SMALL BUSINESS MONTH - SUPPLEMENT TO THE WINNIPEG FREE PRESS - THURSDAY, OCTOBER 19, 2017
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SMALL BUSINESS MONTH
another seminar about business growth and expansion,” Boisvert says. “The Winnipeg Chamber is one of our partners here at World Trade Centre and they’re offering a small business summit happening on Thurs., Oct. 19. They’re inviting small business owners to listen to keynote speakers including staff from the City of Winnipeg who can answer red-tape questions.” A TIME TO CELEBRATE Small Business Week celebrates the big role small companies play “I like the idea that we’re celebrating our small businesses, not just big corporations. The more we help our small
Boisvert notes that the World Trade Centre Winnipeg remains a resource year-round for businesses in the city and in rural communities. “We’re there for them 365 days a year, but we like to highlight them for Small Business Week,” she says. “World Trade Centre Winnipeg can help entrepreneurs to expand their business right from the start. We’re here for all small businesses and the bigger businesses as well.” Chuck Davidson, president and CEO of the Manitoba
By Jennifer McFee for the Free Press W e’re all in good company when we celebrate the success of Manitoba’s small businesses. This year, Small Business Week runs from Oct. 15 to 21, providing an opportunity to celebrate the success of entrepreneurs in
businesses in Manitoba, the more they contribute to the economy.”
- Joelle Boisvert, director of the Business InfoCentre at World Trade Centre Winnipeg
our province and across the country. For Joelle Boisvert, director of the Business InfoCentre at World Trade Centre Winnipeg, it’s an important time to reflect on the role that these small companies play in their communities. “Small Business Week is a week to celebrate our Manitoba entrepreneurs and their contributions to the economy,” she says. “It has existed for more than 37 years through the Business Development Bank of Canada.” Manitoba’s small business community is thriving, Boisvert adds. “I like the idea that we’re celebrating
Chambers of Commerce, adds that small business is the economic engine that drives every province. “Small Business Week provides people with an understanding of the importance of the small business community in their province,” he says. “If you look at most communities in rural Manitoba, the majority of them would most likely be considered a small business. They’re absolutely critical in providing employment and supporting community initiatives. These communities simply couldn’t operate if it wasn’t for small business owners.”
MCC president Chuck Davidson.
our small businesses, not just big corporations. The more we help our small businesses in Manitoba, the more they contribute to the economy,” she says. “We notice here at the World Trade Centre that we connect a lot of small businesses to one another. We love having events for small businesses so that they can talk together about their challenges and their successes. On a daily basis, we help those small businesses to thrive and to go up that financial ladder of success.” To kick off Small Business Week, the World Trade Centre Winnipeg organized a luncheon that took place on Oct. 16 at the Victoria Inn Hotel and Convention Centre. The event featured keynote speaker Duncan Stewart, director of technology, media and telecommunications research for Deloitte Canada. “At the World Trade Centre, we also have a variety of seminars on a daily basis. We’ve got a panel on business information for indigenous entrepreneurs and we’ve got
With 71 chambers of commerce operating throughout Manitoba, Davidson says that most of them will likely host an event to recognize Small Business Week. “Events are going on at chambers throughout the province to shine a light on some of those success stories that are happening. It’s always a good time to reflect on the importance of small business. Along with the recognition, we encourage people throughout Manitoba to support those small business operators or retail outlets in their community,” he says. “We should all take a moment to give them a little bit of a thanks this week for the work that they do and the support that they give, such as supporting sports teams and
initiatives in the community. In those ways, small businesses are really a vital part of every community.” ❚
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SMALL BUSINESS MONTH - SUPPLEMENT TO THE WINNIPEG FREE PRESS - THURSDAY, OCTOBER 19, 2017
