesses to have a revolving line of credit for day-to-day working capital funding and business needs such as payrolls, rents, lease payments and the ability to fund further investment in accounts receivable and inventory.
Canadian government grants for small business is also available via various R & D and IRAP type grants. Export Development Canada product export and PO Financing solutions are available.
PO/Contract financing
Sales royalty financing / Saas financing - software as a service funding solutions
Asset-based business credit lines - revolving facilities that allow you to borrow against receivables, inventory and equipment
Business Credit Lines
Revolving credit facilities allow a business to access business credit over the fiscal year period. The ability to draw down on a business credit line allows a business to only pay financing costs on the amount of facility that is used at any given time in your business bank account.
Customized solutions for Revolving lines of credit are beneficial for a variety of reasons such as the seasonality of a business, temporary bulges in cash flow needs around sales, inventory and accounts receivables, repairs, and the ability to maximize growth opportunities that may materialize quickly.
For businesses unable to achieve traditional financial from financial institutions such as Canadian chartered banks and business credit unions facilities such as non-bank asset-based lines of credit can often provide all the operating capital a business needs with the focus on assets as collateral, versus the cash flow based unsecured line of credit offered by a bank.
Equipment Leasing / Sale Leasebacks
Commercial Real Estate Loan Solutions
Company-owned and occupied real estate premises can be financed via traditional banks or the government crown corporation - loans are typically structured as long-term commercial mortgages, but can also be financed by short-term bridge loans for more unique financing needs. Canadian businesses can also access the equity in their currently owned real estate by short-term bridge financing based on owner equity.
WHY DO BUSINESSES FOCUS ON BANK FINANCING?
Why does business tend to gravitate towards ' the bank ' for its financing needs? The two most common answers to that question are cost and flexibility around term loan solutions and unsecured loans when it comes to loans for a small business.
When does bank financing not work for your firm? The answer typically is that your firm can't demonstrate ' cash flow ' and ' collateral' which are the bank credit decision's two main components. Your ability to properly demonstrate consistent cash flow is always the focus of the banker.
Because banks in Canada are both highly regulated and ' public companies ', they are constantly scrutinized by both the govt and shareholders. Therefore, many business owners/financial managers are mistaken when they adopt the mindset that there is a major difference between different banks.
EXPLORE MORE REAL WORLD FINANCE SOLUTIONS
Key point - While there aren’t significant differences in the bank lending mindset, there are huge differences in individual bankers relative to their expertise, capability, and reputation. Our point? It's the banker, not the bank!
FINANCING TAILORED TO REAL-WORLD SITUATIONS
One of the greatest challenges a company can face is when the business becomes ' offside ' in the bank relationship. That ' special loan' or' problem loan' status can be difficult to overcome if you don't have the proper advisor in place.
BUSINESS FINANCE SOLUTIONS YOU CAN COUNT ON
At that point, your ' collateral' and ' capacity ' are not working, and you need to get it working - quickly. While in some cases, the bank relationship can be saved, that, unfortunately, is not always the case. That's the time to consider a ' specialty lender.
An interesting aspect of Canadian business finance is that banks have targeted many of the 'non-bank solutions offered by commercial finance firms. A majority of the banks now offer some or all of the specialty offerings offered by commercial finance companies.
Once again, it’s incumbent on the business owner/ financial manager to evaluate the cost, quality of the relationship and expertise, and your ' capacity to meet bank requirements. The caveat - beware of the bank's intense conservatism as it relates to financial covenants, reliance on backup personal guarantees, etc.
WHAT ARE THE BENEFITS OF PROPER COMMERCIAL LOAN FINANCING
Properly used business loan solutions help your business run on a day-to-day basis while being able to allow the business owner and financial manager to exploit growth opportunities. Access to capital for cash flow needs helps avoid the ' lumpiness' that comes with seasonality or numerous industry issues related to any industry. Firms with a focus on growth can simply grow faster with a proper financing structure/capital structure.
Companies now willing to take on additional debt have numerous working capital and cash flow solutions to monetize assets and sales while at the same time avoiding the need and stress of additional equity funding that at the same time dilutes ownership stakes. That's why the right business financing loan makes sense.
CONCLUSION - SMALL BUSINESS LOANS CANADA - SME FINANCE ALTERNATIVES
Asking yourself ' where to get small business loans '? If you feel your business credit needs are ' hardly working and you want to elevate status to code ' working hard talk to an expert! Speak to 7 Park Avenue Financial, a trusted, credible and experienced Canadian business financing advisor who can ensure you are making the right financing decisions around customized financing solutions to run and grow business!
FAQ: FREQUENTLY ASKED QUESTIONS / PEOPLE ALSO ASK / MORE INFORMATION
Potential Disadvantages Of Using a Commercial Loan
Prior to obtaining commercial loan funding solutions for full potential business owners should consider
1. The time and expertise it takes to prepare a proper loan submission which may include a business plan - a firm without proper and up-to-date financial statements will have a challenge in being successful in loan financing for an established business
2. Borrowers should be available of the costs involved in both traditional and alternative financing when it comes to credit approval, interest rates, and miscellaneous fees in both traditional financing as well as alternative finance solutions
3. Business owners must ensure they have the cash flow available to meet debt and loan obligations so as not to prevent small businesses from going to a default
What kind of loan get I get for my business?
Term loans
Government backed federal guarantee loans under Canada's small business financing program- this is the Canadian version of U.S. ' sba loans '
Equipment leasing for asset acquistions / long term loans to purchase equipment for business capital assets
Receivable financing / factoring solutions
Commercial real estate mortgages or asset based real estate loans / bridge loans
Short term working capital loans / merchant cash advances - easy access to quick capital
Online banking facilities
Are small business loans hard to get?
Business financing can be challenging if they do not understand the criteria and qualifications and time around loan approval for all types of business loans. Businesses should have up-to-date financials, and be prepared if a business plan is required that highlights cash flow, assets, owner expertise, industry growth, etc.
