Confidential Cash Flow Factoring – Turn Accounts Receivable Into Your Best AR Finance Strategy

We are going to demonstrate how a little known, and in our opinion almost a secret strategy can called confidential cash flow factoring can turn your accounts receivable into a virtual cash flow machine, turning past AR finance obstacles into cash flow solutions!

Search engine analysis will show you that thousands of Canadian businesses search everyday for what they hopefully believe will be valuable information around the most popular method of business financing today. Those businesses, of all types and sizes by the way (even the largest corporations in Canada) want to know why cash flow factoring offers unlimited unlocking of cash flow based on your sales and receivables.

Initial explanations and overviews to clients sometimes become bogged down in key issues such as the cost of this method of AR finance, and, equally important, is the unwillingness of some clients to accept how invoice discounting (that’s another name for this type of financing) works.

Canadian business owners and financial managers want to like a good thing, at the same time they want to know how it works and how they avoid any pitfalls. Lets discuss the ‘ how it works ‘ portion first and then share with you the method we believe eliminates the major pitfall perceptions viewed by many firms considering this type of financing.

We’ll focus on small and mediums sized business – the larger corporations have access to all sorts of financing and external finance strategies – while the small and medium sized businesses in Canada tend to rely on their own cash flow to fund their ongoing growth and working capital. In fact many firms realize they have potential to grow sales and profits, but cant because of that lack of working capital.

Back to the ‘how it works’! Cash flow factoring of accounts receivable is the ongoing sale, in whole or in part of your sales invoices as you generate them and deliver products and services to your customer. The invoices are purchased at 1- 3% discount from yourself, and you receive cash, 99% of the time the same day, for those sales. So, in effect all your sales now fuel that cash flow machine you have turned your company into.

So far, so good, right? Where complications arise, especially in Canada, is the fact that this type of financing requires your client to be notified of the process, directly, or indirectly, and payments are required to be forwarded to your factoring finance firm. Canadian business, in our eyes, has a reluctance to involve their customers in their internal financing policies, and challenges. As a result, many firms are skeptical of entering into AR finance of this manner.

Is there a solution? We told you there was – it’s a breakthrough called confidential invoice discounting. This type of financing comes at the same cost, allows you to bill and collect your own receivables, and gains all the benefits of that cash flow factoring machine we turned your company into.

Speak to a trusted, credible, and experienced Canadian business financing advisor who can put you into a proper AR finance facility, allowing you to reap the benefits of cash flow invoice financing, while at the same time allowing competitors, customers, and vendors to remain exactly where you want them to be, outside your financing strategies and challenges! Let’s let your competitors try and figure our how you’re doing so well in both growth and profits.

The Rise of Fantasy Sports and Online Games

The online gaming market is booming with technology. Now, fantasy sports and online games are not only for entertainment purposes. Online games are platforms to show your skillset and use your knowledge to win exciting rewards. Since the launch of the first video game in 1950, the online game has never stopped growing.

Online Gaming Business Across the World

In the year 2020, the global gaming market was approximately $62 million. As per the statistics, the business will be worth $300 billion by 2026. Mobile gaming makes almost 50% of the share market and generates revenue worth $80 billion. Online gaming is the family of streamliners, developers, publishers, gaming arenas, coaches, and 2.5 billion users across the world.

The start-ups of online gaming have grown in India, in the last few years and attracted huge funding from both domestic and foreign investors of more than $ 1 million. The shares of gaming platforms are split between the US and China equally 24 % each, in the Asia-Pacific excluding China is 23%, Latin America has 4%, Canada has 2% and lastly, Europe, Africa, and the Middle East holds 23 % of shares.

Even after such huge success and a big user base, the Indian government is not considering the online game legal. In various states of India, playing fantasy sports is not allowed and is considered gambling. Pandemic has just doubled the growth of the online games and fantasy sports industry in India in terms of both fantasy sports app development & fantasy sports app platforms.

Government should look at online gaming with an open mind and understand it in-depth, instead of considering all online games, gambling. Government can target betting and gambling but should spare fantasy sports. However, fantasy sports can help the government to generate huge revenue and increase the economy of the country.

Types of Online Gaming

Fantasy Sports
One of the most popular gaming platforms for sports fans. Online fantasy is completely different from other gaming styles. The user creates their team online of real players playing out there on the ground. The user’s performance completely depends on the player and real-life statistics of the game.
IPL is the most beloved format of Fantasy Sports in India. Along with playing the game, many users religiously follow the score and live matches on the fantasy Sports platforms. It is not a game of chance; you need skills and knowledge of the game to play and win rewards. “NITI Aayog” has released guidelines to play fantasy sports. Users can play fantasy sports for free and real money.

The fantasy sports industry is growing and the user base is increasing exponentially. Due to the involvement of money and few cases on the fantasy platform, the government considered it as a gambling platform and doesn’t consider it legal on the central level. The online fantasy platforms follow all the rules of the Advertising Standards Council of India.

The government has asked state governments to issue guidelines to play fantasy sports.

User base and Revenue

The revenue generated by fantasy sports in 2020 is Rs 2470 crore. 10 crore people play fantasy sports in India and almost 80 crore people watch the game.

Online Rummy
Rummy is a very popular online card game with a huge user base. Rummy is a game of skill; it demands memorizing the discarded card and the ability to calculate the probability of winning the game. The player should be a keen observer and all his/her game depends on the undistributed cards. It can be played for free or for money. The victory and loss in the game depend on the user.
User base and Revenue

According to the reports in 2019, the online rummy was worth $335 million in the Indian market and will probably grow up to $1.4 in 2024.

