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Govt Guaranteed Loans In Canada : Winds Of Change In The

Government Small Business Loan


The Great , The Good, And The Bad & gl! On Changes In Government Small
Business Loans
O"#$"I#W % Information on re&ent 'relativel! () &hanges in the government small
*usiness loan in Canada + Govt guaranteed loans ,rovide solid *usiness finan&ing
for thousands of *usinesses from start u, to S-#
The government small *usiness loan has been, and continues to be a benchmark in start
up and small business financing in Canada. Govt guaranteed business loans have had
some changes, so it's time to ' plug in ' to these changes and how they impact the
financing benefits of this program. Let's dig in.
Have you heard about those ' winds of change '
in ' !L" small business loans in Canada# The ' great ' news is that the fundamentals and
purpose of the program clearly do not seem to have changed. That's probably recognition
by $%&'T() C*%*&* +they sponsor and manage the program, that the -.
C/--.(C$*L 0$%*%C. sector in Canada generates a huge portion of employment,
revenues, and... oh yes ....ta1es2
o for over 34 years the program has delivered solid financing for businesses in all
industries. 0undamentals of the program include the opportunity to start, gro., and
e/,and your company. $n many cases these loans are a direct substitute that our clients
would normally not be able to successfully receive under ' traditional ' bank financing
criteria. Those criteria are all too well known to the entrepreneur who arrives ' plate in
hand ' looking for business financing or e1pansion capital.
Those winds of change that have entered the program do not affect the basic
fundamentals 5 financing is available for start u,s or esta*lished *usinesses .ith less
than 0 -illion dollars in ,ro1e&ted or a&tual revenues res,e&tivel! +
*ssets that can be financed include e6uipment that is either new or used, or leasehold
improvements to leased 7 rented premises. $t's important for the business entrepreneur,
financial manager to understand that those e6uipment categories are e1tremely broad. $t
includes rolling stock, such as trucks or other vehicles, computer, telecom, and
application software, and even the ability to finance a franchise.
8hat can't you finance under a government guaranteed !L loan# That's the painful
news we often have to deliver to clients to have e1hausted other financing options 5 that
includes good.ill, &redit lines, fees to ,ur&hase a fran&hise, or $ & 2 &osts in
developing a product. + %ote 5 use the (9.& program to finance and cash flow your
research and development 5 these credits can be financed also ,.
o what about those ' changes ' to the program# *lthough banks are chartered to fund and
administer the program the bad news is that different banks tend to, by law, interpret the
program differently.
(ecent legislative changes to the program include the ability for fees to be charged by the
bank, as well as ,ersonal guarantees to be re6uired on a case by case basis.
+Traditionally only :3; guarantees were re6uired,. 8e suppose those are the ' ugly <+as
deemed by the borrower, portions of changes under the program.
$f there's a bottom line it's certainly that most top e1perts agree that the Canada mall
!usiness Loan program is still a clear winner for start up, franchise, and growth financing
in the -. sector. eek out and speak to a trusted, &redi*le and e/,erien&ed Canadian
*usiness 3inan&ing Advisor .ith a tra&4 re&ord of su&&ess who can assist you in
obtaining govt backed loans that meet your re6uirements.
Stan 5ro4o, 5 6 5ar4 Avenue 3inan&ial :
htt,:77...+6,ar4avenuefinan&ial+&om
!usiness financing for Canadian 0irms , speciali=ing in working capital, cash flow, asset
based financing , .6uipment Leasing , franchise finance and Cdn. Ta1 Credit 0inance .
0ounded :44> 5 Completed in e1cess of ?4 -illion @ of financing for Canadian
corporations . $nfo 7Contact A
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outh heridan .1ecutive Centre
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#mail < sprokopJBparkavenuefinancial.com
= Canadian Business 3inan&ing With The Intelligent se Of #/,erien&e =
Stan 5ro4o,