Business Capital Solutions In Canada: Accessing Proper Cash Flow & Commercial Financing

Business capital requirements in Canada often boil down to some basic truths the business owner/financial mgr/entrepreneur needs to address when it comes to financing for businesses.

One of those truths? Knowing the true state of their financial condition and what financing they do and don’t qualify for when it comes to meeting commercial lending requirements in Canadian business.

Business Loans In Canada

Whether you are smaller or start-up firm looking for information on how to get a business loan or a larger established firm looking for growth financing or acquisition opportunities we’re highlighting 3 mistakes that commercial loan seekers like your company need to avoid making when addressing, sourcing and negotiating your cash flow / working capital and commercial financing needs.

1. Understand the true condition of your company finances – These are almost always successful addressed when you spend time on your financials and understand how your financial statements reflect your access to commercial loans & business credit in general

2. Ensure you have a plan in place for sales growth and financial needs as it relates to commercial financing

3. Understand that actual hard facts about cash flow which is, of course, the lifeblood of your company

Can you honestly answer or feel positive about all those 3 points. If so, pass Go and collect $ 100.00!

A good way to address your company’s finance plans is to ensure you understand growth finance solutions, as well as how to manage in a downturn – i.e. not growing, losing money, etc; It’s never fun to fund yourself in an economic or industry downturn such as the COVID pandemic of 2020!

When we talk to clients of new or established businesses it seems they are almost always talking about sales, so the ability to understand and focus on the differences in their profits and cash fluctuations is key.

How do cash flow and sales plans and projections affect the type of financing you require? For one thing sales growth usually starts out by consuming your cash, not generating it. A poor finance plan will drag your business down and addressing financing simply gets tougher and tougher.

Three basics always emerge when it comes to your search for the right business capital and financing.

1. The amount of financing you need

2. The type of financing (debt/cash flow/asset monetization) The business loan interest rate will be dramatically affected by whether you choose traditional or alternative financing solutions. Private business loans in Canada come from non regulated commercial finance companies most often known as ‘ alternative lenders ‘. These lenders are typically highly specialized in one ‘ niche ‘ of business financing and may be Canadian firms or branches of U.S. banks and non-bank lenders

3. How the financing is structured to be manageable with your day to day operations

What Finance Company In Canada Can Meet Your Borrowing Needs & Why Is Capital Important In Business

Let’s identify and break down key financings your firm should know about and understand if they are applicable and achievable to your business. They include:

A/R Financing / Factoring / Confidential Receivable Finance

Inventory finance / floor planning / retail inventory

Working Capital term loans

Unsecured cash flow loans

Merchant working capital loans/advances – these loans are geared toward short term cash needs and are typically one year in duration. Loan amounts are typically 15-20% of your annual sales revenues.

Royalty finance

Asset based non bank business lines of credit

Tax credit financing (SR&ED bridge loans)

Equipment Leasing / Sale leasebacks – Equipment financing in Canada is used by almost 80% of all companies looking to acquire new, and used, assets.

Govt Guaranteed Small Business Loan program – Government Loans in Canada are sometimes referred to as ‘ SBL’, aka Note: BDC Finance solutions are available from this Canadian non-bricks and morter crown corporation. A small business loan via the government-guaranteed loan program comes with true flexibility around term loan duration, market rates, no pre payment penalties, and of course the low personal guarantee that is required by borrowers. These two ‘ government ‘ loan solutions are often perfect for financing a new business.

If you’re focused on not making mistakes in your business finance needs and want to capitalize on the solutions your competitors are probably already using seek out and speak to a trusted, credible and experienced Canadian business financing advisor who can assist you with your cash flow and commercial financing needs.

Stan has had a successful career with some of the world’s largest and most successful corporations.

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 ) In 2004 Stan founded 7 PARK AVENUE FINANCIAL – He is an expert in Canadian Business Financing.

Shoe Repairs And Several Other Things When I Was 7

Shoe Repairs And Several Other Things When I Was 7
My Dad repaired most of our shoes believe it or not, I can hardly believe it myself now. With 7 pairs of shoes always needing repairs I think he was quite clever to learn how to “Keep us in shoe Leather” to coin a phrase!

He bought several different sizes of cast iron cobbler’s “lasts”. Last, the old English “Laest” meaning footprint. Lasts were holding devices shaped like a human foot. I have no idea where he would have bought the shoe leather. Only that it was a beautiful creamy, shiny colour and the smell was lovely.

But I do remember our shoes turned upside down on and fitted into these lasts, my Dad cutting the leather around the shape of the shoe, and then hammering nails, into the leather shape. Sometimes we’d feel one or 2 of those nails poking through the insides of our shoes, but our dad always fixed it.

Hiking and Swimming Galas
Dad was a very outdoorsy type, unlike my mother, who was probably too busy indoors. She also enjoyed the peace and quiet when he took us off for the day!

Anyway, he often took us hiking in the mountains where we’d have a picnic of sandwiches and flasks of tea. And more often than not we went by steam train.

We loved poking our heads out of the window until our eyes hurt like mad from a blast of soot blowing back from the engine. But sore, bloodshot eyes never dampened our enthusiasm.

Dad was an avid swimmer and water polo player, and he used to take us to swimming galas, as they were called back then. He often took part in these galas. And again we always travelled by steam train.

