According to Survival of the Smallest, the newest report released by the Canadian Federation of Independent Business (CFIB), Canadian small- and medium-sized enterprises (SMEs) have emerged from the recession as leaders, restoring jobs and business activity despite a slow and fragile economy. Entrepreneurs had no choice but to implement many changes in various areas of their businesses in order to survive the recession, including: working longer hours (62%); finding new customers in local markets (50%); and introducing new products or services (46%).
“Smaller firms hung on to their employees during the recession, which provided much needed stability to the Canadian economy. This is a testament as to why we need to be listening to their concerns,” stated Catherine Swift, president of CFIB. The report identifies payroll tax increases, red tape, and interprovincial and foreign trade barriers as some of the most harmful growth barriers for SMEs.
Entrepreneurial resilience is a recurring theme in the report: a number of small businesses said that growth, not cuts, was the key to their survival during the recession. These Growth-Oriented Enterprises (GOEs) added employees and expanded to new markets, and a large portion of GOEs reported that they are significantly better off now compared to when the recession was at its worst.
Source: Canada NewsWire, 22 September 2011
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