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7/28/2019 Bus Strate Final

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Team 3 : Simone, Jim, Kulvinder, Ulus

Five Canadian GovernmentSupports for Small Medium Sized

Enterprises (SME) Exporting

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trade.jpghttps://reader009.{domain}/reader009/html5/0404/5ac468526a3d3/5ac468548c409.jpg

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The Canadian Trade

Commissioner Service

(TCS)

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TCS Overview Presence is in more than 150 countries

Privileged access to most foreign governments, business leaders and

decision-makers Part of Canadas embassies and consulates/Government of Canada

Partners include:

Canada's International Trade Portfolio Network (TCS,EDC,CCC)

Various levels of governments Business and industry associations

Educational and research institutions

Chambers of commerce

Economic development and other agencies

IMPORTANCE: Assess export potential, Learn about export marketsand opportunities / Prepare for international markets/Trade missionparticipation/Expert Advice/Networking


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TCS Help: Assess International Strategy

Find a Trade Commissioner in Canada or abroad by

sector Strategic advice on doing business in the market

Intelligence on opportunities/barriers

Emerging trends/regulations/policy issues

Learn about export markets and opportunities Notification of upcoming events ( e.g. trade

fairs/missions)

For Participation- contact 8 weeks prior, must sign Business

Mission Agreement


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TCS Services

DIRECT SERVICES OFFERED

EXPERT ADVICE ON:

Exporting information

Establishing company abroad

Overcoming market access issues

Pursuing a joint-venture or strategic

alliance

Participating in global value chain

Seeking technology and R&Dpartnerships

INDIRECT/REFERRAL SERVICES: Detailed market research

Accessing specialized databases

Extensive program of appointments

Logistical support Business support services

Participation in business events

Temporary office or display space


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Networking- Foreign Contact Connection

Government officials and policy

networks Businesses and potential investors

Key participants for business events

in Canada

Counterpart associations and strategic

partners Research and educational institutions

Financial institutions and venture

capital firms

Science and technology stakeholders

Professional and business associations Lawyers, accountants, consultants

Communications professionals and

media


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Networking- Trade Missions

Trade Missions:

Purpose: Marketing and Networking: To participate in trademissions to get market assistance from trade commissioners at

Canada's foreign posts; make great contacts

Get Invited to Participate in Business Trade Mission Steps:

Know government officials and get on mailing lists

Plug into different networks - World Trade Centre, Regional

Offices of the Trade Commissioner, and Board of Trade

Join your local Chamber of Commerce.

Get involved in business associations


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Trade Mission Pre-Trade Mission PreparationMatch your firms

capabilities with

opportunities in the host

country

Ensure the most senior people available Analyze your company's readiness to export; Do some research

Do your homework Review all available briefing, training materials and market research well inadvance.

Know potential customers, competition

Matchmaking: Ask

mission organizers to

arrange the right

meetings in advance.

Submit profile detailing company's strengths and capabilities and your

expectations for the mission; Describe best potential customers and contacts; Submit requests for meetings early Using the Internet or any on-line communication facility.

Set appropriate

expectations and goals

Review your goals and expectations with the mission organizers to ensure thatyour goals are reasonable, attainable and affordable.

Ensure your company's

marketing/promotional

materials are appropriate

for the host country

Adjust style of language and benefits. Have marketing collateral translated. Assess promotional material professionalism. Ensure that all of your business materials include details vital to international

communications

Plan in advance for post-

mission follow-up

upon returning home, send letter to the people you met with during the mission


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EDC Overview

Canadas export credit agency to support and develop Canadas

export trade by helping Canadian companies respond tointernational business opportunities.

For Canadian exporters and investors and their international

buyers

Financial institutions partnerships ( e.g. BDC) and throughcollaboration with the government of Canada

Up to 200 markets worldwide, with 17 offices across Canada,

and permanent representations in 12 foreign markets

IMPORTANCE: Provides financing and risk management

(financing, insurance, bonding services/products)/ Support

Canadian investment/Foreign market expertise


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EDC ServicesTYPE SERVICES/PRODUCTS

Insurance:7 Insuranceservices/products

Accounts Receivable Insurance

Single Buyer InsuranceContract Frustration Insurance

Performance Security Insurance

Political Risk Insurance

Domestic Credit Insurance

Financing:

6 Financingservices/products

Export Guarantee Program

Foreign Buyer FinancingForeign Investment Financing

Supplier Financing

Project Finance

Domestic Financing

Bonding and Guarantees:

4 Bond/Guaranteeservices/products

Account Performance Security Guarantee

Foreign Exchange Facility GuaranteeSurety Bond Insurance

Domestic Surety Bonding and Bank Guarantees

BENEFITS

Protect Against Risk, Free up Working Capital, Grow Your

Business, Get Financing, Finance Your Supply Chain

INSURANCE


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INSURANCE

TYPE QUALIFICATIONS

Accounts Receivable Insurance- Credit insurance for when your buyer does

not pay you

Any Canadian business that exports goods or services

Single Buyer Insurance- insures unlimited export sales to the sameforeign customer over 180 days

Canadian company Goods must be shipped from Canada/service must be based in Canada.

