YOUR COMPANY IS LOOKING FOR BUSINESS FINANCING OPTIONS!
SOLUTIONS TO COMMON PROBLEMS FOR FINANCING SMALL BUSINESS
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 finance options in Canada often depend on the overall health of your company. A lot of questions can be answered by simply looking at some very basic and fundamental numbers and relationships in your financials. The doctor is in. Let's dig in!
HOW SOLVENT IS YOUR COMPANY
Key to any business financing or survival for that matter is the whole issue of solvency. Here owners and managers want to assess the level of assets and debt. Lenders will always want to focus on owner equity, with a more refined focus of this number being ' tangible net worth when looking at financing small businesses.
ALTERNATIVE FINANCING?
Finance options will also depend on your ability and need to meet current financing commitments. Here we will point out that even a company that has had its loan called can still get very strong levels of alternative financing based solely on the asses of the business. This type of financing typically is called ' ASSET BASED LENDING ' and can come in many forms, both term debt and operating debt. They provide a path back to what many term ' traditional financing options '.
The asset lending we've mentioned, when it comes to operating financing, will almost always revolve around receivables and inventory. The size, quality, and management of these two assets will dictate what type of financing you need... and... as importantly are eligible for.
KNOW YOUR DSO !
You can properly measure, and help manage these two assets in some basic simple ways. In the case of accounts receivable, it's simply calculating your ' day’s sales outstanding ' in receivables turnover. Since the sale of inventory translates into a sale and then a receivable the management and tracking of A/R and inventory is a great way to track business health.
P.S. The big companies do it all the time, all day, every day, and more often than not senior management is compensated for the management and performance of these two assets.
In the past, and we suppose we're doing it, we've suggested to business owners that they track a simple chart that shows sales growth and then measures that same growth against the growth of A/R and inventories
CANADIAN BUSINESS FINANCING SOLUTIONS YOU CAN ACCESS TODAY
When looking at finance options for business loans via a bank or finance company it's important to assess whether you are looking for small business funding to operate, start, or expand. Startup business loans are always challenging - at 7 Park Avenue Financial we've got some great solutions including Government Guaranteed Business Loans. In addition to traditional finance solutions offered by the Canadian chartered banks numerous other solutions work.
They include:
A/R Financing
Inventory Loans
Access to Canadian bank credit / Working capital
Non bank asset based lines of credit
SR&ED Tax credit financing
Equipment / fixed asset financing
Cash flow loans
Royalty finance solutions
Purchase Order Financing
Short Term Working Capital Loans/ Merchant Advance
Securitization
The credit history/ credit score of small businesses and their owners are often important in achieving approvals and good interest rates. To achieve optimal success in working capital and bank loan or commercial lender success consider a proper business plan. 7 Park Avenue Financial business plans meet and exceed bank loan and alternative lender requirements. Business plans are also a great long term planning tool that can be revisited.
CONCLUSION
Friends and family, a business credit card, the angel investor, venture capital .. the right way to go in achieving debt and equity ..? Most probably not .. Achieving a small business loan or funding for your company needs expert assistance and will help identify the right type of financing you require - Seek out and speak to a trusted, credible and experienced Canadian business financing advisor who can help you assess business health and finance options that suit your operating or growth requirements.
Click here for the business finance track record of 7 Park Avenue Financial
Stan Prokop
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