When a country has as much to offer as Canada, it is easy to see why hundreds of foreign direct investors have invested billions of dollars in businesses, both large and small. For investors, Canada boasts multiple advantages and unparalleled potential — a place where businesses can achieve excellence at the local as well as the global scale.
’In comparison to the economies of Europe and the U.S., Canada’s continuously growing economy, currently ranked no. 9 in the world, has emerged as a favorable climate for investment. Among many other things, Canada’s $1.6 trillion economy, combined with its profitable banks that thrived during the financial crisis because of their conservative lending practices, Canada has proven its vitality in the international realm. Forbes determines their ‘Best Countries for Business by looking at 11 different factors: property rights, innovation, taxes, technology, corruption, freedom (personal, trade and monetary), Bureaucratic red tape, investor protection and stock market performance. Overall, Canada ranked in the top five for both investor protection, as well as lack of red tape. Canada’s tax status changes have meant reductions in corporate and employee tax rates making Canadian businesses more competitive. While other countries suffer from increasing unemployment rates, Canada has improved its employment levels and continues to yield an ever growing, educated workforce. Through research and published reports from the Central Intelligence Agency, Freedom House, Heritage Foundation, Property Rights Alliance, Transparency International, the World Bank, World Economic Forum, Bloomberg, and Forbes magazine has found that Canada ranks high and is a hub for investment.
Canada’s federal tax incentive program, Scientific Research and Experimental Development Tax Incentive Program (SR & ED), administered by the Canada Revenue Agency (CRA), encourages and supports industrial research and development conducted by Canadian Businesses of all sizes and in all sectors. The program works by giving claimants cash refunds and/or tax credits on expenditures such as wages, materials, machinery, equipment, some overhead, and SR & ED contracts. The SR & ED program is the single largest source of federal government support for industrial research and development. SR & ED helps in maintaining Canada’s competitive edge in research and innovation and leads to new, improved, and technologically advanced products or processes.
Canada’s solid growth is underpinned by a financial system that is the envy of the world. The sovereign debt crisis in Europe and renewed concerns about the global economic outlook have once again put a spotlight on bank safety. Canada, which has the soundest banking system in the world according to the World Economic Forum, has become even more attractive than ever for global business leaders. Some of the world’s safest banks—Best-in-class financial regulations and strong balance sheets have helped Canada’s banks earn global recognition. Competitive borrowing rates and the excellent shape of the Canadian banking system means that Canadian banks and financial institutions will be more receptive to multinational corporations’ and small business investment and expansion plans both in Canada and globally. Also, they can provide financing to global investors at competitive borrowing rates.
Recent OECD statistics rank Canada as a top performer among G-7 countries in terms of GDP growth from 2007-10 and during the 2011-12 forecast periods. Regulations pertaining to the creation of new businesses are considerably more flexible in Canada than those in the rest of the G-7; Canada ranks first among the G-7 and OECD countries for the lowest number of procedures required to establish a new business. The overall skill level of Canada’s workforce ranks high among competing countries; Canada has the second highest percentage of individuals achieving at least a college or university education, among OECD member countries. Canada leads the G-7 and ranks 8th among 125 countries in terms of the enabling trade index, which measures the effectiveness of the combined factors of market access, border administration, transport & communications infrastructure, and business environment towards the efficient flow of goods over borders and to their final destination. A low inflation environment provides business certainty for investors. Canada’s targeted inflation rate range between 1% and 3% has been extended until 2011. Over the past five years, Canada has enjoyed relatively low inflation – averaging 1.7% compared to 2.2% for the U.S. According to the Prosperity Potential Index, Canada ranks 1st in the G-7 and 6th among 30 developed countries in terms of the likelihood for economic prosperity in the year 2020.
Over the last 10 years, Canadian economy grew faster than any other G-7 country. Canada offers foreign direct investors one of the strongest banking sectors in the world and a government fiscal position that is better than any other G-7 country.
The Economist Intelligence Unit has rated Canada the #1 place to do business in the G-7 for the next three years. Canada’s low corporate taxes and a duty-free manufacturing tariff regime are only some of the reasons why Canada continuously ranks as one of the most cost-effective global investment destinations.
From next-generation cars to smartphone technology, Canadian innovations touch the lives of millions worldwide. These innovations are supported by generous government R&D incentives that give Canada the Lowest R&D cost structure in the G-7.
Canada’s workforce has the skills and motivation needed to achieve excellence. Canada’s world-class universities, a publicly-funded health care system, clean, friendly cities and spectacular scenery makes Canada a great place to invest, work, live and raise a family.
Canada is a significant part of global supply chains in a wide range of sectors. Canada’s NAFTA advantage gives investors access to more than 453 million consumers and a combined GDP of more than US$17.1 trillion.
World-class universities, a universally acclaimed health care system, clean, friendly cities and spectacular scenery make Canada a great place to invest, work, live and raise a family.
Almost all of Canada’s 10 provinces and 3 territorries offer some sort of immigration programs for businessmen, investors or entrepreneurs. These programs are ever changing and at Immigration-Hub we have a special unit who possesses expert staff in every program. We keep our knowledge and expertise up to date, to meet the immigration needs of our clients. Please contact us for further details and we will give you a tailor made plan according to your personal scenario.