“I start with a local producer or supplier,” he says. “Even where I get my boxes from, I want to work with a local distributor.” He says he avoids “large, sprawling, national entities.” “Even if it’s a product that comes from halfway across the world, I want to be part of the fabric of other small businesses that are family-run or generational – from there it’s organic and fair trade and I try to negotiate that as much as possible,” he says. Since the business has been successful, McPhail undertook some renovations and a little “re-boot” to get things running as he would have if he’d had the proper financing from the start. This included some custom tables and benches for the shop and a better organized workspace. “I did a big update to the menu three years ago to include some ‘bunwich’ items,” he says. “I’m using chorizo from Portage Meats, eggs from Nature’s Farm and Bothwell cheese, and then I add my own twist.” He’s also added a mobile trailer to take the show on the road. “We’d basically been raising a barn at the Winnipeg Folk Festival every year and the mobile trailer just made it easier – to have something permanent we could just roll in with,” he says. There is also a new addition to his cast. McPhail, along with “E h I t b f I t t k ith
By Wendy King for the Free Press W hen you hear the adage “the show must go on,” the first thing that comes to mind is probably not a bakery. But when you hear that John McPhail, the owner at Jonnies Sticky Buns, is a University of Winnipeg theatre school grad (with a minor in film) who was on stage in his fair share of Winnipeg Fringe Festival shows, you can see how that credo informs his business and underpins his success. “When I get ready for the shop to open, it does feel like opening night – you’ve got people coming, you’ve got to be ready...and the show must go on,” says McPhail, 35. McPhail grew up in Ocher, Man., spending summers on his grandparents’ farm and learning to bake at his grandmother’s elbow. “I like the solitariness of it, but then you are bringing it out and presenting it to people,” he says. “Baking is something that is almost spiritual where you’re working with yeast that is a very fickle, but satisfying thing to work with. It’s a living creature that you have to negotiate with.” Just like another actor on the stage. Once he left the theatre behind, McPhail took his talents to another scene – local bakeries – including Winnipeg’s iconic Tall Grass Bakery. “I learned quite a bit there from [co-owner] Tabitha Langel, and then they helped me get a job managing a café for the Mennonite Central Committee,” he says. “From there I took some courses from Red River as well as some free government courses.” Those programs helped him with business training as well as some small funding through reimbursements – which were helpful, since he only had $1,500 and an RRSP to cash in. “I would probably start with more money – but anyone in business would be of the same opinion,” he says. He dove in anyway, streamlining his business plan and his scope. He would offer just one thing – buns – but he could be creative within that context. “I asked myself: What could I make all day and still find a way to be creative?” he says. “What do I want to achieve and what is the fastest, best, and most cost-effective way to get there?” He found a location at 941 Portage Ave. and opened in 2010. Space was tight, but it was right across from Wolseley and nearby homes that had young families in them. “It’s an easy address to find, especially for people from out of town,” he says. When it comes to sourcing his supplies, McPhail has a sensible hierarchy.
“When I get ready for the shop to open, it does feel like opening night – you’ve got people coming, you’ve got to be ready...and the show must go on.”
- John McPhail, owner of Jonnies Sticky Buns
his wife Codi, and son Angus, 2, recently welcomed little June Irma – who is named after his wife’s grandmother. “Something I appreciated as a kid was going into the café in my town with my parents on a Saturday morning,” he says. “Now, being the baker in the community – it’s really special that people have a role to play in the community, and knowing what your role could be.” Jonnies Sticky Buns is located at 941 Portage Ave. and online at jonniesstickybuns.com. ❚
John McPhail says there are some similarities between operating his bakeshop and performing on stage.
Photos by Darcy Finley
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SMALL BUSINESS MONTH - SUPPLEMENT TO THE WINNIPEG FREE PRESS - THURSDAY, OCTOBER 19, 2017
Jonathan Alward of the Canadian Federation of Independent Business says proposed federal tax changes have cast small business owners in a negative light.
