Need Other sources of funding? Canadian business financing

Canadian Business
Other funding sources in Canada. Ever wondered what they are? I guess we can say that they are “alternative” and not “traditional”, but this is not really tell the whole story. And such alternative financing solutions, generally non-bank in nature may be substitutions for traditional financing, and this is a surprise, sometimes free in nature! Explain.

An article in the first business magazine in America has drawn our attention recently … he said business owners should be encouraging for alternative sources of funding, because it was they took over when the global crisis is over 2008. And that’s when credit froze the course of business.

No wonder that Canadian companies find themselves in the same boat, being in many cases unable to finance inventory, increase sales, etc.

between traditional and alternative loans, there are many courses of actions your business can take to help alleviate the crisis. ” They could include other pricing strategies, favorable purchase terms negotiated new owner equity, etc. Great strategies, but sometimes just not enough!

While the majority of Canadian companies think of “bank” when it comes to just about any kind of financial reality is that it’s a new world out there. Things such as one on a loan relationship have much less importance these days, and many large financial institutions focus on costs, no credit lines.

So what are some of these alternative sources of funding? They might include:

Factoring / receive funding

equipment rental non-bank working capital – (A / R and inventory and equipment)

securitization contract monetization tax credit Financing cash flow
term loans based ABL Finance ‘- Secured / unsecured
Will you provide some examples of alternative funding sources or co exist or replace more rational financing in Canada. A clear example is perhaps the tax credit. Canadian SRED (SR & amp; ED) tax credits provide billions of dollars in new capital, emerging and established companies

In general, we can comfortably say that the credits tax, which many companies like book. a “receive” when they filed, are not fundable by our chartered banks. Some will say that, but we are behind our comments. Thus, the ability to finance a tax credit application outside of your existing credit facilities is precious. So regarding his only example of a co existing alternative financing vehicle with conventional finance. (By the way tax credits, film, television and FX can also be funded in Canada)

In many cases, alternative financing solutions completely replace bank financing – the most of the time when the bank says no, “they are sometimes wont to do! In that the lines from case to receive funding and assets of the credit fund companies ranging from 100k to $ 100 million! To show you the extreme, even if your company is in bankruptcy proceedings under the CCAA, it may well be effectively funded alternative financing – eg ABL

of the solution When the owner a Canadian company and CFO are looking for capital. process is actually quite clear. Make sure you have a clear use and need of funds, what are the funding sources (traditional and nontraditional) are there, and be willing to accept financing solutions that are relevant to your situation if it involves current weakness, problems ,, need creativity, etc.

try and talk to someone you trust, financing consultant credible and experienced Canadian companies that can help you with alternative sources, or traditional! funding.