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.

Financing Private Home Care

When the time comes that we can no longer take care of ourselves or our loved ones, we definitely need to be prepared. Life is a long journey and we should be ready for the years when bathing, eating, dressing up or even walking are no longer that easy. Most families nowadays rely on caregivers or care providers to assist and take care of their elderly loved ones or family members who have special medical conditions.However, most families also fear losing all their savings or finances paying for private home care services; that’s why they choose cheaper options that in reality are not that comfortable for the patients themselves. In truth, letting our loved ones stay at home and be taken care of there is a lot more beneficial for them. They will feel much better physically, emotionally and psychologically. The good news is that we shouldn’t be scared nor should we hesitate in choosing private care for our loved ones as there are a lot of ways on how we can finance private home care.1. MedicareMedicare normally covers private home care expenses for a specific span of time. Usually, when a patient has recently gotten out of a hospital or a long-term facility, Medicare provides financial assistance so that monitored care can be continued at the comfort of the patient’s home. However, one should take note of the requirements to avail of this benefit. In most cases, the doctor’s order for home care is necessary as well as other supporting documents. Ask your local representative for detailed information.2. MedicaidMedicaid is just about the same as Medicare only that the former’s qualifications or basis of eligibility relies on a patient’s income rather than age and disability. There are also other differences in terms of health coverage but Medicaid is definitely another good way to help you finance your private home care services. Just also make sure that necessary documents are filed and the doctor’s order is noted to apply for financial assistance.3. Social SecurityWhen you’re getting Social Security benefits, you can set some of the amount aside to aid in paying for your home care. You can supplement your Medicare and Medicaid coverage by letting your saved Social Security benefits pay for those expenses that are not covered by the first two.4. Long Term InsuranceMost long-term insurance policies provide assistance for private home medical care. Although coverage varies among insurance companies, you should remember that most of them has or requires a maturity or elimination period before you can avail of specific benefits.5. Veterans BenefitsIf you’re a U.S. Armed Forces Veteran, you may actually qualify for a Disability Pension Benefit that you can use for your home care expenses. This said benefit is mostly termed or referred to as the “Aid and Attendance Allowance”. You can use the internet to search for more information regarding qualifications or procedures on how to avail this benefit.These are just some of the creative ways on how you can finance your private home care services. Not every one of us may be qualified with all the options provided above but it doesn’t mean that we should set aside our loved one’s comfort and wellness for practicality. After all, families can always pitch in and help each other for another loved one who needs the help.

Give Children the Gift of Simplicity This Christmas

I am making a pact with myself to keep calm and keep it simple this Christmas season. I really want to focus on the spirit of family and giving, rather than the hype of commercialism. I’m thankful my children don’t watch television; instead of asking for the latest toy, my son has asked Santa for a felting needle and wool (makes my heart swell). I’m putting more effort into the gifts I choose so I know they will be perfect and appreciated; less plastic and gimmicky, and more thoughtful and lasting. And “less” is definitely the key word here. I’m asking friends and relatives to be mindful of my less-is-more mantra as well (and I hope you’re reading this, Gramma).Focus on your child’s favourite things to help you select gifts. My daughter has always loved all things animal and insect-related, so gifts for her include animal or insect craft projects, subscriptions to National Geographic Kids or Owl Magazine, stuffed animals and bugs, and leopard print anything when it comes to clothing and accessories.Give them knowledge. Books are one of my favourite gifts to give as they are versatile and there are so many to choose from.Give them fresh air. Outdoor toys are a great investment, as well as incentive for outside play time in winter months. Snowball and snow block makers let kids create their own snowballs and forts. Sleds and magic carpets provide hours of sliding fun.Give them a green thumb. Indoor herb gardens and seed-growing kits teach children how things grow and how to care for them. It’s fun to grow something green in the winter months and kids love to watch the progress. They also get excited about eating the herbs they grow.Give them creativity. There are so many amazing crafty gifts out there, from DIY nightlights and door hangers to journal books and modelling clay. Fun fridge calendars or student organizers make great gifts too.Give them entertainment. Gift certificates are great for giving things such activities the family can do together – the movie theatre, the indoor pool or play centre, science museum and more.Give them treats. What could be better than a freshly-baked gingerbread man in their stocking? Maybe some gummy candies or caramel corn, but it doesn’t really matter, as long as they’re treats they love. You know them best, so pop some goodies in and wait for the toothy grins to appear.And do give them toys. Cute stuffed animals, handmade doll houses, puzzles, musical instruments and wooden train sets are classic toys children play with time and again. Get them solid toys that will stand the test of time so they may be enjoyed and then passed along to friends or family when outgrown.