By Mark Halsall for the Free Press T he Trudeau government sent shockwaves through Canada’s business community this past summer when it announced plans to change the way small businesses are taxed. Here in Manitoba, companies like Points West Technologies are among the thousands of businesses that could be affected by the proposed changes. The owners of the small Winnipeg firm, Greg and Jennifer Borsboom, are still coming to grips with the move. “The ground has shifted underneath small business,” Jennifer Borsboom says. “More than half the people that we’re friends with are small business owners, and everyone’s feeling different levels of panic.” On July 18, Ottawa announced a package of changes to small business tax rules as well as a formal consultation period which ended Oct. 2. The proposed changes target what’s called “income sprinkling,” which allows business owners to distribute income to other family members. The government has proposed a “reasonableness test” to determine whether family members are active participants in the business. The proposed changes also include altering existing methods of converting business income into dividends and capital gains as well as the way passive investment income earned by private corporations is taxed. The federal Department of Finance maintains the overhaul is needed to make the system fairer and to close tax “loopholes” that primarily benefit high- income Canadians. The Canadian Federation of Independent Business, which lobbies government on behalf of small business owners, believes the proposed changes will have a much broader impact. In a statement released Oct. 2, CFIB President Dan Kelly said there’s strong evidence from tax professionals that the reforms “will affect middle-income business owners with as little as $50,000 in income.” Kelly called on the government to drop the proposed SMALL BUSINESS COMMUNITY WARY OF PROPOSED TAX CHANGES
Photo by Darcy Finley
changes and start over by working with the business community to ensure there are no abuses of the income tax rules. Jonathan Alward, the Manitoba director with the CFIB, criticized the government for using language like “loopholes” that cast small business owners in a negative light. “[It implies] small business owners who are using these tools for legitimate purposes are doing something wrong, and simply that’s just not the case,” he says. “They were set up for a reason.” Alward stresses that the current small business tax rules are long-standing practices that help companies grow, and that the reforms proposed by Ottawa will have far-reaching consequences. “We’ve heard loud and clear from our small business members across Manitoba and elsewhere in the country that these tools are used for so many legitimate reasons every single day,” he says. “These changes are going to have multiple impacts on pretty much every small business across the province,” Alward adds. “It’s not only the small business owners, but their families and their employees that in one way or another are going to be directly or indirectly impacted.” Alward warns the proposed changes could hurt the
economy by making it more difficult for small business owners to invest in their companies. Borsboom agrees, and says her company is a good example. Points West Technologies, which supplies components for manufacturers of agricultural and industrial equipment, recently used money set aside in passive investments to expand the business. Borsboom says the company had been renting space but purchased its own building to prepare for future growth. It’s a move she maintains likely wouldn’t have been possible under the proposed new tax rules. “If we knew this stuff was going to happen, I don’t think we would have bought our building,” Borsboom says, adding that if changes do go through, it will impact the company’s future growth plans. “It’s definitely a different picture than what it was before, and in terms of expansion past this point, it’s anybody’s guess. We’re definitely not going to be focusing ahead in the way we were [before],” Borsboom says. “We took a leap and took on a big mortgage for this building with the hopes of aggressively paying it off and wanting to hire another couple of people in addition to the two people that we did just hire,” she adds. “We have to relook at all that now.” ❚
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SMALL BUSINESS MONTH - SUPPLEMENT TO THE WINNIPEG FREE PRESS - THURSDAY, OCTOBER 19, 2017
The first step is to analyze your costs to figure out where you’re spending and how you might be able to spend less. “A good place to begin is by reviewing your cost accounting and accounts payable data to understand your costs,” says Ashay Gude, a Business Development of Canada (BDC) business consultant who advises companies on operational efficiency. Gude recommends analyzing the last few years of data (typically the last two years) to see where most of your costs are and whether they’ve changed. Look for internal savings Next, determine the category of each cost. Costs are usually classified as fixed or variable (depending on whether the cost changes based on how much you produce), and direct or indirect (depending on whether the cost is directly linked to a product or service). Pick F inding ways to cut costs in your company can be a tricky business. The key is to take a systematic approach to cost control as opposed to the haphazard way many companies go about it.
