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HomeMy WebLinkAboutDSD-20-099 - Digitial Service Squad AgreementREPORT TO:Special Council Meeting DATE OF MEETING:July 20, 2020 SUBMITTED BY:Chris Farrell, Manager, Small Business Centre 519 741 2200 ext 7294 PREPARED BY:Chris Farrell, Manager, Small Business Centre 519 741 2200 ext 7294 WARD (S) INVOLVED:All DATE OF REPORT:July 15, 2020 REPORT NO.:DSD-20-099 SUBJECT:Digital Service Squad Agreement with Ontario Business Improvement Area Association (OBIAA) andCity of Kitchener for the Waterloo Region Small Business Centre RECOMMENDATION: That the Mayor and Clerk be authorized to sign a funding agreement with Ontario Business Improvement Area Association (OBIAA) Small Business Centre to deliver the Digital Service Squad program, withsaid agreement to be to the satisfaction of the City Solicitor: and further, That the General Manager, Development Services be authorized to execute on behalf of the City of Kitchener any amendments tothefunding agreement provided such amendments are to the satisfaction of the City Solicitor. BACKGROUND: events, one-on-one coaching, mentoring and access to industry professionals. Over the past year, the Waterloo Region Small Business Centre has assisted thousands of entrepreneurs to start and grow a Waterloo Region Small Business Centre location currently operates with 4.5 full-time employees. The volunteer Board of Advisors meet four times a year. The Small Business Centre had offered Digital Main Street services since 2018 when it ran a collaborative pilot project with founders of the platform, theCity of Toronto Enterprise Centre. In 2019 the Small Business Centre set up a Digital Service Squad, funded by OBIAA, with four postgraduate students. They provided services to over 550 main street businesses over ten months. OBIAA operates the Digital Main Street (DMS) platform and programs. Program partnersinclude FedDEV Southern Ontario, Province of Ontario. City of Toronto, Toronto Area BIA, Communitech, Invest Ottawa and private sector sponsors. ***This information is available in accessible formats upon request. *** Please call 519-741-2345 or TTY 1-866-969-9994for assistance. 1 - 1 REPORT: The Digital Main Street portal and programs are accessible to small businessesacrossthe Province.The small business centre is applying to deliver the Digital Service Squad(DMS)program. There are three DMS programs for small business, each delivered by third-party providers under an agreement with OBIAA. 1.Digital Service Squad helps commercial businesses in high-density pedestrian traffic areas with technical issues, training, social media and digital marketing plans. 2.shopHerepowered by Google, helps small business and artists create an eCommerce site. 3.Futureproofing Retail,helps solve the unique needs of larger retailers to adapt to the future of retail. The Waterloo Region Small Business Centre will deliver the Digital Service Squad program by hiring seven post-secondary co-op students to support main street businesses in Business Improvement Areas throughout Waterloo Region. The squad will provide services and help the eligible main street business to apply to OBIAA for a Digital Transformation Grant, $2,500. The Digital Service Squad will provide services to up to 900 businesses from August 2020 to February 28, 2021. This program targets businesses with fewer than 10 full-time equivalent employees or 25 full- businesses identify their digital needs, develop a digital transformation plan, adopt online technologies and implement a digital marketing plan.The squad will be meeting with business owners and performing the services virtually. The customer journey starts with a squad member helping a business to complete a Digital Assessment of their existing digital assets and resources. The assessment serves as their roadmap to - aligns their existing digital practices to potential improvements and sets the framework for a digital marketing strategy. Businesses meet one-on-one with a Digital Service Squad student who make recommendations for technologies, tools and an executable plan. Services include: setting up Google my Business, conducting awebsite or social media audit recommend plugins such as online appointment calendars, point of sale/inventory systems creating content and a social media calendar setting up tools to tracking analytics framework of a basic website or connect them to one of the other Digital Main Street programs The OBIAA funding is $150,000 to deliver the Digital Service Squad programin Waterloo Region. The -kind support by co- marketing, full-time staff program coordination and office space. The funding supports the project directexpenses, including student wages and benefits, professional services, equipment, and marketing. The application to OBIAA . The Small Business Centre Manager will submit monthly and final reports to the OBIAA. 1 - 2 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:# 26Make It Start # 27 Make It Grow FINANCIAL IMPLICATIONS: None. The OBIAA fundingsupports the expenses for the Digital Service Squad project. COMMUNITY ENGAGEMENT: Entrepreneurship and innovation contribute to economic growth in the community. The Centre provides programs and services that support and complement other community entrepreneurial initiatives essential to the commercialization of small business within the Waterloo Region ecosystem. CONSULT: The Waterloo Region Small Business Centre Cambridge, Preston, Hespeler, Kitchener,Waterloo, St Jacobs/Elmira and New Hamburg. In 2019 the Small Business Centre met with over 1050 business to identify their digital needs and provided a service to over 550 businesses to implement a digital tool or resource. WRSBC conducts over 20 surveys annually with small business to get feedback and suggestions for service and programimprovements. COLLABORATE 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:Justin Readman, General Manager DSD 1 - 3 Digital Service Squad BudgetAugust 2020 Feb 28, 2021 w99b 9 OBIAA Grant $ 150,000 9–t9b{9{ Wages $ 109,375 Merc $ 21,875 Professional Services $ 10,000 Chrome books $ 2,025 Camera $ 350 Cell phone $ 2,375 Travel $ 1,200 PPE $ 200 Zoom/software/apps $ 450 Printing/marketing $ 2,150 TOTAL EXPENSES $ 150,000 NET $ - 1 - 4 Waterloo Region Small Business Centre Income Statement for the Year Ended December 31, 2019 (with comparatives for the year ended December 31, 2018) 20192018 REVENUES Ministry of Economic Development, Trade and Employment296,696 476,624 Ministry of Research and Innovation48,845 166,006 City of Cambridge16,086 13,400 City of Kitchener115,918 116,580 City of Waterloo10,978 11,900 Region of Waterloo 50,000 50,000 Region of Waterloo -Self Employment Program 25,625 10,500 Sponsorships 118,033 49,662 Memberships 400 1,700 Registration Fees 17,562 15,301 Room Rentals 339 339 Miscellaneous Revenue -530 912,542 700,482 EXPENSES Salaries and Wages 440,208 515,040 Administrative Expenses 39,400 51,138 Grants 96,438 285,050 Professional Services 83,609 45,865 Events and Publicity 17,625 27,118 Insurance 1,461 1,392 925,603 678,741 (13,061) Net Profit (Loss)21,741 1 - 5 ACCUMULATED SURPLUS (DEFICIT) 93,114 Opening Balance80,053 Net Profit (Loss)21,741 (13,061) Closing Balance101,794 80,053 1 - 6