and from now until I graduate I will be weighing my options regarding where I would like to establish my career. As I face this difficult decision, I will be seeking a country beneficial for entrepreneurs; I will ask professionals for recommendations of places to work and live and I will be scrutinizing each country based on how they treat business men and women by researching recent legislation changes and trends of the country in terms of small business. I would always consider my home, Canada, to be an option but many other countries are intriguing and have astonishing reputations regarding innovation, entrepreneurship, and a progressive mentality, for example, Japan, Switzer- land, Sweden, and, particularly interesting to me, Germany. Canada is contending with many top notch coun- tries around the world for future entrepreneurs like me. Our government cannot make this decision without acknowledging the adverse effects it will have for current and for the future business people, employees of small businesses, and our entire economy. Canada should implement plans to attract entrepreneurs because we are the innovative individuals that develop technology, products, and strategies that contribute to our economic growth. Canada should work to surpass the countries I listed above by retaining entrepreneurs and incentiv- izing innovation. This legislation will accomplish the complete opposite; pushing small businesses away and the accompanying innovation, development, and efficiency. Not to mention that small businesses have made an incredibly powerful contribution of creating jobs for the middle class; according to Startup Canada, 48.3% of Canada’s workforce is employed by small businesses. Over the next four years, I will be actively searching for countries that prove to be appreciative of entrepreneurs and I hope this legislation is reconsidered so Canada can be a high contender for my innovation and leadership. Choosing to be an entrepreneur is a difficult decision that requires a certain type of individual to take on the associated risks. Our government needs to understand that the current tax system for small businesses in Canada is one of the only incentives to start a business other than pure passion for innovation, desire for challenge, and drive for prosperity. Just to name a few current disincentives for start-ups: no pension, no workers compensation, no sick days, no vacation days, no maternity or paternity leave, and, potentially, tax increases. Considering all of these obstacles, I would love to stay in Canada to begin my own career but as the government is proposing to take away the beneficial and strategically implemented tax structure for small businesses has sent a message that Canada does not value small businesses. Our government must consider that it feels as if business people are being pushed away from home, or foreigners are being deterred from Canada, as this is eliminating the incentive to start a business or establish an entrepreneurial career. One of the proposed tax changes that could be impactful on many new families, like myself in the coming years, is the passive investment income change with the goal of reducing the amount of income that can be saved by small business owners. It is imperative for self-employed business men and women to save because they must compensate for the lack of employee benefits listed above. As a business woman, I want a family of my own and I would like to have the option to take maternity leave, or be able to save enough to enjoy a family vacation, or have enough savings in case one of us becomes sick or injured. Small business is a major supporting factor of Canada’s economy, according to Industry Canada, small businesses account for more than 30% of Canada’s GDP and 90% of Canadian businesses classify as small, which includes contractors, farmers, doctors, accountants, and many others. The government cannot intelligently say that these changes will only affect the wealthiest 1% in the country because that is completely false; these changes are not discriminatory and will ultimately affect all families, firms, industries, and, by default, the entire economy. It is important to remember that these driven, passionate, self-employed business men and women have accepted the current circumstances, chose to work in Canada, and are of paramount importance to our economy. The government is labeling this movement as tax structure reform but business owners are simply becoming the victims of an increase in government income. Nine years ago, my father began his renovation company and I have been exposed to the elevated stress levels of entrepreneurship, the incredibly long work hours obligatory to support a household, and the family sacrifices necessary during this process. Statistically, according to Industry Canada, only 51% of small businesses survive their first 5 years in operation; this directly reflects the immense stress of starting up a business and now, our government is proposing to make it more difficult to survive in the Canadian entrepreneurial environment. In pointing out many of the obstacles, my father is proud to have grown his own company from the ground up and he has embraced this challenge whole heartedly. Starting and operating a successful family business is a group effort as it requires a lot of flexibility and support from all members. I have worked on the marketing and social media side of the company for around two years and painting, delivering flyers, and lawn mowing have been my summer jobs since I could remember. Income sprinkling has been portrayed as an unfair income sharing between immediate family members of the owner to reduce the family’s tax burden but,
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SEPTEMBER 2017 • SPOTLIGHT ON BUSINESS MAGAZINE
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