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SATURDAY, OCTOBER 15, 2016 SECTION U
ON ON1
Small Business
Week
BOOST YOUR PRODUCTIVITY
The latest in tech tools, U5
> 15 MINUTES OF FAME
JONATHAN NICHOLLS PHOTOGRAPHY
Caddle, Inc. CEO Ransom Hawley, left, and CMO Mick Higgins launched their couponing app last year, which pays users cash to find deals.
Turning heads in the Dragons’ Den
Caddle Inc. negotiating deal with
four of Canada’s top investors
CHRIS LACKNER
SPECIAL TO THE STAR
It’s hard to imagine any animal emerging victorious
against a den of dragons.
Just don’t tell that to this rare breed of Caddle. The
founders of Caddle, Inc. — a digital couponing app —
appeared on CBC’s Dragons’ Den on Oct. 12. And they
certainly had their fairy-tale ending.
“They were very receptive to the platform,” Caddle
CEO Ransom Hawley says of the five business gurus
who hold court on the CBC reality show. “I have
watched every scene of Dragons’ Den. I have dreamed
of being on the show . . . entrepreneurship runs in my family.”
Caddle was seeking $125,000 for a 15per-cent stake in the company. After two
dragon offers that included $120,000 for
20 per cent, the startup tried to lure all
four dragons into their lair. In the end,
four out of the five dragons came together
to make a deal — offering to invest
$125,000 in Caddle for 28 per cent of the
company. The reality TV icons set the
price higher given the group commitment.
Hawley believes they could have had a
five-headed dragon on their side, but venture capitalist Michele Romanow had to
abstain due to a noncompete with her
> NEW BUSINESS
former e-commerce company SnapSaves.
Hawley admits being nervous going into
the den. Given Romanow’s experience in
the sector, he felt she breathed the most
fire.
“She is fierce,” he says. “She knows the
space and I knew she was going to ask the
toughest questions.”
Caddle CMO Mick Higgins had a different take.
He cited Manjit Minhas, co-owner of
Minhas Breweries and Distillery, as the
toughest foe in the studio, and praised her
skills as a negotiator.
They were both in agreement on the
most affable dragon.
Making
your business
sustainable
and meaningful
Corporate social responsibility
should reflect what you offer
your customers and employees
ANDREA JANUS
SCIENCE NINJAS INC.
The keys to entrepreneurial success
CAMILLA CORNELL
SPECIAL TO THE STAR
Anthony Morgan, founder of Science Ninjas Inc., was
spending six to eight hours at a day working at the
Ontario Science Centre. Then he’d come home to
concentrate on his burgeoning business, turning science into performance art for television shows such
as Discovery Channel’s Daily Planet, YouTube videos
(from which he garners ad revenue), as well as events
and cultural venues. His shows have been featured at
the ROM and Ryerson University, and on the CBC’s
CADDLE continued on U4
> DOING GOOD
The Science Ninjas
Inc. team —
Daniel Re, left,
Steven Potvin,
Anthony Morgan,
Dashiel
McGorman,
Emi Johnson —
suited up and
ready for some
street science
action.
Millennials are using different tactics to generate
cash flow and get their business moving
“I think we’d both like to have a beer
with Michael Wekerle,” Higgins says of
the charismatic financial guru.
Since the episode aired, the dragons and
Caddle continue to negotiate a potential
partnership.
No matter the outcome, Hawley and
Higgins already feel like knights in shining armour.
Higgins says the national appearance
has a marketing value of approximately
$1million, and will attract new clients and
investment. Given the two men personally risked $200,000 on their digital venture, that’s already a major victory.
Steven and Chris.
The problem: “Most of the people I
needed to contact were not in the office
when I was able to call them,” he says. So a
couple of months ago, the 30-year-old
took “a leap of faith” and quit his job to
work on his business full-time.
It’s a move many millennials dream of
making. But it’s not for the faint-hearted.
Meridian Credit Union’s 2016 Small Business Banking in Ontario survey found
52 per cent of small-business owners
flagged cash flow as their top concern.
MILLENNIALS continued on U6
SPECIAL TO THE STAR
When setting up a small business, there’s
so much to think (and worry) about — not
the least of which is whether it will get off
the ground. At the outset, it may seem
impossible to integrate corporate social
responsibility (CSR) into your business
plan.
“There’s a huge scale of where companies can be on corporate social responsibility,” says Toronto-based consultant
Carissa MacLennan, who calls herself a
strategist for transformative good.
MacLennan believes businesses can
choose how to incorporate social values
or environmental sustainability into
their model based on the nature of their
work.
She points out there are myriad benefits
to including CSR in a business plan.
In 2013, an MIT Sloan Management Re-
FEAST
Environmental sustainability is a driving
force behind Feast’s CSR philosophy —
that’s why they deliver food on bikes.
view report showed 59 per cent of businesses that integrated sustainability
across three out of four of their business
elements reported seeing profits.
Back in May, an MIT Sloan Management Review report showed that 75 per
cent of senior executives at investment
firms agree that a company’s good sustainability performance “is materially
important when making investment decisions,” while the same percentage cited
improved revenue performance and operational efficiency from sustainability as
strong reasons to invest.
And a Nielson report from 2015 found
that 66 per cent of online consumers said
they were willing to pay more for products and services from sustainable
brands, up from 55 per cent the year
before and 50 per cent in 2013.
CSR continued on U4
U2⎮TORONTO STAR SATURDAY, OCTOBER 15, 2016
ON ON1
SMALL BUSINESS WEEK
> TAPPED IN
Get with the digital marketing program
Engaging company website,
good SEO are ideas that can
help grow your business
MARC SALTZMAN
SPECIAL TO THE STAR
You could have a stellar product or
service, but if no one knows it exists,
chances are your business isn’t going
to survive.
While many small businesses
would agree marketing is a critical
component to any successful company, limited budgets might restrict
how and where you get the word out.
The good news: not only is digital
marketing often less expensive than
traditional channels, such as television and billboards, it’s measurable,
shareable and with a more effective
call to action in most cases.
The following are suggestions on
how to get going.
Good website
The first place to start is to create a
professional website, says Mike Zelyony, an SEO (search-engine optimization) strategist and owner of
Most Exposure, a Toronto-based Internet marketing agency.