Contract Frustration Insurance- eligible losses resulting from political andcommercial risks

the value of your exports and any other significant benefits to Canada; creditworthiness of your foreign customer; contractual terms; customers country conditions/economic outlook; and export capabilities

Performance Security Insurance- losses if your foreign customer demandspayment on a bank-issued guarantee withouta valid reason

acceptable contract terms; acceptable guarantee instruments; your foreign customers profile and both country current/future economic

conditions; acceptable Canadian exports of goods and services; and benefits to Canada derived from your export activity

Political Risk Insurance- protection against political upheavals

must generate economic benefits to Canada (e.g. job creation, contribution toGDP).

Companies operating abroad should be aware that EDC is subject to anumber of provisions and guidelines governing international trade

Supplementary Domestic Credit

Insurance- credit insurance solutions to support yourdomestic business

Exporting and non-exporting companies in all sectors are eligible forsupplementary domestic credit insurance.

Transactions must be creditworthy and supported by a viable business model. Domestic credit insurance is available from private insurance providers - not

directly from us

INSURANCE COMPARISON


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INSURANCE COMPARISON

FINANCING


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FINANCING

TYPE QUALIFICATIONS

Export Guarantee Program

guarantee to your financial institution

that your loans and other financingarrangements will be paid back

Any Canadian company with export-related activities or foreigninvestments.

Financial institution must be willing to establish a credit arrangementwith your company and participate in the financing. Revised so available for Canadian companies involved in export trade

who may not meet traditional exporter criteria of $5 million in exportsales or 15 per cent of total sales derived from exports.

Foreign Buyer Financing

financing to foreign buyers forpurchases from Canada

Need financial information on the foreign buyer and otherdocumentation

Foreign Investment Financing strong, mid-sized Canadian company Support contingent upon an acceptable review of risks, and is also

subject to acceptable export mandate, credit assessment, and riskmitigation

transactional costs > $1 million

Supplier Financing

buying promissory notes you have from

foreign buyer

Contact us before the commercial contract with a foreign buyer issigned to determine whether a note purchase is feasible becausecertain requirements must be met to qualify for this arrangement

Project Finance Any project sponsor with a project that demonstrates economic benefitsto Canada

Numerous documentation requirements

Domestic Financing financial institution must be willing to establish a credit arrangementwith you and participate in the financing.

Directed at trade-related sectors. Not for equity for domestic-oriented companies.

Transactions in specialized sectors of retail, wholesale, tourism,entertainment, real estate and certain Infrastructure projects such ashospitals and schools are not eligible for support.

BONDING/ GUARANTEES


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BONDING/ GUARANTEES

TYPE QUALIFICATIONS

Account Performance Security

Guarantee

managerial, technical and financial capabilities of your company; contractual terms;

review of the guarantee; the conditions and economic outlook in your customers country, andthe customers profile;

Canadian exports of goods and services, or other significant benefits toCanada

Foreign Exchange Facility

Guarantee

examine your company's managerial, technical and financialcapabilities

Surety Bond Insurance

protects your surety companyfrom losses if your customerdemands payment against thatbond

managerial, technical and financial capabilities; contractual terms; bonding instruments; conditions and economic outlook in the customers country, and the

customers profile; Canadian exports of goods and services, or other significant benefits to

Canada

Domestic Surety Bonding and

Bank Guarantees

provides re-insurance to suretycompanies for bonds they provideto cover your domestic business.

Also provide bank guarantees for

your domestic business

Canadian companies involved in trade-related sectors of the economy. only facilitate new and incremental commitments; not existing surety

bonds or bank guarantees. Must be related to contract performance Up to a maximum of 50 per cent risk sharing to our surety partners. must be an existing client of the surety or the financial institution that is

seeking additional capacity from EDC.


