Small Business

Securing financing to start a new business or project can be challenging. For most businesses, venture capital (VC) funding is not feasible because gaining access to a venture capital firm is difficult. According to an article published by Harvard Business Review, only one deal is selected for every 101 a VC firm considers. Additionally, only 10 per cent of deals are made from cold-pitching, meaning that most VC deals are made from pre-existing connections or the VC initiating contact themselves. Bank loans can also be difficult to obtain. Securing a bank loan in Canada is usually only possible for businesses already operating and generating revenue. Loans must also be repaid with interest, even if a business or project fails. So, is it possible to finance business ideas without these traditional gatekeepers? One option is crowdfunding, which is a form of fundraising where a business asks many people for a small contribution to the venture. Although crowdfunding has existed for several years, only some businesses successfully raise enough funds to launch their ideas. Read ahead to learn more about successful crowdfunding stories and what sets them apart. Hike! Hike! is a card game about racing huskies that launched in 2022. It raised over $150,000 on the crowdfunding platform Kickstarter, exceeding its roughly $9,000 goal. Snowy Board Games, the creator of Hike!, was not a veteran of the card game space. Hike! was its first-ever game, and its Kickstarter campaign was its first attempt at crowdfunding. How did the campaign work out so well, despite the company’s lack of experience? One answer is that they chose the right crowdfunding platform. Board games are well-funded on Kickstarter. Polygon reports that in 2022, the funding success rate for table-top games was 76.3 per cent, and the average funding for a successful table-top game on Kickstarter was $58,000. By choosing Kickstarter for its campaign, Snowy Board Games gave itself a significant advantage because it already had a large chance at success based on previous campaigns. That is not to say that Hike!’s success was only a product of statistical likelihood. The fact that it raised more than average crowdfunding campaigns is a testament to that. Beyond choosing the right platform, Snowy Board Games strategically asked for funding when it could show a nearly complete product. Snowy Board Games had already designed their game, written their rules, commissioned an artist and assembled a final game so investors could see exactly what they would get if they backed the project. By showing a high-quality, near-finished project to an investor space with a high likelihood of financing, Hike! achieved its goals. Loish Lois van Baarle, known as Loish, is an artist who attracts more than 10,000 monthly patrons on Patreon. Patreon is a membership platform that provides content creators with business tools to run a subscription service, enabling them to earn a monthly income by offering rewards and services to their subscribers. Loish is a career artist and has worked with companies like LEGO, Amazon and Coca-Cola on a freelance basis. She creates unique, high-quality art that attracts both fans and clients. What makes her stand out next to the countless other artists trying to make a living on the platform? Loish’s success can be partly attributed to her reputation as a well-established expert before she started a Patreon. When new followers discover her Patreon, she already has an impressive portfolio to showcase. Loish also gives an incentive to subscribe to her Patreon by offering art lessons. For $10 per month, she offers art tutorials, monthly Q&A sessions, drawing challenges and access to her Discord chat room, where patrons can come together and form a community. Loish has picked a high-demand target market while delivering ongoing high-quality services to her supporters, ensuring continued success. BooCooPets Some businesses or projects don’t fit in crowdfunding frameworks like Kickstarter or Patreon. BooCooPets, Inc. is one of them. BooCooPets is a website for everything related to pets and aims to be a central hub where pet owners can find meetups, shopping tips, travel guides, medical services and searchable information on pet rescues. BooCooPets posed an interesting problem. It needed crowdfunding, but its goal was to start a new business rather than launch a product or service. Its solution was equity crowdfunding. Equity crowdfunding is when investors purchase a portion of a company in exchange for a stake. Equity crowdfunding works because it directly connects big and small investors and companies. Anybody can be an investor, which can be attractive for those who want to invest in companies with limited capital. However, it can be challenging to get traditional equity investment. BooCooPets, originally named Kaboodle, launched on the equity crowdfunding website Wefunder and had multiple rounds of successful funding, the last of which raised over $60,000. What led to its success? BooCooPets had many things investors look for, including a solid business case proposed by a career entrepreneur with a great track record. Larry Loyd, founder and CEO of BooCooPets, has an entrepreneurial history, including opening six restaurants, an interior design firm and a logistics monitoring company. Beside him, COO and co-founder Art Pedroza is vice president and managing director. Is crowdfunding right for you? Even though crowdfunding is a viable way to secure funding, it doesn’t apply to all cases and is not a guarantee. It’s important to carefully consider whether or not it applies to your individual business situation. Even though crowdfunding is easier to secure than traditional funding channels, it’s not risk-free and usually requires time and monetary investment. Success stories like Hike!, Loish and BooCooPets prove that it has found a legitimate place in the business world. Crowdfunding has given entrepreneurs more democratized funding opportunities, allowing anyone with a great idea to potentially turn it into a reality.

