bus strate final
TRANSCRIPT
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Team 3 : Simone, Jim, Kulvinder, Ulus
Five Canadian GovernmentSupports for Small Medium Sized
Enterprises (SME) Exporting
http://www.exportaz.org/wp-content/uploads/voice-for-global-
trade.jpghttps://reader009.{domain}/reader009/html5/0404/5ac468526a3d3/5ac468548c409.jpg
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The Canadian Trade
Commissioner Service
(TCS)
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TCS Overview Presence is in more than 150 countries
Privileged access to most foreign governments, business leaders and
decision-makers Part of Canadas embassies and consulates/Government of Canada
Partners include:
Canada's International Trade Portfolio Network (TCS,EDC,CCC)
Various levels of governments Business and industry associations
Educational and research institutions
Chambers of commerce
Economic development and other agencies
IMPORTANCE: Assess export potential, Learn about export marketsand opportunities / Prepare for international markets/Trade missionparticipation/Expert Advice/Networking
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TCS Help: Assess International Strategy
Find a Trade Commissioner in Canada or abroad by
sector Strategic advice on doing business in the market
Intelligence on opportunities/barriers
Emerging trends/regulations/policy issues
Learn about export markets and opportunities Notification of upcoming events ( e.g. trade
fairs/missions)
For Participation- contact 8 weeks prior, must sign Business
Mission Agreement
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TCS Services
DIRECT SERVICES OFFERED
EXPERT ADVICE ON:
Exporting information
Establishing company abroad
Overcoming market access issues
Pursuing a joint-venture or strategic
alliance
Participating in global value chain
Seeking technology and R&Dpartnerships
INDIRECT/REFERRAL SERVICES: Detailed market research
Accessing specialized databases
Extensive program of appointments
Logistical support Business support services
Participation in business events
Temporary office or display space
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Networking- Foreign Contact Connection
Government officials and policy
networks Businesses and potential investors
Key participants for business events
in Canada
Counterpart associations and strategic
partners Research and educational institutions
Financial institutions and venture
capital firms
Science and technology stakeholders
Professional and business associations Lawyers, accountants, consultants
Communications professionals and
media
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Networking- Trade Missions
Trade Missions:
Purpose: Marketing and Networking: To participate in trademissions to get market assistance from trade commissioners at
Canada's foreign posts; make great contacts
Get Invited to Participate in Business Trade Mission Steps:
Know government officials and get on mailing lists
Plug into different networks - World Trade Centre, Regional
Offices of the Trade Commissioner, and Board of Trade
Join your local Chamber of Commerce.
Get involved in business associations
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Trade Mission Pre-Trade Mission PreparationMatch your firms
capabilities with
opportunities in the host
country
Ensure the most senior people available Analyze your company's readiness to export; Do some research
Do your homework Review all available briefing, training materials and market research well inadvance.
Know potential customers, competition
Matchmaking: Ask
mission organizers to
arrange the right
meetings in advance.
Submit profile detailing company's strengths and capabilities and your
expectations for the mission; Describe best potential customers and contacts; Submit requests for meetings early Using the Internet or any on-line communication facility.
Set appropriate
expectations and goals
Review your goals and expectations with the mission organizers to ensure thatyour goals are reasonable, attainable and affordable.
Ensure your company's
marketing/promotional
materials are appropriate
for the host country
Adjust style of language and benefits. Have marketing collateral translated. Assess promotional material professionalism. Ensure that all of your business materials include details vital to international
communications
Plan in advance for post-
mission follow-up
upon returning home, send letter to the people you met with during the mission
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EDC Overview
Canadas export credit agency to support and develop Canadas
export trade by helping Canadian companies respond tointernational business opportunities.
For Canadian exporters and investors and their international
buyers
Financial institutions partnerships ( e.g. BDC) and throughcollaboration with the government of Canada
Up to 200 markets worldwide, with 17 offices across Canada,
and permanent representations in 12 foreign markets
IMPORTANCE: Provides financing and risk management
(financing, insurance, bonding services/products)/ Support
Canadian investment/Foreign market expertise
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EDC ServicesTYPE SERVICES/PRODUCTS
Insurance:7 Insuranceservices/products
Accounts Receivable Insurance
Single Buyer InsuranceContract Frustration Insurance
Performance Security Insurance
Political Risk Insurance
Domestic Credit Insurance
Financing:
6 Financingservices/products
Export Guarantee Program
Foreign Buyer FinancingForeign Investment Financing
Supplier Financing
Project Finance
Domestic Financing
Bonding and Guarantees:
4 Bond/Guaranteeservices/products
Account Performance Security Guarantee
Foreign Exchange Facility GuaranteeSurety Bond Insurance
Domestic Surety Bonding and Bank Guarantees
BENEFITS
Protect Against Risk, Free up Working Capital, Grow Your
Business, Get Financing, Finance Your Supply Chain
INSURANCE
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INSURANCE
TYPE QUALIFICATIONS
Accounts Receivable Insurance- Credit insurance for when your buyer does
not pay you
Any Canadian business that exports goods or services
Single Buyer Insurance- insures unlimited export sales to the sameforeign customer over 180 days
Canadian company Goods must be shipped from Canada/service must be based in Canada.
