Economic conditions are improving for Canadian small-business owners, and this means they need small business management software to help them succeed and expand. As confidence continues to pick up, business owners will be looking for new ways to gain competitive advantages. Implementing new technology, such as business accounting software, can help small companies adapt to changing market conditions.
The Canadian Federation of Independent Business indicated confidence is on the rise. The organization's Business Barometer Index rose to 64.2 in July, which is a sign of growth. Ontario had the weakest sentiment in June, and confidence picked up to 66.5 in July, higher than the national average. Saskatchewan was the most optimistic province for small business, and Nova Scotia improved last month as well.
The Canadian economy struggled in the first half of 2013, but the index is pointing toward improved growth in the second half of the year. Although significant floods in South Alberta caused many damages, construction companies are securing more work, The Wall Street Journal reported.
Improving economy could lead to business expansion
The recovering economy is granting new opportunities for small-business owners, and some may be eyeing international expansion, according to the Globe and Mail. While expanding into new markets can boost revenue and lead to new prospects for small companies, it can lead to different challenges if they are unprepared.
Expanding into international markets can be an ambitious growth strategy for many organizations, but in some cases, consumer demands will drive this move. The shift into a new market can also be fueled by competitors expanding into international territory.
However, small-business owners must have a firm understanding of the logistical, legal, financial and cultural implications of operating in new markets. They will need to locate suppliers in the region and leverage existing clients and channel partners.
International expansion can offer many new opportunities for small businesses. In fact, HSBC Bank Canada recently announced it has set aside $1 billion over the next 18 months to support small and midsized businesses that want to expand into international markets, The Globe and Mail said. The funding is available to new and existing HSBC customers that want to explore global expansion or cross-border trading.
In addition to the considerations for cultural and legal differences, small businesses need technology to support international growth. Companies can benefit from adopting accounting software with multiple currency.