It’s crucial for businesses to gain insight from the customers who support them. By gaining valuable insight, business owners can see how customers perceive aspects of their company, such as their products, customer service and website. Additionally, they can use data collection methods to understand how their business can improve and connect with customers through feedback. However, small businesses may be discouraged from data collection since it is mainly associated with large companies. For instance, Apple and Snapchat are both known to collect a substantial amount of customer data compared to smaller businesses. According to a 2020-2021 survey by the Privacy Commissioner of Canada, about seven in 10 Canadians have refused to provide an organization with their personal information due to privacy concerns. Instead of relying on invasive data collection techniques, small businesses can use inexpensive digital tools and in-person data collection methods to gain customer insights. Small businesses can easily collect three out of the four different customer data types. Small businesses can collect engagement data, which shows how consumers interact with a business’s website and social media pages. Small businesses can also gather behavioural data by talking directly to customers and looking at purchase histories. Lastly, small businesses can evaluate attitudinal data, including customer satisfaction and other purchase criteria. Small businesses should use customer data collection because they can use their findings to learn more about client preferences and satisfaction. They can apply these insights to switch around customer service techniques, reduce operational costs and expand inventory for products that consumers like best. Small businesses can also learn more about how customers prefer to shop and the issues most important to them. Moreover, by examining customer data, small businesses can increase revenue and customer satisfaction while decreasing unnecessary costs. While some customers find data collection invasive, some can see past privacy concerns because they realize that their input can make a positive change or receive compensation for their feedback. The same survey by the Privacy Commissioner of Canada states that 38 per cent of Canadians will provide personal information to businesses for discounts or incentives on a good or service. Small businesses that collect customer data should do so in a way that ensures the customer that their feedback is appreciated and will be used to benefit their shopping experience. Customers also want to ensure that providing their feedback will not inhibit their privacy, so it’s important to uphold strict privacy practices. Here are some non-invasive customer data collection methods that small businesses can use to learn more about their customers while respecting their privacy. Surveys Business owners can use surveys to collect customer feedback and identify improvement opportunities. For example, surveys can ask customers about their satisfaction with the business’s products, customer experience, pricing and promotions. Small business owners should keep surveys short by asking specific questions. Additionally, they can send them to customers digitally to avoid confusing handwriting and potentially losing physical copies. To send out online surveys, business owners should ask customers for their email and inform them about filling out surveys for rewards, like a small discount. Interviews and focus groups Interviews and focus groups allow small business owners to get face-to-face feedback about new products, logos, website design and more. Before asking questions, small business owners should explain what they are inquiring about in interviews and focus groups so customers know what to expect. Although this method requires time to recruit willing customers,  small businesses can receive feedback immediately rather than waiting for survey responses. Focus groups have been shown to significantly impact businesses and their future direction. Twitter founders Biz Stone and Evan Williams used focus groups to learn about Facebook users’ dissatisfaction with the platform. They discovered that the biggest complaint was that the news feed was too cluttered and difficult to keep up with. Using this feedback, Stone and Williams developed Twitter to allow users to share articles, news and opinions in 140 characters or less, later bumped up to 280 in 2018. Interviews and focus groups allow for honest feedback on important elements to help reinvigorate or launch businesses. Social media monitoring Every small business should have accounts on social media channels to market their products and services. Monitoring activity on these accounts can tell business owners what content customers are drawn to, what products they are excited about based on likes and shares and what motivates them to purchase from a particular small business. Using a third-party social platform that monitors and organizes a business’s social media can cut down on time and clearly show what posts get the most engagement on multiple channels. Businesses can use this information to understand what posts customers are drawn to and why. For example, engagement has been found to increase significantly when businesses post about their commitment to sustainability. Furthermore, social media marketing can pinpoint what customers value, leading to more brand recognition and a more ethical brand reputation. Online tracking on the business’ website  Online tracking consists of tracking users’ behaviour across websites. Small business owners can use online tracking tools to gain insights into customers and their online activity. For example, small businesses can track users’ behaviour on their company websites, including how long they spend on the website or whether they’re confused while using it. This information can help businesses enhance their website design if they don’t have the time to conduct interviews or focus groups. One of the ways to do this is by implementing CRM software, which organizes and tracks the number of visitors and stores emails and other personal information that customers willingly give when they enter the website. Small businesses need to recognize that customers have great ideas and can provide the feedback necessary to strengthen a business’s operation and brand. However, collecting customer data should be rewarded with a better customer experience rather than punished with a lack of privacy. It is up to small businesses to prove that customer data collection can be ethical and benefit both sides.

