Growing Piggy Shows Financial Growth

Le Secret Du Financement De La Croissance

Une révélation toute simple qui pourrait galvaniser la croissance de votre entreprise.

Une formidable opportunité se présente à vous – une vente qui ferait passer votre entreprise au niveau supérieur. Rien n’est aussi exaltant pour une petite entreprise qu’une poussée de croissance soudaine provenant d’une grosse commande. Mais après l’enthousiasme initial, comment faites-vous pour livrer la marchandise sans solliciter excessivement votre crédit à la banque? En effet, une fois ce gros contrat signé, vous aurez besoin de fournitures pour mener la commande à terme… Et si vous deviez faire face à des fournisseurs qui ne veulent pas prendre le risque de vous envoyer quoi que ce soit sans se faire payer d’avance? Mettez-vous à leur place : ils peuvent se demander si vous pouvez vraiment livrer une telle commande et si votre client final paiera en temps opportun. Ils ne sont donc pas prêts à assumer le risque sans être payés rubis sur l’ongle.

Alors, que pouvez-vous faire pour satisfaire vos fournisseurs tout en obtenant les matériaux dont vous avez besoin pour mener à bien un gros contrat? Pour y arriver, de nombreux propriétaires de PME dynamiques se tournent vers une solution dite de financement de bons de commande, qui peut se révéler une véritable bouée de sauvetage dans de tels cas. En effet, le financement de bons de commande peut couvrir jusqu’à 100 % des coûts de production de vos biens soit en réglant vos fournisseurs avec une lettre de crédit payable à la livraison de la production, soit en les réglant sur présentation des documents d’expédition en bonne et due forme. Vous et votre institution financière prenez les dispositions nécessaires pour effectuer l’inspection des marchandises produites avant que le paiement ne soit transmis – ce qui permet de vous protéger, vous, ainsi que le bailleur de fonds.

Robert Thompson-So, vice-président et chef de la Stratégie chez Liquid Capital, explique que le financement de bons de commande concerne généralement deux types d’ententes. L’une consiste à expédier directement des produits prévendus et finis à un acheteur final, à l’entrepôt d’un tiers ou à l’entrepôt du client en assurant la surveillance de la livraison. Le deuxième type d’entente consiste à financer des travaux en cours.

« Il faut comprendre que le financement de bons de commande n’est pas un prêt », précise M. Thompson-So. « Il s’agit essentiellement d’une avance de fonds pour couvrir la facture des fournisseurs. Un bailleur de fonds s’engage à payer votre fournisseur pour les marchandises prévendues à votre client. Ensuite, il acquiert la facture auprès du client final et récupère les sommes qui vous ont été avancées à vous, moins les frais. »

Autre avantage : le financement ne nécessite pas que vous ayez des antécédents de crédit irréprochables. L’institution financière, toutefois, restera à l’affût de la solvabilité de votre client ultime, parce que c’est auprès de lui qu’elle sera remboursée en fin de compte. Donc, même si votre crédit est moyen, vous pouvez quand même vous sentir à l’aise de vous tourner vers le financement de bons de commande.

Enfin, même si vous utilisez le financement de bons de commande, assurez-vous de toujours conserver un coussin de liquidités. En effet, le service ne vous dispense pas de faire preuve de vigilance à l’égard de vos comptes créditeurs et débiteurs. Effectuez une simulation pour voir ce qui se passerait si vos clients retardaient leurs paiements. Cela affecterait-il votre capacité à attirer le genre de gros contrats que le financement de bons de commande pourrait vous aider à décrocher? Cela nuirait-il à votre solvabilité? Envisagez la facturation électronique puisqu’elle vous permet de suivre les paiements à tout moment. Voilà un aspect important à considérer lorsque votre entreprise se développera au fil des grosses commandes!

Growing Piggy Shows Financial Growth

The Secret To Financing Growth

financial growth

Turn your business into a growth powerhouse with one simple insight.

You’ve just received a terrific opportunity: The sale that will take your business to the next level. Nothing in small business is as exhilarating as a sudden growth spurt that comes from a big order. But after the thrill of the deal, how do you deliver the goods without overstretching yourself at the bank? When you make a big sale you’re going to need supplies to complete the order. But you could well run into suppliers who don’t want to risk sending you supplies without getting paid up front. Consider their position—they may be wondering if you can really deliver that big sale, and whether your ultimate customer will pay in a timely manner. They might not be willing to risk selling to you without payment up front.

