HomeMy WebLinkAboutCAO-16-001 - SBC - Prov of Ontario Amending Agmt
REPORT TO: Council
DATE OF MEETING: January 25, 2016
SUBMITTED BY: Chris Farrell, Manager WR Small Business Centre 519 741 2200 x7294
PREPARED BY: Chris Farrell, Manager WR Small Business Centre 519 741 2200 x7294
WARD (S) INVOLVED: All
DATE OF REPORT: December 15, 2015
REPORT NO.: CAO-16-001
SUBJECT:City of Kitchener -
Waterloo Region Small Business Centre – Amendment to
Province of Ontario Agreement
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RECOMMENDATION:
That the Mayor and Clerk be authorized to sign the amended funding agreement with the Province of
Ontario to deliver Starter Company, a Youth Entrepreneurship program, for an additional year, to March
31, 2017. Said agreement to be to the satisfaction of the City Solicitor.
BACKGROUND:
In 2014 the City of Kitchener entered into a 2-year agreement with the Province of Ontario for the
Waterloo Region Small Business Centre to deliver the Starter Company Program. The initial two year
agreement April 1, 2014 – March 31, 2016 provided $155,000 operating funds. The Provincial
Government has recently announced it will extend the program to March 31, 2017 and will contribute an
additional $154,285 operating funds.
The Starter Company Program provides training, mentoring, and capital for youth to start, expand or
purchase a business. Youth age 18 – 29 and are not full time students are eligible to apply.
Youth submit their application to the WRSBC for approval. Once approved, they participate in six
business training modules. Over 150 youth have participated in the Entrepreneurial training. Youth also
receive coaching from volunteer business mentors and small business advisors who assist with the
completion of a business plan. Entrepreneurs submit their completed business plan to a Grant Review
Committee to apply for a $5,000 startup grant. The grant is disbursed from a Province of Ontario fund.
The WRSBC monitors the progress of the successful grant recipients during their first year in business.
REPORT:
Initially the two year Provincial agreement from April 1, 2014 to March 31, 2016 allocated 30 grants to
the Waterloo Region. The amended agreement to March 31, 2017 will allocate an additional 45 grants
to Waterloo Region. Over the three year term (April 1, 2014 – March 31, 2017) 75 grants will be
approved by the province. The grant disbursement funds are separate from the operating funds.
The additional $154,285 for the Starter Company Program will allow the WRSBC to maintain the
equivalent of 1.25 FTE. The part-time positions will include a Youth Program Coordinator, Youth
Program Business Advisor and Administration. The funds will cover wages and benefits and direct
*** This information is available in accessible formats upon request. ***
Please call 519-741-2345 or TTY 1-866-969-9994 for assistance.
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overhead costs such as: marketing, program materials, travel, meeting expenses, audit fee, office
supplies and printing. This program will recruit volunteer business professionals to act as mentors for
the youth entrepreneurs.
The Waterloo Region Small Business Centre has met and exceeded the requirements of the Provincial
Program to qualify for the additional one-year of funding.
The Manager submits monthly activities and bi-annual financial reports to the Province. Working with
the finance department, a final audit for the year ended March 31, 2017 will be submitted to the
Province by June 2017. The Starter Company 3 year budget is attached.
ALIGNMENT WITH CITY OF KITCHENER STRATEGIC PLAN:
Strategic Priority: Strong & Resilient Economy
Strategy: #2.2 Support the attraction, retention and development of existing and
new industries within the regional economy working in collaboration with the economic
development corporation for Waterloo Region.
Strategic Action: # 26 Make It Start
# 27 Make It Grow
FINANCIAL IMPLICATIONS:
None
COMMUNITY ENGAGEMENT:
Entrepreneurship and innovation contributes to economic growth in the community. The
Centre provides programs and services that support and compliment other community
entrepreneurial initiatives essential to the commercialization of small business as a
collaborative partner in within this ecosystem.
INFORM – The Province (Ministry of Research and Innovation) will announce the funding
agreements to Municipalities with Small Business Enterprise Centres once the agreements
have been signed.
COLLABORATE – The City of Kitchener – Waterloo Region Small Business Centre
communicates, consults and collaborates with a broad range of community groups,
organizations, agencies, secondary and post-secondary institutes, municipal, regional and
provincial governments to ensure the entrepreneurial services and programs address the
needs of small business in the community. The volunteers for the Waterloo Region Small
Business Centre and the Board of Advisors are representative of these community groups.
ACKNOWLEDGED BY: Jeff Willmer, CAO
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