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Business Capital Solutions In Canada: Accessing Proper Cash Flow & Commercial Financing

Business capital requirements in Canada often boil down to some basic truths the business owner/financial mgr/entrepreneur needs to address when it comes to financing for businesses.

One of those truths? Knowing the true state of their financial condition and what financing they do and don’t qualify for when it comes to meeting commercial lending requirements in Canadian business.

Business Loans In Canada

Whether you are smaller or start-up firm looking for information on how to get a business loan or a larger established firm looking for growth financing or acquisition opportunities we’re highlighting 3 mistakes that commercial loan seekers like your company need to avoid making when addressing, sourcing and negotiating your cash flow / working capital and commercial financing needs.

1. Understand the true condition of your company finances – These are almost always successful addressed when you spend time on your financials and understand how your financial statements reflect your access to commercial loans & business credit in general

2. Ensure you have a plan in place for sales growth and financial needs as it relates to commercial financing

3. Understand that actual hard facts about cash flow which is, of course, the lifeblood of your company

Can you honestly answer or feel positive about all those 3 points. If so, pass Go and collect $ 100.00!

A good way to address your company’s finance plans is to ensure you understand growth finance solutions, as well as how to manage in a downturn – i.e. not growing, losing money, etc; It’s never fun to fund yourself in an economic or industry downturn such as the COVID pandemic of 2020!

When we talk to clients of new or established businesses it seems they are almost always talking about sales, so the ability to understand and focus on the differences in their profits and cash fluctuations is key.

How do cash flow and sales plans and projections affect the type of financing you require? For one thing sales growth usually starts out by consuming your cash, not generating it. A poor finance plan will drag your business down and addressing financing simply gets tougher and tougher.

Three basics always emerge when it comes to your search for the right business capital and financing.

1. The amount of financing you need

2. The type of financing (debt/cash flow/asset monetization) The business loan interest rate will be dramatically affected by whether you choose traditional or alternative financing solutions. Private business loans in Canada come from non regulated commercial finance companies most often known as ‘ alternative lenders ‘. These lenders are typically highly specialized in one ‘ niche ‘ of business financing and may be Canadian firms or branches of U.S. banks and non-bank lenders

3. How the financing is structured to be manageable with your day to day operations

What Finance Company In Canada Can Meet Your Borrowing Needs & Why Is Capital Important In Business

Let’s identify and break down key financings your firm should know about and understand if they are applicable and achievable to your business. They include:

A/R Financing / Factoring / Confidential Receivable Finance

Inventory finance / floor planning / retail inventory

Working Capital term loans

Unsecured cash flow loans

Merchant working capital loans/advances – these loans are geared toward short term cash needs and are typically one year in duration. Loan amounts are typically 15-20% of your annual sales revenues.

Royalty finance

Asset based non bank business lines of credit

Tax credit financing (SR&ED bridge loans)

Equipment Leasing / Sale leasebacks – Equipment financing in Canada is used by almost 80% of all companies looking to acquire new, and used, assets.

Govt Guaranteed Small Business Loan program – Government Loans in Canada are sometimes referred to as ‘ SBL’, aka Note: BDC Finance solutions are available from this Canadian non-bricks and morter crown corporation. A small business loan via the government-guaranteed loan program comes with true flexibility around term loan duration, market rates, no pre payment penalties, and of course the low personal guarantee that is required by borrowers. These two ‘ government ‘ loan solutions are often perfect for financing a new business.

If you’re focused on not making mistakes in your business finance needs and want to capitalize on the solutions your competitors are probably already using seek out and speak to a trusted, credible and experienced Canadian business financing advisor who can assist you with your cash flow and commercial financing needs.

Stan has had a successful career with some of the world’s largest and most successful corporations.

His employers over the last 25 years were, ASHLAND OIL, ( 1977-1980) DIGITAL EQUIPMENT CORPORATION, ( 1980-1990) ) CABLE & WIRELESS PLC,( 1991 -1993) ) AND HEWLETT PACKARD ( 1994-2004 ) In 2004 Stan founded 7 PARK AVENUE FINANCIAL – He is an expert in Canadian Business Financing.

