Working Capital Business Loan Solutions . Don’t Quit Or Give Up on the Mgmt of Cash Flow

Trouble Identifying Cash Flow Management Solutions . You did until today! No More Identity Issues

OVERVIEW – Information on working capital business loan solutions and financing management in Canada



Working capital business loan solutions in Canada. It's no secret that the average Canadian business owner and financial manager has some ' identity issues ' around the mgmt and sourcing of finance solutions for their business.


To be successful in business, whether that means growing your company or just staying alive! You need to be somewhat, shall we say ' centric' when it comes to making sure operations and your chosen finance solutions are working together.

So how exactly do you address the mgmt of tools to run, operate and finance your business? And by the way, our comments pertain to both product and service companies, everything from manufacturing to technology.

Knowing and understanding your gross margins is one key to addressing proper finance solutions. Let's look at a case in point. If you have some fairly solid gross margins that allows you to have higher operating and finance expenses and still earn a profit.

A real world example might be having the luxury to carry receivables a bit longer, providing your customer with extended terms at the expense of your competitors. Many businesses in the SME sector are either considering or utilizing factoring or receivable finance as a method to benefit from good gross margins and turn their sales and paper profits into real cash flow.

Where many owners and managers we meet as our clients miss the boat so to speak is that they take their eyes of cash flow. And it’s easy if sales are booming and your financials show a great ' paper ' profit. You can use several very basic tools to get an ongoing, if not daily sense that you're able to pay your suppliers, vendors and your lenders, whoever they might be.

Those basic tools, sometimes called ' efficiency ratios ' allow you to determine if your inventory is turning and receivables are being collected. The greatest business is one that’s growing and managing its assets. All those calcs come together in finance mgmt quite nicely under whats known as your operating cycle - we like to think of it as the journey that a dollar makes through your business from day 1.

You can address asset conversion with some solid financing tools - they include:

Accounts receivable financing

Inventory financing

Combo working capital facilities that are based on your ongoing inventory and A/R

Non bank asset based lines of credit

For those companies that qualify for Canadian chartered bank financing rates are low and margining facilities are generous.


All these facilities mentioned when used either singularly or in combination allow you to take one bigger sales and contracts, and deal with corporations much larger than your own firm, which, without proper financing and asset mgmt is difficult to do .Remember also that working capital needs grow, in the same rate that your business does.

Yes, you can finance your business with more equity, but an often more easy solution is viable Canadian business financing arrangements with bank or non bank alternative lenders. And complimenting those solutions with good asset management from your operations will remove that identity crisis you've been having with working capital business loan solutions.

Seek out and speak to a trusted, credible and experienced Canadian business financing advisorwho can help you implement financing that makes capital work!