Contract Frustration Insurance- eligible losses resulting from political andcommercial risks
the value of your exports and any other significant benefits to Canada; creditworthiness of your foreign customer; contractual terms; customers country conditions/economic outlook; and export capabilities
Performance Security Insurance- losses if your foreign customer demandspayment on a bank-issued guarantee withouta valid reason
acceptable contract terms; acceptable guarantee instruments; your foreign customers profile and both country current/future economic
conditions; acceptable Canadian exports of goods and services; and benefits to Canada derived from your export activity
Political Risk Insurance- protection against political upheavals
must generate economic benefits to Canada (e.g. job creation, contribution toGDP).
Companies operating abroad should be aware that EDC is subject to anumber of provisions and guidelines governing international trade
Supplementary Domestic Credit
Insurance- credit insurance solutions to support yourdomestic business
Exporting and non-exporting companies in all sectors are eligible forsupplementary domestic credit insurance.
Transactions must be creditworthy and supported by a viable business model. Domestic credit insurance is available from private insurance providers - not
directly from us
INSURANCE COMPARISON
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INSURANCE COMPARISON
FINANCING
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FINANCING
TYPE QUALIFICATIONS
Export Guarantee Program
guarantee to your financial institution
that your loans and other financingarrangements will be paid back
Any Canadian company with export-related activities or foreigninvestments.
Financial institution must be willing to establish a credit arrangementwith your company and participate in the financing. Revised so available for Canadian companies involved in export trade
who may not meet traditional exporter criteria of $5 million in exportsales or 15 per cent of total sales derived from exports.
Foreign Buyer Financing
financing to foreign buyers forpurchases from Canada
Need financial information on the foreign buyer and otherdocumentation
Foreign Investment Financing strong, mid-sized Canadian company Support contingent upon an acceptable review of risks, and is also
subject to acceptable export mandate, credit assessment, and riskmitigation
transactional costs > $1 million
Supplier Financing
buying promissory notes you have from
foreign buyer
Contact us before the commercial contract with a foreign buyer issigned to determine whether a note purchase is feasible becausecertain requirements must be met to qualify for this arrangement
Project Finance Any project sponsor with a project that demonstrates economic benefitsto Canada
Numerous documentation requirements
Domestic Financing financial institution must be willing to establish a credit arrangementwith you and participate in the financing.
Directed at trade-related sectors. Not for equity for domestic-oriented companies.
Transactions in specialized sectors of retail, wholesale, tourism,entertainment, real estate and certain Infrastructure projects such ashospitals and schools are not eligible for support.
BONDING/ GUARANTEES
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BONDING/ GUARANTEES
TYPE QUALIFICATIONS
Account Performance Security
Guarantee
managerial, technical and financial capabilities of your company; contractual terms;
review of the guarantee; the conditions and economic outlook in your customers country, andthe customers profile;
Canadian exports of goods and services, or other significant benefits toCanada
Foreign Exchange Facility
Guarantee
examine your company's managerial, technical and financialcapabilities
Surety Bond Insurance
protects your surety companyfrom losses if your customerdemands payment against thatbond
managerial, technical and financial capabilities; contractual terms; bonding instruments; conditions and economic outlook in the customers country, and the
customers profile; Canadian exports of goods and services, or other significant benefits to
Canada
Domestic Surety Bonding and
Bank Guarantees
provides re-insurance to suretycompanies for bonds they provideto cover your domestic business.
Also provide bank guarantees for
your domestic business
Canadian companies involved in trade-related sectors of the economy. only facilitate new and incremental commitments; not existing surety
bonds or bank guarantees. Must be related to contract performance Up to a maximum of 50 per cent risk sharing to our surety partners. must be an existing client of the surety or the financial institution that is
seeking additional capacity from EDC.
