Business Working Capital Commercial Financing |7 Park Avenue Financial

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Remove Business Working Capital Action Paralysis: Understanding Commercial Financing Options
You Are Looking For A Simpler Plan For Business Financing Solutions



 

YOUR COMPANY IS LOOKING FOR THE RIGHT BUSINESS WORKING CAPITAL COMPANY!

WHAT TYPE OF WORKING CAPITAL LOAN WORKS FOR YOUR 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

working capital loan

Business working capital often creates somewhat of a state of ' paralysis' for many business owners. They are almost ' caught in the crosshairs' when it comes to understanding their commercial financing options and demystifying the complexity around the need for those business loans and asset monetization solutions.  Is there a simpler way? Let's dig in.

 

UNDERSTANDING THE IMPACT OF CASH FLOW AND WORKING CAPITAL SHORTAGE

 

Top experts tell us that when it comes to the SME Commercial sector of business in Canada owners and managers often don't realize the impact of a lack of working capital and cash flow until it's a bit too late sometimes. Most companies tend to view funding daily operations over 12 months as a typical period for their business needs to fund daily operations.

DOES YOUR FIRM UNDERSTAND YOUR CANADIAN BUSINESS FINANCING OPTIONS

In some cases, quite remarkably, they are not even aware of all of the traditional and alternative options they have available to them. They also are often not aware of both government and commercial financing programs that could potentially provide them with the working capital loans and funding options they need.

 

THE BANK IS NOT THE ONLY BUSINESS FUNDING SOLUTION

 

It is of course not surprising that almost half of small businesses and the or their financial managers tend to only think only of their existing ' bank ' as the sole source of their financing solutions.  Financial advice and solutions arising out of that advice also often comes from their accountants,  searching the internet for ' Canadian business Financing ', and finally engaging a hopefully experienced Canadian business financing advisor who has a track record of success in business working capital solutions.

 

WHY DOES YOUR BUSINESS NEED ADDITIONAL FUNDING

 

We recently read a study that indicated that over 60% of business owners stated that at certain times of the year they always need extra funding. That of course could come from seasonality in their business,  ' bulge' situations that arise out of large contracts or orders, etc.

 

AVOID THE CASH FLOW CRISIS!

 

That type of short term cash crisis always demands funds and it’s often a case of simply surviving, let alone focusing on the long term growth of the business.

 

Fortunately, or unfortunately? ... many business owners/managers often rely on their suppliers and vendors as a source of cash - they of course do that by maximizing their supplier credit facilities and then delaying payments as long as they can.

 

working capital loans

 

MANAGING PAYABLES EFFECTIVELY INCREASE CASH FLOW

 

Technically speaking increasing payables in fact does enhance cash flow from operations, but it is often at the risk of the key relationships you need from major suppliers and vendors.

 

It (almost) goes without saying that your ability to access business working capital financing or a business loan is really what needs to be done. In the case of cash flow, fixed-term debt is rarely the solution, so the business owner should consider the following solutions:

 

A/R Financing


Inventory Loans


Access to Canadian bank credit / term loan


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

 

In many businesses, real estate is a component of total assets and numerous financing / refinancing strategies are available.

 

Any one or a combination of the above solutions enhances cash flow especially when you are in fact growing your business. The loan amount and interest rate will always depend on the type of financing you require and from whom you access it - i.e. a traditional or alternative funder. For any SME firm the credit score of the owner as well as balance sheet health will factor into a final financing decision. Repayment terms for term loans tend to be 3-5 years as an example, while numerous other business finance solutions have shorter terms and different repayment. The goal of the business owner should be to take advantage of the most accessible financing at the most reasonable cost relative to their specific capital or industry needs.

 

financing of working capital

 

CONCLUSION

 

Understanding the impact of commercial financing solutions on small business is key to business working capital. Seek out and speak to a trusted, credible and experienced Canadian business financing advisor who can assist you in unravelling the paralysis that often comes from understanding your working capital options and business needs.

 

Click here for the business finance track record of 7 Park Avenue Financial

 




7 Park Avenue Financial/Copyright/2021/Rights Reserved

' Canadian Business Financing With The Intelligent Use Of Experience '

 STAN PROKOP
7 Park Avenue Financial/Copyright/2021

 

 

 

 

 

Stan Prokop is the founder of 7 Park Avenue Financial and a recognized expert on Canadian Business Financing. Since 2004 Stan has helped hundreds of small, medium and large organizations achieve the financing they need to survive and grow. He has decades of credit and lending experience working for firms such as Hewlett Packard / Cable & Wireless / Ashland Oil