CUTTING COSTS DOESN’T HAVE TO HURT
the top two or three costs that have gone up or where you think you can make reductions — and focus your cost cutting there. As an example, for most manufacturers, labour and material costs are the main components of direct variable costs. Procurement optimization, operational efficiency and lean thinking are a great way to reduce variable costs. Explore supply options Go over each of your external expenses, and see if you can renegotiate a better deal from suppliers or find alternative sources. In manufacturing companies, supplier goods and services can amount to as much as 80 per cent of total expenses. Many companies rely heavily on “relationship sourcing” — going to a person they happen to know. Relationship sources may be necessary for some goods and services, but is certainly not the only way to purchase. “Study whether any other companies can supply the same thing at a lower cost,” Gude says. “You have to objectively assess the entire supply market, not just go to the person you get it from all the time or his neighbour.” Optimize inventory management Excessive inventory can be a big source of unnecessary expense. Regularly check for excessive or obsolete inventory to
control and reduce storage costs. Work to better match inventory to demand and, over the long term, implement just in time production. Boost your use of technology Explore information technology tools as a way to reduce costs. They can offer user friendly and affordable ways to improve productivity. Implement dashboards Continuously measure your performance with dashboards to make cost reduction a part of your business culture. Dashboards that track key performance indicators allow you to evaluate the impacts of cost- reduction initiatives. Go green Making your business greener is a great way to cut costs — not to mention raise employee morale, enhance your image and improve your community’s environment. Initiatives can include turning off lights and equipment when not in use; reviewing water usage; going paperless; purchasing energy efficient equipment; and servicing equipment regularly in order to maintain its energy efficiency, prolong its lifespan and reduce repair costs. ❚
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SMALL BUSINESS MONTH - SUPPLEMENT TO THE WINNIPEG FREE PRESS - THURSDAY, OCTOBER 19, 2017
SAVE THE DATE EVENTS AND WORKSHOPS MANITOBA CHAMBERS OF COMMERCE Springfield Chamber of Commerce AGM and Awards Banquet Elmhurst Golf & Country Club, Winnipeg Thurs., Oct. 26, 5-9 p.m.
businesses, the pros and cons of QuickBooks and Simply accounting and some of the common mistakes made by small businesses. The session will be conducted by Naureen Punjani, a cost and management accountancy professional and certified internal auditor. This session is free to attend. Individuals can also participate remotely via online webinar. To register online visit www.wtcwinnipeg.com/event. For more information, call 204-984-2272. Facebook 101 World Trade Centre Winnipeg, St. Boniface City Hall, 219 Provencher Blvd. Thurs., Nov. 16, 5-7 p.m. This seminar will walk participants through how to set up a business page on Facebook, discuss best practices and provide tips on how to create interesting and engaging posts using third party tools. There will be a discussion on how to build an ad campaign designed to grow your fan base quickly and economically. The session will be hosted by TMD managing partner Aaron Newnham. This session is free to attend. Individuals can also participate remotely via online webinar. To register online visit www.wtcwinnipeg.com/event. For more information, call 204-984-2272. ENTREPRENEURSHIP MANITOBA Business Start-up Information Session 250-240 Graham Ave. Fri., Oct. 27, 9-10 a.m. This free weekly series is offered by Entrepreneurship Manitoba and is open to anyone interested in starting up their own business. Business experts provide insights on everything from business name registration and PST and GST tips to business permits and online tools that can boost a business. No registration is required. For more information contact Entrepreneurship Manitoba at 204-945-8200 or 1-855-836-7250 or by email at embinfo@gov.mb.ca. Business Info Session for Youth Futurpreneur Canada, 300-321 McDermot Ave. Wed., Nov. 1, 10 a.m.-12 noon Futurpreneur Canada and Entrepreneurship Manitoba will jointly host this free session. It’s open to anyone between the ages of 18 and 39 who is thinking about starting up their own business. Budding business types will be able to learn all about the Futurpreneur start-up program and Entrepreneurship Manitoba and what they offer. A Q&A session will follow the formal part of the morning. Email jlusby@futurpreneur.ca for more information about the event.
