Canadian small businesses represent almost 97% of all businesses in the country and employ nearly 70% of all Canadians working in the private sector. Encouraging the growth of small business is critical to creating jobs and supporting the economy.
The Government says it’s all about “fairness,” but there are good reasons why owners are taxed differently than employees. Because unlike an employee, a business owner doesn’t get a pension or health benefits or vacation pay. She invested her own money to get the business started. Or, she pledged her personal assets (house, car) as collateral for a loan. She has employees who depend on her. And, if nobody wants her goods or services next month, she does not earn a penny.
Entrepreneurs take on a lot of risk – 30% of small businesses won’t survive longer than two years, and only half make it to five years. (PDF Report)
Business owners shouldn’t be punished for taking risk. We need to reward them for creating growth and jobs in our economy.