Rowing Over To Ireland’s Eye
That’s what we did back then, we had to go by rowboat, the only way to get to Ireland’s eye, which is 15 minutes from mainland Howth. From there we could see Malahide, Lambay Island and Howth Head of course. These days you can take a Round Trip Cruise on a small cruise ship!

But we thoroughly enjoyed rowing and once there we couldn’t wait to climb the rocks, and have a swim. We picnicked and watched the friendly seals doing their thing and showing off.

Not to mention all kinds of birdlife including the Puffin.The Martello Tower was also interesting but a bit dangerous to attempt entering. I’m getting lost in the past as I write, and have to drag myself back to the present.

Fun Outings with The camera Club
Dad was also a very keen amateur photographer, and was a member of a camera Club. There were many Sunday photography outings and along with us came other kids of the members of the club.

And we always had great fun while the adults busied themselves taking photos of everything and anything, it seemed to us. Dad was so serious about his photography that he set up a dark room where he developed and printed his photographs.

All black and white at the time. He and his camera club entered many of their favourites in exhibitions throughout Europe. I’m quite proud to say that many cups and medals were won by Dad. They have been shared amongst all his grandchildren which I find quite special.

He liked taking portraits of us kids too, mostly when we were in a state of untidiness, usually during play. Dad always preferred the natural look of messy hair and clothes in the photos of his children.

10 Simple Steps to Online Business Success

So your online business sucks and you’re feeling like a failure… Bet you thought running an online business was easy didn’t you. I bet you said to yourself:”I have this fantastic idea to start an online business and sell what I love and am passionate about and thousands of people are going to come running to buy my products now that I’ve got a website.”That’s it, you’re done and there’s no looking back now! You’ve got your online business and you’re going to make tons of money now aren’t you?! Or, are you?The reality of the situation is, many people start a business online everyday, yet almost all of them fail to execute a few simple steps that would inevitably lead them to success. Nearly all of us at one point in our entrepreneurial career has thought that we had a great idea that everyone wants or needs and they were just as excited about it as you are. The fact of the matter is you are an expert within your particular niche and that is what you are passionate about. But how are you going to share that passion, let alone your products and services with your target audience? Here are a few simple steps you can follow to ensure you succeed with your internet business.Step 1 – Know Your Target AudienceThe idea of knowing your audience goes deeper than identifying who they are, where they hang out and what they want however. Take the time to get to know your target audience. Ask them questions and learn what it is they seek from you. Online surveys are a great way to hear directly from your target audience. Use the free service from SurveyMonkey to create an online survey and ask your target audience as well as your email list subscribers to answer the questions. Their free plan allows you to create 10 question surveys and is very useful.Step 2 – Plan Your BusinessThis is a topic I cover in greater detail in my free 15 day training course. No online business can succeed without a plan. You must create a plan of action to implement for your online business before you can ever hope to succeed. This applies whether your a brick and mortar real world business or strictly operating online, having a plan of action greatly increases your chances of success!Step 3 – Follow the LeaderIdentify who the industry leaders are within your target market or niche and follow them closely. Learn from them to identify what led to their success. Take from them what works best for you and apply the lessons you’ve learned to create a more specific and personalized method to success for your online business.Step 4 – Devise a Marketing StrategyThis is an area where many online business owners fail. If you want your online business to succeed, you need to learn how to market your business. Having a well thought out marketing plan is a major key to your online business success.Step 5 – Pay Attention to OpportunityOpportunity exists everywhere, you just need to learn how to identify it. This is done through practice, practice, practice. The best way to learn how to identify opportunity is to learn how to be a better conversationalist. Opportunities present themselves in the most unlikely of situations usually. Learning to simply have conversations with others almost always leads to some form of opportunity presenting itself to you. Learn this art and your online business will go far!Step 6 – Create Actionable GoalsGoal setting is a key requirement for you to succeed at anything you do. Set actionable goals you need to achieve in order to attain success within your online business. Each goal is a small step toward the success you seek. Make sure to include dates for when you intend to achieve your goals. Including dates gives you something more to shoot for. Also, be specific about what you intend to achieve. For example, to have a goal of “make more money” is not an actionable goal. Instead, apply an amount and date to make the goal more realistic and achievable such as “I intend to make $10,000 a month by December 31st, 2010″.Step 7 – Work Your Business EverydayThis one is a little tricky. When I say to “work your business everyday” I mean within reason. You need to find a balance, especially if you are just starting out. You must work your online business everyday, even if it is for only 30 minutes a day. Each small step you take toward your goals is a part of a larger effort to achieve success.Step 8 – Don’t be a Pencil PusherMan if I had a penny for every time I’ve seen this one! Don’t get stuck in the preparation phase of your online business. To many times I’ve seen aspiring online business owners continue to prepare or organize their online business. You’ll never be 100% prepared so quit straightening your pencils and organizing your desk. You know what your action items are, so take action and just do the things that are going to make you money!Step 9 – Create Content that MattersMake sure to provide your target audience with quality content that meets their expectations and provides value. Your target audience is looking for value and will follow you fiercely if you provide it. Answer their questions and provide for their needs and you’ll find they will help you succeed.Step 10 – Build a Relationship ListNo, no, I don’t mean you create an online dating service… You should be actively building an email subscriber list and communicating with them on a regular basis. Doing so allows you to build a relationship with your subscribers which leads to customer loyalty as well as repeat buyers. An email list is by far the single most important requirement necessary for any online business to succeed.Well I’ve certainly given you a lot to think about, so stop sucking and get’er done!!!To Your Success!
Sean Smith