Canada Small Business Trends
Determine insights on small and commercial business operations in Canada. The information will be used to understand the market.
Canada Small Business Trends
Credit Card Use
- Based on discussions among Canadian business owners, it is typically normal to use personal credit cards for their business expenses.
- However, it is advised not to depend too much on personal credit cards to prevent cash flow concerns and high interest debts.
- Furthermore, business owners who solely rely on personal credit cards might not be able to build a separate credit profile for their businesses.
- It is also beneficial for the financial health of a business to always have a separate business finances from personal expenses.
- Doing this will also make it more convenient to compute for tax deductions when preparing tax statements.
- It is also recommended to get a business credit card as this can give a business a chance to earn rewards, as well as protect them from fraudulent transactions.
- Having a business credit card can also allow business owners to avail of long warranties.
- Based on the offered features of several credit card companies in Canada such as CIBC, some of the benefits that business owners most probably prefer in credit cards include the following: getting reward points, a solution to keep their personal and business finances separate, and an option to get additional cards for employees.
- The loyalty and rewards offers from credit cards are known to drive business use of these cards.
Consumer Business Patronage
- Based on the last survey done by the government of Canada, the share of the various sizes of businesses to the country's gross domestic product is as follows: small businesses - 41.5%; medium-sized businesses - 11%; andd lage businesses - 47.5%.
Proprietary Database Search Results
In addition to this public search, we scanned our proprietary research database of over 1 million sources and were unable to find any specific research reports that address your goals.
Proposed next steps:
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Our initial research provided some insights into the credit card use and trends for small businesses in Canada. Given that there are available resources that can be explored to derive that requested information, we propose continuing the research to provide the requested information in several research blocks:
(1) Provide 2-3 current small business trends in Canada. For each trend, we will indicate what the trend is, why it is a trend, and provide examples of companies that are manifesting this trend.
(2)Provide 5-7 insights that explain whether small business owners in Canada charge their business expenses on their personal credit card or on a company card. Explain also how are business owners paying for business expenses.
(3) Provide 5-7 features that small businesses and large businesses need in a credit card product.
(4) Provide 2-3 insights that show how engaged are business owners in credit card rewards programs such as points or mileage redemptions.
(5) Provide 5-7 insights that show whether Canadians shop more with small businesses or large businesses.
(6)We will also provide a derived market revenue contribution of small, medium, and large businesses in Canada.
We also recommend proceeding with the research to provide 5-7 general insights that cover an overview of small businesses and large businesses in Canada. This can cover their operations, processes, and other general business details.