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Canada Border Services Agency

(CBSA)

http://www.thestar.com/news/canada/2012/11/01/border_servi

ce_agency_boss_accused_of_breaking_expense_rules.html

http://whartonmagazine.com/blogs/exports-2-0/http://blog.creativedepartment.com/2012/06/15/all-aboard-

the-trade-train/


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CBSA Overview

Provides integrated border services that support nationalsecurity and public safety

Ensures Canadas security and prosperity by managing the

access of people and goods to and from Canada

IMPORTANCE: Small and Medium Enterprise Centre

Created guide to help SME export goods from Canada

http://www.sustained.ie/tag/small-and-medium-enterprises/


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CBSA Services The Exporting Process

Classifying Goods

Completing the Process

Adjustments

Records

Administrative Monetary Penalty System (AMPS)

Trade Incentives Programs

TRADE I NCENTIVE PROGRAMS:

Duty Reli ef Program

Drawback Program

Customs Bonded Warehouse Program

http://www.novinite.com/view_news.php?id=119231


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CBSA Parameters For Commercial Goods

Guidelines: Before exporting goods from Canada

Obtain a business number (Canada Revenue Agency (CRA))

Open import-export account

Identify the goods- provide accurate description of the exporting goods

Determine the country of origin of the goods

Make sure the goods can be exported

Know restrictions or other requirements of the goods

Ensure goods are allowed entry into the receiving country


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CSBA Requirements


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Canada Export Centre

(CEC)


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CEC Overview

Makes connections between buyer and seller

Provides customized services and various business tools Results a multi sales throughout the year with excellent

business development

Headquarter in Canada with 10 overseas offices

Partnership with Vancouver Board of Trade

IMPORTANCE:

Endorsement of the companies

Helps to deal with the difficulties

Assistance in finding sources for the ventures

Engaging best suited prospects for the ventures

Single point of access to trade and investment


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CEC ServicesSERVICES

BuyerServices

convenient format to source product or services best destination for trade and investment opportunity assistance for business venture from start to finish communication services high level officials and industry help

Corporate

Services

practical and strategic advice providing and arranging financing: public and private structuring and implementing financing transactions assisting business plans, documentations, presentations

and reports

SellerServices

Protect intellectual property Lower manufacturing costs

Generate direct sale

Develop new business channel

gain market and competitive intelligence before

market entry


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Statistics Canada

(StatsCan)


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Canadian Automated Export Declaration (CAED) Overview Statistics Canada and Canada Border Services Agency

(CBSA) launched Canadian Automated ExportDeclaration (CAED) program

The CAED software features Harmonized systemcommodity classification search, built-in encryptionsoftware, on-line help and Internet transmissioncapabilities

Gives registered exporters and agents opportunity to reportgoods electronically to the Federal Government of Canada.

Fast inexpensive and easy way of reporting your exported

goods -Eliminates manual reporting


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Qualifications

CAED Parameters

1. ValidExporting

Business Number

2. Register with

CAED helpdesk

3. SoftwareAcquisition -

Download

4. Verificationfrom CAED

5. Use Software

Program


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Qualifications

Reviewed 5 Canadian government organizations to help

SMEs with an exporting venture along with benef its andparameters.

EDCI nsurance and Financing

TCSNetworking and Expertise

CBSAExport Guide

CECGenerating Sales

StatCanAutomated Export Declaration

CONCLUSION AND QUESTIONS


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References

SlideBackground: Canadian Flag http://www.24point0.com/wp-content/uploads/2010/05/small_Canada-EditablePPT-Map-CM-0049-

300x225.jpg

Pictures Title Page:

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http://canadaelsalvador.org/wp-

content/uploads/2009/04/import_export_agent1.jpg

http://logistics.avnet.com/webReporting/Assets/exportImport.jpg


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EDC:

Pictures:http://www.edc.ca/EN/About-Exporting/Pages/default.aspx http://loanmandi.com/images/Export%20Credit.jpg http://www.sba.gov/sites/default/files/images/ExportLoans.JPG

Content: http://www.edc.ca/EN/Our-Solutions/Insurance/Pages/default.aspx http://www.edc.ca/EN/Our-Solutions/Financing/Pages/default.aspx http://www.edc.ca/EN/Our-Solutions/Bonding-and-Guarantees/Pages/default.aspx

