Do Not Pass Go .. Do Not Collect $ 200.00 Until You Have Looked At Asset Based Lending

Information on asset based lending in Canada. Non bank financing companies provide business credit solutions for cash flow and working capital needs

Asset based lending in Canada
comes in all shapes and sizes. When it comes to looking at alternative finance strategies for your business it just might be time to ‘ REBOOT’ your thinking.

And Canadian financing companies just might have the solution you’re looking for .Let’s dig in.

Many business owners and financials managers, particularly in the SME sector in Canada continue to find that all their finance needs can not always be met by traditional Chartered bank / Credit Union sources. While Canadian banks continue to have virtually unlimited capital to serve business needs in many cases the borrower can’t meet the requirements needed to attain those solutions.

So while public companies and large well heeled corporations are borrowing at will the challenge is much more difficult if you’re not in one of those two categories.

Enter… stage right…

Asset based lending in Canada. Through a variety of , shall we call them ‘ subsets’ of Asset financing your company can achieve the financing structure it needs to either grow your business or in certain cases even acquire a business.

Financing companies providing these solutions don’t make it complicated either. They take all, or certain of your assets (depending on the amount and type of capital you are looking for) and put them into collateral pool that you can borrow against. They can be a combination of working capital/line of credit solutions or even term loans if that makes sense.

The assets in question?

They include:

Tax credits
Real estate
Large contracts/orders

And here’s the good news. You can mix and match!

So who is this type of financing well suited for? Typical clients we meet tend to be:

High growth
Start Ups
Acquisition oriented
Management buy outs

A key attraction in Asset based lending in Canada is simply the fact that it requires less equity as the focus is all about those assets.

In business financing its not always a perfect world , so typical financing /interest rate costs offered by financing companies that are in effect non bank lenders are going to be higher , one reason being those finance firms borrow the funds they need for you from the banks!

We do point out to our clients that if they can meet typical bank borrowing criteria often an asset based line of credit will be both competitive with the banks but most importantly give you a lot more borrowing power. The simple reason for that is that assets are ‘margined’ or ‘ loaned against’ more aggressively. In many cases companies that temporarily use Asset financing often migrate back to a traditional bank solution.

If you’re looking for innovative solutions for business assets and sales growth for your firm consider seeking out and speaking to a trusted, credible and experienced Canadian business financing advisor with a track record of success who can assist you in your particular needs. It’s time to ‘ reboot ‘ your thinking on the financing solution you require!

Author: Stan Prokop – founder of 7 Park Avenue Financial

Originating business financing for Canadian companies, specializing in working capital, cash flow, and asset based financing. In business 10 years – has completed in excess of 90 Million $$ of financing for Canadian corporations. Core competencies include receivables financing, asset based lending, working capital, equipment finance, franchise finance and tax credit financing.
Info re: Canadian business financing & contact details:


Greg LaBella
7 Park Avenue Financial
Off.   905 829 2653

Cell   905 302 4171