The user is solely responsible for winning or losing the game.

Electronic Sports
It is also known as esports, a game based on skill. eSports are played in video games format and are conducted in both online and offline mode. There are numerous tournaments conducted on esports. Numerous electronic forms are live telecasts of sports like cricket, football, etc.
User base and Revenue

In 2021, the US global market of esports is estimated to reach $1.08 million. North America and Asia are the largest consumers of esports. All the esports market revenue is generated from sponsorships and advertising. 474 people watch esports worldwide in 2021, the numbers will be increased up to 577 million in 2024.

Esports is a recognized game by the Olympic Council of Asia and the International Olympic Committee when India won a medal in Asian Games 2018.

Online Poker
Online Poker is the online mode of the offline game that requires both skill and luck. People can play the game with real money. Players call and raise the real bets which involve money. Due to the involvement of money and betting, it seems to be illegal and gambling.
User base and Revenue

The poker industry is growing in India at the rate of 35% to 40% every

What Comes First – Finance Strategy or Business Strategy?

Everyone knows business strategy and finance strategy are interrelated. But which one should dictate?

If you are an entrepreneur, your future is your most valuable asset. Let’s face it- investors can only generate interest on their money. It takes an entrepreneur to generate profit! For an entrepreneur, business strategy must dictate finance – never the reverse. Everyone knows business strategy and finance strategy are interrelated. But which one should dictate?

The first place to start is to imagine the future you would want if you had unlimited resources.

When Wayne got turned down by the bank for the $1 million he needed to grow is business, he made an assumption that resources were scare and expensive. Wayne began to dwarf his vision of his company’s future. That’s what happens when you let finance strategy dictate business strategy. Wayne was not even aware of the assumption he had made or the devastating effect on his company- until I brought this to his attention. We worked with Wayne to re-vision his potential, assuming unlimited resources, built upon his deep and real passion and developed a strategy that resulted in him attracting $10mm for a minority stake of his company.

How did an entrepreneur who got turned down by the bank for $1 million get $10 million and keep control? Certainly not based on his past!! He shared his passion about the future he really wanted to build!

When you follow your passion you get the best outcomes: You easily attract customers, vendors, talent and finance. Pursuing your passion lets you capture your best opportunities- for profitable growth. Faster. Safer.

When you don’t follow your passion, you end up with a sub-optimal strategy. The result is extra risk making it much harder to attract customers, vendors, talent and especially financing.

When you follow your passion and harness it with a powerful, directed business strategy, better financing results. This is the right way to link passion and key strategic thinking and implementation to achie

Property for Sale: Tips for Using Creative Finance Strategies

Many homeowners with property for sale are struggling to locate qualified buyers. Tightened lending criteria has made it difficult for many people who want to buy houses to qualify for home mortgage loans. Competition with low-cost bank owned homes has made it challenging to find buyers willing to pay current market value.

To obtain the asking price for property for sale, many sellers are offering creative financing strategies to attract buyers who cannot qualify for bank loans. These include owner will carry, lease purchase option agreements, and subject 2.

Entering into unconventional financing allows homeowners to generate cash flow from their property and gives borrowers the chance to improve credit scores while working toward purchasing a home.

Owner will carry involves the seller acting as the lender. Buyers provide a down payment to secure the property and submit monthly payments which are contributed toward the purchase price. A few options exist when entering into this type of agreement.

The first involves having the owner finance the full amount for 2 to 3 years. A real estate contract is executed by a lawyer which outlines the purchase price, interest rate, payment amount and due date, late payment fees, down payment amount, and a default clause.

Buyers must engage in credit repair strategies during the owner-finance contract period in order to qualify for a home mortgage loan when contract terms expire. Since there is no guarantee that buyers will be able to obtain bank financing, the contract should include legalese to address what measures will be taken if buyers cannot qualify for a home loan.

The second type of owner financing involves seller carry back mortgages. This can encompass sellers’ carrying full or partial financing. In most cases, sellers only carry back a portion of the purchase price and buyers obtain a bank loan for the balance. When sellers carry back part of the purchase price, buyers require less funding which makes it easier to qualify for bank financing.

When partial financing is offered, seller carry back mortgages usually extend for 2 to 5 years. Buyers hold two mortgages against the property. The bank is the first lien holder and the seller carries the second mortgage. A real estate contract must be executed to record loan terms and should include a default clause.

Lease purchase option agreements are often referred to as lease to own or lease options. Regardless of the name, lease purchase agreements involve renting a home while contributing funds toward the eventual purchase.

Sellers typically require a down payment to secure the property for sale. A portion of rent money is contributed toward the purchase price. Sellers rarely contribute the full amount. The average contribution hovers around 25- to 40-percent.

For example, if rent payments are $1,000 per month and sellers contribute 40-percent of rent monies toward the purchase, buyers would accrue $4,800 in home loan payments per year. If the contract extends for 3 years, buyers will have paid $14,400 toward the purchase price, along with down payment funds.

Sellers can allow buyers to lock-in the purchase price or require buyers to pay current market value when the contract ends. Buyers should submit rent payments via personal check and retain a copy of cashed checks to provide evidence of payment when applying for a home loan.

Subject 2 can be a good option for buyers with bad credit who can afford to buy a home, but do not qualify for financing. Buyers take over mortgage payments using the seller’s good credit and loan documents remain in the seller’s name until the buyer can obtain bank financing. However, property rights are transferred to the buyer, allowing them to take tax deductions.

Sub2 contracts can pose a risk for sellers, so careful consideration should be given befor

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