Starting and maintaining a business can be difficult. However, business owners from marginalized communities face unique obstacles, making succeeding in the business world even harder. Factors such as race, gender and sexual orientation have historically prevented marginalized individuals from receiving opportunities. While some work has been done to change this, there is still a long way to go to altogether remove these inequities from the business world. Many programs have been developed across Canada to help marginalized businesses thrive despite their challenges. Read ahead to learn about some of these programs and resources. Canada’s 2SLGBTQI+ Chamber of Commerce (CGLCC) The CGLCC focuses on uplifting 2SLGBTQI+ businesses and entrepreneurs in Canada by connecting them to a support network to aid their business ventures. Working with the Canadian government and several organizations, the CGLCC certifies 2SLGBTQI+ businesses across Canada to participate in their numerous programs and opportunities. Their programs cover areas such as youth entrepreneurship training, diversity and inclusion training and global business connections. Digital Media Zone (DMZ) Black Innovation Programs The DMZ helps to develop technology start-ups by connecting small businesses with customers, industry experts and other resources to drive their success. The DMZ provides programs specifically for Black business owners, designed to help these individuals overcome the unique challenges they face in the technology industry. Three programs are available to aid Black Canadian start-ups: the launchpad, pre-incubator and incubator. The Launchpad program helps aspiring entrepreneurs develop the skills necessary to create their businesses. The Pre-Incubator program supports entrepreneurs in developing their business ideas, researching their market and creating a roadmap for their business. The Incubator program helps already-formed businesses to continue growing. The resources offered through this 18-month program include grants, fundraising support, investor meetings, coaching and networking opportunities.  Entrepreneurs with Disabilities Program (EDP) The EDP supports people with disabilities or health conditions looking to start a new business or expand their current one. The program is available in Western Canada and supports residents living in rural and urban communities. Their services include digital marketing support, business mentorship, business consultations and planning, market analysis and networking opportunities. The Scotiabank Women Initiative Scotiabank offers several resources for Canadian women-owned businesses. This includes providing financial support through various loans and grants, publishing online articles and hosting workshops to develop entrepreneurial knowledge. Scotiabank also offers the Scotiabank Women Initiative Mentor Program, a 12-month one-on-one mentorship program for women. This free program matches business owners with a mentor based on the individual’s unique needs and goals. The business owner and mentor meet monthly for a year, providing the business owner with continuous support in growing their business. Participants will receive personalized support from their mentor and tools for tracking progress and setting goals. BDC’s Indigenous Entrepreneur Loan  The Business Development Bank of Canada (BDC) seeks to provide Indigenous business owners with resources to support their operations and entrepreneurial goals with its Indigenous Entrepreneur Loan. The BDC offers financial support, including loans with flexible repayment terms. Part of the interest paid on loans is donated to a charity of the individual’s choosing. The BDC also offers connections with its partners for additional support, such as the National Aboriginal Capital Corporations Association (NACCA) and the Canadian Council for Aboriginal Businesses (CCAB). Even though marginalized business owners face unique challenges and obstacles in today’s market, several resources are available to assist them along their entrepreneurial journeys. Continue to research other options that suit your specific situation and needs.  Every entrepreneur deserves the chance to pursue their business goals without barriers. This way, our businesses can reflect and celebrate the diversity of Canada. 

