Blog – Dawn of a new Era for Small to Medium-size Businesses Small and medium-size businesses are the backbone to the Canada’s economy. The new era will see many changes to how both the private and public sector operate as part of delivering goods and services to its consumers. 1. Connectivity and online solutions - https://ca.sports.yahoo.com/news/canadian-small-business-owners-business-130000061.html 2. Resiliency and small businesses - https://www.bnnbloomberg.ca/we-ve-been-resilient-it-hasn-t-been-easy-canadian-small-businesses-on-navigating-covid-1.1663903 3. Small business optimism - https://canadiansme.ca/canadian-small-business-owners-feeling-optimistic-about-the-future-with-bipoc-owned-businesses-further-along-on-the-path-to-recovery-scotiabank-report-finds/ 4. Taxes - https://www.newswire.ca/news-releases/tax-tip-the-canada-revenue-agency-reaffirms-its-commitment-to-small-businesses-during-small-business-week-2021-883960980.html 5. ESG - https://www.investmentexecutive.com/newspaper_/news-newspaper/disclosure-reforms-draw-praise-concern/ 6. Skills gap - https://www.northernontariobusiness.com/industry-news/agriculture/workforce-strategy-underway-to-address-labour-gaps-in-agriculture-4510982 7. Innovation - https://www.ept.ca/2021/10/national-organization-helps-canadian-smes-innovate/ 8. Carbon tax - https://www.todayville.com/edmonton/is-federal-carbon-tax-killing-jobs-experts-say-answer-isnt-black-and-white-2/ 9. Clean - https://www.canadianmanufacturing.com/features/canada-is-aiming-for-carbon-neutrality-and-that-will-mean-big-changes-to-how-we-produce-and-consume-energy/ 10. Circular economy - https://www.marketwatch.com/story/a-better-way-than-recycling-these-manufacturers-are-taking-part-in-a-circular-economy-11633613962

1. DAWN OF NEW
ERA FOR
SMALL TO
MEDIUM-SIZE
BUSINESSES –
CANADA AND
THE WORLD
Paul Young CPA CGA
October 19, 2021

2. PAUL YOUNG - BIO
• CPA, CGA (1996)
• Academia (PF1, FA4, FN2, MU1. and MS2)
• SME – Customer Success Management
• SME – Risk Management
• SME – Close, Consolidate and Reporting
• SME – Public Policy
• SME – Emerging Technology
• SME – Business Process Change
• SME – Financial Solutions
• SME – Macro/Micro Indicators
• SME – Supply Chain Management
• SME – Data, AI, Security, and Platform
• SME – Internal Controls and Auditing
Contact information email: Paul_Young_CGA@hotmail.com
LinkedIn: https://www.linkedin.com/in/paul-young-055632b/
SlideShare - https://www.slideshare.net/paulyoungcga
Twitter: https://twitter.com/paulyoungcpa
Youtube - https://www.youtube.com/user/youngercga1968/videos

3. AGENDA
• New compilation standard
• GDP Growth / September 2021
• GDP by Sector / July 2021
• Top technologies for 2021
• ESG and other reporting issues
• Top Risks
• Supply chain disruption
• Sales Tax and taxation compliance
• Skills Gaps
• Debt
• Pandemic Recovery
• Cybersecurity threats
• RBC / Small to Medium-size businesses
• Summary

4. NEW COMPILATION STANDARD
Source - https://www.cpacanada.ca/en/business-and-accounting-resources/audit-and-assurance/standards-
other-than-cas/publications/new-compilation-standard-guidance-resources
Blog - New standard on compilation engagements: What does it mean for tax work -
https://www.linkedin.com/pulse/blog-new-accounting-reporting-standard-compilation-what-paul-young

5. GDP GROWTH / JULY2021
Source - Scotiabank

6. GDP
FORECAST
forecast_20210909.p
df

7. GDP BY SECTOR
 Output ticked 0.1% lower in July, beating the -0.4% advance estimate
 Preliminary estimate of August output showed economy grew at a strong +0.7%
 Recovery in high-contact services underpins Q3 growth while supply chain disruptions keep
a lid on goods production
Blog – GDP – Canada – July 2021 - https://www.slideshare.net/paulyoungcga/gdp-canada-analysis-and-commentary-july-2021

8. TOP TECHNOLOGIES FOR 2021
Source - https://www.simplilearn.com/top-technology-trends-and-jobs-article
1. AI and Machine Learning
2. Robotic Process Automation
3. Edge Computing
4. Quantum Computing
5. Virtual and Augmented Reality
6. Blockchain
7. Internet of Things (IoT)
8. 5G
9. Cybersecurity
Blog - Brands are redefining customer experience by adopting a
digital-first approach - https://www.linkedin.com/pulse/blog-
brands-redefining-customer-experience-adopting-paul-young
My work on small to medium-size businesses adoption of
technology
https://ibm.box.com/s/gddg93fwok0zx36ew41vpynz827qprvw
My work on fintech
https://ibm.box.com/s/qgrelz31w3i7qwdq5jn489odhj9keuh4