“Your first step should be an easyto-navigate website with a straightforward and focused message,” Zelyony says. Using words and photos,
clearly convey what you do, why
someone should choose you and a
clear call to action, he adds.
Marc Gordon, a corporate speaker
and marketing consultant, mirrors
Zelyony’s advice: “Whether you own
a restaurant, make clothes or sell
widgets, your website should be the
backbone of your online presence.”
While social media is important, “it
offers little drips of info, but your
website delivers a deeper dive,” he
adds.
Along with information and contact details, Toronto-based Gordon
— who is often referred to as “Canada’s customer experience expert” —
says it’s a good idea to include testimonials.
SEO
Both Zelyony and Gordon agree that
search-engine optimization is critical to help drive traffic to your site.
There are free ways to ensure people can find your site when searching
by keyword in Google or other search
engines — based on the words on
your website and how the website is
© COPYRIGHT 2016 HP DEVELOPMENT COMPANY, L.P.
Want to drive your business’s digital marketing forward? Make sure you can post updates and generate traffic anywhere and any time.
© COPYRIGHT 1995-2016 SAMSUNG
Having an engaging, mobile-compatible website should be a given, as
consumer expectations are to do it all via their smartphones.
coded — but to rank higher in search
results, a small business often pays
for “pay-per-click” marketing
through Google AdWords and other
services.
“You want to be found by potential
customers, based on your location
and what you do, and there are many
SEO companies that can help increase your visibility,” Gordon says.
Zelyony says Google gives preferen-
tial treatment to websites that load
quickly, have rich and unique content and offer a clean framework.
Mobile, video
Considering more than half of Canadians will access your website on a
smartphone rather than a personal
computer, it’s “essential” your site is
optimized for mobile devices, Gordon suggests.
“We all walk around with Internetconnected smartphones and if
someone wants to find information
online, they aren’t going to wait until
they’re at home and in front of their
computer,” Gordon says. “And so
your website has to display properly
on a 4- or 5-inch screen. If not, it
could have a negative impact on the
potential customer.”
“Not being optimized for mobile
could also affect how Google ranks
you,” Zelyony adds. “In other words,
it’s a double-whammy: not only will
people be turned off your brand with
a site that doesn’t look good on a
smartphone, such as buttons too
close together or links that are too
small, but you’ll be penalized by
search engines for not being mobile
friendly.” Zelyony says if there are 10
bike shops in Toronto and three
aren’t mobile friendly, those three
have a lesser chance of being on the
front page of search results.
He says to be sure your business is
listed with Google My Business,
which includes Google Maps, to help
customers easily find you — and it
doesn’t cost you anything.
Awebsite with video also helps with
SEO, Zelyony says. “As long as these
videos are good — short, professional
and with engaging content — it can
really help with your digital marketing efforts, and also help with your
search ranking.”
Social media
Social media is where Canadians are
congregating online, so it’s essential
for a small business to have a presence on one or more platforms.
Gordon says the platforms you
want to be on will depend on the
business you’re in and the kind of
exposure you’re after. “If you’re a
consumer-facing brand, then Facebook, Twitter, Instagram or Pinterest might be best for you, while a
business-to-business company may
want to leverage LinkedIn.”
You want to be on social media to
promote your brand, attract new
business and retain existing customers with engaging dialogue.
It’s free to get going on social platforms, and if and when you’re ready
to spend money to build your brand,
it’s quite affordable and can be highly
targeted, such as paying to get in
front of people in a certain age bracket, in a particular part of the city and
with a specific annual income.
> KEEP PACE
Managing growth to
keep business on track
There are steps you can take
well in advance to ensure
you keep a hold of the reins
NANCY RIPTON
SPECIAL TO THE STAR
If you’re a small-business owner
coming out of a growth phase, you’re
not alone. In 2015, 86 per cent of
small businesses in Ontario reported
growth, according to the 2016 Small
Business Banking in Ontario survey
by Meridian Credit Union.
However, the survey indicated this
number dropped by 11 per cent in
2016 because of concerns over cash
flow, economic uncertainty and an
unstable real estate market.
Here’s a look at how companies can
protect themselves during a growth
phase, thrive during a downturn, and
be proactive instead of reactive:
Communicate change effectively
to your team
Every company needs a communications strategy. “Change is an inherent part of the day for owners and
managers,” says Ruth van Vierzen,
founder of the recently launched
business development company
REV2 Business Growth Agency in
Peterborough, Ont. However, if
you’re not at a managerial level,
change isn’t part of your day-to-day
activities and it can make people nervous. If employees don’t understand
why change is happening they can
assume the worst, and that fear can
have a negative impact on your company. “I’m a big believer in staff meetings,” van Vierzen says. Do a weekly
recap with your team and celebrate
growth victories regularly, she recommends. If your office is remote,
conduct regular webinars and use
Skype to keep staff informed.
Maintain high-quality talent
Set out a future-focused human resources plan to determine who you
need, and what skills are required, to
do what job. This is valuable for succession planning and when hiring to
find the right fit for new roles at the
best time, while accommodating the
company’s growth.
Mind mapping — an exercise where
you brainstorm ideas, make an action plan and present it to staff — can
help you manage goals for the next
five years and ensure that you have
sufficient talent to fill key roles. The
mind-mapping process streamlines
work processes, saves time, reduces
information overload and boosts
overall productivity.
“I’m a big believer in outsourcing,”
says van Vierzen. “It affords companies a way to support growth without
over-hiring.” You can outsource specific jobs, and also things like payroll
and job search. Hiring freelancers is
also a great way to “test” out employees and make sure they’re the best fit
for your company.
Maintaining talent can be especially tough for companies that are “selfbranded” such as Your Power Yoga, a
GTA-based mobile yoga service
owned by Ashley Burton.
“I’ve created an eight-week mentorship program to ensure new instructors are consistent with my ‘formula’ of teaching,” says Burton.
Business has surged because of
Burton’s personality, knowledge and
her ability to connect with her clients. While she can pass some of that
onto a small team (there are currently 10 instructors, and more in the
training program), the challenge is
being able to maintain a high quality
of instructors as she makes plans to
expand to other Ontario cities and
eventually New York City (target
date is next year).
