Small Businesses Continue to Grow Our Economy
The Government of Saskatchewan is pleased to recognize Business Development Bank of Canada (BDC) Small Business WeekTM taking place from October 20 to 26. This week celebrates the important contributions of small businesses to the Canadian economy. Small Business WeekTM was launched 40 years ago to join together entrepreneurs from all over the country.
Small businesses are classified as having less than 50 employees and are a source of quality jobs. Since 2008, small businesses have been responsible for creating 7,253 new jobs in the province. In 2018, Saskatchewan had the highest rate of small businesses in Canada, about 129 small businesses for every 1,000 people, compared to about 110 nationally.
Small business in Saskatchewan is growing. In 2018, Saskatchewan’s small businesses employed 31 per cent of Saskatchewan workers, paying $6.3 billion in wages and salaries, which accounts for one-quarter of the province’s total payroll. Since 2008, wages paid by Saskatchewan small businesses grew the second fastest compared to other provinces. Saskatchewan’s 149,465 small businesses also contributed 24 per cent of the province’s gross domestic product in 2018.
The Government of Saskatchewan continues to invest in initiatives, services and programs that support small businesses in the province.
Some of these include:
- The Saskatchewan Technology Start-Up Incentive, which offers a 45 per cent non-refundable tax credit for individual and corporate equity investments in eligible technology start-up businesses;
- The Product2Market: Value Added incentive which helps support small-and-medium-sized agri-businesses, from product development through to marketing activities;
- The Canada-Saskatchewan Job Grant, an employer-driven program which helps employers train new or existing workers to meet their specific workforce needs;
- A small business income tax rate, at two per cent, for Canadian-controlled private corporations. The rate applies to the first $600,000 of business income and is among the lowest in the country;
- A highly competitive tax structure, which includes tax credits for research and development, as well as for manufacturing and processing equipment expenditures; and
- The proclamation of the Regulatory Modernization and Accountability Act in 2013, to ultimately remove red tape that could be a road block to business, and to remove some of the barriers to growth.