9. ESG AND OTHER REPORTING ISSUES
Blog – Close, consolidate, and reporting.
Small to medium-size businesses continue to struggle with real-time reporting as well as how best use
data and AI as part of managing its reporting cycles, business automation, risk and compliance, supply
chain, staffing, etc.
Key links:
Close, consolidate, and reporting - https://ibm.box.com/s/i7efp948qvb5l8bt96y8sigsup8yes2u
Climate change and ESG reporting - https://ibm.box.com/s/8781byh80ckzana33g7tvqgrwpxaxf2m
Data and AI - https://ibm.box.com/s/6w39nl609pl1gv1p49lsp87fme7pjlwv
This seminar ties nicely to my work on the close, consolidate and reporting cycle -
https://ibm.box.com/s/i7efp948qvb5l8bt96y8sigsup8yes2u

10. TOP RISKS FOR 2021
Source - https://globalcompliancenews.com/top-10-op-risks-2021-11032021/
More needs to be done to mitigate these geopolitical events.
https://www.slideshare.net/paulyoungcga/how-to-better-manage-
geopolitical-events
Blog - CFOs reporting greater optimism, appetite for risks – Survey -
https://www.linkedin.com/pulse/blog-cfos-reporting-greater-optimism-
appetite-risks-paul-young/?published=t
Blog – Fraud Risk in the Digital Age -
https://www.linkedin.com/pulse/blog-fraud-risk-digital-age-paul-
young/?published=t
There is a movement by IASB to standardized sustainable reporting.
Here is my work on data, AI, and Platform can play a key role when it
comes to reshaping risk policies for both the public and private sectors.
https://www.slideshare.net/paulyoungcga/why-there-needs-to-be-
audited-reports-of-crisis-emergency-management-policies-and-
procedures

11. SUPPLY CHAIN DISRUPTION
Source - https://supplychaingamechanger.com/top-10-global-supply-chain-risks/
How can the world mitigate risks with supply chain?
https://www.linkedin.com/pulse/world-going-see-more-
supply-chain-disruption-due-events-paul-
young/?published=t
Blog - 6 Ways Leading Organizations Are Revitalizing Their
Supply Chain - https://www.linkedin.com/pulse/blog-6-
ways-leading-organizations-revitalizing-supply-paul-
young/?published=t
Blog - Data Is Driving Decision Making in the Supply Chain
- https://www.linkedin.com/pulse/blog-data-driving-
decision-making-supply-chain-paul-young/?published=t
Blog - America Needs a Manufacturing Strategy -
https://www.linkedin.com/pulse/blog-america-needs-
manufacturing-strategy-paul-young/?published=t’

12. TOP SALES TAX COMPLIANCE ISSUES
Source -
https://www.avalara.com/us/en/learn/whitepapers/sales-
and-use-tax-audits-in-2021.html or
https://paddle.com/blog/global-sales-taxes-for-software-
companies-what-you-need-to-know-to-sell-
internationally/
• Online sales tax collection -
https://www.cpapracticeadvisor.com/sal
es-tax-
compliance/news/21215366/retailers-
still-challenged-by-wayfair-and-
marketplace-sales-tax-laws
• Lack of sales tax certificates (exemption)
• Self-assessing sales tax for personal use
items
• Complexity of sales tax filings
Great work by Accounting Today to provide an overview of
how technology is being embraced as part of the external audit
cycle for financial statement filing.
Blog – A new eye on audit quality using Data and AI -
https://www.linkedin.com/pulse/blog-new-eye-audit-quality-
using-data-ai-paul-young/?published=t

13. SKILLS GAPS
Blog – Digital Skills and Labor Shortages are the #1 issue facing Businesses
Canadian businesses are struggling to find workers with digital skills as the pandemic continues to
accelerate technology adoption and automation, a new survey has found.
The KPMG business outlook poll released on Aug. 31 found the inability to find and retain talent was
identified as the No. 1 threat to the growth prospects of businesses across the country.
Nearly 80 per cent of businesses polled said the pandemic changed the way they work, and they now
need more workers with IT skills.
Source - https://www.canadianmanufacturing.com/manufacturing/digital-skills-shortage-lack-of-skilled-labour-
no-1-issue-for-businesses-according-to-kpmg-poll-272778/
My work:
https://www.slideshare.net/paulyoungcga/human-capital-what-is-next-for-education-and-training-249991913

14. DEBT
Source -
https://www.canadianmanufact
uring.com/financing/small-
businesses-continue-to-
struggle-with-debt-cfib-says-
272750/

15. 2021 – POST
ELECTION –
CFIB
Source -
https://www.canadianmanufact
uring.com/federal-election-
2021/congrats-to-new-
government-mps-now-lets-
get-to-work-cfib-says-273393/

