Markham 2020: Success By Design

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1 Markham 2020: Success By Design Presentation to Economic Development Committee March 1, 2016 Focus on Small and Medium Size Enterprises Don De Los Santos, Manager Markham Small Business Centre

2 2 Contents Context SME overview in Markham Who are Markham s Entrepreneurs? MSBC Economic Impact The origin and evolution of venturelab ROI for the City of Markham Impact and Results Economic Development Challenges

3 3 Markham 2020 Context Context 10 year Economic Strategy adopted by Council in 2008 A successful blueprint for guiding the City s economic development program Identified need to support small business and entrepreneurship, particularly among youth and the innovation/business sectors

4 Overview of Markham 2020 Build Talented Markham, Build Branded Markham 4 BRANDED MARKHAM TALENTED MARKHAM

5 (insert video)

6 # of Businesses by Size in Markham, 2007 to 2014 SMEs Overview Small (1-19 employees) Medium (20-99 employees) Large ( employees) 22 Very Large (500+ employees) Business Size Category Small (1-19 employees) Medium (20 99 employees) Large ( employees) Very Large (500+ employees) 2007 (# of businesses) 2007 (% of Total) 2014 (# of businesses) 2014 (% of Total) 7, % 8, % % 1, % % % % % Total 8, % 9, % Source: York Region Employment and Industry Report (annual) 5

7 % of Total Jobs by Business Size in Markham, 2007 to 2014 SMEs Overview 30.0% 25.0% 20.0% 15.0% 10.0% 5.0% 0.0% 26.0% 25.6% Small (1-19 employees) 29.4% Medium (20-99 employees) 28.8% 29.3% 26.4% Large ( employees) 18.2% Very Large (500+ employees) % Business Size Category Small (1-19 employees) Medium (20 99 employees) Large ( employees) Very Large (500+ employees) 2007 (# of Jobs) 2007 (% of Jobs) 2014 (# of Jobs) 2014 (% of Jobs) 34, % 39, % 39, % 44, % 35, % 45, % 24, % 25, % Total 133, % 155, % Source: York Region Employment and Industry Report (annual) 6

8 13.2% 2.7% 12.6% 6.0% 4.3% 3.5% 3.4% 3.3% 8.0% 1.3% 1.2% 8.3% 8.1% % 11.5% Source: York Region Employment and Industry Report (annual) 7 SMEs Overview % of Businesses by Industry in Markham, 2007 to % 20.0% 19.6% 18.1% 15.0% 10.0% 8.9% 10.5% 9.5% 7.1% 5.0% 3.2% 3.6% 4.2% 2.0% 1.4% 1.3% 1.4% 4.5% 2.8% 0.0%

9 Who are Markham s Entrepreneurs? % of Businesses by Industry served by MSBC, 2012 to % 2.3% 4.3% 3.6% 2.6% 1.1% 7.9% 12.5% 12.2% 10.9% 9.3% 8.4% Source: Markham Small Business Centre Client Demographics % 25.0% 21.5% 20.0% 15.0% 10.0% 9.9% 10.9% 7.9% 12.5% 5.0% 0.0% 4.0% 3.2% 4.6% 3.8% 1.7% 0.9% 1.7% 0.5%

10 Who are Markham s Entrepreneurs? Age and Gender of Clients Accessing MSBC Services 46.2% 47.6% % 50.0% 58.7% 44.7% 43.5% % % 53.8% 52.4% 40.0% 30.0% 28.4% 50.0% 45.0% 20.0% 11.9% 11.8% 40.0% 10.0% 35.0% 0.0% 30.0% 29 or under 30 to to or over Male Female Source: Markham Small Business Centre Client Demographics 9

11 Who are Markham s Entrepreneurs? % Newcomers Accessing MSBC Services 70.0% 60.0% 53.5% 61.3% 50.0% 40.0% 30.0% 22.6% 20.0% 10.0% 10.6% 13.5% 2.2% 8.8% 8.6% 2.9% 2.2% 1.2% 2.1% 1.0% 0.0% China S. Asia Middle East Europe Philippines Latin America Other Source: Markham Small Business Centre Client Demographics 10

