Why expand a business in Canada?

The North, strong and free! In the motto, used by the Canadian Government, there is a lot about the country. Free, like the sensation you must feel crossing a land of vast distances and silence, painted with breath-taking natural scenarios of unexpected beauty. The North, given its geographic location which covers more than half the distance between the North Pole and the Equator, more than 3,106 miles from north to south and 4,970 miles from east to west, with climate running from temperate to arctic. Strong, like its economy that experienced since World War II an impressive growth in a wide range of sectors and has transformed the nation from a largely rural economy into one primarily industrial and urban. Richness of mines, technological development that traces out that of the neighbour US and an enviable cultural heritage contributed to make of Canada one of the wealthiest nation in the world, without equal in standard of living.

Canada is the second largest nation in the world in geographic size after Russia. It has a population of approximately 33 million people, 90 percent of whom live within 125 miles of the United States border, leaving most of its lands scarcely inhabited. An efficient and complete transportation network though provides access for goods and services to all parts of the country. Starting a business in Canada is also relatively easy.

With its strategic location between Russia and US via north polar route, Canada is a wealthy, high-tech industrial society, with an economy that resembles the US in its market-oriented system, pattern of production, and affluent living standards. The country enjoys a substantial trade surplus with the US, which absorbs nearly 80% of Canadian exports each year. Agreements like the 1989 US-Canada Free Trade Agreement (FTA) and the 1994 North American Free Trade Agreement (NAFTA) which includes Mexico, opened the road to a dramatic increase in trade and economic integration.

Canadian profitable energy market counts on great natural resources, skilled labor force and modern capital plant. The banking system is among the most stable in the world. Mainly due to the ageing of the population, Canada now faces the challenges of the renovation of its health care and education systems. Two official languages, English and French, are spoken in the country, with a predominance of English.

Attractions for UK businessed expanding a business in Canada

History inextricably entwines Canada and UK. Canada is a governing dominion since 1867, but it retains ties to the British crown. The UK is Canada's primary trading partner in Europe and over 700 British companies have successfully established in the country, operating in all sectors of industry.

UK companies expanding a business in Canada have a competitive advantage in a range of industries, starting from security, healthcare and clinical research. British products, experience and expertise are highly regarded. Very strong commercial links between the UK and Canada, enhanced by the presence of a similar culture, business and legal systems makes Canada a soft-landing country for new or experienced UK exporters. Not by chance the UK is Canadas second largest global trading partner.

Business opportunities

The market is very receptive to UK goods and services. With low inflation, business costs and steady economic growth, Canada offers good trade and investment opportunities for British companies in a long list of sectors. Full reports are available, for free and previous registration, on the UK Trade and Investment website (UKTI is a governmental agency) A resumé of the opportunities for licensing, incorporating or registering a business in Canda follows, with details and locations.

Oil and related products

Offshore technology; pipeline construction and maintenance, storage and processing facilities (design, construction and maintenance); project management, asset management, health & safety, environmental consultancy. Oil sands upgrading opportunities: there are four project expansions and ten proposed projects in the Edmonton Upgrader Alley area: priority for suppliers of heat exchangers, pressure vessels, pumps & compressors, valves and structural steel.

Construction

Innovative construction/building product or green building technology; construction equipment.

Construction investment is expected to increase to 2012 with the non-residential sector leading the way. In Alberta, over C$255 billion in capital projects are under construction or proposed to start within two years.

Mining

Mining materials, large machinery (trucks and shovels), supporting equipment, (crushers, rollers, conveyor belts), maintenance and service personnel, environmental solution.

Two mining projects Horizon and Jack Pine are under construction and four are proposed Kearl, Fort Hills, Voyageur South and Northern Lights.

Energy and power

Nuclear (Ontario, Quebec, New Brunswick, Saskatchewan),

Renewables:

Partnerships, sponsorships, strategic alliances and to a lesser degree buyouts are key in developing business within these sectors. The UK is well positioned to add value in the development and expansion of all creative industry sectors, particularly film/television, publishing and multi-media.

Aerospace

Bombardier will be building a new family of 110-130 seat aircraft the C Series.

Pharmaceuticals

Design and undertake clinical trials in the UK for Canadian pharmaceutical firms

Organic chemicals

Advanced engineering

Biotechnology

Research and development and technology transfer, commercial consultancy, technology licensing, clinical research, food (phytochemicals/nutraceuticals), crop sciences, marine, environmental bio-applications

Healthcare

Scooters, wheelchairs and walkers, bathroom safety products, equipment that reduces the length of hospital stays and recovery times, non-invasive treatments using sensors, lasers, ultra-sound and nuclear medicine, diagnostic methods and tests, telehealth, management of chronic conditions.

Financial services

Growing market for public-private partnerships (PPP), film financing, and financing of the interactive digital media/games industry, venture capital and financing of R&D intensive sectors such as ICT and the biotechnology pharmaceutical sectors, Islamic finance, PPP expertise.

Defence & Security

Border security, including Arctic surveillance, critical infrastructure protection, Hazard Assessment, sensors, air transport security, port and marine security, cargo screening/security, Autonomous Intelligent Systems, Unmanned Vehicle Systems, cyber sicurity

ICT

Wireless hardware applications and service, ICT security, e-health care IT, solutions for medical assistance, digital media and games, software for special effects for film and television

Food and drink

natural health products, digestive health, Omega-3s, antioxidant weight management, whole grains, Kosher and Halal food, wines, high-end spirits and single malts, speciality beers

What are the best locations when expanding a business in Canada? Toronto is the financial capital. Alberta, Quebec and Ontario are areas of intense manufacturing and energy production. Calgary, Edmonton, Halifax, Montreal, Ottawa, Quebec City, Vancouver, Victoria, Winnipeg are the major cities where you may want to look at when deciding where to establish your contacts or headquarter.

Challenges

The Canadian market can be very competitive. If you are starting a business in Canada, make sure your market research is accurate and up-to-date. Each country has its specialities. The UK stands out in a number of sectors. In others it is second to other countries, in particular the U.S. Due to the geographical vicinity and advanced technology research, the U.S has the monopoly in same trade areas. Setting up a business in Canada where there is a strong US competition would be unwise.