“She’s the brand of the company
and it’s hard to copy your own
brand,” says van Vierzen, when
asked about Burton’s struggle to
maintain consistency of service and
experience for her clients.
ISTOCK
Any changes being made to a company due to its growth should be discussed openly with all staff, experts say.
Van Vierzen adds that Burton
would benefit from setting up biannual training conferences and creating a program to praise and give feedback to key instructors. She could
also set up territorial directors in the
major hubs to keep instructors motivated and potential hires up with
training.
Maintain good customer service
A decline in customer service as
business booms, or becoming complacent during a growth phase, can
be a deal breaker for companies.
“Companies need a team of customer service ambassadors who are
proactive about growth and customer service,” van Vierzen advises. You
need a plan in place to satisfy customer needs and be able to tweak
that strategy as you move along and
business grows.
Implement a quality-control standards policy and make sure that you
don’t lose sight of your company’s
vision, mission and principles.
If customer service starts to decline, it’s a sign that you’re growing
too quickly and you may need to take
a step back.
Manage your budget
In the early years, startups are typically tight on cash, without much
wiggle room when it comes to spending. But as periods of austerity set in,
it can be tempting to loosen the reins
and overspend.
“Rely on the advice of your financial
team,” says van Vierzen. Understand
your finances and have regular meetings, keep up a conservative approach to spending and manage the
cash you have on hand so it’s there
when needed.
“Cut your expenses, tighten operations and don’t overspend your surplus unless it’s necessary,” says Geordan Robertson, director of small
business for Meridian Credit Union.
“Try and invest the surplus if you
can.” You should also stress test your
finances by finding out what your
payments would be if interest rates
went up, let’s say 2 per cent. Try to
spend as if interest rates were slightly inflated. A borrowing strategy
should also be established. As a general rule, loans are for big ticket items
— property, rentals and big equipment — and lines of credit should be
money you only use in a downturn.
“If you use up your line- of-credit
when times are good on rent or other
big ticket items you won’t have any
money available when times get
tough,” Robertson says.
Ask if your growth is sustainable
Regularly question whether your
company’s growth plan is sustainable in terms of both internal resources and external factors.
“Regular, honest sustainability assessments will help curb overspending during growth periods and make
for better, more informed decisionmaking,” says van Vierzen. Keep the
process simple and identify growth
factors with your entire company,
mapping out internal and external
areas for expansion. Discuss your
growth with everyone on your team
and get their input. If you ask pointed questions about workload and
customer service complaints to
front-line staff, you’ll get insight into
how sustainable your current
growth path is. “My goal is to check in
regularly (either by phone or in person) with both instructors, and clients, to make sure everyone is happy,” says Burton.
SATURDAY, OCTOBER 15, 2016 TORONTO STAR⎮U3
ON ON1
SMALL BUSINESS WEEK
> THE ROOTS
Following her family’s entrepreneurial footsteps
Kim Niles recognized a need
and launched her own
beauty product line to fill it
GEORGIE BINKS
SPECIAL TO THE STAR
If you’ve ever wondered how to make
your dreams come true, why not take
a page out of Kimberly Niles’ book —
her dream book that is. Because
that’s what Niles, who came to this
country with $80 and a baby daughter, calls the key to success.
“Write down your dream and stay
focused on it,” she says. That’s what
she did. Today, she runs her own
beauty supplies company.
Niles emigrated from St. Lucia five
years ago at the age of 28. She’d been
raised, along with her two brothers
and sister, by her grandparents on
the Caribbean island and enjoyed a
happy life until a romantic relationship turned sour.
“My life was good back home. I had
a very good job (as a customs officer),
I was moving up the ranks, but I
couldn’t stay in the relationship.”
After arriving in Canada, Niles
landed at a women’s shelter in Toronto, which helped her find an
apartment, also arranging for an internship with Imagine Canada, an
organization that supports Canadian
charities and non-profits. Already
armed with a degree in information
technology and an associate degree
in business, Niles earned a diploma
in network administration from Toronto’s Everest College. Still, she
struggled to get full-time employment, finding contract work instead.
Following in the footsteps of her
grandmother, a seamstress, and her
mother, who started two small retail
businesses, Niles decided to pursue
her dream.
Niles launched Kym Nylz (kymnylz.com) in March, selling her first
two products — a virgin coconut oil
and a castor oil designed for hair
skin, hair and scalp. They each sell for
$12.99.
“They’re all natural, no chemicals,”
she says. Niles tests her products on
her friends and has been selling
them out of her home, online and in
local beauty supply stores. “I approached various beauty supplies
and pitched my business to them; a
few decided to give me a chance,” she
explains. “I also sell to my family,
friends and the church community.”
A driving force behind the business
was Niles recognizing a need among
her diverse clientele. “Canada is multicultural so my clients are from different backgrounds — Asian, Caribbean, European.”
Her products are ideal for thicker
hair, although those with thinner
hair can use them. Nile consults with
customers on how they should use
her products.
Customer Sherry Noel, uses the
products on her daughters. “My eldest, 6, has thick hair so I use more
castor oil on her hair and less coconut oil. My younger, 2, has hair that is
not as thick so I use more coconut oil
and less castor. The products help to
moisturize and seal the hair.”
Employed as a teaching assistant in
Scarborough, Niles’ free time is
spent developing new products —
when she’s not caring for her 5-yearold daughter, that is.
Niles plans to have a total of 10
products ready to sell by the end of
this year and add to her roster of
retail distributors, which include
seven GTA stores — Kyroché Hair
Products & Beauty Supplies, Beauty
Supply Superstore and Juliana
Beauty Supplies, to name a few.
“The product is selling extremely
well, customers are loving the oils,”
says Liane Mercier of Kyroché Hair
Products & Beauty Supplies. “We order weekly and are very happy to
support local entrepreneurs.”
Striking out on her own hasn’t
come without challenges. “The scariest part for me was when I didn’t
think that I could start my own business in Canada,” Niles admits. “I
didn’t have a social network.”
Working with Toronto-based career coach Sue Austen, whom she
was set up with through the shelter
and support group Up With Women,
gave Niles the support and confidence she needed to move forward.