What can you do to satisfy your suppliers while getting the materials you need to complete your sale to the big customer? One solution that many smart small business operators rely on is purchase-order (PO) financing, and it can be a genuine lifeline at times like this. PO financing can cover up to 100% of the costs of producing goods by paying your suppliers either with a letter of credit against production or payment against bona fide shipping documents. You and your financial institution arrange for inspection of completed goods before payment goes out, protecting you and the financier.

Robert Thompson-So, Vice-President and Chief Strategy Officer at Liquid Capital, says PO financing typically covers two types of deals. One is pre-sold finished goods shipped directly to an end buyer, to a third-party warehouse or shipped and monitored to a client’s warehouse. A second type of deal is to fund works in progress.

You need to understand that PO financing is not a loan, Thompson-So says. “It is essentially an advance on funds to cover suppliers’ bills. A financier agrees to pay your supplier for goods pre-sold to your customer. They then collect the invoice from the end customer and retrieve the moneys advanced you, minus a fee.”

Another benefit is that PO financing doesn’t require a perfect credit history on your part. The financial institution will, however, be vigilant about your ultimate customer’s creditworthiness because that is how it will get repaid. So if you have average credit, you can feel confident about using PO financing.

Even if you’re using PO financing, always be sure to watch your cash cushion. PO financing is no substitute for vigilance over payables and receivables. Run a simulation on what would happen if your customers got behind in their payments—would if affect your ability to attract the kind of big orders PO financing would help you with? Would it hamper your credit rating? Consider electronic invoicing so you can track your payments at all times. This will be important as your business grows with those big orders coming in.

Flexiti Financial And Liquid Capital Announce Credit Facility To Support Growth Of Its Consumer Finance Business In Canada

Flexiti Financial (formerly Wellspring Financial) and Liquid Capital Announce Credit Facility to Support Growth of its Consumer Finance Business in Canada

Flexiti Financial (« Flexiti »), a Canadian fintech company offering point -of-sale consumer financing, is pleased to announce that it has entered into an agreement with Liquid Capital Corporation (« Liquid Capital »), a company specializing in providing working capital, asset based lending and trade finance solutions.  Under the agreement, Liquid Capital will provide the senior debt for a new credit facility, initially in an amount of up to $25 million, for consumer receivables generated by Flexiti Financial. The facility will be used to finance the warehousing of receivables originated by Flexiti pending their securitization.

Launched in 2014, Flexiti Financial provides retailers, home improvement contractors and healthcare practitioners the ability to offer their customers the option to pay for big-ticket purchases of goods or services either in equal payments or at a later date, making those purchases more affordable to the consumer. Flexiti has built an award-winning technology platform, providing customers with a virtual credit card in minutes, and making the application and approval process quick and easy.  Having completed an equity financing of over $5 million in 2014 and a further $4MM in subordinate debt financings in 2015, Flexiti has just secured an additional $2MM in operating capital and will shortly be undertaking an equity raise to support its growing consumer finance business. This new capital, along with its receivables warehousing facility, will position Flexiti to fund its continuing growth across all market segments, as well as a planned expansion into other products and services.

« We are pleased to have formed a funding partnership with Flexiti Financial, » said Sol Roter, President and co-founder of Liquid Capital. « Flexiti’s award-winning technology platform and merchant partnerships have tremendous potential for the origination of quality financial assets. This transaction represents an important addition to the Liquid Capital portfolio and provides an outstanding opportunity to showcase Liquid Capital’s increasing commitment to the asset based lending space. »

Liquid Capital entered into a joint venture with Next Edge Capital Corp. (« Next Edge ») in 2015 to co-fund investments in accounts receivable, trade finance, and Asset Based Lending transactions sourced by and through Liquid Capital’s Principal distribution channel and financed by the Next Edge Private Debt Fund (the « Next Edge Fund »).  The Next Edge Fund has now grown to approximately $40MM and will continue to grow as Liquid Capital continues to source quality transactions through its network of originators inCanada and the United States.

« Flexiti Financial is very pleased to announce the establishment of this new credit facility, » said Peter Kalen, Founder and CEO of Flexiti Financial. « We have been looking for a funding partner with access to capital on flexible terms to support our business growth and allow us to build our on-balance sheet asset pool for ultimate securitization purposes.  Liquid Capital, through its partnership with Next Edge, provides the strength and the vision we are looking for to move the business to the next level. With this new funding partnership in place, we are confident that our 100% paperless and instant credit card solution can continue to expand quickly inCanada, allowing our nearly 1,000 merchant partners the ability to grow their sales by making large purchases more affordable for their customers. »

INFOR Financial Inc. acted as the financial advisor to Flexiti Financial for this transaction and Raymond James Ltd. acted as the ‎financial advisor to both Liquid Capital and Next Edge.

