Whether you are a start-up business and need initial financing or are an existing business who is looking to grow your business or you require working capital, we can help you through that process. This process starts before you apply for credit, as it is important that your financial position is reflected accurately in the most favorable way.
We have financial partners that range from standard financial institutions, angel and venture capital financing, to third party lenders and for any clients we are working with, we will make introductions and be available as part of the service to help in the negotiations. We cannot make any guarantees for financing as much of this is dependent on your individual credit, but we can help you present your current financials in the most effective light. We can also make recommendations on what needs to occur in your business to be in a better position to obtain financing. We only provide financing help to clients who are utilizing our services.
Whether you receive financing from a lender or investor will depend on the 5C's of credit. They will evaluate the character of the business which in most cases is a credit rating evaluation. The next one is capacity which refers to your debt to equity ratio and your ability to repay the loan. Capital refers to your net worth which are all of your assets minus your liabilities. Collateral refers anything you own that you can borrow against such as a building. Finally conditions will depend on outside circumstances that may affect your ability to pay such as local economy, the stability of your industry, and even possibly the amount of competition you have.
For business plans or business plan assessments with financial models we have developed, not one client has yet to be turned down for financing. If we do not feel that you will receive financing based on your current business strategy or financials, we will inform the client after we have performed the upfront analysis, so they do not proceed until such time they can make the necessary changes in their business to be in a better position to receive financing.
We provide financing for clients for 4-6 months for consulting engagements that exceed $2500.00. In addition we have a financial partner that will provide longer term financing for consulting and coaching with RK Fischer & Associates, as this type of investment will help improve your overall business.
It is important for you to know whether you would qualify for financing based on your current financials before you visit a lender or an investor. If you do not have a chance of qualifying, you do not want to apply of a loan or approach an investor, because if you do not qualify due to your current financial position this can negatively affect your future chances of getting financing as well. There are reasons that one lender or investor might turn you down and another one might provide financing, but those do not have have to do with your financial position. An example might be one lender may be risk adverse to retail and require higher scores than other industries, where another lender has enough experience lending to similar businesses and is willing to take the risk.
The objective of a financial assessment is to look through 3 to 5 years of your professionally compiled financial statement and determine if they reflect your business in the most effective way to meet your business goals.
Many smaller businesses do not obtain an audit or review of their financial statements. Audits and reviews can be somewhat expensive for a smaller organization so the business opts to obtain a Notice To Reader (NTR) financial statement compilation. In many situations this level of year end accounting effort is sufficient for most stakeholder purposes. NTR Statements are compiled based on the information provided by the client to the professional accountant, usually a CPA.
Often, in providing material to the accountant, not all information provide is sufficient to adequately provide a holistic picture of the true nature of the business or the purposes for which the statements were prepared. Financial structures in support of prudent tax planning may not support structure for seeking funding while trying to grow the business.
The goal of the financial assessment to understand the foreseeable future objectives of the owners of the company and assess whether there exists sufficient capital, capacity, and collateral in the business to take on an appropriate amount of debt or equity as a potential source of funding.
What a financial assessment involves is making sure that your financial statements and your accounting system is reflective of your current financial position. Your prepared financial statements from your financial accountant will be analyzed along with your accounting system to make sure that the information you provide the lender or investor is accurate. In addition there will be a questionnaire provided that asks detailed questions about the business. There will be a discussion session with the consultant performing the financial assessment to clarify any outstanding questions.
If there have been items that have been overlooked, a management discussion & analysis can accompany the financials signed by our Partner who is a CPA, CMA which will outline any discrepancies that can accompany the financials to the lender or investor.
You will receive a report that outlines recommendations to help improve your financial position for financing. We will also be willing to work with your lender or investor to help explain or work through any questions that come up to help you in securing financing.
We offer a 30-minute free consultation to Canadian businesses to gain some guidance or business advice.
If you would like to sign-up, please click the link below and select 2-3 times that work for you. Your time will be confirmed and a business coach/consultant will call you at the designated time. Be sure to be available as we will call you at the time you selected. If we cannot reach you at that time, you will need to reschedule as there will be times booked afterward for other businesses.