“Getting a career coach was a miracle. She understood what I really
wanted to do,” Niles says.
“Kim has a gift of creativity and an
inner drive that has been more than
tested over her lifetime,” says Austen. “She’s such a wonderful role
model for all women.”
Niles advice to other aspiring entrepreneurs would be to stay focused
and plan, plan, plan.
“Details may change and send you
back to the drawing boards, but that’s
the business world,” she says.
“Have confidence in yourself and
your business.”
JON NICHOLLS FOR THE TORONTO STAR
Business owner Kim Niles launched her beauty product line — Kym Nylz — for the hair and skin in March of this year.
BDC is where you need us to be: right there with you.
There are a lot of different ways to grow a business. As the only
bank devoted exclusively to entrepreneurs, we’re there to give you
the financing and advice you need to steer yours in the right direction.
See how we can help at bdc.ca
financing.
advising.
drive.
U4⎮TORONTO STAR SATURDAY, OCTOBER 15, 2016
ON ON1
SMALL BUSINESS WEEK
> GETTING AN IPO
Get your ducks in a row before going public
NANCY RIPTON
SPECIAL TO THE STAR
How many small business owners
refer to their company as “my baby?”
And like any caring parent, a business owner wants what’s best for
their child, but can find it tough to let
go of control. However, unlike children, not every company should
“leave home.”
“You really need to look at your
reasons for going public,” says Sean
Zaboroski, a lawyer with Sunmark
Law Professional Corporation, and
principal of Law Genie, a business
law firm that assists entrepreneurs
with securities law and public company listings. Knowing the pros and
cons of going public is the first step
toward setting up your small business for an IPO.
Planning matters when prepping for an IPO. Getting your company’s financials in order is the first step.
Knowing your why
Your main goal in going public will
always be to access capital. “Public
companies are just more appealing
for investors,” says Zaboroski. If you
need more liquid investments it will
be very difficult to convince investors, especially ones who aren’t personally close to you, to give money to
a private company.
Other small business owners may
choose to go public because they
want an exit strategy to gain access to
more liquid cash or to diversify their
net worth.
Going public can have sex appeal
for certain companies — especially
those that are web- or retail-based.
“You can enhance the status of your
company by going public,” says Zaboroski. “Many investors and clients
will like the fact that you’re listed on
the stock exchange.”
For Oakville-based small business
owner Terry Frendo, there is another
reason to look at going public. “For
me, going public is not just about the
money,” says Frendo, CEO and publisher of IFM Media Inc. “The investors would need to bring something
else to the table.”
For going public to make sense,
Frendo would need a celebrity investor or someone with digital space
who would bring a new element to
his company.
ISTOCK
Ruling out the drawbacks
If going public looks appealing to
your company, it’s time to analyze
the potential drawbacks (and there
are quite a few), to see if getting an
IPO truly makes sense for your company in the long term.
First, going public is expensive. Expect to pay a minimum of $60,000 to
$470,000 for a straightforward, nowrinkle IPO listing that takes about
100 days. A TSX venture listing, for
example, can cost upwards of
$150,000. Do you have enough funds
to cover this? Where are the funds
coming from and is the benefit of
going public going to be worth the
upfront expense? Funds could come
from a variety of sources — including
self-financing, raising capital
through investment or by using the
company’s equity.
If getting an IPO makes financial
sense, you need to decide if a public
company fits with your personality
and the way you want to run your
business. “Right now, I’m one person
with a voice and a vision,” says Frendo. “I love what I’m doing and don’t
want to be limited by a board.”
When you go public, you will need
at least two independent directors,
who don’t have a large stake in the
company, on your board of directors.
You’ll also need to pass decisions by
an auditor and a lawyer.
Early IPO planning matters
If going public is truly in the best
interest of your company, it helps to
plan ahead. The first step is to get
your finances in order. Start keeping
proper records, as if you were being
audited, accounting for every receipt
and all income. Hire an accountant,
who has experience working with
public companies and a deep understanding of the company’s responsibility to shareholders and the public
at large.
“You’ll need up to three years of
audited statements,” says Zaboroski;
so keeping your books in good order
can save a lot of time and headaches.
Start building your team. Find an
investment banker or underwriter to
help gather investments. You want
someone who is interested in your
story and really wants to see you
become a success.
It also helps to get as much private
traction as possible, as it will give
your company a higher valuation upon going public. Going public
shouldn’t be a first step; you should
always exhaust all your private
sources of funding first.
Start looking early for a lawyer who
will be your “quarterback” and work
with your company to execute the
IPO, handle costs, deal with auditors
and help search for your board of
directors.
Just like building your business,
you need the right team in place to
make going public a smooth and successful transition.
Customers care about social values
CSR from U1
Those consumers are typically vocal on social media platforms, MacLennan says, which could translate
into free advertising for a small business “that probably doesn’t have a
large marketing department.”
And integrating CSR into the model
can help with hiring. The majority of
respondents to a 2012 study by Net
Impact identified having a job with a
positive impact as an important life
goal. And, 65 per cent of college students said they wanted to make a
positive social or environmental impact in their work. The founders of
the food delivery service Feast know
all about the benefits of integrating
CSR, which they did from the get-go.
“At the founding root of what we
wanted to create was something that
was going to be based on some great
principles in terms of doing well both
as a good corporate citizen to the
environment and to the business
community at large, as well as to our
own employees, too,” says Feast’s
chief marketing officer, Paul Cowan.
Once they determined those guiding principles, they settled on best
practices to fulfil them, particularly
environmental sustainability (the
food is served in compostable or re-
cyclable packaging, delivered on
bikes or in electric cars and the ingredients are locally sourced); and the
treatment of staff. They are also provided with meals after shifts. Kitchen
staff enjoys more consistent nine-tofive work days, which are uncommon in the hospitality industry, giving them “great work-life balance,”
Cowan adds.
If purchasing electric vehicles for
their delivery fleet was a little costlier, Cowan says, rebates under the
province’s Electric Vehicle Incentive
Program (EVIP) — which pays thousands of dollars to individuals and
companies that purchase electric vehicles — helped ease that burden, as
does the ongoing exposure and attention that is generated by the company’s practices.