Flexiti Financial is currently available in British ColumbiaAlberta and OntarioNew BrunswickNewfoundland and Nova Scotia.  If you are interested in offering Flexiti financing to your customers, please contact us at sales@flexitifinancial.com or call us at 1-855-559-0909.

About Flexiti Financial:

Flexiti Financial, formerly Wellspring Financial, is a Canadian fintech company in the POS consumer lending space, led by an experienced team of executives with extensive knowledge of the retail credit space in Canada, leveraging mobile technology to deliver the fastest application process available in the market.  It is the only fintech in the consumer lending space competing directly against large financial institutions by offering a retail private label credit card solution.  The technology platform was recognized as market leading, winning ACT (Advanced Card Technologies) Canada’s 2015 Technology Innovation Award for Payments Benefiting Consumers and the 2015 Silver Technology Innovation Award for Canadian Payments Benefiting Merchants.

For more information, visit www.flexitifinancial.com.

About Liquid Capital:

Since 1999, Liquid Capital Corporation has been operating in the factoring and trade finance business. Over that period of time, the company has processed well over $2 billion in accounts receivables and trade finance transactions through both its Canadian headquarters in Toronto and US headquarters in Dallas. The company also has a master franchise relationship in Mexico. Through its 80+ franchised office network, the company locally originates, manages, and funds accounts receivables, asset based lending and trade finance transactions.  Further information can be found at www.liquidcapitalcorp.com.

About Next Edge Capital:

Next Edge was formed through a management spin out of the Canadian office of Man Investments Canada Corp. in 2014. The management team opened the Canadian office of Man Group plc. (« Man ») in 2006 and has raised over CDN $1.0 billion since inception.

Next Edge searches the world for investment managers and strategies that aim to deliver robust risk-adjusted performance. The people and approaches we discover may not be well known in Canada, but we think they provide something remarkable – access to what’s next. The yields available today from traditional fixed income investments are at all-time lows. One area where there are still opportunities for significant yield generation with security is Private Debt. Next Edge’s first two offerings in this space – the Next Edge Private Debt Fund and the VPC Specialty Lending Trust seek to capitalize on this opportunity. Our clients appreciate seeing compelling new approaches, even though some are complex or are limited in capacity. For more than a decade, the Next Edge management team has provided access to unique strategies before they have become widely known. Further information can be found at www.nextedgecapital.com.

SOURCE: Flexiti Financial

For further information: Flexiti Financial: Peter Kalen, Chief Executive Officer, pkalen@flexitifinancial.com, (416) 583-1861; Liquid Capital: Sol Roter, Liquid Capital Corporation, sroter@liquidcapitalcorp.com, (416) 222-5599 ext. 8185

Liquid Capital Corporation Announces Purchase Of TCE Capital Corporation

TORONTOMay 16, 2016 /CNW/ – Liquid Capital Corp. (« Liquid Capital »), a Canadian-founded trade finance and asset-based lending company, is pleased to announce that it has entered into a purchase and sale agreement where it has acquired the assets and associated goodwill of TCE Capital Corporation (« TCE Capital »), a boutique asset based lender based in Toronto, Canada.

Launched in 1992, TCE Capital was founded and has been managed by experienced entrepreneurs and has historically funded in excess of $400 million annually in asset-based loans and transaction volume, with a focus on transaction sizes ranging from $250,000up to $4 million.

« We are pleased to have completed the acquisition of certain of TCE Capital’s assets, while bringing the knowledge and expertise of TCE Capital’s senior management and risk team into Liquid Capital, » said Sol Roter, CEO and co-founder of Liquid Capital. « This transaction is part of the continued evolution of Liquid Capital’s trade finance and asset based  lending  solution  set.  Our  Principal  network  and  clients will benefit from our expanding product line, and our continued ability to be a creative and driving force in the industry. »

« From our first  meeting,  it  was  clear  that  Liquid  Capital  was  the  ideal  partner  to  move  our vision forward, » Gus Baril, President of TCE Capital, intones. « This timely transaction marks, in a positive way, the end of the beginning for all of us at TCE Capital. Our management, staff, clients and suppliers are in good hands as the significant  Liquid  Capital  Principal  network,  capable management, financial capability and international presence that is Liquid Capital bodes well for the next chapter. »

Liquid Capital entered into a joint venture with Next Edge Capital Corp. (« Next Edge ») in 2015 to co-fund investments in receivables sourced by and through Liquid Capital’s principal distribution channel, for investment by Next Edge’s Next Edge Private Debt Fund (« The Next Edge Fund »).  The Next Edge Fund has grown to approximately $45 MM in assets and will continue to grow as Liquid sources quality receivable and asset based lending transaction volume through its network of originators in Canada and the United States.

