2014/15 Annual Report - Province Of Manitoba

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2014/15 Annual Report

Minister ofJobs and the EconomyLegislative BuildingWinnipeg, Manitoba CANADAR3C 0V8The Honourable Janice C. Filmon, C.M., O.M.Lieutenant Governor of ManitobaRoom 235, Legislative BuildingWinnipeg MB R3C 0V8Your Honour:I am pleased to present the Annual Report for Entrepreneurship Manitoba for the fiscalyear ended March 31, 2015.Respectfully submitted,original signed byKevin ChiefMinister Jobs and the EconomyE NTR E PR E N E U RSH I P MA N ITOBA32014/2015A N N UAL R E PO RT

Jobs and the EconomyMineral ResourcesDeputy MinisterRoom 311Legislative BuildingWinnipeg MB R3C 0V8Honourable Kevin ChiefMinister of Jobs and the EconomyRoom 333, Legislative BuildingWinnipeg MB R3C 0V8Dear Minister:I have the honour to submit the Annual Report for Entrepreneurship Manitoba for yourconsideration. The report summarizes the Agency’s activities for the fiscal year endedMarch 31, 2015.The 2014/15 fiscal year was the second year of operations for the Special Operating Agency.Respectfully submitted,original signed byHugh EliassonDeputy MinisterE NTR E PR E N E U RSH I P MA N ITOBA52014/2015A N N UAL R E PO RT

Hugh EliassonDeputy MinisterJobs and the EconomyRoom 311, Legislative BuildingWinnipeg MB R3C 0V8Dear Mr. Eliasson:I am pleased to submit for your review Entrepreneurship Manitoba’s 2014/15 Annual Report forthe fiscal year ended March 31, 2015.Entrepreneurship Manitoba achieved strong financial and operational results. The Agencyreported an operating net profit before transfer of funds to the Province of 3,817.In 2014/15, Entrepreneurship Manitoba experienced an increase in overall activity throughout itsservice offerings. The Agency’s Companies Office Division processed over 70,000 annualreturns, all the while reducing processing times by 30%, the result of a Lean ManagementEfficiency Initiative. In addition, supports for Manitoba’s business community continued to meetthe needs of Manitoba’s entrepreneurs. Entrepreneurship Manitoba delivered 94 business skillsdevelopment seminars to over 1,471 participants and assisted 10,682 entrepreneurs through itsbusiness counselling services. Furthermore, the Agency’s business settlement servicescontinued to work diligently with new business immigrants, facilitating 104 business transactionsfor a total investment value of 25.7M. Demand for the Agency’s financial support programsremained strong, resulting in over 1.5M in loan guarantees to 52 new businesses.Entrepreneurship Manitoba continues to leverage technology as a transformational and servicedelivery tool. In 2014/15, enhancements were made to the Agency’s spectrum of onlineservices, including improved access to business information and the addition of online seminardelivery. The Agency also realized advancements in red tape reduction and service deliverypartnerships.Entrepreneurship Manitoba is dedicated to helping Manitoba’s economy grow, and as such, willcontinue to deliver innovative programming that supports Manitoba’s entrepreneurs.Sincerely,original signed byCraig HalwachsChief Operating OfficerE NTR E PR E N E U RSH I P MA N ITOBA72014/2015A N N UAL R E PO RT

table ofcontentsAgency Overview and Historical PerspectiveHistorical PerspectiveMandateAgency Mission StatementAgency GoalsAgency ValuesAccountability StructureOrganizational StructureManagement and AdministrationAdvisory Board101011111112131414Organizational ServicesCompanies Office DivisionBusiness Services Division1616Highlights and Achievements - 2014/15 InitiativesLean Management Efficiency InitiativeEnhanced Skills Development and Supports for New Business ImmigrantsSmall Business Week 2014Service and Regulatory InnovationService Delivery Partnerships and Rural Service DeliveryOnline Services and New Website DevelopmentService IntegrationManitoba Big Data Analytics1919202020212121Summary of Operational Activities / Performance IndicatorsCompanies Office DivisionEnhanced Business ServicesAccess to CapitalEntrepreneurial TrainingBusiness Immigration Services2325262728Financial ResultsSummary of Financial ResultsRevenueExpenses303030Financial StatementsManagement’s Responsibility for Financial ReportingAuditor’s ReportStatement of Financial PositionStatement of OperationsStatement of Change in Net Financial AssetsStatement of Cash FlowNotes to Financial StatementsSchedule of Operating ExpensesE NTR E PR E N E U RSH I P MA N ITOBA82014/2015A N N UAL R E PO RT