People stop delivery personnel in
the street asking about the BMW i3
car or the Dutch cargo bike with custom boxes, which gets them talking
about Feast, and spreads the word
about the company and its mandate,
making the fleet “quite literally moving billboards,” Cowan says.
“There’s an absolute trend in the
market where people are looking to
support local, they are looking at being able to work with companies that
have a much more trusted and reli-
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able supply chain network in place,”
he adds.
While it’s ideal for a company to
integrate CSR from day one, it
doesn’t always happen that way,
notes Kernaghan Webb, founding director of the Institute for the Study
of Corporate Social Responsibility
and an associate professor of law at
the Ted Rogers School of Management at Ryerson University.
He cites the example of the Body
Shop, which started as a small cosmetics business with a founding
principle that products would not be
tested on animals. As her business
grew, founder Anita Roddick added
other principles, including ingredients be harvested in environmentally sustainable ways, and that workers, particularly women who were
harvesting ingredients or making
products, be paid and treated fairly.
This method is laudable, Webb says,
“because you don’t get overwhelmed
by all the possible things that you
could be doing from the beginning.
Instead, in an intuitive way you end
up handling things in the priority
that they appear before you.”
On whatever timeline CSR is factored into a business plan, Webb
says, the key is to have a product or
service that people want to pay for.
FEAST
Feast, the food-delivery company, includes environmental sustainability
into its business by serving food in compostable or recyclable packaging.
Corporate social responsibility (CSR) 101
Integrating corporate social responsibility into a business starts with
establishing your company’s core
values, says consultant Carissa MacLennan.
“What type of world can your business help build?” MacLennan asks
clients. “And then what values are
associated with that that you can
integrate into your business?”
The next step is to take those values
and clearly define your company’s
mission statement, which “becomes
the compass for the company-making decisions,” she says.
Then, look at all of the company’s
business functions and determine
what can be done in each to fulfil that
mission statement.
It’s important to monitor the performance of each action step, MacLennan adds. If they aren’t having the
desired effects, “you might need a
different approach.”
CSR should include your company’s
employees.
“It’s difficult to ask your team to rise
above for the greater good if they are
not feeling like they are necessarily
being treated to a higher standard,”
she says.
Tips courtesy of carissamaclennan.ca
Appearance
on show will
help Caddle’s
network grow
CADDLE from U1
The perks of a dragons’ deal coming
to fruition are numerous. The biggest opportunity is access to their
diverse and massive networks, Hawley and Higgins explain. For example, Minhas could connect them
with the beer and spirits industries,
whereas Jim Treliving could help
Caddle access the food (Boston Pizza) and service (Mr. Lube) industries.
Caddle hopes to grow its herd. The
big draw of the national couponing
app? Its users can save and earn
money at the tap of a smartphone
(app is available on all major devices). All they need to do is watch ads,
answer short surveys and questionnaires and post to social media.
They’re paid for their opinion. In a
digital age where everyone seems
compelled to share every thought, it’s
almost like earning money to
breathe. An era of instant gratification needs instant awards.
Hawley says Caddle gives coupons a
new, “dynamic platform.” Users receive savings and cash back through
a combination of engagement, feedback and purchases. Unlike traditional coupons, the app’s weekly offers aren’t just for consumer-packaged goods. They also cover food, retail and entertainment. As Hawley
CBC
Caddle, Inc. CEO Ransom Hawley, right, and CMO Mick Higgins appeared
on CBC’s Dragon’s Den on Oct. 12.
puts it, users can save money “in all
aspects of their life.”
The company’s site claims users
can earn roughly $20 per hour of
engagement, but they must watch
full ads and complete questionnaires
(e.g. 10 cents cash back for a pumpkin
spice survey). They need to earn at
least $20 before they get paid. By
purchasing a product and uploading
their receipt they receive higher savings.
Higgins says Caddle also eliminates
the “stigma of cutting out a coupon.”
Users just need to take a picture of
their receipt for reimbursement. He
says Caddle is also a win for advertisers because it provides a rapid way to
connect with consumers and get
feedback on products. The app elim-
inates the need for increasingly outdated tools such as expensive, timeconsuming market research, including focus groups or telemarketing.
The coupon may “predate all modern advertising,” as Higgins puts it,
but it has a new medium and message. Engagement with brands is the
name of the game. The app isn’t designed for a passive audience. Caddle’s message to potential users:
throw out your flyers, put down your
scissors and pick up your smartphone.
The app officially launched in late
2015 but, after battling the dragons,
who knows what adventures lie
ahead. If Hawley and Higgins have
their way, everyone will soon be joining the herd.
SATURDAY, OCTOBER 15, 2016 TORONTO STAR⎮U5
ON ON1
SMALL BUSINESS WEEK
> PRODUCTIVITY
GADGETS
TO
KEEP
YOUR
BUSINESS
ON
TRACK
These tech tools cover it all for the on-the-go, always-online entrepreneur
MARC SALTZMAN
SPECIAL TO THE STAR
Given the speed of business today,
you can’t afford to stand still.
Whether you’re a sole entrepreneur
or run a small startup, you need to
stay on your game, pivot when necessary and rely on tech tools to help you
get more done in less time. This is
especially true when you’re on the go,
yet still need to manage your business remotely.
There’s no shortage of smart devices to help you stay productive, organized and in touch with colleagues.
The following is a look at a half-dozen
top-rated gadgets to help propel your
business forward and remain a step
ahead of the competition.
Thin is in
Fashion meets function with the HP
Spectre ($1,799), the world’s thinnest laptop at just a couple of millimetres thick. Boost your productivity without weighing down your backpack, briefcase or purse. And despite
its svelte form, it boasts some serious
horsepower, including an Intel Core
i7 processor, eight gigabytes of system memory (RAM) and 256 gigabytes of solid-state storage. Dualband 802.11ac Wi-Fi provides a strong
and reliable wireless connection,
while you’ve got three USB Type-C
ports to connect multiple devices.