Entrepreneurship Manitoba, Employment and Income Assistance, Community Future Manitoba’s Entrepreneurs with Disabilities Program, Futurpreneur Canada, Independent Living Resource Centre, marketAbilities and the Women’s Enterprise Centre of Manitoba. This session is free to attend and will also be available via webinar. To register online visit www.wtcwinnipeg. com/event. For more information, call 204-984-2272. Sales: Delivering a Winnipeg Sales Pitch World Trade Centre Winnipeg, St. Boniface The focus of this session is on knowing the basics on how to communicate your product, service or solution in a language that engages decision-makers who can buy from you to accelerate your sales process and reduce the amount of time wasted on non-decision makers. The seminar will also provide information on the elements that make up an effective sales pitch and understanding what your prospects are thinking. Attendees are advised to bring a lunch or snack. The session will be hosted by Darrell Boyko. This session is free to attend. Individuals can also participate remotely via online webinar. To register online visit www.wtcwinnipeg.com/event. For more information, call 204-984-2272. Twitter 101 World Trade Centre Winnipeg, St. Boniface City Hall, 219 Provencher Blvd. Thurs., Nov. 2, 11:30 a.m.-1:30 p.m. City Hall, 219 Provencher Blvd. Wed., Nov. 1, 11:30 a . m.-1:30 p.m. This seminar will provide useful tips on the best practices in setting up a Twitter account for business use including how to create and use lists to help build your audience and how to use hashtags and retweets to build an engaged audience. The session will be conducted by Aaron Newnham, managing partner for TMD Winnipeg, a marketing agency with a mandate to assist small businesses, entrepreneurs and non-profit organizations. This session is free to attend. Individuals can also participate remotely via online webinar. To register online visit www.wtcwinnipeg.com/event. For more information, call 204-984-2272. Choosing the Right Accounting Software World Trade Centre Winnipeg, St. Boniface
This is the Springfield chamber’s first-ever AGM and Awards Banquet. The evening will be a celebration of the accomplishments of business people in the community and a chance for local entrepreneurs to network. Tickets for the evening are $50 plus taxes and can be reserved by contacting the chamber at info@springfieldcommerce.com.
34th Annual Manitoba Business Awards Gala Canad Inns Destination Centre Polo Park Fri., Oct. 27, 5:30-9:30 p.m.
Presented by Manitoba Liquor and Lotteries, the Manitoba Business Awards Gala is the Manitoba Chambers of Commerce’s premier business event. It recognizes businesses from across the province that have achieved a standard of excellence in five categories. Individual tickets are $195 while tables of eight ($1,560) and 10 ($1,950) are also available. For more information or to order tickets, phone 204-948-0100. WORLD TRADE CENTRE WINNIPEG Goods and Services Tax (GST) 101 World Trade Centre Winnipeg, St. Boniface This workshop is designed for entrepreneurs who are new to business and are interested in gaining a better understanding of how GST works. The theme for this morning session is what you don’t know could hurt you. Kevin Code of Talbot & Associates will serve as presenter and will address a number of topics including defining which products are taxable and which are exempt as well as different methods of calculating GST. This session is free to attend. Individuals can also participate remotely via online webinar. To register online visit www. wtcwinnipeg.com/event. For more information, call 204-984-2272. Keys to Business Success World Trade Centre Winnipeg, St. Boniface City Hall, 219 Provencher Blvd. Thurs., Oct. 19, 9:30-11:30 a.m. This workshop will focus on increasing business profits and demystifying some myths. Discussions will centre on how to price your goods and services properly, how to market your products, how to deal with difficult clients, how to read financial statements and how to conduct negotiations. The session will be hosted by Jean-Guy Talbot, founder of Talbot & Associates. This session is free to attend. Individuals can also participate remotely via online webinar. To register online visit www. wtcwinnipeg.com/event. For more information, call 204-984-2272. Growing Your eCommerce Business World Trade Centre Winnipeg, St. Boniface In this seminar, attendees will learn strategies on how to grow their eCommerce business through social media, paid advertising and search engine optimization (SEO). Some of the topics that will be addressed during this season include increasing traffic to your online store, measuring and improving