12 Who are Markham s Entrepreneurs? 11

13 MSBC Services for Entrepreneurs MSBC specializes in start-up and early-stage growth Shift over past 3-4 years toward continuum of training Now serving more Markham and regional entrepreneurs One-on-One Consultation by Appointment MSBC conducts over 500 in-depth consultations each year Supplemented by special guest speaker topics: Social Media, Legal, Sales, Branding, Finance, Import and Export Annually >60 seminars / workshops / networking events On average, reaching out to 2,000 clients every year 12

14 MSBC Services for Entrepreneurs Offering Youth Entrepreneurship Training and Mentoring Programs over the past 10 years, issued more than $350,000 in financial grants to youth in our community (primarily funded by Province) 19 awarded through Starter Company 103 awarded through Summer Company 58 awarded in Business Plan Competition 13

15 Collaboration for Client Success 14

16 MSBC Economic Impact (direct) 15 Direct Impact in Markham: 2007 to 2014 Businesses Expanded: 58 Businesses Started: 604 Jobs Created: 911 Direct Impact in Markham: Past 9 months Businesses Expanded: 11 Businesses Started: 54 Jobs Created: 113

17 venturelab The Regional Innovation Centre Serving Markham Entrepreneurs 16 Jeremy Laurin President and CEO

18 About venturelab We help entrepreneurs BUILD high-growth, innovative, scalable businesses. venturelab is where talented entrepreneurs can access proven tools, expert mentors and business support to grow their innovative, scalable and growthoriented businesses. 17 MISSION VISION Where entrepreneurs create real businesses. WHO WE ARE

19 It Takes An Ecosystem To Raise An Entrepreneur Markham Convergence Centre venturelab York Angels Markham Small Business Centre York University Innovation York Ontario Centres of Excellence Seneca College HELIX York University Launch YU 18

20 Where venturelab came from

21 A Publicly Funded Regional Innovation Centre with Global Performance Standards and Objectives Clean technology Green energy Advanced materials and manufacturing Social innovation 20 Programs & Services Education Mentoring Specialized programs Areas of Expertise Advanced health technologies Digital media Information communications technology (ICT) Board of Directors Representative of entrepreneurs, including public and private sectors

22 Funding and Leverage 21 Financially supported by: City of Markham Regional Municipality of York Ministry of Research and Innovation (MRI) NRC-IRAP Canadian Digital Media Network (CDMN) Event sponsorships Investments made by funders since 2011: $1.5M from City of Markham $7.5M from other funding partners

23 Return On Investment (ROI) for the City of Markham 22 Leadership / Prestige / Reputation Programs and Services / Capacity Strategic Collaborations Talent Recruitment and Retention Business Retention and Attraction Digital Corridor

24 venturelab Programs Driving social innovation and entrepreneurship. 23 Helping entrepreneurs plan, launch and expand a new venture. Connecting entrepreneurs to investors in Ontario. Driving innovation in healthcare. Youth Entrepreneurship Startup Canada York Region Y2 high school boot camp FIRST LEGO LeagueBOOST funding Women in Technology and Innovation Women Leaders in Innovation Peer Group Women in Technology Mentorship Program

25 pulsehub: Our Latest Initiative 24

26 venturelab Clients 25

27 venturelab Impact and Results 26

28 venturelab Workshops & Events Ministry of Research and Innovation Youth Jobs Strategy Announcement Markham Convergence Centre 27 CIHR Workshops Markham Convergence Centre Global Impact Competition Markham Civic Centre

29 Client Success Stories 28

30 Looking Ahead May 6 & 7, 2016 at Seneca College Markham Campus Building a better future through Open Data 29 5-year Anniversary of venturelab York Markham Centre Go Open Data Conference

31 Economic Development Challenges Observed Challenges for SMEs: - Finding new clients - Need for mentors with direct experience in their specific type of business/industry - Lack of government funding support - For growing companies: finding great staff Gaps/weaknesses to address - Follow-up more regularly in early stages - Offer more content/interaction through online channels 30

32 Scaling for Growth: Challenges 31 Active and growing innovation ecosystem = increased client demand Changing trends and best practices = curriculum updates needed regularly Limited resources to meet demand Help existing businesses scale up and grow Connected Community Partners = It Takes an Ecosystem to Raise an Entrepreneur

33 Markham 2020: Success by Design 32 Public Engagement Sponsored by:

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