Skin Care Tips: My Top Ten List

The right skin care tips can make the difference between having so-so looking skin and having the type of skin that makes you the envy of everyone you encounter. If you are thinking that these skin care tips are all about buying expensive products, you couldn’t be more wrong.Having a daily skin care routine that you follow religiously, as well as good overall health habits will make the difference between rough, dull-looking skin, and a smooth, fresh-looking complexion, no matter what your skin type is. It doesn’t take a lot of time to implement these tips, but consistency is the key.If you are still young and have that perfect skin of youth, be aware that your looks are fleeting. If you don’t take the time to properly care for your skin now, in 10 or twenty years down the road, you will clearly see the signs of neglect, and so will everyone you meet. Smoking, tanning and a poor diet will leave you with a skin looking like a pair of beat-up shoes. No one wants that, so plan to take good care of your skin now. If you are older, you can’t turn back the hands of time, but good skin care can help arrest the signs of aging.To follow are some great skin care tips to keep you looking fresh and lovely, no matter what your age is.1) Stay away from smoking, and drinking to excess.It’s fine to have the occasional glass of wine or a cocktail, but excess drinking can age you fast. Both cigarettes and booze contain toxins that are terrible for your skin. Smokers are well-noted for having premature aging due to constantly pursing their lips around a smoke, and the deadly toxins in cigarettes. Smokers will generally form wrinkles at a much younger age, and those that hit the bottle hard will develop early wrinkles and have blotchy skin.2) Use sun protection. This cannot be stated enough: Excess sun exposure will give you wrinkles and skin that looks more akin to your leather furniture than fresh and dewy. While some people think they just cannot be without a “golden glow” from tanning, their skin will eventually pay the price.Get into the habit of applying a moisturizer with built in UV protection everyday, not just on sunny days. During the summer when the sun is most intense, make sure to use sunscreen on any exposed areas of the skin, and be sure to cover up when the sun is at its peak at midday. Not only will this keep your skin looking younger for longer, it will also help protect you from getting deadly skin cancers.3. Hydration– It can’t be stated enough that this is one of the most important keys to healthy skin.Your beverage of choice should be water, not sodas or coffee, if you want beautiful skin. You must drink water consistently throughout your day as well. A sip of water now, but nothing for hours afterwards leads to dehydration. Water flushes out impurities, helps keep the skin moisturized from the inside out, and also helps you to control your weight.4) Getting enough sleep is crucial for great skin.Not only does lack of sleep show on your skin, it also affects your overall health. If you are overtired, you are not at your most productive anyway, so why not call it a night, and get the rest you need?Getting adequate sleep will help to reduce your stress levels and give your skin time to regenerate during your sleeping hours.5) Exfoliating to remove dead skin cells reveals a fresher-looking complexion. Your skin renews itself by producing new skin cells and pushing old, dead skin cells to the surface of the skin. Exfoliation removes these dead skin cells, and reveals more lustrous skin hiding beneath old dull skin cells. Dry skin should not be over-exfoliated; once or twice a week is ample for that skin type. Oily and normal skin can take more frequent exfoliation; perhaps 3-4 times weekly. Make sure to use an exfoliant that is appropriate for your skin type, and don’t over-do it. Your skin is delicate, so don’t scrub at it like it’s the kitchen sink.6) Throw out old skin care products.Nearly all skin care products have a “use-by” date, and it is important to adhere to it. The ingredients in these product break down over time and being exposed to the air. If you see lotions or creams separating, or you notice a funky smell from any of your skin care products, get rid of them pronto. They are likely contaminated with bacteria, which can lead to skin irritation and break-outs.7) Limit sodium intake.Too much sodium dehydrates you, leaving you with wrinkly, aged-looking skin.8) Keep it clean–Cleanse your skin morning and night.A creamy cleanser is best for dry-to-normal skin types, while oily, acne prone skin may benefit from an anti-bacterial cleaners. One of the best things you can do for your skin is to remove all traces of makeup before going to sleep at night. This avoids contaminating your pillow, leading to breakouts.9) Use a toner that is right for your skin type.Toners remove any lingering traces of make-up and oil from the skin. This enables your moisturizer to penetrate the pores more effectively, and do a better job of keeping your skin moist and healthy. If your skin is on the dry side, skip the toner on your cheeks. Instead, just stroke it on with a cotton ball to the oilier areas of your face; the forehead, nose and chin.10) Use the right moisturizer for your skin type and use it faithfully. Oily skins need an oil-free, lightweight moisturizer, while mature skin that tends to be on the dry side can benefit from a rich moisturizer, particularly at night. Avoid moisturizers with artificial fragrances or colorants.If you have very dry skin, you may benefit from moisturizers known as “humectants” as they draw in additional moisture from the atmosphere to soothe dry skin.11) Move it.Exercise brings blood and nutrients to the surface of the skin, and sweating removes impurities, so it is fantastic for your skin. Just remember to shower promptly when you are finished to keep your pores from being clogged by sweat. This will prevent outbreaks and rashes.If you follow these skin care tips, you are well on your way to the type of skin that will be the envy of all of your friends, no matter what your age.