Agency OverviewandHistoricalPerspective

AGENCY OVERVIEW AND HISTORICAL PERSPECTIVEHistorical PerspectiveEntrepreneurship Manitoba began operationsApril 1, 2013, integrating the operations ofthe Companies Office, Manitoba Jobs and theEconomy’s Small Business Development Branchand Competitiveness Initiatives Branch, andthe Business Settlement Office of the BusinessImmigration and Investment Branch.Prior to being merged into EntrepreneurshipManitoba, the Companies Office had been aSpecial Operating Agency since April 1, 1996. TheCompanies Office’s main function was to be a publicregistry of information filed under several Manitobastatutes.Special Operating Agencies (SOAs) are serviceoperations within government granted moredirect responsibility for results and increasedmanagement flexibility needed to reach newlevels of performance. Through strengthenedaccountability to their Minister and centralgovernment, they strive to improve the delivery ofservices by:MANDATEEntrepreneurship Manitoba has been establishedto provide an integrated suite of programs andinnovative service improvements for entrepreneursand businesses within the parameters of a specialoperating agency. Entrepreneurship Manitoba isresponsible for the administration of the followingManitoba legislation: ensuring operations are clearly defined and wellunderstood; setting demanding performance goals anddeveloping strategies for attaining them; applying the best public sector managementpractices; and monitoring performance to ensure continuousprogress toward goals.-E NTR E PR E N E U RSH I P MA N ITOBA10The Partnership ActThe Corporations ActThe Business Names Registration ActThe Electronic Commerce and Information ActThe Ukrainian Catholic Incorporations ActThe Religious Societies Land ActManitoba Evidence Act (parts II and III) andThe Franchises ActMandate2014/2015A N N UAL R E PO RT

AGENCY MISSION STATEMENTEntrepreneurship Manitoba’s mission and goals arereflected in its mission statement:To provide services to support and enhancethe growth of Manitoba’s entrepreneurialand business community.AGENCY GOALSThe ongoing goals of the Agency are:-To deliver timely and efficientcompany registry services.-To provide counselling, training,financial, and related services toManitoba’s entrepreneurial andsmall business community.-AGENCY VALUESThe Agency’s values are:- Trust and mutual respect;- Engagement of managementand staff to deliver excellent andinnovative service to our clients;To champion and lead initiativesthat streamline and improve thedelivery of government services toentrepreneurs and businesses.-To assist immigrant investors tointegrate into Manitoba’s economy.-To accurately appoint andauthenticate Notaries Public andCommissioners for Oaths consistentwith existing legislation andmandates.- Prudent stewardship of resources inthe best interest of the province andits citizens;goals- Service excellence and acommitment to deliver timely,accurate and complete informationand services in a courteous mannerand by fostering and maintaining aclient-centred focus throughout theorganization, and;- Improving services that are of thehighest priority for entrepreneursand business clients through serviceinnovation.E NTR E PR E N E U RSH I P MA N ITOBA112014/2015A N N UAL R E PO RT

STRUCTURE FOR OPERATIONSAccountability StructureEntrepreneurship Manitoba reports directly tothe Deputy Minister of Manitoba Jobs and theEconomy, and is held accountable to the Minister foroperational and financial performance.Governance and accountability are substantiated byEntrepreneurship Manitoba’s compliance with itsOperating Charter, Transfer Agreement, applicable GeneralManual of Administration policies, and by The SpecialOperating Agencies Financing Authority Act. Financialand operational information and requirements aredisseminated to and from Treasury Board througha Special Operating Agency Coordinator at TreasuryBoard Secretariat.The Agency operates outside of the ConsolidatedFund under the Special Operating AgenciesFinancing Authority (SOAFA), which holds title to theAgency’s assets, provides financing for operations,and is responsible for its liabilities.The Accountability Structure presented belowoutlines the structure as of March 31, 2015:Entrepreneurship ManitobaAccountability Structure ChartMarch 31, rshipManitobaE NTR E PR E N E U RSH I P MA N ITOBA122014/2015A N N UAL R E PO RT

ORGANIZATIONAL STRUCTUREEntrepreneurship Manitoba is comprised of fourfunctional areas which have been placed under twoDivisions within the Agency; the Companies OfficeDivision and the Business Services Division.Entrepreneurship ManitobaOrganizational Structure ChartMarch 31, 2015ManitobaJobs and the EconomyEntrepreneurship ManitobaBusiness Services DivisionCompanies Office DivisionBusiness Settlement OfficeCompetitiveness InitiativesSmall Business DevelopmentE NTR E PR E N E U RSH I P MA N ITOBA132014/2015A N N UAL R E PO RT

