Diversity and Entrepreneurship in Canada

Diversity and Entrepreneurship in Canada

Diversity and Entrepreneurship in Canada 

Toronto is generally considered the business hub of the Canadian economy and it presents on the most significant market opportunities for franchising in all of North America.  Some of the franchise expositions our firm has taken part in held in Toronto have consistently been some of the most well-attended expos.  What makes Ontario in particular so special and so different from the rest of the Canadian market is the advent of multi-culturalism and the incredible global population that makes up Toronto today. 

 

As of 2016, more than half of Toronto’s population identified themselves as being “visible minorities” having come to Canada from foreign lands.  With a statistical population number around 6 million people and being the 4th largest metro in North America, this is an incredible scenario.  The development of what has become Toronto has been driven largely by proactive global immigration policies and a government that reached throughout the world into communities and supported those that in most cases no one else wanted such as Syrian refugees.

 

Toronto has also been at the leading edge for much of North America when it comes to income growth, employment, innovation and wealth creation.  Wealth creation has been driven by all factors mentioned, but mostly by the ever-increasing real estate values of both commercial and residential properties in Toronto.  In February 2018, that average price per home reached $736,783.     

 

From a franchise industry perspective, this unique combination of factors creates great potential for franchising in the market.  First, due to the large concentration of immigrants, entrepreneurship is widely accepted.  People who immigrate many times either have no other option or just understand small business and effectively are comfortable taking action to start a new business or franchise.  Second, with growing global inputs, the Toronto market is an incredible representation of a wide range of cultures, business practices and global personalities.  The market bustles with unique brands, incredible foods and skills that come from around the world. 

 

We like the future of franchising in Toronto and suggest to any brand, if you aren’t here, you need to figure out how you can be. 

 

For more information on franchising in Toronto, contact us:

https://fmsfranchise.ca/contact-us/

 

What You Need to Know About Doing Business in Canada

What You Need to Know About Doing Business in Canada

  If you’re based in Canada and considering starting a business or based outside of the country looking to do business in a foreign market, Canada is one of the top choices you should consider. According to Forbes, it is the second best country to do business in amongst the G20 countries. It has registered a steady economic growth in the past 10 years. Here are a few facts about doing business in Canada.
  • Small Business Ownership Small businesses are the backbone of Canada’s economy. 86% of exports in the country are from small businesses. They contribute 25% of the total value which amounts to about $70 billion a year. Most small businesses in Canada are either sole-proprietorships, limited liability companies or partnerships. However, there are many small businesses that operate under C Corporation. That is because taxes for corporations are much lower in than in the US. Additionally, the federal corporate tax is about 15% and this is reduced to 11% for the first $500,000 in taxable income.
  • Industry Segment Growth The fastest growing sector in Canada is the tech industry. Tech provides jobs for 864,000 Canadians which represents about 5% of the nation’s workforce. The ICT sector dominates the tech industry contributing to about 60% of the total output and providing 55% of jobs for those in tech. Agriculture is another big industry in Canada. The industry has grown thanks to the exports sent to the southern neighbor America. The agricultural sector accounts for 8% of the country’s GDP. Other thriving sectors in Canada include energy, services, and manufacturing.
  • State of the Economy and Employment 2017 has been a good year for Canada’s economy. Quarterly GDP figures show the country’s economy leading other G7 countries. The growth has led to a significant reduction in unemployment and an increase in the number of full-time jobs. The unemployment rate in 2017 fell to 6.2% which is below the 6.3 percent projected by experts. This is the lowest unemployment rate in a decade since the 2008 labor market downturn. More than 20,000 jobs have been created in the finance, transportation, real estate and insurance sectors.
  • Regulatory Framework If you want to start a business in a foreign country like Canada it is critical that you understand the regulatory framework. America and Canada have many similar legal and regulatory structures, but there are also key differences worth noting. One of the key differences is in legislative jurisdiction over matters of employment and labor. In America this falls under 3 levels; state, local, and federal. In Canada the jurisdiction for labor is either with the provincial or federal government. Many employers fall under the jurisdiction of the provincial authorities. Both the federal and provincial authorities have statutes that spell out minimum requirements for businesses regarding issues such as the minimum wage, working hours and overtime, statutory vacations, amongst others. Other than federal and provincial governments there are also regulations that you’ll need to adhere to set by the municipal authorities, industry associations and regulatory bodies. You’ll need to register your business in the province where your premises will be located. Canada is a stable country with a vibrant economy with many opportunities beckoning for entrepreneurs.