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.

Savile Row Tailors – Pioneering In Men’s Fashion

Great Britain’s rich history is not just limited to tales surrounding the royal family or the conquests that saw it become one of the supreme powers of the world. In fact, the centuries of supremacy that this country has enjoyed symbolize the pinnacle it achieved in almost all realms of life, may it be trade, governance, literature, education, art or fashion. When we talk about the British contributions towards the world of style and fashion, there is a centuries old history associated with it as well. Among the most prominent representatives of Britain’s fashion industry are the Savile Row tailors, whose master craftsmanship is known to all and sundry around the world.About Savile Row Tailors:
It would not be wrong to regard Savile Row as the hub of men’s custom-made suiting. This is a status it has enjoyed for the past couple of centuries and it is to the credit of the artisans working here that the world has come to recognize Britain as a trendsetter in the fashion industry. Although the Row also caters to the demands of its female clientele, its widespread popularity primarily comes from its strong adherence to men’s apparel. In fact, the craftsmen you find on the Row will proudly present a list of iconic male figures for whom they have had the privilege of creating statement pieces for.Who Is The Best Among The Savile Row Tailors?
To decide which of the Savile Row’s designer outlets have an edge over the others is a difficult question to answer and would mainly depend on the taste the buyer has. The choice is also difficult to make because each of these fashion solution providers have their own niche and design strengths that attract different categories of clients, ranging from celebrities to entrepreneurs. Some of the most sought after names in this Mayfair area include:Spencer Hart:
Although counted among the recent entrants to Savile Row, Spencer Hart quickly became popular among men who are on the lookout for modern cuts with hassle-free designs. The shop considers itself to be the creator of ‘cool’ factor in men’s suiting and has been successful in remaining true to its label. Presenting the perfect fusion of trendy, elegant and sassy, Spencer Hart impresses its customers with each collection by introducing the flawless minimalist yet stylish dark-finish suiting styles.Gieves And Hawkes:
If you are on the lookout for suits that incorporate the old-age British class and finesse, you would definitely be impressed by what Gieves and Hawkes have to offer you. Being one of the earliest outlets on the street, Gieves and Hawkes have maintained their traditionalist British styles, ranging from military uniforms to vintage style suits.Richard James:
Richard James has separate outlets for its readymade and bespoke collections. It is to Richard James’ credit that even though the suits are styled with impressive cuts and distinctive silhouettes, they do not appear to have a pompous look. Innovations in designs and the creative use of colours adds stars to the outlet’s portfolio.

Financial Worries Before Christmas

Money Worries
Christmas is a wonderful time of year for so many people. We get to spend time with family and friends, share stories, moments, food, and love.

But for a great number of people, the festive season also brings with it worry, stress and uncertainty. I’m talking of course about the financial struggle Christmas can impose.

Almost every year since 2008 the American consumer has increased spending on holiday gifts.

And according to a study by the National Retail Federation, Americans were projected to spend more money on gifts in 2019 than they ever have before.

Keeping up with this need to spend such a large amount of money for the Christmas holidays is totally unsustainable for some. And not only that, but the stress and anxiety to ‘fit in’ with the popular trend are deeply concerning.

So is the answer more borrowing and more debt?

Or is there a better way to solve your Christmas Financial worries?

Mindset Shift
One of the easiest ways to avoid this dramatic overspending is to fundamentally shift the way you think about Christmas. The festive period can be thought of as more than just an abhorrent first world splurge on consumer goods.

Remember the reason we celebrate Christmas in the first place and what it actually means for your family. It’s time to come together and reflect on the year that has passed. Lavish gifts are not required to get the full joy of this experience.

It is more difficult to implement this tectonic shift in thinking when you have children. Of course, you need to be mindful of their expectations, their friendship groups, and the limited number of years they have to enjoy the magic of the holiday from a child’s perspective.

But you can still achieve all of this by spending more frugally and making a conscious effort to not drain your savings.

Recommended article: 12 Days Of Spectacular Frugal Christmas Tips

Plan Ahead
Personal finances can be managed much more effectively with more time. Therefore, planning your Christmas and the gifts you buy is a great way to avoid excessive spending. The earlier you begin this process, the better you are able to spend within the framework of your budget.

And more often than not, with the use of tools such as cashback, the more money you are able to save. And saving money is the key to well managed personal finances. It is when we go beyond our budget that we run into problems.

I suggest you start thinking about a specific Christmas budget months before the event. Also, start segregating your savings so that you know you can afford what you need to spend.

After all, everyone wants to be able to enjoy the holidays as much as is feasibly possible. But under no circumstances should you splurge and think paying back at a later date is a good idea.

Recommended article: 13 Wonderfully Awesome Christmas Gift Ideas For Men

Long Term Plan
With long term planning in place and a new mindset instilled, your Christmas personal finances should be on the right path for years to come.

Christmas can be an amazing reflective experience and many people I know actually forgo gift-giving altogether. They use their time to help those less fortunate.

if we could all adopt this sort of mentality when thinking about Christmas, it would alleviate the financial pressures on everybody. This is not something that will happen overnight, but the change is already beginning to occur.

Being on this side of the Christmas financial equation could save you a fortune over the years, and make your Christmas experience less stressful and far more altruistic.