YOUR COMPANY IS LOOKING FOR BUSINESS FINANCE SOLUTIONS!
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?
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
Government small business loan financing in Canada should always be explored when your growing (or new) business requires external financing. But do you qualify and what exactly is the application process? We're answering those questions, so let's dig in on some small business financing solutions.
Why then are govt guaranteed loans so attractive to many owners/entrepreneurs? The main reason is probably that it's an effective way of raising capital to build, grow, or buy a company. Simple as that.
WHAT IS THE GOVERNMENT ROLE IN THE GUARANTEED SMALL BUSINESS LOAN FEDERAL PROGRAM?
Why does the govt, via ' INDUSTRY CANADA' sponsor this program? Simply speaking it's all about providing financial backing for economic growth. And,, by the way, large companies, or public companies need not apply. Small to medium-sized enterprises run the economy - there's no debate about that - so that loan guarantee from the government is a valuable part of the economy.
But aren't there other alternatives to raising capital in Canada? Yes, there are, but our Canadian chartered banks are more than reluctant to fund smaller startups or businesses that have not fully matured and don’t have the profits, cash flow and collateral demanded by the banks. That's why the Canada Small Business Financing Program finances thousands of businesses every year .
We mention by the way that many entrepreneurs finance franchises through the program as it's an effective way to buy the business. Additionally, any other business can be purchased through the program if the fundamentals qualify - that is another appeal of the Canada Small Business Financing Program.
The program only finances two asset categories, three actually when you include real estate, although in our experience most firms finance their land and buildings through conventional commercial mortgages.
WHAT CAN THE GOVERNMENT SMALL BUSINESS LOAN FINANCE?
So what then does the program finance? Answer: Equipment and leasehold improvements. Simple as that.
RATES AND TERMS - GOVERNMENT LOANS
It gets even better when you understand the flexibility and structure of the program. Rates are very competitive, prepayment options are provided, loan term flexibility can be up to 7 years, and only a small portion of the loan must be guaranteed by the owner/owners. Many early-stage firms and start-up companies, including franchises cannot achieve the solid interest rates offered by the program.
The government provides a loan guarantee to the Canadian chartered banks who administer the program. Hint: It's important to find a good banker who is familiar with the program. We've spent a lot of time doing that!
WHAT ARE THE QUALIFICATIONS OF THE CANADIAN GOVERNMENT SMALL BUSINESS LOAN?
Qualifications for the program - owner reasonable personal credit history, a minimum down payment/equity component to the loan, a business plan and cash flow, and proper use of the funds for the aforementioned two asset categories - equipment and leaseholds.
Is it time you explored the program? Seek out and speak to a trusted, credible and experienced Canadian business financing advisor who can ensure you're ' on the trail ' of the govt small business loan program.
POSTSCIPT
P.S. The new loan cap is $1,000,000.00 so we're thinking of using the word ' small ' a lot less these days! Don't also forget that Canada's entrepreneur bank, a non-bricks and mortar bank, offers solid financing loans and programs also and we encourage new clients at 7 Park Avenue Financial to discuss these programs and qualifications.
Click here for the business finance track record of 7 Park Avenue Financial
Stan Prokop 7 Park Avenue Financial/Copyright/2020