Services: http://www.edc.ca/EN/Our-Solutions/Insurance/Pages/default.aspx http://www.edc.ca/EN/Our-Solutions/Insurance/Pages/accounts-receivable-insurance.aspx http://www.edc.ca/EN/Our-Solutions/Insurance/Pages/single-buyer-insurance.aspx http://www.edc.ca/EN/Our-Solutions/Insurance/Pages/contract-frustration-insurance.aspx http://www.edc.ca/EN/Our-Solutions/Insurance/Pages/performance-security-insurance.aspx http://www.edc.ca/EN/Our-Solutions/Insurance/Pages/political-risk-insurance.aspx http://www.edc.ca/EN/Our-Solutions/Insurance/Pages/domestic-credit-insurance.aspx http://www.edc.ca/EN/Our-Solutions/Insurance/Pages/comparison-matrix.aspx http://www.edc.ca/EN/Our-Solutions/Financing/Pages/export-guarantee-program.aspx http://www.edc.ca/EN/Our-Solutions/Financing/Foreign-Buyer-Financing/Pages/default.aspx

http://www.edc.ca/EN/Our-Solutions/Financing/Pages/foreign-investment.aspx http://www.edc.ca/EN/Our-Solutions/Financing/Pages/supplier-financing.aspx http://www.edc.ca/EN/Our-Solutions/Financing/Project-Finance/Pages/default.aspx http://www.edc.ca/EN/Our-Solutions/Financing/Pages/domestic-financing.aspx http://www.edc.ca/EN/Our-Solutions/Bonding-and-Guarantees/Pages/account-performance-security-guarantee.aspx http://www.edc.ca/EN/Our-Solutions/Bonding-and-Guarantees/Pages/foreign-exchange-facility-guarantee.aspx http://www.edc.ca/EN/Our-Solutions/Bonding-and-Guarantees/Pages/surety-bond-insurance.aspx http://www.edc.ca/EN/Our-Solutions/Bonding-and-Guarantees/Pages/domestic-surety-bonding-bank-guarantees.aspx


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TCS

PICTURES: http://www.centralmdsbdc.org/upload/iblock/04f/Export%20Conference.jpg http://cdnseed.org/wp-content/uploads/2011/08/globeflag_new.jpg http://www.international.gc.ca/commerce/assets/images/visit/101215-01.jpg

http://cf067b.medialib.glogster.com/media/b3/b39c01a8f6a2e63838a6ebd821e5679adaa40ebc6106239b9791d5ceaacc7336/canada-government-7156.jpg

http://www.purtell-law.com/dreamstimescale_cartoon9921102_std.jpg

http://www.ketchum.com/sites/default/files/styles/media_640w/public/140054736.jpg

http://www.syoncloud.com/sites/default/file2/Bank.jpg

http://dktechnologygroup.com/images/Financial-Technology.jpg

ABOUT http://www.tradecommissioner.gc.ca/eng/how-tcs-can-help.jsp

SERVICES http://www.tradecommissioner.gc.ca/eng/services-for-partners.jsp

http://www.tradecommissioner.gc.ca/eng/find-trade-contacts.jsp

http://www.tradecommissioner.gc.ca/eng/trade-missions/general-info.jsp

http://www.tradecommissioner.gc.ca/eng/businesswomen/trade-missions.jsp


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CBSA

PICTURES:

http://www.thestar.com/news/canada/2012/11/01/border_service_agency_boss_accused_of_breaking_expense_rules.html

http://blog.creativedepartment.com/2012/06/15/all-aboard-the-trade-train/

http://whartonmagazine.com/blogs/exports-2-0/ http://www.sustained.ie/tag/small-and-medium-enterprises/

http://www.novinite.com/view_news.php?id=119231

http://www.asbdc-us.org/images/BraddockExportGuide-Cover_large.jpg

CONTENT: http://www.cbsa-asfc.gc.ca/agency-agence/who-qui-eng.html

http://www.cbsa-asfc.gc.ca/sme-pme/e-guide-eng.html


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CEC

Picture Linkshttp://static2.dmcdn.net/static/user/973/063/37360379:avatar_large.jpg?20110211150032

https://reader009.{domain}/reader009/html5/0404/5ac468526a3d3/5ac46867e2466.jpg?w=620

content linkshttp://www.canadaexportcentre.comhttp://www.canadaexportcentre.com/index.php/import-export-trade-services/international-buyer-trade-services

http://www.canadaexportcentre.com/index.php/import-export-trade-services/http://www.canadaexportcentre.com/index.php/import-export-trade-services/seller-export-sales-servicesibn-programhttp://www.canadaexportcentre.com


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StatsCan

Picture linkshttp://www.povnet.org/sites/povnet.org/files/imagecache/conhttp://canauthorsniagara.org/wpcontent/uploads/2013/04/CanadaStats.jpgtextual/Screen%20sho

t%202010-08-19%20at%2012.00.16%20PM.png

Content linkshttp://www.statcan.gc.ca/exp/index-eng.htm http://www.statcan.gc.ca/trade-commerce/data-donnee-eng.htm

http://www.statcan.gc.ca/exp/index-eng.htm

http://www.statcan.gc.ca/exp/overview-apercu-eng.htm

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