Business world's Garden of Eden
Canadian immigration lawyer Mitchell Brownstein lists the factors which make Canada a Utopian environment for business migrants - and contribute to arguably the most advantageous business climate in the world.
World's richest market
Under the terms of the North American Free Trade Agreement (NAFTA) Canadian businesses have access to the US market of more than 360 million people with a total economy larger than that of the European Community.
Tax advantages
Based on the double taxation avoidance agreement between Canada and various countries around the world, the businessman can benefit from a lower taxation rate under these tax treaties since the Canadian corporate tax rate is generally lower than other tax rates.
Free health and educational services
Since the businessman and his family will be permanent residents of Canada, they will be entitled to free medical and educational services as well as all other rights enjoyed by permanent residents of Canada
Right to sponsor
The businessman will be able to sponsor close relatives if he needs assistance in his business.
Political, financial and economic stability
Compared to the US and many European countries, it is far more economical and financially viable to set up and run a business in Canada. The favourable economical and political conditions of Canada have resulted in many Japanese, American and European companies choosing Canada for their business operations. Some of these companies include Honda, Volkswagen, Volvo, Hughes Aircraft, Kodak, Digital Equipment and Toyota.
Healthy labour markets
Canadian industries have a very productive labour force with very few labour problems such as strikes. Labour turnover and absenteeism rates are low.
Competitive wage and benefit rates
Canadian salaries and minimum wage rates are very competitive with those of other countries. For example, the Canadian manufacturing wage rate showed the least growth among G-7 countries in 1992, averaging 2.6%. In addition, other costs associated with labour are lower.
Educated and skilled workforce
The Canadian labour force is highly skilled and highly educated, allowing businesses to obtain a skilled labour force at very competitive salaries. Canada is one of the top four countries that devotes the largest share of gross domestic product to public education. The federal government spends over $1 billion in training. Further contributions are received from the provincial governments. In addition, Canadian employers spend approximately $1.4 billion each year on formal training courses.
International business skills
Being a land of immigrants, Canada is made up of international businessmen effectively servicing the Asian, European and American markets. Canada has become a bridge between North America and Europe since Canadian business and legal tradition practice and laws are a blend of American and European cultures.
Strong research community
Based on competitive salaries and high-tech skills, international firms have used Canada as a base for research and development in the testing of products and high-skilled techniques.
Vast low-cost energy supplies
Canada has an abundant hydro electric generating capacity as well as natural fuel. Canada is one of the two G-7 countries that is self-sufficient in oil supplies. Surveys show industrial prices for natural gas, and electricity are significantly lower in Canada than Europe, Japan and the US. The recent decision to freeze Ontario Hydro's commercial rates until the year 2000 will strengthen this competitiveness.
Advantageous occupancy cost
Despite the fact that Canada has the second highest standard of living in the world, Canadian cities offer modern, well-designed offices and industrial buildings at highly competitive rates. As a modern society, buildings are designated to accommodate advanced communication and technology systems.
Efficient infrastructure
In a 1993 World Economic Forum report, Canada was rated as the number one country of all G-7 nations in the area of road, railway, air transportation and harbour ports for shipping. This enables Canadian businesses established in Canada to have a great flexibility of transportation choices for the easy movement of their goods and produce.
A less litigious environment
Canada is known to have a less litigious environment than the US, based on its European traditions. Most disputes are settled through negotiation rather than the courts.
World-class business services
Canadian banks which provide lending and investment services rank among the largest in North America. Additional financial services are provided by trust and insurance companies. The Toronto, Montreal and Vancouver stock exchanges provide international firms with the ability to acquire Canadian equity. In addition, many technical, legal, accounting, advertising and other management consulting firms operate in Canada to provide world class business services to the Canadian businessman.
For information on immigration to Canada or the United States, contact Brownstein and Brownstein Associates, 1310 Greene Avenue, Suite 750, Westmount, Quebec, H3Z 2B2 Canada. Tel:514-939-9559; Fax: 514-939-2289; E-mail: brownstein@total.net Website: http://www.brownsteinlaw.com.