From the minute you walk in the door of Squibb’s Stationers, the difference between the shop and big-store chains is obvious. The locally-owned, independent shop offers an atmosphere that corporate businesses can’t replicate. Tucked away in Weston Village, a neighbourhood in northwest Toronto, the store seems like something out of a fairytale. With its creaky floors, quirky themed windows and shelves full of products ranging from textbooks, organic honey and fountain pens, you would almost think you were transported to Diagon Alley. Squibb’s was opened in 1927 by Arthur and Carey Squibb and is Toronto’s oldest bookstore and stationers. They recently celebrated their 96th anniversary and continue to offer the same personalized service since they first opened their doors. When asked how they’ve managed to compete with big chain companies, Suri Weinberg-Linsky, who owns the business alongside her husband, Mike Linsky, explained, “We don’t compete with them; they compete with us.” Weinberg-Linsky and her husband consistently go the extra mile to ensure their customers get the products they need in the best and most efficient way possible. During the COVID-19 pandemic, they frequently made trips around the GTA to personally deliver products to customers. Additionally, when the new school semester started a month into lockdown, Weinberg-Linsky and her husband drove over an hour to ensure students got their textbooks in time. Weinberg-Linsky said she believes that the personalized service they provide customers is how they maintain the Squibb value. Another way is being active members of the community. With her husband, Weinberg-Linsky took over the store in 2001 from her parents, who bought it in 1980. While there were two owners between 1972, when the Squibb family sold the business, and 1980, they didn’t embed themselves with the community. The original owners, Weinberg-Linsky, her husband and her parents all shared the common objective of ensuring Squibb’s maintains its connection with the Weston Village community. Weinberg-Linsky currently sits on several Weston Village boards, councils and volunteer organizations that support the local community through opportunities, initiatives and events. Squibb’s works with community members to support enhancement projects, like the “Welcome to Weston” signs that greet visitors on Lawrence Avenue West and Weston Road. She also lives in the area, which she believes motivates her to champion for the community. “I’m a neighbour. I’m a business owner. I’m a volunteer,” she explained. “It’s the personal service [that we provide]. Being part of the community, and working within the community, and being able to be interconnected. It’s all the pieces of a small village.” Squibb’s also frequently stocks and promotes books written by community members or that have a Weston connection. They’ve hosted various events to celebrate these books and their authors, including a double reading on the 50th anniversary of Hurricane Hazel, an intense hurricane that flooded Weston and killed 35 residents in 1954. Another way Weinberg-Linsky and her husband honour Squibb’s legacy is by remaining in contact with the founder’s children, grandchildren and great-grandchildren. Some family members even came down to celebrate the store’s 95th anniversary last May and gifted Weinberg-Linsky a teacup that belonged to Carey Squibb. They also sell organic honey produced by Andrew and Gabriel Bennet, two of Arthur and Carey’s great-grandchildren, demonstrating their continued support for the family who started the business 96 years ago. Despite all their success and essential presence in Weston Village, Weinberg-Linsky admitted that redevelopment plans threaten Squibb’s survival. After her landlords sold the building they rented their retail space from, a Dollarama was put in a few doors down and quickly cut into their sales. There are also plans to eventually tear down all the stores on the block and convert the space into condos. While these changes have rocked their business, Weinberg-Linsky and her husband are not ready to pack it in yet. “I’m not a quitter,” she explained. “There’s many days where I just want to pack it up and just say, ‘Forget everything.’ And then there are other days where I’m really energized.” Weinberg-Linsky also mentioned that Squibb’s has already defied survival expectations for independent bookstores in a market dominated by Amazon and Indigo, giving them hope that they can remain in business. “We shouldn’t exist,” she said. “We should’ve died like 30 years ago. We just keep pushing along and pushing along.” While there is an eventual closing date for the store, Weinberg-Linsky is proud of her and her husband’s work to continue Squibb’s legacy. From providing personalized service, curating a diverse product line and being active community members, Squibb’s remains the same quirky, friendly store it was when it first opened in 1927. Weinberg-Linsky also reminds herself to acknowledge their successes, even if sales have slowed down. “Successful means you have longevity,” she explained. Whatever the future brings, Weinberg-Linsky and her husband can be proud of all their hard work. They’ve powered on to ensure that Squibb’s is still Toronto’s oldest bookstore and stationers, proving that personalized customer service and community connections never go out of style.