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Canada Border Services Agency
(CBSA)
http://www.thestar.com/news/canada/2012/11/01/border_servi
ce_agency_boss_accused_of_breaking_expense_rules.html
http://whartonmagazine.com/blogs/exports-2-0/http://blog.creativedepartment.com/2012/06/15/all-aboard-
the-trade-train/
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CBSA Overview
Provides integrated border services that support nationalsecurity and public safety
Ensures Canadas security and prosperity by managing the
access of people and goods to and from Canada
IMPORTANCE: Small and Medium Enterprise Centre
Created guide to help SME export goods from Canada
http://www.sustained.ie/tag/small-and-medium-enterprises/
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CBSA Services The Exporting Process
Classifying Goods
Completing the Process
Adjustments
Records
Administrative Monetary Penalty System (AMPS)
Trade Incentives Programs
TRADE I NCENTIVE PROGRAMS:
Duty Reli ef Program
Drawback Program
Customs Bonded Warehouse Program
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CBSA Parameters For Commercial Goods
Guidelines: Before exporting goods from Canada
Obtain a business number (Canada Revenue Agency (CRA))
Open import-export account
Identify the goods- provide accurate description of the exporting goods
Determine the country of origin of the goods
Make sure the goods can be exported
Know restrictions or other requirements of the goods
Ensure goods are allowed entry into the receiving country
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CSBA Requirements
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Canada Export Centre
(CEC)
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CEC Overview
Makes connections between buyer and seller
Provides customized services and various business tools Results a multi sales throughout the year with excellent
business development
Headquarter in Canada with 10 overseas offices
Partnership with Vancouver Board of Trade
IMPORTANCE:
Endorsement of the companies
Helps to deal with the difficulties
Assistance in finding sources for the ventures
Engaging best suited prospects for the ventures
Single point of access to trade and investment
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CEC ServicesSERVICES
BuyerServices
convenient format to source product or services best destination for trade and investment opportunity assistance for business venture from start to finish communication services high level officials and industry help
Corporate
Services
practical and strategic advice providing and arranging financing: public and private structuring and implementing financing transactions assisting business plans, documentations, presentations
and reports
SellerServices
Protect intellectual property Lower manufacturing costs
Generate direct sale
Develop new business channel
gain market and competitive intelligence before
market entry
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Statistics Canada
(StatsCan)
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Canadian Automated Export Declaration (CAED) Overview Statistics Canada and Canada Border Services Agency
(CBSA) launched Canadian Automated ExportDeclaration (CAED) program
The CAED software features Harmonized systemcommodity classification search, built-in encryptionsoftware, on-line help and Internet transmissioncapabilities
Gives registered exporters and agents opportunity to reportgoods electronically to the Federal Government of Canada.
Fast inexpensive and easy way of reporting your exported
goods -Eliminates manual reporting
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Qualifications
CAED Parameters
1. ValidExporting
Business Number
2. Register with
CAED helpdesk
3. SoftwareAcquisition -
Download
4. Verificationfrom CAED
5. Use Software
Program
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Qualifications
Reviewed 5 Canadian government organizations to help
SMEs with an exporting venture along with benef its andparameters.
EDCI nsurance and Financing
TCSNetworking and Expertise
CBSAExport Guide
CECGenerating Sales
StatCanAutomated Export Declaration
CONCLUSION AND QUESTIONS
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References
SlideBackground: Canadian Flag http://www.24point0.com/wp-content/uploads/2010/05/small_Canada-EditablePPT-Map-CM-0049-
300x225.jpg
Pictures Title Page:
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http://canadaelsalvador.org/wp-
content/uploads/2009/04/import_export_agent1.jpg
http://logistics.avnet.com/webReporting/Assets/exportImport.jpg
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EDC:
