Community business development corporation

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There are 41 Community Business Development Corporations (CBDCs) operating in rural Atlantic Canada.[1] The CBDCs are a network of not-for-profit organizations that work in co-operation with all levels of government and the private sector to meet the needs of small business.

Jurisdiction[edit]

The CBDCs are currently being administered by the Atlantic Canada Opportunities Agency (ACOA). These Corporations are dedicated to the development of small business and job creation and enhancement in rural Atlantic Canada. CBDCs are subject to Treasury Board of Canada regulations.

Purpose[edit]

The primary function of the CBDC is to provide financial assistance to qualifying businesses within the defined geographical jurisdiction.[2] The provision of information services and assistance with business plans and studies to new and existing businesses is also an important part of the CBDCS' mandate. All of which helps to stimulate economic development and small business growth, resulting in permanent employment for rural communities.

CBDCs have the potential to assist small to medium size enterprises. The entrepreneur must provide evidence of not being able to obtain financing from other conventional sources. Generally, CBDCs are not restricted to any particular sector of the economy. They are most interested in any business that will provide products or services in sectors of the economy that are not currently being capitalized on. Developing new industry allows for new economic growth contributing to the stability and sustainability of rural Atlantic Canadian communities. The CBDC partners with other government and non-government organizations to provide a comprehensive business development package that will give the new or expanded venture the best odds of success.[3] Building stronger communities translates into stronger regions and provinces.

Succession Planning[edit]

Demographics of Atlantic Canada and many other regions of world are shifting to an older population with few births. This circumstance presents a challenge to plan for the future operation and ownership of business ventures. CBDCs are assisting with this challenge by providing a web based tool to help entrepreneurs to sell their venture, either to retire, change careers or move on to a new entrepreneurial challenge. CBDCs may also be able to help the buyer to secure financing to purchase a business (www.businessatlantic.ca).

Governance[edit]

CBDCs operate under the guidance of a local Board of Directors.[3] The Board of Directors is representative of the area served by the CBDC, and all members of the board are volunteers.[3] This organizational structure permits the CBDC to play a direct and active role in employment development within their jurisdiction. The Board of Directors is complemented by a professional staff, varying in size depending on the level of activity within the region served and resources made available to it by the Government of Canada. CBDCs act as a delivery agent for several governmental financing programs for small business. They have numerous options available to help individuals establish a new business, expand an existing one, or to stabilize/modernize their current business.

References[edit]

  1. ^ OECD SME and Entrepreneurship Outlook 2005 page 195 ISBN 9264009256
  2. ^ Economic Development Strategy June 15, 2012 p. 34
  3. ^ a b c Co-operation, Organisation for Economic; Development, (2010). OECD territorial reviews. Paris: OECD. p. 146. ISBN 9789264081116. 

External links[edit]