Looking For Business Financing To Prevent The Terminal Event of Business Failure ? These Solutions Just Might Helploans

OVERVIEW – Information on business finance solutions and strategies. Funding via loans or asset monetization is key to success in corporate survival

Business finance strategies require some serious investigation and consideration in the asset funding and loan needs of any company. The reality is that every company is in a different stage of growth or success, therefore requiring different solutions. Lack of, or improper solutions lead to what we’ve call that ‘ terminal event ‘… business failure. Let’s dig in.

While working capital needs often measure business success because they typically reflect sales growth and ‘paper profits ‘ the reality is that it always comes back to cash flow as the ultimate measure of success… and by the way.. survival.

While the optimal goal is to have some sort of ‘ cash reserve ‘, or at least access to that cash via a business line of credit those two goals are not always attainable. It’s important to note that almost always some simple cash flow ‘ forecasting’ can help identify future bulges in cash and financing needs.

Compounding the problem is the fact that many industries require different levels of capital expenditure and working capital investment. The winners in this category are ‘ service companies’ who require much less spending to attain sales revenues. This is as opposed to mfr’s who invest in equipt and inventory and have a longer cash cycle.

In some cases your firm might be investing in R&D which forces an even longer business cycle. When we meet clients facing R&D capital needs we encourage them to take advantage of Canada’s SR&ED program which allows to you recover a large portion of your research spend. By the way those refundable tax credits are financeable and allow you to aggressively accelerate that cash outflow back into your bank account!

When financing becomes a key consideration many owners don’t want to look to new equity, thereby ‘ diluting’ their ownership.

Companies who don’t focus on managing their receivables and credit will find themselves in those ‘ dire straits’ that can unfortunately lead to our ‘ terminal event ‘. If bank lines aren’t available then owners/financial mgrs should consider A/R financing or Asset based non bank lines of credit. These types of facilities allow you to draw against ongoing sales and receivables. They don’t work when your sales are in a death spiral or if you’re not focusing on good collection turnover.

Remember also that new cash coming into your firm will only comes from a handful of resources, namely collecting your sales receivables, borrowing, and efficient use of supplier credit.

The ‘ cash gap ‘ can be filled by debt , equity, or monetizing existing assets via sources of funding such as A/R finance, equipt leases and loans, sale leaseback of assets, working capital term loans, or exploring the possibility of unsecured cash flow loans.

If you’re focused on ‘avoiding ‘ our terminal event through the use of proper financing solutions and techniques seek out and speak to a trusted, credible and experienced Canadian business Financing Advisor with a track record of success who can assist you in ‘ up and running’ cash flow and business finance.


Stan Prokop
– founder of 7 Park Avenue Financial

loanshttp://www.7parkavenuefinancial.com

Originating business financing for Canadian companies , specializing in working capital, cash flow, asset based financing . In business 10 years – Completed in excess of 100 Million $$ of financing for Canadian corporations . Core competancies include receivables financing, asset based lending, working capital, equipment finance, franchise finance and tax credit financing.
Info & Contact Details :

7 PARK AVENUE FINANCIAL = CANADIAN BUSINESS FINANCE EXPERTISE

7 Park Avenue Financial

South Sheridan Executive Centre
2910 South Sheridan Way
Suite 301
Oakville, Ontario
L6J 7J8

Office = 905 829 2653

Fax = 905 829 2653


greg@7parkavenuefinancial.com

‘ Canadian Business Financing with the intelligent use of experience ‘


ABOUT THE AUTHOR

Stan has had a successful career with some of the world’s largest and most successful corporations.
Prior to founding 7 Park Avenue Financial in 2004 his employers over the last 25 years were, ASHLAND OIL, ( 1977-1980) DIGITAL EQUIPMENT CORPORATION, ( 1980-1990) ) CABLE & WIRELESS PLC,( 1991 -1993) ) AND HEWLETT PACKARD ( 1994-2004 ) He is an expert in Canadian Business Financing.

Stan has over 40 years of business and finance executive experience. He has been recognized as a credit/financial executive for three of the largest technology companies in the world; Hewlett-Packard, Digital Equipment and Cable & Wireless. Stan has had in depth, hands on experience in assessing and evaluating thousands of companies that are seeking financing and expansion. He has been instrumental in helping many companies progress through every phase of financing, mergers & acquisitions, sales and marketing and human resources. Stan has worked with startups and public corporations and has many times established the financial wherewithal of organizations before approving millions of dollars of financing facilities and instruments on behalf of his employers.

Stan Prokop

7 Park Avenue Financial
Canadian Business Financing