How To Get Business Cash Flow To A Constant Positive Humfinance

OVERVIEW – Information on business cash flow solutions . Finding the right funding to finance your firm.

Funding your business properly is a key for all business owners/mgrs. How does then do we finance business cash flow to the point where we have the right financing in place to continue and grow the business? The goal? A constant positive hum in cash! Let’s dig in.

A great way to think of cash flow is simply focusing in how funds move via your incoming revenues and outgoing expenses. Pretty basic, right? , but when profitable business can even fail when cash flow fails that ‘ pretty basic’ statement becomes all important.

Having the right financing in place is of course only one solution to the challenge, albeit an important one. For start up or earlier stage firms that is all important; yet at the same time the wrong financing at the wrong rates and structures is also a double edged sword , especially when financing is secured by your key assets.

We’re all for growing sales revenues, but when you over extend credit and are improperly financed problems quickly arise. Those challenges are most often solved by monetizing current assets – your A/R and inventory. Finance solutions available? They include:

Bank revolving credit lines
A/R Commercial financing
Inventory loans
Asset based non bank lines of credit (They combine receivables, inventories as well as fixed assets into one credit line)

Some alternative funding solutions for current assets include SR&ED tax credit financing, royalty finance, and PO financing.

Those above noted solutions keep cash flow ‘ humming ‘, keeping suppliers, lenders, and employees ‘ happy’.

Another potential major drain on our ‘ cash flow hum ‘ is the need to acquire assets to run your business. While the temptation from such ideas as ‘ pride of ownership ‘ has some business owners/mgrs purchasing assets outright that can be a huge drain on our cash flow hum. The optimal solution here, more often than not is Equipment Financing/Leasing. Financing assets from daily operations is rarely the right thing to do.

We’ll also mention that for those firms that have inventories the key to inventory mgmt is solid asset turnover and maintaining the right levels of inventory – always a challenge!

A good way to look at the ‘big picture’ in business cash flow is to isolate the movement of cash into what you can call the ‘ constant daily hum’ of regular selling and collecting, while assessing ‘ non regular’ outflows such as asset purchases, seasonal bulges in your business, new or large contracts.

When you’re looking at the putting the right lending facility in place for managing business cash flow seek out and speak to a trusted, credible and experienced Canadian business financing advisor who can ensure you’re tapping into the right financing sources for your… cash flow hum.

Stan Prokop

7 Park Avenue Financial : Business financing for Canadian Firms , specializing in working capital, cash flow, asset based financing , Equipment Leasing , franchise finance and Cdn. Tax Credit Finance . Founded 2004 – Completed in excess of 100 Million $ of financing for Canadian corporations . Info /Contact :


7 Park Avenue FinancialSouth 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 ‘

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.

7 Park Avenue Financial

Canadian Business Financing