The Journey of starting a New business in New Brunswick – By Damilola Ajibade

Following a series of interviews with entrepreneurs across different industries – (a consulting firm, an African grocery store, a fashion design outfit, a supply chain and delivery business, Forex App developer and several others), I have concluded that the journey to entrepreneurship especially is an immigrant is not one for the faint-hearted. As you read through this engaging section, kindly note that these recommendations are based on research, personal experiences and valid information gathered from other immigrant entrepreneurs.

Canada has a top priority for immigration as a key strategic tool for its’ economic growth. As a result, the nation is intent on ensuring that Skilled and Entrepreneurial Immigrants are well equipped to set up successful enterprises. To buttress this, recent studies by Statistics Canada show that immigrants have set up more than half of all new private businesses in Canada since 1997.

The drive for business growth and development however, does not mean regulatory authorities will side-line the governance of operations by business owners; a policy that may be lacking in many developing countries. To achieve this growth and enjoy the benefits structured for businesses, every entrepreneur has a responsibility to research and identify the requirements and relevant laws that govern their intended business.

The path to setting up a business is unique to each industry. Nonetheless, some paths are common to most businesses, so that’s what we will focus on. For this purpose, our rules of thumb will be to understand the culture, the regulatory requirements, societal needs, business structures and financing. 

Understand the culture

As much as we may think how unimportant this is to our business idea, understanding the culture in a new environment is key to achieve a long-term business success. Understanding the culture helps us align our product or services to the needs of majority without limiting us to the newcomer community.

The newcomer population is only a fraction of the total population of residents, so a wider reach of potential clients can sustain the business in the long run. For example, when you want a nice, hot, spicy meal, you can think of dining at an Asian restaurant. I look forward to the day we would all fully embrace the Canadian culture such that our product and services will break barriers impact the community through our products and services.

Identify Regulations and Provincial Requirements

Learning about regulations and provincial requirements are as important as identifying a business idea. In Canada, regulated businesses have a responsibility to follow stipulated guidelines. Some countries do not have the right data to regulate businesses that have potential health and safety hazards, so it is easy to assume that you can get up and start any business when you are uninformed about the regulations. For instance, a business idea of providing beauty services or ready-made home meals may include certain health or safety risks that require a license or certification. Failure to meet requirements could attract a fine or a huge consequence. Some free resources available that could assist with identifying provincial requirements in the province are the ONB Business Navigator Service and Bizpal service

Conduct a Market Research

Exploring potential opportunities and viability of a new or unfamiliar market is a great step in the right direction of possible success. For a new business, you want to gather market insight; understand the demographics, the cities, competition, the whole nine yards of what the business process would require. Fortunately, in Canada you can get some market insights through Statistics Canada

http://www.statcan.gc.ca/ and ACOA
Atlantic Canada Opportunities Agency – Canada.ca. They work to create opportunities for businesses across Canada through their regional offices by helping businesses become more competitive, innovative and productive.

Business Structures

A lot of small businesses set up without researching the ideal business structure for them. The type of structure you decide for your business has huge impact on a number of things including how you file your taxes. Either as a Sole Proprietorship, Partnership or Incorporation, each structure has its benefits. More information about these can be obtained by reaching out to a Legal Professional, Service New Brunswick in your region or the Canada Revenue Agency.

Financing and Funding Options

Common mistakes you don’t want to fall for as a new entrepreneur in New Brunswick is starting a business on a loan, it’s usually best to have some capital saved. Although, there are a couple of programs funded by the government to help small businesses start. An example is the Black Entrepreneurship Loan Fund which was developed for Black Business owners and entrepreneurs. The program seeks to address the specific systemic barriers Black business owners have too often faced when seeking financing. It also demonstrates the Government of Canada’s commitment to addressing these barriers with long-term solutions by co-developing programs to better support Black entrepreneurs on their road to success. Apart from loans are grants which are not very common. These are non-repayable loans which are be available to certain categories of people, businesses or industries. Government sets up these funds to boost economic development and growth in the community. It is important however, to speak to your financial institution about how that may impact your credit status and investments.

Grants are also a great source of financing a new business. They are non-repayable loans offered to businesses. During the second wave of the COVID-19 pandemic, the government of New Brunswick administered grants up to $5,000 to each business that was negatively impacted by the pandemic.

Some grants are also offered in the form of training, technical set up and services. More of these information may be obtained from the government website under Opportunities New Brunswick.

It is important to note that a business needs a detailed Business Plan to access funding.

Damilola is a Business Visibility Enthusiast. She is passionate about seeing businesses thrive. She is a Business Development professional with over 10 years’ experience working across various industries.
She currently works as a Business Navigator with Opportunities New Brunswick where she helps new businesses navigate provincial and regulatory requirements as they set up.

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