About Liquid Capital:

Since 1999, Liquid Capital Corporation has been operating in the factoring and trade finance business. The  Company  has  processed  over  $2  billion  in  accounts  receivables  and  trade  finance  transactions through both its Canadian headquarters inToronto and US headquarters in Dallas. The Company, with 90 points of presence in  5  countries  and  on  4  continents,  locally  originates, manages, and funds accounts receivables, asset based lending  and  trade  finance  transactions.  Further information can be found at www.liquidcapitalcorp.com.

About TCE Capital:

TCE Capital has provided alternative funding across Canada since its inception in 1992 and has been a pioneer in developing financing products aimed at Canadian entrepreneurs. An emphasis on near bank lending and flexible financing has allowed Canadian business the resources to start, grow and expand for the last 24 years. For more information, please visit www.tcecapital.com

SOURCE Liquid Capital Corporation 

For further information: Liquid Capital Corp: Sol Roter, Liquid Capital Corporation, Chief Executive Officer, sroter@liquidcapitalcorp.com, (416) 222-5599 x 8185; Robert Thompson-So, Liquid Capital Corporation, Vice President, Chief Strategy Officer, rts@liquidcapitalcorp.com, 416-222-5599 x 8292; TCE Capital Corporation: Rick Coles, TCE Capital Corporation, Vice President and General Counsel, rcoles@tcecapital.com, 416-496-7060; Media Relations: Deborah Thompson, DT Communications, Deborah@dt-communications.ca, 416-918-9551

Waiting for interview

Stratégies D’embauche Pour Les Entreprises En Croissance

strategies d'embauche

Vous en avez fait l’expérience par vous-même ou par le biais de vos clients, collègues, parents ou amis : le démarrage d’une entreprise exige courage et travail acharné. Et la faire croître est encore beaucoup plus difficile! Qu’il s’agisse d’une affaire qui vient de voir le jour ou d’une compagnie comptant déjà quelques employés clés, le moment viendra où vous devrez ajouter du personnel pour faire face à la croissance.

On sait que les entrepreneurs doivent jouer bien des rôles lorsqu’ils lancent et développent leur entreprise. C’est également vrai pour les premiers employés de la boîte. Toutefois, à un moment donné, eux aussi devront déléguer certains de leurs rôles à d’autres travailleurs qualifiés.

Comment savoir si ce moment est arrivé? C’est très simple — l’entreprise est incapable de satisfaire à la demande. Des commandes retardées, un service médiocre et des erreurs administratives sont autant de signes. Autre indice : il vous faut refuser de nouveaux clients pour satisfaire la clientèle que vous avez déjà. Avant d’embaucher toutefois, veuillez considérer ce qui suit :

  • Voulez-vous vraiment devenir une entreprise plus grande?
  • De nouvelles commandes/de nouveaux clients continueront-ils d’arriver sur une base régulière? Un employé temporaire ou un pigiste suffirait-il à court terme?
  • Avez-vous les moyens d’embaucher des employés supplémentaires?

Vous devez également décider quels postes vous devez impérativement pourvoir. Si les tâches administratives alourdissent votre emploi du temps ou celui de votre gestionnaire de bureau, le fait d’élargir votre service à la clientèle ou votre équipe administrative pourrait être un bon choix. Si vous n’êtes pas à l’aise avec les chiffres, une personne ayant des compétences en comptabilité pourrait vous aider. Vous voulez susciter plus de ventes? L’ajout d’un directeur national des ventes, d’un vendeur ou d’un représentant commercial vous permettrait de ratisser plus large. Au chapitre du marketing, vous pourriez recourir à une agence, à un spécialiste des médias sociaux ou à une combinaison de personnel créatif pour rehausser votre marque. La compétence essentielle au sein d’une petite entreprise doit cependant rester la polyvalence. Il est primordial que vous trouviez des gens aux multiples talents, qui font preuve de souplesse et qui comprennent et partagent la vision du propriétaire de l’entreprise.

