The current economic landscape is a friend to hopeful entrepreneurs in Canada. The Canadian Government continues to provide supportive initiatives and tax incentives to help alleviate cost burdens and encourage small businesses to open up shop. These circumstances inspire innovation and create an opportunity for individuals to live out their dreams and act now on what is considered to be the backbone of this incredible nation.
To encourage the growth of small businesses, the Government has implemented Economic Action Plan 2015 (link to budget.gc.ca/2015/docs/plan/ch3-2-eng.html). Through this plan, the Government intends to lower the small business tax rate from 11 to 9 percent by 2019. This 2% change is the largest drop we have seen in over 25 years!
The plan is reinforced by many tax-related benefits for small business owners. In Ontario, tax credits (link to http://www.fin.gov.on.ca/en/credit/business.html) are available in support of creative avenues such as book publishing, animation, film and television, interactive digital media, and sound recording. Businesses practicing Scientific Research and Experiential Development are also eligible for tax savings, fostering innovation and creating numerous job opportunities.
Economic Action Plan 2015 will enable more people to receive resources for their ventures by increasing the number of individuals and entities that are eligible for loans and granting organizations the ability to receive double the amount of capital than was previously available for real property. Furthermore, the Government is donating more funds to equip and empower Canadian entrepreneurs. For example, $14 million will be given to Futurpreneur Canada (link to www.futurpreneur.ca/), an organization that supports young entrepreneurs by providing them with support through financing and mentorship to start their own businesses. $700 million is being made available to support women-owned businesses through the Business Development Bank of Canada (BDC) (Link to http://www.bdc.ca/EN/i_am/Pages/default.aspx).
With so many initiatives in place to lend out capital and alleviate tax, it is an exciting time for entrepreneurs in the country to take advantage of these benefits and start something new.