Moment of Zen
If you’re looking for a premium
smartphone without the premium
price tag, the ASUS ZenFone 3
($429 unlocked) is a stunning
5.5-inch Android device with Full HD
resolution, 600 nits of brightness for
easy outside viewing and durable
Gorilla Glass on the front and back of
the phone. Along with expandable
storage via microSD card, the ZenFone 3 offers a dual SIM tray, so you
can pop in a second SIM (phone
number). A fingerprint sensor on the
back of the ZenFone 3 adds an extra
layer of security. The phone also
packs an impressive 16-megapixel
camera.
The Livescribe 3, $249
Lenovo Yoga Tab 3 Pro, $599.99
SanDisk Connect Wireless
Stick, $69.99 for 32GB
HP Spectre, $1,799
ASUS ZenFone 3, $429 unlocked
Epson Expression ET-2550
EcoTank All-in-One, $399
Proud to share our ad space
with businesses like:
Tanks a lot
Ideal for a small office and home
office, the Epson Expression
ET-2550 EcoTank All-in-One ($399)
lets you print for up to two years
before you need to refill the ink tanks.
This Wi-Fi-enabled inkjet printer/
scanner/copier has an ink yield of up
to 4,000 black and up to 6,500
colour prints, and can print up to
9.2 pages per minute for black and
4.5 pages for colour. When it is time
to replace the ink, it’s just $18 per
bottle. Travellers can also access this
“all-in-one” remotely, such as printing docs from your smartphone while
running through an airport.
Dually noted
A Princeton/UCLA study found
those who write notes by hand recall
the information better later compared to those who type out their
notes. But that doesn’t mean tech
can’t give you best of both worlds.
The Livescribe 3 ($249) is a smartpen that records everything you write
on special paper and all your notes
are then wirelessly synced to the
Livescribe app on a nearby smartphone or tablet. Swipe your notes on
the phone or tablet screen and your
handwritten words will be converted
into text before your eyes; the app
also syncs recorded audio at the
same time as your notes.
Stick it to me
An ideal travel accessory — especially for mobile devices you can’t
add more memory to — the SanDisk
Connect Wireless Stick ($69.99 for
32GB) emits a Wi-Fi Direct signal,
allowing multiple phones, tablets and
laptops to access content at the
same time. After you load it up with
files from your PC or Mac, unplug it
and take it to go — now press the
small button and you can access
everything wirelessly via the free
SanDisk app. You can also wirelessly
back up photos from your phone to
the drive, and delete them off your
device to make more room.
Keeping tabs
When is a tablet more than a tablet?
When it’s also a projector for a
boardroom or hotel room. Say, what?
The Lenovo Yoga Tab 3 Pro
($599.99) is a stunning 10.1-inch
Android tablet with a trick up its
sleeve: press a button on the side of
the device to splash a movie, TV
show, photo slide show or PowerPoint presentation onto your wall up
to 70 inches. This Intel-powered
32GB device also has a built-in kickstand, front-firing JBL speakers,
expandable memory, dual cameras, a
screen you can write on with virtually
any object and a killer battery that
lasts up to 18 hours between charges.
TD Small Business Banking.
The Official Partner of Big Dreams.
We’re committed to helping small business grow.
That’s why in addition to sharing our ad space we
offer advice, support, and complete small business
solutions. With our help more and more small
businesses are realizing their dreams. You can too.
Help your small business grow at
td.com/smallbusiness
The Toronto-Dominion Bank and its affiliates are not liable or responsible for the products, goods or services offered by Operation Groundswell. All trade-marks are the property of their respective owners. ® The TD logo and other
trademarks are the property of The Toronto-Dominion Bank.
U6⎮TORONTO STAR SATURDAY, OCTOBER 15, 2016
ON ON1
SMALL BUSINESS WEEK
Fintech is here to increase your cash flow
A new way to fund
your small business,
and banks are taking notice
ERIK HEINRICH
SPECIAL TO THE STAR
Achamma Mathews divides her time
between two gorgeous wine regions:
the Niagara Peninsula in southern
Ontario and Hunter Valley in New
South Wales, Australia. The first is a
half-hour’s drive from iconic Niagara
Falls, the other is two hours north of
Sydney.
What would be an enviable lifestyle
for most is just part of the job for
Mathews. As founder and CEO of
Vineland, Ont.-based 360Growers
Inc., she has built a company that has
developed what is perhaps the first
cloud-based software solution for effectively managing wineries around
the world — from grape to bottle.
Opening an office in Australia — a
bigger and more mature wine producing country than Canada — was
critical for giving Mathews credibility as she prepared to launch her
software service into a notoriously
fickle industry.
Getting the necessary financing,
however, was less than straightforward. It’s a familiar challenge for
many small business startups like
360Growers, which have lumpy cash
flow and an uncertain future.
“When you have good cash flow, all
financial institutions will be after
you to take their loans,” Mathews
says.
“But if you are a startup struggling
with cash flow, it’s another story.”
Mathews, a serial software entrepreneur, ended up obtaining a loan of
less than $50,000 from Torontobased Lendified.com, a fintech company specializing in providing working capital of between $5,000 and
$150,000 to small businesses in as
little as 24 hours. A large portion of
the credit applications it receives on
its web portal come from millennial
entrepreneurs, typically on their
smartphone or tablet, outside banking hours.
“Software and related industries
are an increasingly dominant part of
the economy,” says Lendified founder and CEO Troy Wright, who was
executive vice-president of retail distribution at Bank of Nova Scotia before starting Lendified with two
partners. “But it’s difficult for traditional banks to lend money to them
because they typically don’t have
hard assets.”
Lendified is able to overcome the
hurdles that prevent most borrowers
from approving small business loans
with an automated algorithm that
delivers faster credit decisions than
human adjudication. That’s because
Lendified’s proprietary software utilizes powerful analytical tools that
360Growers Inc. founder Achamma Mathews, left, received a loan of less than $50,000 from Toronto-based fintech company Lendified.com.
“The domestic fintech sector has
to date loaned about $1 billion
to small businesses in this
country.”
TROY WRIGHT
LENDIFIED FOUNDER
include a review of the applicant’s
demographic profile, payment capacity and a deep web search to weed
out money launderers and drug traffickers.
It then maps this data against hundreds of thousands of companies in
the same industry to predict the
chances of a favourable outcome.
Lendified has received more than
$50 million in loan applications
since launching in August of last
year, and expects that figure to more
than double in the next 12 months.