Une fois prêt à aller de l’avant, quelle est la meilleure approche à adopter? La publication Entrepreneur a récemment formulé des conseils pour les recruteurs dans son article intitulé « Quatre stratégies pour recruter les bonnes personnes dans une entreprise en démarrage ». L’auteur en est Brian de Haaff, un collaborateur de la revue qui a démarré et vendu des entreprises avec succès (il est actuellement PDG de la firme Aha!). M. de Haaff souligne l’importance d’attirer des employés aux vues similaires. Pour y arriver, vous devez définir vos valeurs fondamentales en tant qu’entreprise et ensuite chercher des personnes qui partagent votre éthique du travail. Repérez ensuite les bons endroits pour recruter, par exemple en affichant un poste sur votre propre site Internet, dans LinkedIn ou d’autres sites spécialisés. La manière dont vous interviewez les candidats potentiels est également un aspect qui compte. « Posez des questions ayant trait aux comportements, » conseille Brian de Haaff. « Cherchez à découvrir comment les actions du candidat s’arriment à vos valeurs. »

Dans un article publié sur about.com et intitulé « L’entrevue comportementale pour choisir les meilleurs employés », l’experte en ressources humaines Susan M. Heathfield souligne l’importance de bien rédiger la description de poste en se basant sur les traits comportementaux requis pour l’emploi. Par exemple, si l’on cherche un vendeur capable de réseauter de manière efficace, il faut exiger cette aptitude dans la description de poste. Au cours de l’entrevue, vous verrez à confirmer la compétence par une question ciblant les traits comportementaux connexes. Mme Heathfield suggère quelque chose comme « Décrivez-moi un cas où vous avez décroché un nouveau client par le biais d’activités de réseautage ».

Finalement, préparez-vous à investir dans votre démarche. En effet, il faut consacrer temps et argent pour rechercher, interviewer, embaucher et former un nouvel employé. Si l’impartition des services est la solution, rappelez-vous qu’il vous faudra compter des semaines pour trouver le bon partenaire, et peut-être des mois pour que vos nouveaux collaborateurs soient pleinement opérationnels. Il vous sera facile de voir si vous avez fait le bon choix : vos employés et votre entreprise s’épanouiront – comme vous-même.

Waiting for interview

Hiring Strategies For Growing Companies

hiring strategies

You’ve experienced it either on your own or through clients, colleagues, family or friends: starting a company takes courage and hard work. Growing a company is far more difficult. Whether the business is right out of the gate or in a more advanced stage with a few key employees, the time will come when hiring additional staff is necessary for growth.

Have you taken on too much work yourself?

Entrepreneurs are known for wearing the proverbial « many hats » as they launch and develop their businesses. The same is true of their first-aboard employees. At a certain point, however, they need to delegate those hats to other skilled workers.

How do you know it’s time? Simple – the company is unable to meet demand. Some signs include late orders, poor service and administrative mistakes. Another clue: you must turn down new business to keep up with the client base you already have. Before hiring, though, consider the following:

  • Whether you really want to grow into a bigger company.
  • Will new customers/orders continue on a regular basis? Could a temp or freelancer cover your short-term needs?
  • Can you afford to hire additional employees?

The most importance considerations

You also must decide what positions you need to fill most. If administrative duties are burdening you or an office manager, expanding your customer service and/or administrative team might be a good choice. If you’re not good with numbers, someone with accounting skills can help.

Want to drive more sales? Adding a national sales manager, salesperson or independent sales rep can expand the company’s reach. When it comes to marketing, you can outsource to an agency or social media expert or a combination of creatives to build your brand.

The main thing a small business needs, however, is versatility. Finding multitalented, adaptable people who understand and reflect the business owner’s vision is paramount.

How (and where) to post job ads

What’s the best approach? Entrepreneur recently shared tips for hirers in its article 4 Strategies for Hiring the Right People at Your Startup, written by contributor Brian de Haaff, who has successfully started and sold companies and is currently CEO of Aha!. He stresses the importance of attracting like-minded employees. To do so you’ll need to define your core values as a company and then seek those who have your same work ethic.

Look in the right places, such as posting an opening on your own website, LinkedIn and niche career sites. How you interview potential candidates matters too. « Ask behavioral questions, » de Haaff counsels. « Seek to discover how the candidate’s past actions relate to your values. »

Human Resources Expert Susan M. Heathfield’s About.com post Use a Behavioral Interview to Select the Best Employees stresses the importance of writing the job description based on the behavioral characteristics it requires. If the position is for a salesperson who must be an effective networker then request networking skills. During the interview confirm the characteristic with a behavioral prompt. Heathfield suggests, « Tell me about a time when you obtained a new customer through networking activities. »

Prepare to invest in this endeavor. It takes time and money to search for, interview, hire and train a new employee. If outsourcing services is the solution, selecting the best service partner could take weeks, and possibly months for the individual to get fully up to speed. You’ll know when you’ve chosen the right one: you, your employees and your company will flourish.

Recent funding diagram

Recent Fundings – March 2016