A new report by the Canadian Council for Aboriginal Business (CCAB) shows that succcessful First Nations business owners in Canada are growing in numbers.
The results of Promise and Prosperity: The Aboriginal Business Survey demonstrate that the number of Aboriginal business owners is growing at five times the rate of self-employed Canadians overall.
The survey found that success amongst First Nations business owners is not limited to a region, industry sector, or market.
“The results of the Aboriginal Business Survey shatter the myth that Aboriginal people are a drain on Canadian taxpayers,” CCAB CEO Clint Davis said in a press release. “The majority of Aboriginal businesses are profitable and are experiencing stability or growth. Many Aboriginal businesses are hiring and training other Aboriginal people. Overall, Aboriginal business owners see themselves as successful and are positive about the future.”
In 2006, the Canadian Census reported more than 37,000 self-employed Aboriginal people in Canada, up from just over 27,000 in 2006--an increase of 38 per cent.
Sectors in which business owners have found success include construction (18 per cent); primary sectors such as agriculture, forestry, fishing and hunting, mining, and oil and gas extraction (13 per cent); and knowledge and service-based sectors such as education, scientific and technical services, and health and social sciences (28 per cent).
The highest number of business owners operate in Ontario (23 per cent), followed by British Columbia (22 per cent), Alberta (18 per cent), Quebec (10 per cent), Manitoba (10 per cent), Saskatchewan (eight per cent), the Atlantic provinces (five per cent), and the Territories (three per cent).
Sixty-one per cent of Aboriginal businesses reported profits for 2010 and 35 per cent saw increased revenues in 2009-2010.
Factors contributing to business owners' success include not only profits and the potential for growth, but also a steady client base and the personal gratification that comes from doing work they enjoy.
Having a business plan in place and the use of innovation contributed to their success, and 71 per cent of business owners interviewed said they were optimistic about revenue growth in the next two years--a perception mirrored by Canadian small and medium business owners overall.
Recommendations stemming from the report include improving access to capital, creating provincial and municipal Aboriginal procurement strategies, implementing business plans, and building stronger networks amongst Aboriginal businesses to facilitate the sharing of expertise and knowledge.
The full report is available at www.ccab.com.
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