Pictures:http://www.edc.ca/EN/About-Exporting/Pages/default.aspx http://loanmandi.com/images/Export%20Credit.jpg http://www.sba.gov/sites/default/files/images/ExportLoans.JPG
Content: http://www.edc.ca/EN/Our-Solutions/Insurance/Pages/default.aspx http://www.edc.ca/EN/Our-Solutions/Financing/Pages/default.aspx http://www.edc.ca/EN/Our-Solutions/Bonding-and-Guarantees/Pages/default.aspx
Services: http://www.edc.ca/EN/Our-Solutions/Insurance/Pages/default.aspx http://www.edc.ca/EN/Our-Solutions/Insurance/Pages/accounts-receivable-insurance.aspx http://www.edc.ca/EN/Our-Solutions/Insurance/Pages/single-buyer-insurance.aspx http://www.edc.ca/EN/Our-Solutions/Insurance/Pages/contract-frustration-insurance.aspx http://www.edc.ca/EN/Our-Solutions/Insurance/Pages/performance-security-insurance.aspx http://www.edc.ca/EN/Our-Solutions/Insurance/Pages/political-risk-insurance.aspx http://www.edc.ca/EN/Our-Solutions/Insurance/Pages/domestic-credit-insurance.aspx http://www.edc.ca/EN/Our-Solutions/Insurance/Pages/comparison-matrix.aspx http://www.edc.ca/EN/Our-Solutions/Financing/Pages/export-guarantee-program.aspx http://www.edc.ca/EN/Our-Solutions/Financing/Foreign-Buyer-Financing/Pages/default.aspx
http://www.edc.ca/EN/Our-Solutions/Financing/Pages/foreign-investment.aspx http://www.edc.ca/EN/Our-Solutions/Financing/Pages/supplier-financing.aspx http://www.edc.ca/EN/Our-Solutions/Financing/Project-Finance/Pages/default.aspx http://www.edc.ca/EN/Our-Solutions/Financing/Pages/domestic-financing.aspx http://www.edc.ca/EN/Our-Solutions/Bonding-and-Guarantees/Pages/account-performance-security-guarantee.aspx http://www.edc.ca/EN/Our-Solutions/Bonding-and-Guarantees/Pages/foreign-exchange-facility-guarantee.aspx http://www.edc.ca/EN/Our-Solutions/Bonding-and-Guarantees/Pages/surety-bond-insurance.aspx http://www.edc.ca/EN/Our-Solutions/Bonding-and-Guarantees/Pages/domestic-surety-bonding-bank-guarantees.aspx
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TCS
PICTURES: http://www.centralmdsbdc.org/upload/iblock/04f/Export%20Conference.jpg http://cdnseed.org/wp-content/uploads/2011/08/globeflag_new.jpg http://www.international.gc.ca/commerce/assets/images/visit/101215-01.jpg
http://cf067b.medialib.glogster.com/media/b3/b39c01a8f6a2e63838a6ebd821e5679adaa40ebc6106239b9791d5ceaacc7336/canada-government-7156.jpg
http://www.purtell-law.com/dreamstimescale_cartoon9921102_std.jpg
http://www.ketchum.com/sites/default/files/styles/media_640w/public/140054736.jpg
http://www.syoncloud.com/sites/default/file2/Bank.jpg
http://dktechnologygroup.com/images/Financial-Technology.jpg
ABOUT http://www.tradecommissioner.gc.ca/eng/how-tcs-can-help.jsp
SERVICES http://www.tradecommissioner.gc.ca/eng/services-for-partners.jsp
http://www.tradecommissioner.gc.ca/eng/find-trade-contacts.jsp
http://www.tradecommissioner.gc.ca/eng/trade-missions/general-info.jsp
http://www.tradecommissioner.gc.ca/eng/businesswomen/trade-missions.jsp
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CBSA
PICTURES:
http://www.thestar.com/news/canada/2012/11/01/border_service_agency_boss_accused_of_breaking_expense_rules.html
http://blog.creativedepartment.com/2012/06/15/all-aboard-the-trade-train/
http://whartonmagazine.com/blogs/exports-2-0/ http://www.sustained.ie/tag/small-and-medium-enterprises/
http://www.novinite.com/view_news.php?id=119231
http://www.asbdc-us.org/images/BraddockExportGuide-Cover_large.jpg
CONTENT: http://www.cbsa-asfc.gc.ca/agency-agence/who-qui-eng.html
http://www.cbsa-asfc.gc.ca/sme-pme/e-guide-eng.html
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CEC
Picture Linkshttp://static2.dmcdn.net/static/user/973/063/37360379:avatar_large.jpg?20110211150032
https://reader009.{domain}/reader009/html5/0404/5ac468526a3d3/5ac46867e2466.jpg?w=620
content linkshttp://www.canadaexportcentre.comhttp://www.canadaexportcentre.com/index.php/import-export-trade-services/international-buyer-trade-services
http://www.canadaexportcentre.com/index.php/import-export-trade-services/http://www.canadaexportcentre.com/index.php/import-export-trade-services/seller-export-sales-servicesibn-programhttp://www.canadaexportcentre.com
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StatsCan
Picture linkshttp://www.povnet.org/sites/povnet.org/files/imagecache/conhttp://canauthorsniagara.org/wpcontent/uploads/2013/04/CanadaStats.jpgtextual/Screen%20sho
t%202010-08-19%20at%2012.00.16%20PM.png
Content linkshttp://www.statcan.gc.ca/exp/index-eng.htm http://www.statcan.gc.ca/trade-commerce/data-donnee-eng.htm
http://www.statcan.gc.ca/exp/index-eng.htm
http://www.statcan.gc.ca/exp/overview-apercu-eng.htm