Nowadays, small businesses have an obligation to support the community they conduct business in. Although small businesses already add aesthetic value to the community by providing unique and locally made products, another step in the right direction involves partnering with non-profit organizations in the community. Non-profit organizations are slightly different from charitable organizations. According to the Government of Canada, non-profit organizations are clubs or groups that operate on a non-profit basis to support social welfare, recreational sports, arts, culture groups and more. When for-profit small businesses and non-profit organizations join forces, both benefit from each other. Here are a few reasons why every small business should consider partnering with a non-profit. Creates public good A study conducted by the National Library of Medicine found that one of the ways small businesses played a part in combating negative economic and social effects during the COVID-19 pandemic was by partnering with non-profit organizations. These partnerships produce public good, meaning they foster the well-being of the community, through donations, workforce volunteering and marketing campaigns. This helps non-profits reach their goals and bring attention to issues in the community. Increases marketing opportunities Creating public good and increasing marketing opportunities collide when the partnership between a for profit business and a non-profit organization agrees on a cause-related marketing scheme (CRM). CRM is when a business donates a portion of its income to a non-profit organization when they make a sale, and in return, the non-profit markets its for-profit contributor. Whenever the non-profit holds events or fundraisers, its for-profit contributor is highlighted spreading awareness of the business in a positive way. If the non-profi organization explicitly aligns with the business’s mission or vision statement, its company morals become widely and clearly displayed. Boosts customer loyalty When non-profit events market small businesses, new audiences like volunteers, employees and supporters within that non-profit organization will shop at that business since their values align and the company contributes to their work. Consumers naturally want to contribute to businesses that give back to their community because they believe they are making a difference, hence why 88 per cent of millennial consumers are more loyal to businesses with a giveback element. Establishes a rewarding work environment Lastly, when a small business is partnered with a non-profit, employees often feel that they are contributing to the community they work in. This is because they have more opportunities to volunteer, and help non profits by working regular hours if the business has a CRM scheme. The result is increased passion and loyalty towards the business, creating less employee turnover. Ultimately, partnering with a non-profit can benefit a small business in many ways, such as through marketing, customer and employee loyalty and the location of operations. When a small business partners with a non-profit, it establishes itself as an essential contributor to the community.

Side businesses are becoming an increasingly popular way to earn extra income. According to Self.inc, up to 45 per cent of working Americans have some form of side income. In Canada, an Ipsos poll recently revealed that 74 per cent of business owners and aspiring entrepreneurs feel motivated to start a side hustle. For Gen Z respondents , the number rose to 84 per cent. From covering the increasing cost of living to monetizing a hobby, many are seeing the benefits of earning an additional income. What is a side business? A side business is a way for individuals to earn extra money outside of their primary job. This can take the shape of many things. Walking dogs, selling candles, freelance writing — these are all considered side businesses as long as they earn the individual an extra income. As for which side business to start? It can be helpful to consider a current skill set you already have, . while also factoring in what kind of side business would fit into your work schedule. Consider the risk Cary Greene, an Ontario-based candle maker, recommends considering the risks before jumping in head first. “The risk of debt is very real,” Greene said. “For people who want guarantees, this can definitely be a problem.” Greene’s advice for those wondering what type of side business they should start is to consider whether you have more time or money. For her, creating a candle business offered a good balance due to its lower startup cost. Of course, with any business venture, some element of risk is involved. That doesn’t necessarily mean the risk isn’t worth taking, but just that the risk should be factored into the decision. “Either way, you’re going to be investing lots of time, so it’s really about how much money you’re able to invest,” she said. To Greene, investing as much as you are comfortable with potentially losing is worth it. Ultimately, it is best to identify your risk comfort levels before starting a new business. Service-based businesses For Paige Harris, a Toronto-based content writer, selling products was too risky. “It’s very competitive,” she said. “ You can’t really stand out unless you’re doing