YOUR COMPANY IS LOOKING FOR BUSINESS EXPANSION FINANCE
You've arrived at the right address! Welcome to 7 Park Avenue Financial
Financing & Cash flow are the biggest issues facing business today
ARE YOU UNAWARE OR DISSATISFIED WITH YOUR CURRENT BUSINESS FINANCING OPTIONS?
CALL NOW - DIRECT LINE - 416 319 5769 - Let's talk or arrange a meeting to discuss your needs
EMAIL -sprokop@7parkavenuefinancial.com
7 Park Avenue Financial
South Sheridan Executive Centre
2910 South Sheridan Way
Suite 301
Oakville, Ontario
L6J 7J8
Business capital funding and expansion financing raises many questions for Canadian business owners and financial managers. The whole challenge of funding your business sometimes creates that ' Panic at the Disco ' feeling. Let's examine solutions and strategies. Let's dig in.
The need for expansion financing should be raising some specific questions for owners/mgrs. These include how much funding is needed to grow the business and, as importantly, at what rate of growth. In some cases, your company might be focused on buying another firm /competitor.
The other larger question that looms involves whether you are prepared to borrow, monetize existing assets, or actually sell some equity in your business - equity being the most expensive form of capital.
That equity comes from existing owners, friends and family, and external sources such as going public. Many firms in the SME area look at avenues such as capital pools and reverse takeovers of shell companies - often having disastrous consequences if not properly thought out/planned. And, of course, debt is acceptable - if it's at the right rate/terms and level.
It's always interesting to watch companies go through their different stages, from the start... to growth and then the ' mature' stage where capital needs are less to none. Oh, to be ' mature'!
There is a strong alternative for growth expansion that should always be looked at - Asset collateralization. This raises internal funds via existing assets.
BUSINESS EXPANSION FINANCING SOLUTIONS
A/R Financing
Inventory Finance
Working Capital Term Loans
Tax Credit Monetization Financing
Government Guaranteed Business Loans
PO/Contract financing
Sales royalty financing
Asset-based business credit lines - revolving facilities that allow you to borrow against receivables, inventory and equipment
Equipment Leasing/ Sale Leasebacks
Those larger ' mature' companies we talked about cash flow coverage' regarding how they manage and take on new debt. Their ability to have cash flow to cover the debt gives them ' investment grade' or 'non-investment grade ' coverage. While private companies are rarely rated, it's time well spent to cover cash flow forecasts.
The Bottom line:
Understand your business cash flow prospects,
Understand the types of debt you're willing and able to take on,
Always consider the downside/worst case
Focus on the right mix of debt, equity, or asset monetization
Avoid our ' panic at the disco ‘analogy. Seek out and speak to a trusted, credible and experienced Canadian business financing advisor who can assist you with your capital expansion financing needs.
Click here for the business finance track record of 7 Park Avenue Financial