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SPDN: An Inexpensive Way To Profit When The S&P 500 Falls

Summary
SPDN is not the largest or oldest way to short the S&P 500, but it’s a solid choice.
This ETF uses a variety of financial instruments to target a return opposite that of the S&P 500 Index.
SPDN’s 0.49% Expense Ratio is nearly half that of the larger, longer-tenured -1x Inverse S&P 500 ETF.
Details aside, the potential continuation of the equity bear market makes single-inverse ETFs an investment segment investor should be familiar with.
We rate SPDN a Strong Buy because we believe the risks of a continued bear market greatly outweigh the possibility of a quick return to a bull market.
Put a gear stick into R position, (Reverse).
Birdlkportfolio

By Rob Isbitts

Summary
The S&P 500 is in a bear market, and we don’t see a quick-fix. Many investors assume the only way to navigate a potentially long-term bear market is to hide in cash, day-trade or “just hang in there” while the bear takes their retirement nest egg.

The Direxion Daily S&P 500® Bear 1X ETF (NYSEARCA:SPDN) is one of a class of single-inverse ETFs that allow investors to profit from down moves in the stock market.

SPDN is an unleveraged, liquid, low-cost way to either try to hedge an equity portfolio, profit from a decline in the S&P 500, or both. We rate it a Strong Buy, given our concern about the intermediate-term outlook for the global equity market.

Strategy
SPDN keeps it simple. If the S&P 500 goes up by X%, it should go down by X%. The opposite is also expected.

Proprietary ETF Grades
Offense/Defense: Defense

Segment: Inverse Equity

Sub-Segment: Inverse S&P 500

Correlation (vs. S&P 500): Very High (inverse)

Expected Volatility (vs. S&P 500): Similar (but opposite)

Holding Analysis
SPDN does not rely on shorting individual stocks in the S&P 500. Instead, the managers typically use a combination of futures, swaps and other derivative instruments to create a portfolio that consistently aims to deliver the opposite of what the S&P 500 does.

Strengths
SPDN is a fairly “no-frills” way to do what many investors probably wished they could do during the first 9 months of 2022 and in past bear markets: find something that goes up when the “market” goes down. After all, bonds are not the answer they used to be, commodities like gold have, shall we say, lost their luster. And moving to cash creates the issue of making two correct timing decisions, when to get in and when to get out. SPDN and its single-inverse ETF brethren offer a liquid tool to use in a variety of ways, depending on what a particular investor wants to achieve.

Weaknesses
The weakness of any inverse ETF is that it does the opposite of what the market does, when the market goes up. So, even in bear markets when the broader market trend is down, sharp bear market rallies (or any rallies for that matter) in the S&P 500 will cause SPDN to drop as much as the market goes up.

Opportunities
While inverse ETFs have a reputation in some circles as nothing more than day-trading vehicles, our own experience with them is, pardon the pun, exactly the opposite! We encourage investors to try to better-understand single inverse ETFs like SPDN. While traders tend to gravitate to leveraged inverse ETFs (which actually are day-trading tools), we believe that in an extended bear market, SPDN and its ilk could be a game-saver for many portfolios.

Threats
SPDN and most other single inverse ETFs are vulnerable to a sustained rise in the price of the index it aims to deliver the inverse of. But that threat of loss in a rising market means that when an investor considers SPDN, they should also have a game plan for how and when they will deploy this unique portfolio weapon.

Proprietary Technical Ratings
Short-Term Rating (next 3 months): Strong Buy

Long-Term Rating (next 12 months): Buy

Conclusions
ETF Quality Opinion
SPDN does what it aims to do, and has done so for over 6 years now. For a while, it was largely-ignored, given the existence of a similar ETF that has been around much longer. But the more tenured SPDN has become, the more attractive it looks as an alternative.

ETF Investment Opinion

SPDN is rated Strong Buy because the S&P 500 continues to look as vulnerable to further decline. And, while the market bottomed in mid-June, rallied, then waffled since that time, our proprietary macro market indicators all point to much greater risk of a major decline from this level than a fast return to bull market glory. Thus, SPDN is at best a way to exploit and attack the bear, and at worst a hedge on an otherwise equity-laden portfolio.