COMPAC Financial Inc

04/18/2023

You need to sell a story to sell your product. The psychology of branding is the key to it.

02/22/2023

Watch the webinar

02/14/2023

02/12/2023

02/07/2023

09/15/2022

"COMPAC Financial Inc." has more than 27 years of experience in the financial accounting and tax services industry. Over these years, we have successfully provided financial and tax planning solutions for business owners.

We strive to help entrepreneurs thrive by providing support in all financial aspects of their businesses.

One of the most important reasons to employ a CPA for your business is that a CPA can represent you and your interest in responding to inquiries, reviews, and audits by Canada Revenue Agency.

Having a knowledgeable tax professional in your corner can make all the difference in managing the work and stress of a review or audit by Canada Revenue Agency.
Contact us to inquire how we can help you.

08/25/2022

Solutions to Business Cash Flow Issues

Financial experts at COMPAC Financial provide tactical solutions for solving cash flow issues. Proper cash flow management can help resolve company’s financial problems and avoid possibility of bankruptcy.
Consider these tips:

08/17/2022

What is Cash flow?

The cash and cash equivalents transferred into and out of a business are referred to as cash flow.

What is positive cash flow?
A positive cash flow indicates that a company is putting more money aside to reinvest, pay shareholders, and settle debts.

What Are the Most Common Causes of Cash Flow Issues?

•Businesses that are experiencing cash flow issues tend to overinvest. They make the mistake of overspending on production necessities like equipment and supplies. When these investments fail to generate revenue, a company's cash flow will suffer.

•One of the biggest reasons for a cash flow issue is clients that pay late or slowly. Dues payments and asset reinvestment put a pressure on businessmen's budgets.

•Overtrading would be the third factor. This occurs when a company grows swiftly without first determining whether their new retail chain is profitable. In this situation, you should be aware of how to prevent cash flow issues by speaking with financial professionals who can help you determine whether your retail chain can be profitable for you.
What are other causes of cash flow problem?
Please share your thoughts.

07/12/2022

Happy Tuesday everyone!

Time is our most precious asset.

It's simple to waste time, especially if you're not paying close attention to it.

As Benjamin Franklin once said, "You may delay, but time will not."

As business professionals and entrepreneurs, we can waste time doing tasks that could be delegated or altogether eliminated.
Time is problematic because it passes by whether you acknowledge it or not.

Below are the top five time wasters that we could manage efficiently in order to manage our time properly.
Info retrieved from bdc.ca

07/07/2022

How to make your meetings more effective

When employees have a negative meeting experience, they frequently find reasons not to go. Even when staff attends a meeting, they're typically unprepared and often spend time "multitasking" on their phones.

Also keep in mind that the decision whether to hold a meeting or not should be contingent on the reasons for the meeting. Every meeting should serve at least one of three possible purposes:

1-Communication between team members in order to convey or receive information crucial to the team.
2-Problem solving and finding answers to a particular difficulty.
3-Provide an environment for collaboration between team members to advance work by reaching significant decisions together.

In the picture below, we share eight strategies for holding effective meetings with your staff.

What other strategies do you implement to have an effective meeting?
Please share your thoughts!
For more info check out bdc.ca

07/06/2022

What is unitranche financing and how can it help your business?

Unitranche is a flexible kind of financing, to assist finance acquisitions or ownership changes.
Unitranche financing gives firms the most flexibility by combining various forms of secured and unsecured debt into a single loan with a blended interest rate and a steady repayment schedule.
Typically, acquisition finance entails a number of loans from different lenders, including both senior and subordinate debt. Each loan can have its own credit agreement, security, and covenants, and each loan works independently.
With unitranche financing, these intricate processes are streamlined and combined into a single loan from a single financial institution.
Mid-sized businesses frequently employ unitranche financing to take advantage of the flexibility of this type of loans.

What are the benefits of unitranche financing?
1. Certainty and efficiency of closure
It is easy to guarantee closing when a single loan agreement is negotiated with a single counterparty. This can be especially useful in acquisition scenarios where exclusivity clauses frequently result in constrained deadlines.

2. Simple structure with flexible repayment terms
Negotiations with the lender are made easier because there is only one set of financial covenants to consider. The repayment plan can also be modified to fit the particular cash flow profile of your company.

3. Reduced costs
Finally, having a single debt instrument reduces the number of legal documents required, including intercreditor agreements.

Before proceeding with unitranche financing, a company should consider the impact on its overall capital structure.
In some cases, a company may choose to forego the convenience of a single loan if it sees the benefit of diversifying its funding sources across multiple lenders.

Even while unitranche might not be the best option for every business in every situation, being informed of your financing options is always a good idea. A unitranche structure can offer a streamlined framework and, more significantly, assurance of closure when working with constrained time frames in an acquisition or ownership transition scenario.

For more information you can visit bdc.ca or direct message COMPAC Financial.

06/30/2022

Important change in legislation that affects private corporations

Effective October 1, 2020, the Province of British Columbia has introduced new legislation that requires Corporations incorporated in British Columbia to have a "Transparency Register”.

The following is a summary of beneficial information to provide some clarity surrounding this new requirement:

What is a “Transparency Register”?
•Private corporations in British Columbia are expected to establish and maintain a register of beneficial owners of their corporation. The register should include the identification of those who have direct or indirect control over the company or its shares. The data gathered should include last known address, full legal name, birth date, and citizenship of the beneficial owners of the Corporation.
What type of organizations need a “Transparency Register”?

•Private corporations in British Columbia are expected to prepare and keep a “Transparency Register”, which is kept at each business's own records office.

The “transparency register” is not accessible to the public. However, subject to certain restrictions, access is restricted to the present directors of the company, law enforcement, and inspection officials.

How can you prepare a “Transparency Register” for your Company?

•The Government of British Columbia has provided information on its website to educate the business owners about this new requirement. The website information as well as templates to use in creation of “transparency register”. The link to the website is as follows: https://www2.gov.bc.ca/gov/content/employment-business/business/bc-companies/bearer-share-certificate-transparency-register/transparency-register