“The domestic fintech sector has to
date loaned about $1 billion to small
businesses in this country,” says
Wright, who estimates that figure
will top $2 billion by the end of 2017.
“This has created tens of thousands
of new jobs in Canada and contributed significantly to GDP.”
Canada’s major banks are growing
increasingly interested in fintech, also known as financial technology.
Earlier this year, Scotiabank partnered with Atlanta-based fintech
Kabbage to give its customers in
Canada and Mexico an online portal
for making quick small-business
loans up to $100,000.
“We continue to enhance the Kabbage offering with improvements
based on feedback,” says Scotiabank’s director of communications
Sean Hamilton.
“Our next phase will be to expand to
more customers, both new and existing, after a pilot period of approximately six months.”
Lendified is also in discussion with
financial institutions in Canada and
the U.S. to license a similar solution
for small-business borrowing.
“Our technology platform is essentially borderless and has wide applicability,” says Lendified president
Kevin Clark. “Any financial company
dealing with small businesses and
credit risk, from large banks and
credit unions to insurance underwriters and leasing operators, can
benefit from it.”
When Cher Grant approached Lendified last winter for a loan to grow
her cloud computing and online services business, she applied on her
laptop in the morning and had the
money she needed in her account by
end of day.
“As a small business, it’s hard to find
someone willing to give you a shot,”
says Grant, founder and CEO of Toronto’s Wazzio Inc. “Lendified took a
chance on our model, which is helping businesses grow.”
Wazzio, a company with 10 employees and under $1 million in sales,
caters to B2B resellers of IT equipment who want to bundle hardware
with software services such as Skype
for business, Office 365 and document sharing.
It needed a loan of under $50,000 to
add important features to its webbased portal, including a callback
button to expedite support and the
ability for resellers to create their
own business networks.
These improvements have opened
up new conversations with technology giants Microsoft, CallTower and
Tech Data, says Grant.
“Lendified was great for us,” she
adds. “They were there when no one
else was.”
Says Lendified’s Wright, “Providing
a frictionless experience for the customer and rigorous decision-making
at the back end is a winning combination for everyone.”
Don’t rush to quit your
day job, expert says
MILLENNIALS from U1
When it comes to opening your
own business, “It pays to be prepared,” says Toronto-based personal
finance expert and blogger Barry
Choi, 34.
Read on for tips from those who’ve
been there and done that.
Build an emergency fund
Before launching your business, pay
down debt and build some cash “so
you have a buffer” to get you through
those early days.
Choi advises setting up an automatic withdrawal plan that feeds into a
separate savings account, even if
you’re only setting aside $25 a paycheque.
Don’t rush to give up your day job
Daniel Lewis, 28, the co-owner of
T by Daniel Inc., which sells a range
of specialty teas through farmers’
markets and a small retail shop, was
so enthusiastic about his new business that he quit his managerial job
at Domino’s Pizza cold turkey in 2011.
“Wrong, wrong, wrong,” he says. “I
lasted about three months. And then
I had to get some work again.”
Working through a temp agency
proved the perfect compromise for
Lewis. It allowed him to focus on the
business and take work when he
needed it to pay personal bills and
upfront business expenses, like incorporating and logo design.
Unless you’re independently
wealthy, “the move to entrepreneurship should be a transition,” he says.
“Let your job fund your business.”
Watch your everyday expenses
Keeping your personal expenses
lean can give you time to get your
business up and running, Choi says.
But in order to cut back on costs, you
have to know what you’re spending
in the first place.
“Track your spending and then take
adetailed, analytical look at what you
can adjust,” he suggests, whether by
cutting back on cellphone expenses,
jettisoning the vehicle to take the
TTC or nixing the daily non-fat Chai
latte.
Morgan shops in independent grocers rather than big-box chains.
And he lives on the border of North
York and Scarborough, where he
pays just $500 a month for rent.
“That’s very affordable,” he says.
“But I’m still accessible to the city.”
CBC
Turn that “stuff” into moolah
Worn clothing, DVDs, furniture, cellphones and collectibles can all yield
cash thanks to Craigslist, Inc., Kijiji
and consignment stores, Choi points
out.
As a guy who sold his action-figure
collection online, he feels your pain.
But, he says, “You’re using that money to reach your next goal.”
Get a credit card that turns
purchases into cash
Choi is a Loblaws/No Frills shopper,
so he uses a PC Financial World Elite
MasterCard to earn points on purchases that can be used toward free
groceries.
If your job requires lots of business
travel, on the other hand, you might
look for a card that gives you travel
benefits, he suggests.
And make sure you know exactly
what you’re getting to avoid duplicate payments. “If your card includes
travel insurance, there’s no need to
Anthony Morgan, right, during an appearance on CBC’s Steven and Chris in 2013.
pay for that,” Choi says.
His caveat: no matter which card
you choose, pay your bills on time or
the interest you pay will more than
outweigh any benefits.
Get a spot in an incubator
program
Toronto has many business incubators and accelerators that aim to help
startups get off the ground.
They can provide access to valuable
perks such as shared equipment and
services.
Morgan, for example, operates out
of Ryerson University’s Transmedia
Zone (TMZ) lab, which gives him
free office space, access to cameras
and lighting equipment to make videos and student interns who are eager to help.
By using the lab, he has student
status, “so I get a discount card on my
Metropass and restaurants,” he says.
And there are lots of startup-related
workshops offered through the Zone
giving free advice — and food.
“You get to learn a little bit more
about how to run a business,” says
Morgan, “but you also get some free
pizza, which is pretty cool.”
Consider your cuspids
“The reality of running a small company is that you may not have health
or dental insurance,” Morgan says.
“You need to think of ways to manage that ahead of time.”
If you have a spouse with benefits,
that’s a bonus, he says.
But there are cheaper ways to get
dental work done as well, namely
becoming a guinea pig for students at
a school.
“Just this morning, I was at the U of
T dental school,” Morgan says.
“You can get discounted dental
work done there and they have profs
overseeing the students to make sure
it’s done right.”
Put aside money for taxes
Guess what?
Your obligation to the taxman
doesn’t go away just because you’re
self-employed.