something really different.” That’s why she decided to start a side business focused on providing services to organizations and companies instead of selling a product. Harris designed her side hustle to be as efficient at making money as possible. She did this by having a virtually nonexistent startup cost and entering a high demand market. According to Harris, side businesses are best when they can provide something other peoples need but can’t do themselves. Harris said she believes that interest in your service is just as important as your skills. That’s why it’s crucial to research the market you want to break into to ensure there is consumer demand. Keep overheads as low as possible Because many people want to start side businesses for extra money, keeping overhead costs as low as possible is important. Overhead costs refer to ongoing business expenses not directly related to a specific product or service. According to Harris, she started her business with only a computer and an internet connection. These were things she already had, so she was able to get a business going with no upfront costs. Later, she added accounting software and a portfolio website when she grew her business to a point where it made sense to invest more money. However, keeping costs low may not be the right approach for those with more money thantime. For people who are busy with their full-time jobs, starting something that doesn’t interfere with their main source of employment may make more sense, like an antique reselling business. “There’s no one-size-fits-all, but I think, in general, people who want a side hustle don’t want to invest a ton of money,” Harris explained. Market to other businesses One challenge with launching any business is deciding on a target demographic. “There’s a lot of reasons business-to-consumer is just harder,” Harris explained. In Harris’s opinion, businesses typically have more money to spend than individual consumers, allowing them more flexibility and leeway with their expenses. “It’s a lot harder to convince a normal person to spend $500 on a piece of writing, but it’s a much easier cost for a business to justify,” she said. This way of thinking can also apply to other services besides content writing. For example, if an entrepreneur has a window washing business, it might be an easier sell to ask local businesses if they would like their windows washed, rather than asking homeowners. “If you build that relationship, they’ll keep asking for your services as well, rather than with individual consumers where it might just be a one-time job,” Harris explained. Embrace actively earning income While it may be tempting to search for a passive income, individuals interested in starting a side business should keep in mind the hard work involved. “You have to work hard. There’s nothing passive about running a business,” Greene explained. “We all want that passive income, but it just doesn’t happen.” To Greene, while passive income may be possible for a small percentage of people, it is better not to expect it. Instead, it’s best to factor in your skills, schedule and goals when deciding whether or not to start a side business and what type of industry to break into.

Gardening is more popular than ever. Canadians spent an impressive $747.5 million on nursery plants in 2021—a year-over-year increase of more than four per cent. The appetite for locally-grown food is strong, with 60 per cent of Ontario’s food grown in the province. With the growing desire to find meaningful work, some individuals are exploring how starting their own market gardens can fill that need. What is a market garden? Market gardens are small-scale farms that supply produce directly to customers. This business model differs from traditional agricultural businesses that sell produce to retailers at large scales. Market gardens also tend to sell a diverse number of crops rather than a few, which is more typical for traditional farms. Why start a market garden? Looking for a way to become self-sufficient, Jake Thompson started Black Oak Gardens, a micro-farm located near Orangeville, Ont. He started selling his food as a way to support his family’s homestead. The businesses began to grow rapidly, leaving Thompson struggling to keep up with demand. While growing food is hard work, it is something Thompson genuinely enjoys. “That is key — to enjoy it,” he said. The physical demands of farming mean it is not for everyone,  Thompson explained. He said many people enter the profession expecting easy money but are disappointed when they learn it takes hard work, risk and patience. For Thompson, despite the physical effort required, there are financial incentives to pursue farming. For example, he only works half of the year while still earning the equivalent of a full-time income. How to start a market garden? According to Thompson, adequate growing space is the most crucial element when starting a market garden. While he recognizes that many people don’t own plots of land, he said there are alternative solutions for those who do not have space for gardening. One option to consider is leasing a plot of land. Thompson explained that this eliminates the need for land ownership, which may make it a better choice for some people. The disadvantage to this, however, is the recurring expense. Regardless of