HomeMy WebLinkAboutBusiness & Ind - 1995-03-09BIAC\1995-03-09
BUSINESS AND INDUSTRY ADVISORY COMMITTEE
MINUTES
THURSDAY, MARCH 9, 1995
PRESENT:
Mike Itiscott (Chat'), Carl Zehi; Atso Saarkoppel, Richard Lewchuk, Dan
Beach, Tito Gughelmi, Martha George, Elliott Currie, Bob C~ickshanlq
Councillor Berry Vrbanovic, Councillor Christina Weylie, Councillor Tom
Galloway
ALSO PRESENT:
Peter Friedman, John Whelan, Kevtn Matthews, John Whitney, Darren
Shaw, A1 Way, Tom IvIcKay, Councillor Karen Redman, Valerie Gibau~ and
George Borovilos
REGRETS:
John Tibbits, l,inda Kieswetter, David Freure and Wayne Hussey
RECORDER: Sandy Curzon
1. Ministry of Economic Development and Trade
Ivh'. Peter l~%dman, General Manager of Small Business and Domestic Operations and John
Whelan, Manager of Business Start Up Services with the Ministry of Economic Development
and Trade (IV[EDT) were present to give an overview of the Small Business Operations~
IVh'. l~%dman tndicated that the province has focused theh' attention on new business start-
ups and partnm~hips with municipalities such as the case tn Kitchener. He then proceeded
to provide a detailed historical overview of the progra~
He explained the introduction of a toll free 'hot line' which was setup tn 1985 received
1~5,000 calls tn the fh~t year. As well, a free booklet entitled Small Bttsi~ess O~tatio was
published, releasing 100,000 tn its fh~t year. Seminars were then organized tn local
communities across the province charging a minimttm amounk Topics focused on Business
Plans and Record Keeping.
As a result of these seminars, it was determined that funding was not accessible, given that
the entrepreneur and bankers relationships were not put into perspective. He tndicated that
the small business entrepreneur would approach the banker after they had exhausted theh'
BUSINESS AND INDUSTRY ADVISORY COMMITTEE - MINUTES
resource~ The banker on the other hand were saying that they need capital Consequently,
New Ventures was started, which is an investing matching program up to a ma~ximum
$15,000 loam A business plan is required to qualify for the loam To date loans average
3,000 per year.
He also indicated that in 1985 Sell' Help Offices were estabhshed in Kitchener and Ottawa
within the existing ~V[EDT offices, utilizing existing staff. Partnerships were then
established with municipalities, and the City of Kitchener came on board in 1990. Currently
there are 39 centres in Ontario with kiosks and resource centres in smaller municipalitie~
There are also four self-funded centres funded 10070 by the municipality in which they are
located. The goal was to get inlbrmation out to people within their own community.
Research indicates a reduction in small business failure rate~ There are 160,000 enquiries;
300 seminars (8,000 attendees); 1~5 community kiosk~ If resources were available, it is
estimated that ~5 new centres could be established in areas that are ah'eady targeted.
New PI'ograms - 'Clea~qng the Path' have been introduced where the main element is
customer service. Currently the only areas to register a business is in Toronto; where you
either mail your registration form and wait 6-8 weeks for processing or register your business
immediately by doing it in persom The Ministry is currently testing 15 registration centres
which will focus on computerized inputting of registration inlbrmation, which cuts the
response time considerably - within ~ day~ Eventually businesses, funnelling through one
system, will be able to computerize all types of registration including tax requirements owed
to the government of Ontario.
Councillor Weyhe left the meeting
~Vh'. lq¥iedman was asked whether there were any plans in putting more people into the
existing small business centres which are currently staffed by only one individual, for
Economic Development Division
March 9, 1995.