“As soon as I get paid, I put aside
25 per cent of that money for taxes in
aseparate account,” Choi says. “And I
don’t touch it.”
Get by with a little help from your
friends
“You feel a bit breathless when you
give up your day job,” Morgan says.
“It helps to have people around you
who can support you mentally and
maybe take you out to lunch now and
then.
“You have to be humble and willing
to accept help from anyone and everyone who offers it.”
SATURDAY, OCTOBER 15, 2016 TORONTO STAR⎮U7
ON ON1
CIBC
SPO NSO RED CO NTENT
THE SAFETY
CULTURE
MOVEMENT
Halifax business seeks to modernize workplace safety
F
or 20 years, Stephen and Bryan Sayle
lived and worked in various places
around the world, Stephen in safety-risk
management and Bryan in digital IT
design. Whenever they could, the two
brothers would meet in pubs in obscure
places and talk about merging their
backgrounds.
Two years ago, they did just
that, forming Sayle Group Inc.
(saylegroup.com), a health, safety and
environmental company that is helping
companies promote a culture of safety
within their organizations. “There was
a real need for two things,” explains
Stephen Sayle, CEO of the Halifax-based
company, “a broad-based safety-culture
movement and to bring digital technology
into what primarily has been a paperbased industry.”
Strong or weak
Every business has a safety culture, he
says, and it’s either strong or weak. If a
safety culture is weak, Sayle explains,
it exposes a company to incidents and
injuries, high costs and staff turnover —
even potential fines and imprisonment.
“A strong safety culture is your most
reliable defense against incidents,”
he says. “It is the positive belief that
everyone has the right to go to work, do
their job well and come home safe.”
While that’s ostensibly what everyone
in the workforce wants, the Sayles felt
that the concept of a safety culture
Stephen Sayle, CEO of Halifax-based Sayle Group Inc., says a culture of workplace safety is a company’s best defense against injuries, turnover and other challenges. CHRISTIAN LAFORCE
could be stronger — and there needed
to be digital tools to help a younger
“Everyone has the
right to go to work,
do their job well and
come home safe.”
generation of workers grasp it. “What
we identified was not uncommon in
many industries,” says Sayle. “There’s
a demographic shift occurring where
very experienced veterans are starting
to leave the workforce, and coming in is
a new generation of young tech-savvy
workers. We wanted to take the years of
experience and put it in a medium that
the younger generation can use fluently.”
Losing the paper trail
The company consults in health, safety
and environmental risk management, and
they are building safety apps to put in the
hands of employees to reduce or eliminate
paper-based safety management systems.
“My brother did not believe that safety
was so paper-based until I sent him out
to a couple of drilling locations in the
Our advisors can help design a cash flow
solution for your business.
Save up to $700 on a combination of business solutions.*
For any business to grow and thrive, it needs access to cash. A CIBC business advisor can help.
From practical advice and borrowing options to CIBC eDeposit® and online business solutions,
you’ll find what you need to keep your business moving in the right direction.
western United States and Canada,” says
Sayle. “He went out to the drill rig and
the first thing he found was stacks and
stacks of safety paperwork.”
Indeed, even now, the vast majority
of safety is still done using a clipboard
and paper checklists. The Sayles are
transforming those tools into smartphone
technology so workers can do job-risk
assessments in the field using their
phones to document that information,
identifying hazards and the control
measures needed to stay (or get) safe, and
sending it immediately to head office.
The apps are currently in prototype
mode, and the Sayles are demonstrating
them at conferences. Later this fall, they
hope to release them commercially.
In the meantime, the company’s online
Safety Culture program was launched
this summer and consists of four tutorials
that can be taken on a tablet, desktop or
smartphone in just five minutes. Topics
include safety culture, employee rights,
hazards, and employer responsibilities.
“The feedback has been
overwhelmingly positive,” says Sayle.
“We’ve had seasoned veterans saying
how important it was to have a refresher
and young workers saying it should be
mandatory training in high schools,
universities and colleges.” The course
is focused on creating a safety culture
movement across Canada, but Sayle says
with minor revisions, it can reflect the
newest international safety standards
and be relevant anywhere in the world.
“A strong safety culture results in a safe
working environment, improved morale,
increased productivity and new business
opportunities,” he explains. “It allows you
to increase your competitive position in
supply chains. Companies with a strong
safety culture win more business. Period.”
CIBC TIPS:
HOW TO APPEAL
TO A NEW
GENERATION
Invest in innovation
To pave the way for continued
success, invest in your business.
Whether it’s investing in
technology to provide more userfriendly solutions, challenging the
status quo as part of your business
model or building the next
generation of talent, what you put
into your business today will yield
results for its continued success
and help take it to the next level.
Deliver it through mobile
Today’s younger generation uses
mobile devices — smartphones,
tablets and smart watches — to
consume information and use
services. Businesses can appeal to
younger end-users by delivering
their solutions through all the
channels they are already on.
Remember to make the user
interfaces easy to navigate; the
fewer clicks, the better.
Talk to a CIBC business advisor today.
cibc.com/business • 1 866 992-7223
*Limited time offer. Some conditions and restrictions may apply. See cibc.com/business for details. Using CIBC eDeposit, cheques deposited before 7 p.m. ET online or 6 p.m. for
mobile are credited to your account the same business day. Using CIBC eDeposit for cash, bills deposited into the Smart Safe before 6 p.m. are credited to your account the same
weekday. CIBC reserves the right to change or discontinue these products or any of their features at any time. These products and their features shall be subject to the terms and
conditions of the applicable agreement governing its use. The above is intended to be only a general description of these products and their features. CIBC Cube Design & “Banking
that fits your life.” are trademarks of CIBC. All other trademarks are owned by CIBC.
Content Solutions
Build a social media presence
Showcasing your products or
services through social media sites
— Facebook, Twitter, Instagram
— can be more effective than
traditional media like newspapers.
Make it easy for younger
generations to find you, get to
know you, and connect with you.
And because it’s social media,
consider using more photos to
convey what your business does.
Make it fun. Start conversations
that younger users can engage in
to build more awareness around
your business.
For more small business
tips from CIBC, visit
cibc.com/businessadvice.
U8⎮TORONTO STAR SATURDAY, OCTOBER 15, 2016
ON ON1
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