This presentation looks at different areas of government policy along with key areas of focus as part of setting up a new business.

1. How to Best Support
Business Startups – Canada
and theWorld
PaulYoung CPA CGA
December 3, 2020

2. PaulYoung - Bio
• CPA, CGA
• Academia (PF1, FA4, FN2, MU1. and MS2)
• SME – Risk Management
• SME – Close, Consolidate and Reporting
• SME – Public Policy
• SME – Costing and Profitability Solutions
• SME – EmergingTechnology
• SME – Business Process Change
• SME – Financial Solutions
• SME – Macro/Micro Indicators
• SME – Supply Chain Management
Contact information: paul.young@ca.ibm.com

3. Agenda
▪ Top 10 – Fastest Growing Companies in Canada / 2020
▪ Factors impacting Startups
▪ Corporate Governance
▪ Blog – Automation
▪ Post-COVID19 Recovery
▪ Government and Reforms (Healthcare)
▪ Government and Fiscal Management

4. Top 10 – Fastest Growing Companies in Canada
/ 2020
Top 10 (7/Ontario, 2/BC,
and 1/PQ)
Source -
https://www.canadianb
usiness.com/growth-
list-2020/

5. Startup / Pressures
▪ Access to capital – Government policies started by previous govts help fuelVC market in Canada - https://www.cnbc.com/2019/11/12/why-canada-is-
becoming-a-start-up-mecca-rivaling-silicon-valley.html
▪ More and more countries are looking at digital taxation changes - https://quaderno.io/blog/digital-taxes-around-world-know-new-tax-rules/
▪ BEPS reporting was established as part of eliminating tax avoidance issues - https://ibm.box.com/s/i7efp948qvb5l8bt96y8sigsup8yes2u
▪ Access to markets (Trade and FIPA) - https://www.slideshare.net/paulyoungcga/what-is-next-for-for-global-trade-protectionism)
▪ Payroll taxes (social security, healthcare) - https://taxfoundation.org/comparison-tax-burden-labor-oecd-2018/
▪ Access to skill labor - https://www.slideshare.net/paulyoungcga/how-best-to-manage-skills-and-education-for-the-world
▪ Tax Policies
▪ Tax fairness - https://www.slideshare.net/paulyoungcga/subsidies-vs-taxation-analysis-and-commentary
▪ Income Splitting
▪ https://financialpost.com/opinion/ottawa-has-turned-income-splitting-rules-into-an-absolute-nightmare-for-small-businesses
▪ Passive Income rules
▪ Handling of stock options
▪ Canada trails countries like Singapore - https://www.usnews.com/news/best-countries/best-start-a-business
▪ Canada has fallen in other rankings when it comes to easiest of running a business (i.e. taxation and regulations) - https://www.visualcapitalist.com/ranked-the-20-easiest-countries-for-
doing-business/

6. Corporate Governance
Source - https://www.canadianmanufacturing.com/features/canadian-startups-need-to-focus-on-corporate-
governance-to-grow-and-thrive/
• Governance –” Corporate governance is something altogether different from the daily operational management
activities enacted by a company’s executives. It is a system of direction and control that dictates how a board of
directors governs and oversees a company.”
https://corporatefinanceinstitute.com/resources/knowledge/other/corporate-governance/
• It is important for all companies to adopt governance and risk analytics -
https://ibm.box.com/s/noi1j6ixzl6ralxkm4g0zzs911wf6s76

7. Blog - Automation
▪ https://www.canadianmanufacturing.com/features/manufacturing-automation-how-will-automation-affect-canadas-
post-covid-economy/
▪ Highlights manufacturing and retail as the two sectors that will undergo transformational change in the post-COVID-
19 economy
▪ Many recession and then recovery were led by automation of reducing costs and improving productivity and quality
control
Here is my work on automation
▪ https://www.slideshare.net/paulyoungcga/whats-next-for-automation-238371946

8. CloudTechnology
▪ Cloud journey for small to medium size businesses -
https://www.businessnewsdaily.com/4427-cloud-computing-small-business.html
▪ Cloud adoption - https://hostingtribunal.com/blog/cloud-adoption-statistics/#gref
▪ More and more solutions are providing on-demand solutions as part of managing your data -
https://www.ibm.com/support/knowledgecenter/SSD29G_2.0.0/com.ibm.swg.ba.cognos.pa_trial.
2.0.0.doc/c_pat_using_planning_analytics_trial.html
▪ Small to medium size businesses need to be more agile. It is very important for small to medium
size businesses revisit their close, consolidate and reporting cycle -
https://ibm.box.com/s/i7efp948qvb5l8bt96y8sigsup8yes2u
▪ Analytics will play key role with supporting decisions by small to medium size businesses -
https://engagementmarketing.ca/10-social-media-management-tips-for-small-or-medium-sized-
business/ or https://medium.com/sciforce/big-data-is-not-so-big-data-science-for-small-and-
medium-sized-enterprises-20a55058c60f

9. Accounting systems
▪ More and more accounting software is moving to the cloud
▪ Sage - https://www.sage.com/en-ca/accounting-software/online/
▪ NetSuite https://www.netsuite.com/portal/products/erp/financial-management/finance-
accounting.shtml
▪ Other examples - https://softwareconnect.com/accounting/midsize-business/
Hint: many accounting systems are great for transactional data but have limitation when it comes to
working with data as part of financial analysis and reporting.