your conversion rate and how to build a content strategy. The session will be hosted by Kevin Wild, partner manager at Bold Commerce, a company focused on helping merchants succeed at selling online. This session is free to attend. Individuals can also participate remotely via online webinar. To register online visit www. City Hall, 219 Provencher Blvd. Thurs., Oct. 26, 9:30-11:30 a.m. wtcwinnipeg.com/event. For more information, call 204-984-2272. Business Resources Panel for Entrepreneurs with Disabilities or Health Conditions World Trade Centre Winnipeg, St. Boniface City Hall, 219 Provencher Blvd. Mon., Oct. 30, 10-11:30 a.m. Interested in starting your own business? This panel of experts will guide you on how to access the resources and programs available to assist you in launching your own business. The panel will include representatives from World Trade Centre Winnipeg, City Hall, 219 Provencher Blvd. Tues., Oct. 24, 5:30-7:30 p.m.
City Hall, 219 Provencher Blvd. Wed., Nov. 15, 9:30-11:30 a.m.
In this seminar, attendees will learn how to identify the factors that will help them to choose the accounting software that best suits their business needs. Some of the main points of discussion will be exploring the most commonly used accounting software by small
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SMALL BUSINESS MONTH - SUPPLEMENT TO THE WINNIPEG FREE PRESS - THURSDAY, OCTOBER 19, 2017
BIGGER & BETTER
You’ve decided you want your company to grow. But how do you know if you’re personally ready as an entrepreneur to manage your expansion?
Clash over roles Experts often cite the example of Apple, which famously ran into difficulties after founder Steve Jobs refused to cede control over the company to a professional manager, clashed with his board, then quit the business. Microsoft’s Bill Gates, on the other hand, willingly relinquished daily operations to one of his trusted managers, Steve Ballmer, while Gates took on a role as a company visionary and ambassador. The company continued to grow rapidly thanks both to Ballmer’s expertise and Gates’ continued leadership. When entrepreneurs realize that their vision should be combined with professional management, they and their company are ready for growth. Work on personal skills Here are other ways to prepare yourself to lead your company’s growth. Decide why — You should be clear about why you want to grow. Be sure growth is part of a long-term strategy, not a spur-of- the-moment decision. The more thought you put into growing, the better your chances of success. Work on your leadership skills — As the company’s leader and visionary, your personal skills will get a solid work-out and could play a big role in the success or failure of your growth plan. Work especially on communications skills, time management and physical fitness. Get everyone on-board — Growth can be taxing on your employees and family. Is everyone on board with the plan? Talking it through ahead of time will help your team and family get through the challenges you’re bound to face. ❚
What can you do to prepare and adopt the right mindset to succeed in running a growing company? It’s a question that many entrepreneurs don’t ask themselves, but it’s a critical one. Having the right mindset can make the difference between a thriving business and one that fails. Develop the right mindset What’s the right mindset? The answer may come as a surprise. Being personally ready for growth isn’t just about having enough ambition, determination and readiness to take on risk. The growing companies that are most likely to succeed are those in which a professional management team and an entrepreneurial spirit are working together. It’s about finding managers to perform key functions in your company, while you shift into a leadership role. You have to become the company’s visionary, motivator, strategist,
PUTTING A PLAN IN PLACE
I f your business is all in your head, it’s hard to convince lenders, investors and shareholders that you have a credible company and that you’ll use their funding well. That’s precisely where a business plan comes in. This management tool is basically a written document that describes who you are, what you plan to achieve, how you plan to overcome the risks involved and provide the returns anticipated. People often think of business plans are limited to starting up new companies or applying for business loans. However, they are also essential to running a business with a clear, well-documented plan. MAKE IT THOROUGH BUT KEEP IT SIMPLE Many entrepreneurs may see putting a business plan together as a daunting task involving hundreds of pages. However, in reality, it should be a concise and structured