YOUR COMPANY IS LOOKING FOR BUSINESS FINANCING!
SMALL BUSINESS LOAN SOLUTIONS FOR SME COMPANIES IN CANADA
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
"Capital isn't scarce; vision is." - Sam Walton
Unlock your business potential: Discover how Canadian Business Financing Loans can turn your financial hurdles into stepping stones for success.
7 Park Avenue Financial originates business financing solutions for Canadian Businesses – We offer Canadian Business Financing Loans and working capital solutions – Save time and focus on profits and business opportunities
7 Park Avenue Financial: “Canadian Business Financing with the intelligent use of experience”
CANADIAN BUSINESS FINANCING LOANS
Canadian Business financing is a challenge at any time, from the entrepreneur's dream of start-up loans to major corporate needs.
We think Canadian business owners and financial managers can be forgiven for sometimes thinking that there is a SECRET SOCIETY they have to penetrate to get the small business financing they need.
Of course, that connotes some sort of organization where the activities and inner functioning are concealed from non–members—i.e., Your Company! Does it have to be that way? We don’t think so, and here’s why.
The current business environment, pandemics included, makes the above-noted challenge even more daunting. Whether a firm is established and doing well or experiencing financial distress or working capital or growth needs - the challenge remains the same – cash flow and solutions for financial growth.
Understanding Canadian Business Financing Loans
ARE YOUR BUSINESS FUNDING CHALLENGES SHORT TERM OR LONG TERM WORKING CAPITAL COSTS?
What is the ‘challenge’?
Simply speaking, it is identifying the proper financing solution, determining whether the solution is a short-term fix or a long-term solution, and, most importantly, executing the proper financing solution with experience.
The business owner must be able to properly position the current shortcoming as both an opportunity and risk-appropriate. Flexible financing solutions tailored for film production can address these challenges by offering expertise to navigate various financial needs.
IDENTIFYING YOUR SMALL BUSINESS LOAN FINANCE NEEDS
Proper financing begins with the owner and his/her advisor’s ability to identify the current financing challenge.
A financial institution or commercial lender plays a crucial role in determining interest rates and approving loans. The owner and advisors must provide a compelling reason for the lender to assist in an appropriate financial solution.
WHAT ADVISORS CAN YOU TURN TO FOR BUSINESS LOAN EXPERTISE AT A FINANCIAL INSTITUTION
Who are these ‘advisors’? Typically, they are internal financial staff, i.e., the CFO/Controller, etc., or alternately, third-party accountants and experienced financial intermediaries with a track record of success.
Economic Development Canada is crucial in supporting financial institutions and assessing loan applications, ensuring businesses meet borrowing criteria to receive funds.
CANADIAN SMALL BUSINESS FINANCING SOLUTIONS
Business Financing is complex - However, at the end of the day the financing solutions are actually very well defined - They are as follows:
A/R Financing
Inventory Loans
Access to Canadian bank credit
Non bank asset based lines of credit
SR&ED Tax credit financing
Equipment / fixed asset financing
Cash flow loans
Royalty finance solutions
Working Capital Loans
Bridge Loans
Commercial Mortgages
Government Of Canada Small Business Loan Program - The Guaranteed federal business loan funds equipment, leasehold improvements and real estate. Interest rates and repayment terms are excellent - a small registration fee applies, which can also be financed! The Government Small Business Loan is also often called the ‘ SBL’ Canadian Small Business Financing Loan.
The Canada Small Business Financing Program helps small businesses secure loans by reducing the associated risks for lenders. Term loans are a popular option under this program, used for significant purchases such as land, buildings, vehicles, or equipment essential for operations.
Additionally, Governemnt term loans and lines of credit can cover working capital costs, ensuring businesses effectively manage their day-to-day operational expenses.
Intangible assets are also eligible for purchase under specific financing terms, highlighting their importance in the overall financing structure.
Real property, including any improvements made to it, is crucial in financing agreements and often required as collateral. Although excluded from this program, farming businesses can seek support through alternative programs specifically designed for the agricultural sector.
MAJOR CONSIDERATIONS
The business owner and their advisor should have a very clear focus - That focus is as follows:
What is the best financing solution for the business, either short-term or intermediate-term/long-term? Is the interest rate/cost of financing/terms and conditions appropriate for my needs?
3 Uncommon Takes on Canadian Business Financing Loans:
- Leveraging loans for sustainable business practices can lead to long-term cost savings and improved brand reputation.
