Just what if your firm had a significant inventory component and you had access to cash flow and working capital against that inventory investment in working capital that your firm has made.A proper inventory financing facility in Canada is one in which you can draw down on a satisfactory level of your inventory value and repaid it as you replenish capital via account receivable and cash collections. Your success in achieving a proper inventory financing component in your overall business financing in effect optimizes your working capital to the extent you need to.How would your overall financial position change with that additional working capital and cash flow? You would then have the ability to take on additional contracts and purchase orders, your supplier relationships would most probably improve, and faster asset turnover of assets and receivable generates faster profits and return on assets. Those are good things.The main advantage of an inventory financing or A/R financing component is your ability to accelerate cash flow. Let’s be honest, if you were self financing (i.e. no borrowing facilities) and had to wait for inventory to be sold and receivables collected then you are significantly slowing your growth ability.In the context of the inventory financing we are discussing this financing is not a loan per se – that’s important to understand. It becomes a part of your revolving facility and is simply collateralized by receivables and inventory.Your inventory financing arrangement is reflected in a type of document generally known as borrowing base certificate. We also advise our clients that it is highly preferable to have a strong handle on your inventory reporting, and also you should preferably be using some sort of a perpetual inventory accounting system.Inventory is a very generic term, we hate to do it but we complicate things further by discussing with clients the fact that inventory can consist of raw materials, work in process, and of course final finished goods inventory. As a result the valuation of what is financed varies by industry and inventory type. Slow moving or highly specialized product is much more difficult, but not impossible, to finance.Could you be more competitive and profitable if you have inventory financing at 40-50% of your gross inventory value – we are pretty sure you could be!On larger transactions you should fully expect some sort of initial appraisal and valuation on your inventory.In Canada inventory finance is highly specialized, we can almost call it a niche financing. Speak to a trusted, credible, and experienced business financing advisor to determine if this financing works for you. Through that process you should be able to develop a clear understand of the differences between bank financing, asset based lending, which incorporates inventory finance, and purchase order financing if that is applicable to your business model.At this point you are now in a position to ensure that inventory financing advances are a great way to acquire mfr and carry inventory for orders and contracts you receive
As a member of the science education industry, often teachers ask what is the best and most vivid experiments they can do in their classrooms to teach physics with a high vacuum pump. Over the past ten years, these five have become my favorite physics demonstrations demonstrating properties of matter and high vacuum physics.
Of course, to get started, you’ll need a vacuum pump, high vacuum tubing with tubing clamps, a vacuum pump plate, and a good quality bell jar. It also doesn’t hurt to have some vacuum grease or petroleum jelly handy to lubricate and seal between the bell jar and the pump plate. And now onto the top five:
5. Shaving Cream Expansion – Put a little dab (technical term) of shaving cream inside your bell jar (which is then sealed onto the pump plate), turn the pump on and watch the molecules spread themselves out and the Shaving Cream grows! Be careful not to let it run too much where you pull the Creme into the vacuum pump though!
4. Grow a Balloon – place a balloon, filled a little bit and tied off inside your bell jar and turn the pump on. Students will be curious as to why the balloon expanded while the air is pulled from the chamber.
3. Springtime (Easter) Peep Monster – place one of those terribly unhealthy, yet tasty, sugar coated marshmallows, THE PEEP, inside your bell jar. Turn on the pump and watch your baby peep turn into a Stay Puft Marshmallow Man peep!
2. Did you hear a bell ringing? – place an electric bell or kitchen timer inside your chamber and turn on the pump. Make sure the bell is turned on! As the air molecules are pulled from the chamber, the sound will slowly disappear until it is gone! Great way to explain to students why an astronaut would never be heard if he were to start screaming while in outer space.
1. Cool Boiling Water – My all time favorite. It is absolutely critical that your pump is a “high vacuum” pump and not just a vacuum pump. You’ll need to pull a much higher vacuum than the 25″ of mercury some pumps offer to do this. Place a plastic bottle or petri dish in the chamber filled about half way up with water. Demonstrate to your students that the water is at room temperature and not hot to the touch. Put it in the vacuum chamber, turn on the pump, and in no time you’ll have room temperature water simmering at a rapid boil. What better way to explain the effects on vapor points in different atmospheric pressure?
You can do a quick search on the internet and find all of these supplies from virtually every science education dealer. One tip, keep an eye on your vacuum pump oil level and drain and change any contaminated oil. Be sure to use “High Vacuum Pump Oil” as standard vacuum oil or other “home remedy” solutions (See: motor oil, vegetable oil, etc) will not allow the pump to continue operating properly!
Both feng shui and quantum physics are intricately connected, down at the subatomic level. It is the blend of the conscious intention and observation of the macrocosm and microcosm interaction, the ebb and flow of wave and particle in a cosmic dance around and through us. The millennia of years of observation by philosophers and monks, and the attempt to have some control over the surroundings, has brought us this study, which can be called the law of the flow of life energy.
Quantum physics comes in to explain how something as ethereal as energy flowing through our daily lives could possibly be controlled. Those who study the field of geomancy, dowsers, architects and interior designers, psychics and healers, can all attest to how important the flow of life energy is. The good ones know it instinctively and the denser, less sensitive ones can learn through practice. We see this throughout our days with such people; you know the kind: they walk into a home, tweak the placement of a few things, and suddenly the uninviting becomes a model home. What they are doing is feeling the flow of energy through the home-the blockages, the too-rushed, the stagnation-and moving items to allow the energy (chi) to waltz into each part of the home, energizing and freshening as it goes.
All life organisms can feel what is good for them and what is dangerous. They might not pay enough attention to those feelings but they do have them. When entering a home for the first time and observing the animals in the home, it’s pretty obvious how the chi flows. If the animals and humans are relaxed and happy, the chi is flowing well; if nervous or agitated, the chi is somehow incorrect. With feng shui ‘cures’, even the worst situation can be somewhat remedied-although the remedy might have to go farther, such as calling in a Buddhist monk to deal with evil energies.
For most people, applying the feng shui cures is relatively easy. Get a beginning book on feng shui, assess the flow of chi and what is desired, rearrange furniture and change colors, and apply the cures to what cannot be changed. For bad chi situations, there are such things as the 5-element pagoda, 7-metals ringing bell, wind chimes, lights, faceted crystals, protective guardians, and yang water features. To attract good chi, there are money toads, lights, crystals, yang water features, wealth pots, wu lou, and various deities in statues and photos. What works varies with the problem and the desires. The whole idea is to decrease the inauspicious energies and increase the auspicious ones. One of the best ways to do both is the Flying Star school of feng shui, which addresses the movements of such energies throughout cycles of time. It’s easy to be peaceful when life flows gently and feng shui can help that to happen.
For more information on this subject, please read other similar articles by this author.
2010 Dr.Valerie Olmsted
All Rights Reserved