YOUR COMPANY IS LOOKING FOR AN CANADA SMALL BUSINESS LOAN !
THE ' SBL ' LOAN PROGRAM - CANADA SMALL BUSINESS FINANCING LOANS
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
Oakville, Ontario
L6J 7J8
The Canada Small Business loan program, aka the ' SBL ' is an ongoing major initiative by the Canadian Federal government to provide capital financing to new and existing businesses that meet the criteria of the program.
BUSINESS CREDIT YOU MIGHT NOT BE ABLE TO ACHIEVE ELSEWHERE!
The program is very popular in Canada, primarily because it a business loan that the business owner may not have been able to achieve elsewhere.
Many business owners and financial managers either aren't aware of the program or, as is more often the case, don't understand the requirements of the program and how to ensure proper approval in a timely manner. Naturally, rightfully or wrongfully so, there exists a perception that any government type funding program is extremely paperwork and administratively burdening to the business.
4 THINGS YOU NEED TO KNOW ABOUT THE GOVERNMENT OF CANADA SMALL BUSINESS LOANS
There are several key basics that allow a business to ensure that they are in fact qualified to pursue the program. Those basics are as follows:
1. The company must be a private corporation - public firms are not eligible
2. The company must be under 10 Million dollars in revenue
3. The loan must ' flow-through' a registered administrator of the program - In Canada, this is typically a chartered bank - this is one of the key perceptions of the program, in that the banks ' administer ' the program, but they don't own it- It is possible that a credit union may also participate in the program - Check with the financial institution to make sure they offer and are familiar with the program
4. Only three major asset classes are covered under financing in the program - they are as follows: Equipment, Leaseholds, and Real Estate
THE GOVERNMENT OF CANADA ' GUARANTEES ' THE LOAN TO CANADIAN BANKS
The government, as we have shown, doesn't lend the funds, but it guarantees the funds to the bank
Almost every type of business in Canada can qualify for the loan program.
The challenge of course, as always, is ' How does my firm get approved?!'
If a business owner or manager feels they are not capable of providing a proper submission to the bank it is highly recommended that they used the services of a trusted financing advisor or intermediary.
We cannot overemphasize that the key to dealing with the government and the bank is that it is critically important to have all the necessary paperwork in a properly submitted and, hopefully, professional package.
What does that ' paperwork ' include? Companies should ensure the package reflects the current financial position of the company, a proper business plan and or executive summary, and miscellaneous personal data surrounding the bank and government requirements - i.e. statement of net worth, proof of no tax arrears, etc. At 7 Park Avenue Financial, we prepare business plans that meet adn exceed the requirements of all business lenders .
Most importantly is the need to position a proper purpose of the loan re dollars, timing, use of funds, etc
On occasion, it might be appropriate to offer up other guarantors or additional collateral, but in general, this is not required.
CONCLUSION
Most business owners don't realize the true benefit of doing everything once, the right way! In lending and loan approval that is important. You can re-submit and renegotiate, but that is not an optimal strategy for business financing success.
In summary, the bottom line is ' do it once, right '. Small businesses need access to credit - If you feel that can't be done internally engage the services of a trusted financing advisor with credentials in this area. Seek out and speak to a trusted, credible and experienced Canadian business financing advisor who can assist you with your ‘ Small’ business loan.
P.S. Is it just us or is $1,000,000.00 not that small?!
Click here for the business finance track record of 7 Park Avenue Financial
Stan Prokop
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