10. Analytics and Small to Medium-Size Businesses
▪ Analytics and Data are playing a key role with small to medium-size businesses
- https://ibm.box.com/s/gs1kdowdb0nh93wr9txch4fyihhgqd3t

11. Global Economy
https://www.bloomberg.com/news/articles/2020-10-07/eu-parliament-boosts-pressure-on-stricter-2030-climate-
target?cmpid=socialflow-twitter-business&utm_content=business&utm_campaign=socialflow-
organic&utm_medium=social&utm_source=twitter&__twitter_impression=true
“IMF head says global economy facing long climb to recovery” There are many risks to the world economy from
progressive like too much focus on the green economy. Progressives never worry about the cost/effectiveness of their
policies on economic growth!
Here is my work on areas of getting goods to market along with what needs to help support the global economic recovery
Post-COVID19
https://www.slideshare.net/paulyoungcga/how-to-address-issues-facing-getting-goods-to-market or
https://www.slideshare.net/paulyoungcga/what-is-next-for-the-global-economy-october-2020

12. Government and Reforms (Healthcare)
https://www.cfo.com/health-benefits/2020/10/7-ways-covid-19-will-transform-health-
care/?utm_campaign=CFODailyAlert&utm_nooverride=1&utm_source=CFO-
email&utm_medium=email&utm_content=CFODailyAlert_Wednesday_2020-10-14&utm_term=health-benefits
Great Article with focus on the following areas:
1. Rise of Virtual Care
2. New digital approaches to meeting mental health needs
3. More entrepreneurial health care startups
4. Provider consolidation
5. More govt involvement
6. Increase in price sensitivity
7. Easing of regulation
▪
▪ My analysis - https://www.slideshare.net/paulyoungcga/how-does-the-world-transform-healthcare-238832381

13. Government and Fiscal Management
▪ More governments need to adopt eGovernment - https://opengovasia.com/denmark-
korea-and-estonia-top-the-2020-un-e-government-ranking/
▪ Private sector startups can help move govt to eGovernment
▪ More and more of government should be outsourced
▪ https://www.slideshare.net/paulyoungcga/why-is-value-for-money-important-to-government
▪ Government focus should be laws, tax collection, defense, public safety, and the environment.
▪ All levels of government need expand performance and operational audits -
https://www.slideshare.net/paulyoungcga/internal-audit-role-as-part-of-safeguarding-
assets
▪ Technology including startups can help support automation of audit cycles

14. Innovation and Canada
Hi Kevin
https://financialpost.com/news/economy/trudeau-and-the-federal-government-have-lost-their-way-innovators-group-says
I have been calling out issues with clusters, tax policies, and regulations for years. @JustinTrudeau policies have been a
disaster for innovation.
▪ Innovation / 2017 https://www.slideshare.net/paulyoungcga/is-canada-on-the-path-to-innovation-success
▪ Clusters (see slide#70) - https://www.slideshare.net/paulyoungcga/governance-model-are-the-liberals-open-and-
transparent
▪ My latest work - https://www.slideshare.net/paulyoungcga/how-best-to-support-business-startups or
https://www.slideshare.net/paulyoungcga/2019-election-innovation-and-rd-canada-2014-to-2017

15. Summary
▪ Over the years there have been many new companies created to solved an issues, i.e. clean technology, zero-waste
management,AI, risk analytics, cybersecurity, eCommerce, etc. - https://www.slideshare.net/paulyoungcga/how-to-best-
support-a-circular-economy
▪ September GDP 2020 - https://www2.slideshare.net/paulyoungcga/gdp-and-fiscal-management-canada-september-2020
▪ Canada Scorecard – September 2020 and October 2020 – https://www2.slideshare.net/paulyoungcga/economic-and-fiscal-
scorecard-united-states-september-2020-and-october-2020
▪ Better balanced between the economy and the environment - https://www.slideshare.net/paulyoungcga/clean-technology-
the-green-economy
▪ Economic recovery has usually been led by next generation of innovation - https://www.slideshare.net/paulyoungcga/2019-
election-innovation-and-rd-canada-2014-to-2017
▪ The best way to support R&D is through tax policies along with private and public partnerships including making all colleges and universities
incubation centers - https://www.slideshare.net/paulyoungcga/innovation-and-research-and-development-tax-credits-canada
▪ Governments need to avoid direct subsidies - https://www.slideshare.net/paulyoungcga/subsidies-vs-taxation-analysis-and-commentary

16. Other Sources
▪ If you like to learn
more about trade
and/or other subjects
as part of your
professional learning
and development
then feel free to
review my material
on
https://www.udemy.
com/ (search Paul
Young CPA CGA