& AdministrationManagementMANAGEMENT AND ADMINISTRATIONEntrepreneurship Manitoba’s Executive Management Teamconsists of a Chief Operating Officer, a Chief Financial Officer,four Directors, and a Senior Manager.Reporting to the Deputy Minister of Manitoba Jobs andthe Economy, the Chief Operating Officer provides overalldirection and guidance to the Agency.Reporting to the Chief Operating Officer, the Chief FinancialOfficer is responsible for the implementation and effectivemanagement for the financial and comptrollership functionswithin the Agency.Also reporting to the Chief Operating Officer, the fourDirectors are responsible for the day-to-day management oftheir respective functional areas.E NTR E PR E N E U RSH I P MA N ITOBA142014/2015ADVISORY BOARDThe Advisory Board provides advice onthe Agency’s strategic operations andon changes to its mandate, structure,business practices and finances. TheBoard also reviews and commentson the Agency’s proposed businessplan, quarterly and annual reports andcharter revisions.The Advisory Board is chaired by theDeputy Minister of Manitoba Jobsand the Economy (or designate) andmay have representation from bothgovernment and non-governmentorganizations. The Deputy Minister andChief Operating Officer are ex-officiomembers of the Board. Other membersare appointed by the Minister uponnomination by the chairperson.A N N UAL R E PO RT

OrganizationalServicesEntrepreneurship Manitobaprovides registry and businesssupport programs and servicesthrough two divisions.

ORGANIZATIONAL SERVICESEntrepreneurship Manitoba provides registry andbusiness support programs and services throughtwo divisions.Business Services DivisionCompanies Office DivisionThe Business Services Division is responsible for thedelivery of business support programs, services andinitiatives that enhance Manitoba’s entrepreneurialbusiness community. In addition, the Division isresponsible for the administration of The FranchisesAct of Manitoba.The Companies Office Division’s main function isto act as a public registry of information filed underseveral statutes, including The Partnership Act, TheCorporations Act, The Business Names Registration Act, TheUkrainian Catholic Parishes Incorporation Act, The ManitobaEvidence Act (parts II and III) and The Religious Societies’Lands Act for the Province of Manitoba.Business Counselling and Access to BusinessInformationThe Companies Office provides the public with thefollowing services:The Business Services Division provides businessinformation services, business counselling andadvisory services, market research services,business skills development, the delivery offinancial programs for business, and targetedsupport services to specific entrepreneur groups,including entrepreneurs with disabilities, aboriginalentrepreneurs and youth. Business informationand counselling services are delivered to Manitoba’sbusiness community through several servicedelivery channels, including in-person, phone,online and email.- registration of companies, and updates to theirstatus;- review of proposed company names;- search information on companies;- instruction and guidance in filing documents;- certificates and copies of documents required forlegal purposes; and- Notary Public and Commissioner for Oaths,appointments and authentication.Entrepreneurial Skills DevelopmentTo further support business growth andsustainability and to improve entrepreneurial andmanagement skills, the Business Services Divisiondevelops and delivers a wide range of businessseminars and workshops for entrepreneurs.Entrepreneurial training is delivered in-person,through video-conferencing and online.E NTR E PR E N E U RSH I P MA N ITOBA162014/2015A N N UAL R E PO RT

Business Settlement ServicesThrough the Agency’s Business SettlementOffice, the Business Services Division offersfamily settlement information and referralservices, business counselling, post-landing casemanagement, business education and networkingopportunities. The Agency works closely withManitoba Labour and Immigration and not-forprofit organizations, with the purpose of assistingimmigration nominees through the initial stages oftheir integration in our province.In addition, the Division leads and coordinates, incollaboration with stakeholders, service deliverypartnerships with the goal of enhancing andoptimizing provincial service delivery resources.These partnerships strengthen service deliveryprocesses and approaches and help to improvethe overall accessibility of the province’s businessservices.Financial Programs for BusinessManitoba Business LinksTo provide access to capital to entrepreneurs, theBusiness Services Division administers the BusinessStart Loan Guarantee Program, the JourneypersonsBusiness Start Program and the Manitoba FilmLoan Guarantee Program. In addition, the Divisionworks closely with other government departmentsand non-governmental organizations, providingthird-party application adjudication and processingservices. Partnering programs include ManitobaChildren and Youth Opportunities’ YoungEntrepreneurs Grant Program, Manitoba Jobsand the Economy’s TechFutures Program and theFuturpreneur Canada Loan Program.The Business Services Division is responsible for theadministration, use and expansion of the nationalBusiness Number (BN) in Manitoba, which includesadministering the MB Hub, a database and networkinfrastructure that interconnects the participatingprogram areas in Manitoba to the Canada RevenueAgency.Manitoba Data AnalyticsThe Business Services Division continues to explorethe development of a new Agency function centredon Big Data. The Manitoba Big Data initiative seeksto link prioritized Government of Manitoba businessproblems with potential Big Data analytic solutions.Service and Regulatory Innovation and ServiceDelivery PartnershipsThe Business Services Division researches,identifies, promotes and develops innovativeapproaches and practices for streamlining servicedelivery and alleviating paperwork burden forbusinesses and employers. Innovations maybe technology, people or process-focusedand are frequently the result of collaborativeefforts with other provincial, public, or privatesector organizations, in Manitoba or from otherjurisdictions across Canada.E NTR E PR E N E U RSH I P MA N ITOBA172014/2015A N N UAL R E PO RT

