Survey Says … Your Company Needs Business Finance Working Capital & Cash Flow Solutions

OVERVIEW – Information on business financing in Canada. Knowing when and how to access working capital and cash flow solutions is key to growth and profits

Business finance solutions in Canada require a good knowledge around your ‘ current assets ‘. These assets are the key to working capital and cash flow solutions and are tied directly to your ‘ liquidity ‘. Let’s dig in.

Because most firms sell on credit the fundamentals of A/R financing are critical for business owners/financial mgrs. Your ability to time ‘ cash in’ versus ‘ cash out ‘ will ultimately determine a good part of the financial success of your business.

Although some might consider a ‘ cash flow shortage ‘ an extreme negative the reality might well be that your firm’s success and growth have simply necessitated a higher investment in current assets – namely receivables and inventory. (That’s not to say that cash flow shortages don’t necessarily not mean poor mismanagement or poor financing of your assets!)

Needless to saying avoiding the working capital crunch requires some solid knowledge and planning. Remember also that your ability to plan and finance around business capital needs should be your goal. That planning can also revolve around both ‘ internal ‘ and ‘ external’ strategies – new financing isn’t always the key. That’s the essential business choice – borrow externally, financing your current assets, or raise new owner equity. The latter is often not desirable or in fact possible.

As we have said, never forget also that a good focus on solid A/R collections strategies and inventory turnover and management is key. Often forgotten is the ability to generate positive cash flow from better payables and supplier credit line mgmt.

So what are those current asset financing strategies? They include:

A/R Financing

Bank business credit lines

Non bank asset based revolving credit facilities

Tax Credit finance

Purchase Order Financing

Inventory Loans

All A/R financing solutions have a cost to them, whether they are traditional (‘ bank ‘) or ‘ alternative in nature. solutions such as Confidential Receivable Financing offer the same benefits as bank credit lines for those firms not eligible for that type of facility.

What then is the essence of solid cash flow and working capital finance? We think it’s the owner/finance mgr ability to:

1. Know the difference between internal or external solutions to business capital

2. Knowing how your overall all cash flow operating cycle works

3. Understand the various traditional or alternative capital solutions that will provide liquidity to your business

Seek out and speak to a trusted, credible and experienced Canadian business financing advisor who can help your firm ‘ unearth’ the right capital solutions.

Stan Prokop – founder of 7 Park Avenue Financial –

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

Office = 905 829 2653

‘ Canadian Business Financing with the intelligent use of experience ‘