document that gives readers everything they need to assess your company’s project. There’s no one guaranteed formula for writing an effective business plan. However, in general you should show that you’re committed to your venture and that you have the expertise, skills and self-confidence necessary to make it all happen. HERE’S THE CORE CONTENT THAT YOU SHOULD CONSIDER: Your business proposal Include a description of exactly what you’re proposing. Ask yourself: Who your customer is; what business are you in exactly; what do you sell; and what are your plans for growth? Your unique selling point Address how your goods or services will appeal to customers. How will your company or product/ service make a difference in the lives of your customers? Market analysis Make sure you show your lender that you’ve done your homework. Basically, your market research helps you understand your customer needs so that you can offer a product or service that precisely fits those needs. You’ll need to provide information such as your target market, customer demographics, competition and distribution methods. Key competitive information Provide information on competitor weaknesses and strengths and show how you intend to improve on what they’re doing. Organizational structure Use organization charts to clearly spell out the roles of key management people and the proposed
KEY FINANCIAL DATA Be sure to modify your information depending on your target audience. For example, your bank will be interested in how you intend to repay the loan or overdraft, what you intend to do with the money and how it will help your business grow. Potential investors will also want to see the expected return and sources of funding, while shareholders are looking for the prospect of the share price and what dividend they can expect on their shares. Generally, lenders, shareholders and investors want facts and figures that back up what you say. Show your personal and business net worth (assets minus liabilities) so the lender can judge your ability to repay your debt. A banker will also look at your past credit history to gauge your reliability. Be sure that you know what credit agencies have on file about you or your company. Include your assets, such as collateral to secure a business loan. Bankers invariably ask for some investment on your part as proof of commitment. (This investment may have been raised by you privately or through family and friends). The rule of thumb is that money attracts money; the more backers you have, the easier it is to attract new ones. Be sure you include your cash flow forecast, which is the amount of cash needed to run your business: technology, inventory, equipment, human resources, etc. Present financial projections for at least two years and do an analysis of market size and market potential. Show implementation details or exactly what will make all of this happen. You need to assign clear responsibilities, set real dates and realistic budgets. Include your financial control systems, such as stock planning and managing debtors and creditors. LEGAL STRUCTURE Address issues such as taxes, liability concerns, information on proprietorships, partnerships, limited or incorporated companies. If you’re buying an existing business, be sure to clarify buy-and-sell agreements. Keep in mind that you should have a lawyer look over all contracts and legal issues. AVOID THESE PITFALLS Don’t be overly ambitious. You should be able to justify any assumptions or projections. Avoid masking financial difficulties. Inform your lender if your sales fluctuate, for example, and you may prefer a flexible payment schedule. A transparent business plan is one of your best assets in gaining the trust of bankers and investors, whether they are your associates or people outside the company. Providing inadequate information on the management team, flawed marketing plans, unrealistic forecasts or incomplete presentations. ❚
dealmaker and ambassador. Lack skills and time
At a certain point in a company’s expansion, most entrepreneurs lack the skills and time for day-to-day operational tasks, such as troubleshooting production issues, handling HR duties and managing the finances. In such a situation, your company’s growth will likely force you to make the decision to delegate — or your business is at risk of floundering. If you don’t delegate, you are likely to become the bottleneck in your business, and your best employees will leave if they don’t see stability and a future in your company. At a certain point in your growth, you will have to make the decision to step back and turn over responsibilities to a professional management team or your company will decline.