sales, gardeners must pay rent monthly, which can be risky for some people. To secure a lower startup cost, Thompson said it’s possible to strike a deal with landowners for a percentage of the food grown. He explained that some landowners appreciate the opportunity to have access to free, fresh produce. Equally critical as land access is ensuring the legality of a business. Would-be market gardeners must review zoning bylaws to ensure they run a legal business. You have land. Now what? Thompson said that, after acquiring land, it is essential to have a way to store, prepare and transport the food. Storing and preparing the food can be two of the most challenging aspects when starting a market garden. “You definitely need a huge fridge and a clean space to wash and sort your produce,” Thompson explained. It’s much easier if you own a property that can be modified to accommodate food storage and preparation facilities. However, it is possible to reach an agreement with a homeowner who has a shed or a garage, Thompson said. If you convert a shed or garage into food storage and preparation facilities, check out local bylaws and provincial food safety standards. This information can be found by searching Ontario’s food safety laws and contacting a city’s bylaw office. As for transportation, Thompson stated that the easiest method is a car or a van. He has heard of some people who use bicycles and trailers to transport their produce in a large city centre. Where to sell? Common ways to sell produce from market gardens include farmers’ markets, restaurants or community-supported agriculture subscriptions (CSAs). CSAs are subscription-based boxes where customers pay a fee for guaranteed access to food from a farm. There are several directions to go regarding farmers’ markets, restaurants and CSAs. Thompson explained that which channel heavily depends on individual circumstances. “Since I have a car, I can get to farmers’ markets pretty easily,” he said. Thompson added that CSAs work best at farmers’ markets, so it may be best to pursue both rather than one or the other. Thompson said he believes that restaurants and hotels are often neglected sources of revenue. He elaborated that chefs love fresh, locally grown, high-quality food. Also, depending on the restaurants’ and hotels’ purchasing practices, some chefs don’t mind paying higher prices for better ingredients. The face behind the farm Thompson explained that regardless of where someone decides to sell, it’s as much about the food as it is about the people selling it. In his experience, consumers like to know who and where they buy from, making it important to establish customer relationships. If someone can provide that, the customers will come, Thompson said. With the right planning, even a gardening novice can start a market garden. Just make sure to consider the work and risks involved — after all, Old MacDonald didn’t have a monthly lease to pay!

Arts and crafts have become big business. One example is Etsy, which has increased in revenue and usage every year since 2010. In 2020, Etsy sellers sold US $10.3 billion to the platform’s 89 million active buyers.  Many people want to monetize their creative hobbies, and some entrepreneurs have been successful doing so. According to the Canada Council for the Arts, there are 158,100 professional artists in the country.  Given the competition, it is important that would-be arts and crafts businesses run tightly. There are several key areas that better the chance of success for many businesses just starting out or facing challenges. Pricing strategies Appropriate pricing can mean life or death for a business. In some cases, a business can close—in debt, all the while selling well. The market for handmade quilts provides insight into this phenomenon. Quiltdom lists the average market price for a handmade quilt to be US $400. This may seem expensive, but depending on costs, this price could actually put a business owner in debt.  Quiltdom lists the average cost for materials as US $183. Say the quilt takes 24 hours to design and create, and a business owner pays themself US $20 per hour. The cost of the blanket would already be US $663, even before factoring in any overhead costs. This means for every quilt sold at market value, a business owner in that situation could lose hundreds of dollars. So, what is a better pricing strategy? MadeUrban gives a traditional pricing formula. This formula is simply to take the total cost of production, then multiply it by two for wholesale cost. Then, multiply it by two again for retail.  There are other formulas as well. The traditional pricing strategy is useful and ensures scalability. That said, MadeUrban feels it is imprecise and could be too expensive in some situations. Many online calculators help with suggested prices for handmade goods. Though, it is also important to calculate prices manually to ensure all expenses are accounted for. Regardless of the formula chosen, it is crucial for business owners to pay themselves fairly. That includes all hours worked and overhead costs, deliberately factoring in a good profit margin. This will ensure a business is scalable.  Reconsidering a business direction Say a business is selling hand-spun yarn. Perhaps the material is $5 per skein and the total labour costs are $60 per skein. Because the skein takes three hours to make, and the owner decides to pay themselves $20 per hour.  