- Strategic use of financing can accelerate innovation cycles, giving businesses a competitive edge in rapidly evolving markets.
- Combining different loan types can create a customized financial strategy that adapts to changing business needs throughout growth phases.
KEY TAKEAWAYS
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Eligibility requirements focus on business age, revenue, and creditworthiness.
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Interest rates vary based on loan type, term length, and borrower profile.
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Secured loans often offer lower rates but require collateral as protection.
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Government-backed programs provide additional security for lenders, potentially improving terms.- Rates are at the lender's prime lending rate +3% and a limited unsecured personal guarantee is required- New or used equipment can be funded, and the loan has a term loan structure - Tenant intangible assets can also be be funded under the program
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Repayment structures can be tailored to match business cash flow patterns.
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The application process typically involves financial document submission and business plan review.
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Credit scores play a crucial role in loan approval and interest rate determination.
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Loan amounts are generally based on the business’s financial capacity and intended use of funds.
CONCLUSION
Canadian Business Financing Loans are the catalyst that transforms entrepreneurial visions into thriving realities.
Does the business owner or executive clearly understand all the financial options available to small businesses in Canada?
What are the criteria for these different options? What are the rates/terms and structures for each option?
Call 7 Park Avenue Financial , a trusted, credible and experienced Canadian business financing advisor who can assist you with business loans and asset monetization needs.
Whether it's government loans for businesses, traditional financing, or the newer alternative financing solutions now available, help can be on the way!
FAQ
How can Canadian Business Financing Loans help my company expand?
These loans provide the necessary capital to invest in new equipment, hire additional staff, or open new locations, enabling your business to grow and capture market share.
What types of Canadian Business Financing Loans are available for different business needs?
Options include term loans for large investments, lines of credit for managing cash flow, equipment financing for specific purchases, and working capital loans for day-to-day operations. The Canada Small Business Financing Program is a government-guaranteed loan program for new or existing businesses with less than 10M in revenue. It can be used for various uses, such as funding existing leasehold improvements on leased property.
Are Canadian Business Financing Loans accessible for startups and small businesses?
Many lenders offer specialized programs for startups and small businesses, often with more flexible terms and lower qualification barriers than traditional bank loans.
Can Canadian Business Financing Loans help improve my business's financial stability?
Absolutely. These loans can help consolidate debt, improve cash flow, and provide a financial buffer during slow periods or unexpected challenges.
What are the long-term benefits of utilizing Canadian Business Financing Loans?
Strategic use of financing can lead to increased revenue, improved market position, enhanced operational efficiency, and, ultimately, higher business valuation.
What documentation is typically required when applying for Canadian Business Financing Loans?
Lenders usually request business financial statements, tax returns, a business plan, and collateral or personal guarantee information.
How quickly can I receive funds after applying for Canadian Business Financing Loans?
The timeline varies by lender and loan type, ranging from a few days for some online lenders to several weeks for more complex or larger loans.
Are there industry-specific Canadian Business Financing Loans available?
Many lenders offer tailored financing solutions for specific industries such as agriculture, technology, or manufacturing, considering unique sector challenges and opportunities.
What factors influence the interest rates on Canadian Business Financing Loans?
Interest rates are typically determined by the loan type, term length, borrower's credit history, business financials, and overall economic conditions.
Can I use Canadian Business Financing Loans to purchase an existing business?
Many lenders offer acquisition financing to help entrepreneurs purchase existing businesses, often structuring the loans based on the target company's assets and cash flow. The government loan program can also be used to buy a business and purchasing leasehold improvements.
What's the difference between secured and unsecured Canadian Business Financing Loans?
Secured loans require collateral, often resulting in lower interest rates but putting assets at risk. Unsecured loans don't require collateral but typically have higher rates and stricter eligibility criteria.
How do Canadian Business Financing Loans compare to equity financing?
Loans allow you to maintain full ownership and control of your business, with predictable repayment terms. Equity financing involves selling a portion of your company, potentially diluting ownership but without the obligation to repay.
What role do credit scores play in obtaining Canadian Business Financing Loans?
Credit scores significantly influence loan approval, interest rates, and terms. Higher scores generally lead to more favourable conditions, while lower scores may result in higher rates or require additional guarantees. For the Canada Small Business Financing Program, a minimum credit score in the 600+ range is required.