BUSINESS AND INDUSTRY ADVISORY COMMITTEE - MINUTES
example, in the case of the City of Kitchener's Sell' Help Office. Inadequate provincial
resources are unavailable to supply additional staff at this time. What the Ministry would
like to see more of is corporate or federal funding resources being tapped into. Currently
there are 6 larger communities that have 'community partnerships'. Another way of assisting
the centres is to hold ~minars where the money is reinvested back into the program~
It was determined that the businesses with 1-3 years experience don't want to get involved
with the government~ I~ Matthews explained that there k currently a Sell' Help Advisory
Committee established consisting of a lawyer, accountant~ four business representatives,
banker, WLU rep, Conestoga College rep and himself to look at ways of getting partnerships
and events to generate funds to enhance the program in IGtchener. There fhst meeting k
scheduled for March 91st. Committee was asked to filter theh' questions through Kevin
Matthew~
Peter lq¥ieclman, John Whelan, Tom McKay and Kevin Matthews left the meeting
John Whitney, Darren Shaw entered meeting
Economic Development Division
March 9, 1995.
BUSINESS AND INDUSTRY ADVISORY COMMITTEE - MINUTES
Office Space Survey
~V[r. John Whitney of Whitney Somme~eld, provided an overview of a report prepared by his
fh~n, entitled "A Dynamic Region".
Carl Zehi' and Councillor Redman entered meeting
He covered a variety of topics ranging from historical land absoq~tion rates and vacancy rates
tn the tndust~qal, office and retail markets of Waterloo Regiom
Some of the specific points raised included:
Industrial Market
impact of development charges on tndust~qal land sales
impact of ristng land prices tn the early 1980's thi~ the early 1990's
pent up demand tn land sales du~qng the mid- 1980's
assessing t~q~e vacancy rates and functional obsolescence among older, multi-story
tndustaqal buildings
need for zoning to be more flexible tn the re-use of older tndust~qal buildings
higher potential for growth tn Cambridge due to land bank, and Toyota expansio~
Office Market
described office market as being tn turmoil
vacancy rates range across the Region from 3070 tn Kitchener to 1970 tn Guelph
(minimum 10,000 sqft multi-tenant fits within these figures)
estimated that there is approximately 500,000 sqft of vacant office space tn downtown
Economic Development Division
March 9, 1995.
BUSINESS AND INDUSTRY ADVISORY COMMITTEE - MINUTES
Kitchener and expects the situation to get worse
downtown office owners are not happy with this situation
problem of downtoum's perception re. safety and image resulting in tenant relocation
need for courtesy visits to Downtown businesses
currently he has agents working with 19 dilTerent downtown groups looking at
leaving the downtown
suggested one way to improve this situation is to b~qng in uses like Bell Canada~
United Church, and CIBC data centre
Retail Market
retail market is undergoing change with the rise of the big box phenomena e.g., Plqce
Club, Home Depo~ Consumers Dist~qbuting, Canadian Tire in Cambridge
downtown affected when King Centre took the retailers off King Street
importance of niche retail marketing in the downtown
Karen Redman left the meeting
After several questions and discussion, Mike Itiscott invited John Whitney back to a future
meeting to update the committee and discuss some of these ideas further.
3. Economic Development Activities
V. Gibaut brought to Committee a concern on a potential land sale in Lancaster Corporate
Centre. It was pointed out that the architectural design was completed and approved
according to the inlbrmation provided by the City of Kitchener. The concern was that the
13.7 metre setback that MTO requires was not included in the original package to the agent
representing the client What was included was the B-9 by-law which was indicated the rear
Economic Development Division
March 9, 1995.
BUSINESS AND INDUSTRY ADVISORY COMMITTEE - MINUTES
setback as 7.5 meta'es, and therefore prohibits the design from working.
Committee hstened to the design consultants/constrnction fh~n who indicated options that
they wish the City to consider which would meet their chents need~ Their chent is anxious
to proceed with this project to the extent of approving additional funding necessary for the
building of the basement
Committee excused the Contractors and Realtor and discussed this item further in caucu~
4. Task Force
V. Gibuat circulated a Da'Mt Report from Economic Development staff dealing with
departmental suggestions for the Mayors Task Force on the Downtow~ Committee members
are asked to provide input by fax to Economic Development staff. It was pointed out that the
departments were asked for ideas only not recommendation~
5. Next Meeting
Thursday, March 93rd, 1995 - 11:00 am has been selected to finish the items of todays
agenda~
Meeting adjourned 1:90 pm
Next Meeting:
Thursday, March ~3, 1995
11:00 mm. - 1:00 p.m.
Council Lounge, ~nd Floor
Kitchener City Hall
Economic Development Division
March 9, 1995.