16. HOW TO ADDRESS PRODUCTIVITY
ISSUES
• The federal government needs to re-think it’s job cluster approach to innovation. There needs to better support for small to
medium-size businesses as part of supporting taking ideas from incubation to market. This means all post-secondary schools
should be incubation centers.
• Canada has struggle with productivity issues for better part of 30 years. More needs to be done to address areas like tax and
regulatory reforms or building of resilient supply chain within Canada or addressing issues with innovations or better
programs/policies that support the circular economy or addressing the skills gaps or changes to capital cost allowances.
• All levels of government need to work together as part of protecting the environment as part of growing the economy in a
sustainable way.
• 2016 https://www.slideshare.net/paulyoungcga/2016-november-2016-gdp-gross-domestic-product-canada
• 2018 https://www.slideshare.net/paulyoungcga/gdp-canada-the-real-truth
• Competitiveness - https://www.slideshare.net/paulyoungcga/how-to-improve-canada-global-competitiveness-250054392
• Jan/21 – GDP https://www.slideshare.net/paulyoungcga/gdp-analysis-and-commentary-canadajanuary-2021

17. CYBERSECURITY THREATS
Despite the increased threat of cyber-attacks during the pandemic, almost half (47%) of Canadian small businesses
surveyed say they do not allocate any portion of their annual operating budget to cyber security. This marks an
increase of 14% from 2019, when one-third (33%) said they do not allocate any budget to cyber security, according
to a new Leger survey, commissioned by the Insurance Bureau of Canada (IBC).
In 2021, 41% of small businesses that ever suffered a cyber-attack reported that it cost them at least $100,000, up
from 37% in 2019. However, fewer than half of the businesses surveyed (46%) said they have implemented defenses
against possible cyber-attacks, and only a quarter (24%) say they plan to purchase cyber insurance within the next
year.
https://www.canadianmanufacturing.com/operations/many-small-businesses-vulnerable-to-cyber-attacks-
survey-shows-273875/
Blog - Seven in 10 Canadian organizations facing ransomware attack paid demands (Survey)
https://www.linkedin.com/posts/paul-young-055632b_seven-in-10-canadian-organizations-facing-activity-
6851447448607563776-1RoK
Blog - https://www.linkedin.com/posts/paul-young-055632b_many-small-businesses-vulnerable-to-cyber-
activity-6851449317782372352-p-Uz

18. RBC AND SMALL BUSINESSES
RBC - Small to
Medium-Size Businesses.pdf
Key areas of focus:
1. Debt overhand
2. Supply chain and labor issues
3. Digital adoption
4. Beyond fourth wave / new normal

19. CYBERSECURITY
The new challenges
facing Canada's small businesses.pdf
Cyber security concerns are rising to the top of business risks as ranked by Canadian small business
owners, according to a new survey commissioned by RBC.
The RBC 2021 Cyber Security Poll shows that nearly half of Canada’s small business owners report that
they anticipate becoming a victim of a cybercrime in the next 12 months – a percentage significantly
higher than seen among the general population (34 per cent). Forty per cent of small businesses identified
that having devices infected by a virus or malware is now perceived as their biggest threat, ranking higher
than falling victim to an online scam or fraud (24 per cent), or property damage (24 per cent).
https://www.canadianmanufacturing.com/small-business/cyber-security-tops-concerns-among-canadian-
small-business-owners-poll-274410/
Additional links:
Blog – Small to Medium-size Businesses are vulnerable to Cybersecurity Attacks and Threats -
https://www.linkedin.com/posts/paul-young-055632b_many-small-businesses-vulnerable-to-cyber-
activity-6851449317782372352-p-Uz
Data and Audit Analytics - https://ibm.box.com/s/noi1j6ixzl6ralxkm4g0zzs911wf6s76

20. SUMMARY
• I have written many articles on the challenges faced by small to medium
size businesses -
https://ibm.box.com/s/gddg93fwok0zx36ew41vpynz827qprvw
• Stay open plans - https://www.newswire.ca/news-releases/no-more-
lockdowns-small-firms-urge-provinces-to-adopt-stay-open-plans-with-
new-petition-804699379.html
• Tax cheats - https://financialpost.com/executive/c-suite/did-justin-
trudeau-unfairly-smear-small-business-owners-as-tax-dodgers
• No mentioned that key minister has a tax issue -
https://www.blacklocks.ca/guilbeault-didnt-pay-taxes/ Did @s_guilbeault get
special treatment by CRA? https://www.slideshare.net/paulyoungcga/how-to-fix-
the-goverance-model-for-the-public-sector-government-249941842
• Capital Investment - https://www.fraserinstitute.org/studies/an-
international-comparison-of-capital-expenditures
• My work on GDP - Despite all the deficits the economy continues to face
major headways for the rest of 2021. It goes to show Canadians that
economies do not grow from the heart as @JustinTrudeau predicted a few
years ago! https://www.slideshare.net/paulyoungcga/gdp-canada-
analysis-and-commentary-june-2021