Next, maybe overhead costs are $5 per skein, and profit margins are 10 per cent. In this hypothetical scenario, a skein of yarn would cost $77 before shipping.  The issue with this scenario is that the skein would be significantly above market value for yarn. The only areas that could be reduced are the business owner’s wages or the margins. Those reductions are possible, but owners should ask themselves if this would be a wise decision. In fact, the business is not scalable when too many cuts are made. Unfortunately, some businesses don’t make sense, given the global competition. It may be unwise to sell $77 skeins of yarn when others are selling them for $40. In situations like this, it’s important to be creative about solutions but also realistic. Some businesses just don’t work in the landscape. Revenue source adaptability As an artist or craftsperson, it may be tempting to only  sell physical items in a marketplace. This may be needlessly limiting and worse for a business.  Instead, a combination of many revenue sources may be a good choice for some businesses. For example, a ceramics artist can sell their work for a fair price. But they may not sell enough to make it a full-time income. To become a full-time artist, it may be worthwhile for the business owner to teach classes and workshops. They could also sell raw materials and supplies to their students with a profit margin and repair pottery wheels locally. Between these other three revenue sources, the ceramics artist would still get to do what they love. But they may earn more of an income.  Treating a business like a business For many artists and craftspeople, business is a means to an end. Many want to do what they love while making a living. An important overall consideration is the fact that an arts or crafts business is still fundamentally a business. To have the best chance of success, this deserves to be a guiding principle.

In a business’ early developmental stages, the time will come to hire the first round of employees. There are a lot of elements to consider during the hiring process. In Canada, it is important to know the labour laws of your province since they vary from place to place.  You should be aware of the laws around minimum wage, which is $15 in Ontario. It’s crucial to know the laws around shift length (eight hours) and maximum hours worked per week (48 hours) as well. It’s also important to know about vacation time, breaks and benefits.  Minimum wage is the lowest possible hourly wage to pay employees. The rules around weekly and daily hours worked can only be exceeded if the employee has signed a written agreement. The Ontario government has posted a guide online that contains all the labour laws within the province.  After sorting through logistics, a business owner is ready to open a payroll account with the Canadian Revenue Agency (CRA). A payroll program account is an account number assigned to an employer or business owner. It serves to identify their business when dealing with the CRA. This 15-character payroll program account number contains the nine-digit business number (BN). The BN is a one-of-a-kind federal government number system that identifies your business and the accounts maintained under the business.  Setting up a payroll account allows the employer to post a job listing for the position they’re trying to fill. A job listing should state your business’ mission statement clearly and concisely. This is so that the prospective applicant knows what your business does and what it stands for. This way, they can determine whether they are a fitting applicant for the position. It is also important to state the competencies and duties of the position. Additionally, state the essential skills and required level of education or certification. It is also helpful to include any special considerations. These can include physical requirements (being able to lift up to 50 pounds, for example). Specific licensing, such as a driver’s license or firearm license required to fill the position should also be listed. Many job listings will also list that the applicant must be able to legally work in Canada. Typically, they’ll also list that they should be above the minimum age of employment for the specific job. Getting specific will weed out applicants who are ineligible or unqualified for the position. It also ensures that you only receive applications from people who will be a good fit.  After the job listing has been finalized, it’s time to post it so applicants can submit their resumes and applications. There are a few websites people look to when searching for a new job. Some of these websites are LinkedIn, Indeed and ZipRecruiter. You could also use your business’ social media accounts to post the listing.  Additionally, you can ask applicants to send their resumes and cover letters to your business email. There are also ways to contact post-secondary institutions to post your job listing on their student jobs board. That is in the case that you are interested in hiring students or alumni from specific schools. Following the posting of the job listing, you can sit back and watch the applications roll in! You will be one step closer to finding a qualified and reliable employee to fill your open position.