On November 13th, 2017 the Hon. Charles Sousa, Minister of Finance, delivered Ontario’s 2017 Fall Economic Statement, unveiling new measures our government is taking to help small businesses lower costs, create opportunities and modernize their relationship with government.
These initiatives represent a $500 million investment in Ontario’s small businesses over the next three years through the following measures:
Cutting the Small Business Tax Rate
- Proposed cut to small business CIT rate from 4.5 to 3.5 per cent, effective January 1, 2018.
- This will save small business $250 million over the next three years.
- $124 million over three years in supports for youth ages 15 to 29 years.
- Through the Employment Service and Youth Job Connection, employers would receive $1,000 to hire and $1,000 to retain that youth beginning January 1, 2018.
- Adding five service-sector trades to the eligibility list for the new Graduated Apprenticeship Grant for Employers: Hairstylist, Cook, Horticultural Technician, Baker/Patissier, and Appliance Service Technician.
- Supporting multiple employers to pool together and form consortia to hire, register and train their apprentices for skilled trades.
- The Province is moving forward with an additional investment of $40 million for an enhancement fund.
- This will help strengthen communities’ promotional, planning and implementation activities, as well as providing direct business support for capital improvements, enhanced digital capabilities and improvements to energy efficiencies.
- In order to gain access to capital, some FinTech providers are looking to enter into strategic partnerships with institutional lenders and governments.
- The Province is investing $8 million in a pilot program to help small businesses access financing by enabling partnerships between FinTech firms and institutional lenders.
- To help the edible horticulture sector, the government will invest $60 million in focused supports for producers of locally grown fruits, vegetables, berries, herbs and spices, mushrooms, nuts, honey and maple products.
Below is an additional summary of recent small business news that may be of interest. You can click the titles to read more:
Ontario Launches New Export Business Portal:
Ontario is boosting access to resources for exporters with the new Magnet Export Business Portal, the first of its kind in Canada. This new web portal will help connect Ontario exporters with the tools and content they need to succeed in international markets.
As a key component of Ontario’s Global Trade Strategy, the new Magnet Export Business Portal will make it easier for businesses to navigate through Ontario’s trade ecosystem. By leveraging existing and emerging technologies to increase business intelligence, the province is driving diversification for all sectors through innovative programs and services.
Ontario Enhancing Government Services Through Partnerships with Small Business:
Ontario is partnering with small businesses to develop innovative technologies that will help government deliver better services and programs across the province. Through the Small Business Innovation Challenge, companies will be responsible for developing technologies in two areas: Digital Identity and Vehicle Occupancy Detection.
Ontario Attracting Investment in Quinte West:
Ontario is partnering with Hain Celestial Canada to help the company establish a new manufacturing plant in Quinte West and create 26 new jobs in the region. With support from the Eastern Ontario Development Fund, the company will establish a 35,000 square foot plant in Quinte West, its second manufacturing site in Ontario. Hain Celestial Canada will also purchase new equipment for blending, cooking and packaging. These enhancements will allow the company to meet growing demand for its products.
Ontario Passes Legislation to Help Businesses Save Time and Money:
Ontario has passed legislation to make it easier for businesses to grow and create more jobs. The Cutting Unnecessary Red Tape Act, 2017 will reduce regulatory burdens and practices that cost businesses time and money, while protecting environmental and health standards and ensuring worker safety. Cutting unnecessary red tape is part of our plan to create jobs, grow our economy and help people in their everyday lives.
Ontario Supporting Innovative Auto Projects:
Ontario is partnering with small and medium-sized auto parts companies to help them invest in technology and grow their business. These 21 auto parts companies will support projects to will help companies adopt industry-leading software, hardware and/or provide training to improve processes and boost competitiveness in Ontario through the Automotive Supplier Competitiveness Improvement Program (ASCIP).
Ontario Supporting Manufacturing Jobs in Wellington County:
Ontario is partnering with HP Polymers to help grow its operations and improve production, creating five new jobs and retaining nine positions in the Township of Puslinch. With support from the Southwestern Ontario Development Fund<https://www.ontario.ca/pa
Minister Leal’s Statement on Global Entrepreneurship Week:
“It’s a pleasure to celebrate Global Entrepreneurship Week, a time to give special recognition to entrepreneurs, innovators and small business owners. Ontario’s entrepreneurs make significant contributions to our economy, building strong communities and creating good jobs. That is why our government continues to focus on creating the right conditions for entrepreneurs to start a business and grow our economy. As the Canadian host of Global Entrepreneurship Week 2017, I’d like to thank Futurpreneur for their work to raise awareness and support for entrepreneurs in Canada. Futurpreneur has helped young entrepreneurs launch more than 2,100 new businesses in Ontario, inspiring and empowering future generations of entrepreneurs. As we celebrate GEW 2017, I encourage all Ontarians to take this opportunity to celebrate the ambition, talent and hard work of the many entrepreneurs in communities across our province.”