Highlights andAchievements2014/15 INITIATIVES

HIGHLIGHTS AND ACHIEVEMENTS2014/15 INITIATIVESLean Management Efficiency InitiativeIn February 2015, the Companies Office initiated aLean Management Efficiency Initiative to review theprocesses surrounding annual return filings.Enhanced Skills Development andSupports for New Business ImmigrantsThe Companies Office processed over 70,000annual returns in 2014/15, representing a 20 percent increase in the number of Annual Returnsprocessed over the last five years. A lean review wascompleted to streamline and improve processingrequirements as targeted service standards havebecome increasingly difficult to achieve due toresource constraints. Prior to the lean review,annual return processing times averaged 18 days,requiring the use of overtime. By the end of March2015, the Companies Office achieved its processingtarget of 12 days and has continued to surpass thisby processing annual returns, on average, withinfive days.Entrepreneurship Manitoba’s Business SettlementOffice continued to implement an educationaland training plan designed to support businessimmigrants in their efforts to establish a business inManitoba.The “Doing Business In Manitoba Workshop Series”held in fiscal 2014/15 for new business immigrantsproved very popular as all teaching materials,manuals and presentations were developed andprinted in English, Korean and Mandarin. Theworkshop series covered, at an introductory level,three major knowledge areas specifically: businessresearch, business law and business finance.The series was delivered twice over a period oftwo weeks, each series attracting on average 30participants for each of the subjects.The Companies Office continues to apply the bestpractices learned through the Lean ManagementEfficiency Initiative to other areas of the office tostreamline and improve processes to ensure theefficient and effective delivery of services to itsclientele.Furthermore, in late 2014/15 the BusinessSettlement Office launched the “BusinessInvestment through Business Immigration” weeklyinformation seminar. This seminar is designedto serve the needs of potential foreign businessinvestors who wish to explore the opportunity toimmigrate and invest in Manitoba through theManitoba Provincial Nominee Program for Business.The workshops will continue to be offered andfurther enhanced in 2015/16.E NTR E PR E N E U RSH I P MA N ITOBA192014/2015A N N UAL R E PO RT

Small Business Week 2014Small Business Week is an annual celebrationchampioned by the Business Development Bank ofCanada (BDC) with the support of public and privatepartnerships. The week-long celebration recognizesthe achievements of Canadian entrepreneurs andtheir contribution to Canada’s economy.In October 2014, Entrepreneurship Manitoba,in partnership with the BDC, co-hosted a SmallBusiness Week luncheon in Winnipeg, and furthersupported the Brandon Chamber of Commerce’sSmall Business Week luncheon event held inBrandon. The successful events featured networkingopportunities for entrepreneurs and inspiringkeynote speakers. Furthermore, the Winnipegevent also hosted an exhibitor space featuringchambers of commerce, financial institutions, creditunions, business service providers and governmentdepartments. In addition, Manitoba Jobs and theEconomy’s Century Business Recognition Awardrecipients were named and celebrated for theiroutstanding achievement of operating a businessin Manitoba for 100 years. These two events wereattended by over 500 members of Manitoba’sbusiness community.Service and Regulatory InnovationActing upon the November 2015 Throne Speechcommitment related to reducing red tape,Entrepreneurship Manitoba supported theManitoba Employers Council’s advisory committeeon red tape reduction in the analysis of regulatoryrequirements imposed on businesses and thedevelopment of best practices in regulation-makingfor use across Government of Manitoba programareas. The research and analysis is being used tosupport the development of regulatory guidanceservices that are “path-finding”

ENTREPRENEURSHIP MANITOBA 2014/2015 ANNUAL REPORT 7 Hugh Eliasson Deputy Minister Jobs and the Economy Room 311, Legislative Building Winnipeg MB R3C 0V8 Dear Mr. Eliasson: I am pleased to submit for your review Entrepreneurship Manitoba’s 2014/15 Annual Report for the fiscal year ended March 31, 2015.

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