THE PATH YOU TAKE IS JUST AS IMPORTANT AS WHERE YOU GO.
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SMALL BUSINESS MONTH - SUPPLEMENT TO THE WINNIPEG FREE PRESS - THURSDAY, OCTOBER 19, 2017
“We are certainly looking forward to the opportunity when we can say that we’ve created $1 billion worth of wealth for our clients — that would be an amazing legacy.” - Gregg Filmon, president and CEO, Value Partners Investments
(From left) Paul Lawton, Steve Norton, Gregg Filmon and Dean Bjarnarson say the team at Value Partners Investments aims to invest effectively and grow client money for the things that are important to them.
VALUE PARTNERS INVESTMENTS COMMITTED TO CLIENTS, COMMUNITY
wealth for our clients,” Filmon says. “That would be an amazing legacy.” While market downturns and the Bernie Madoffs of the investment world seem to get most of the headlines, the professionals at Value Partners take pride in their disciplined approach. “I don’t get the sense that there’s a lot of positive discussion about the investment world — and we feel the exact opposite,” Filmon says. “We feel that investing is a wonderful opportunity to grow your wealth and to allow you to do the things that really matter to you.” Value Partners offers a number of options to suit the unique needs of each client. The company manages six different mutual funds, which are available from investment advisors across the country. And just a few weeks ago, it expanded its offering with Value Partners Investment Counsel, a new platform serving high-net- worth clients with at least $1 million to invest. “This will be a great opportunity for us to be able to help more people and to grow our business,” Filmon says. Indeed, the company started off with four employees and zero assets. Today, it has a team of 32 and $2.3 billion in assets under management. In addition to helping people achieve their financial goals, Value Partners believes strongly in giving back to the community. “It’s really important to us that we’re huge supporters of Winnipeg. Most of our employees are from here and graduated from the University of Manitoba or Red River
College. We feel fortunate to be able to run our business and to attract world-class talent right here,” Filmon says. “When we host meetings, we bring people from across Canada to Winnipeg. Last year, we hosted an event at the Journey to Churchill exhibit. We’ve also taken people on the Hermetic Code tour at the legislature and we’ve held events at the Canadian Museum for Human Rights and the Winnipeg Art Gallery. We think that Winnipeg has a tonne to offer as a home for a successful national investment firm.” The team at Value Partners is proud to have hammered, drilled and sawed alongside other volunteers for Habitat for Humanity to help build five homes over the past three years. They have also volunteered countless hours and energy to amateur sports in Winnipeg. “Since we started the company, many of us have been raising families while we built the business. We’ve continued to give back to the community throughout that whole period of time. For me, that’s really important,” Filmon says. “There are so many wonderful Winnipeg success stories. We’ve always believed that if you’re accountable and you do a great job, then you’re going to get introduced to other people and you’re going to be successful. That’s what’s happened for us and we’re continuing to grow as a result.”
By Jennifer McFee for the Free Press A big part of the secret to success at Value Partners Investments is putting their money where their mouths are. That means investing their own money in the same mutual funds as the company’s clients. After all, if your financial professional wouldn’t put their own dough in a particular investment, why should you? “We think having a commitment to accountability and transparency is essential because you need to trust the person who’s managing your money — and we don’t think that’s possible unless they’re investing their own money alongside you,” says Gregg Filmon, president and CEO of the 12-year-old company. The company’s expert portfolio managers aim to invest effectively and grow client money for the things that are really important to them. “Since we started Value Partners, our clients have $600 million more than what they originally gave us, which is something we’re enormously proud of. We’re grateful to our clients and to the advisors that recommended us — and we feel that we’re rewarding that faith.” The company is confident additional milestones will be met in the future. “We are certainly looking forward to the opportunity when we can say that we’ve created $1 billion worth of
For more information about Value Partners Investments, visit valuepartnersinvestments.ca or call 204-949-0059. ❚
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