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Wednesday 19 October 2011

Social 9F Current Event

 City Cracks Up To 10
By: Nikolaos Guzzi
Oct.19th, 2011

As a city that supports business initiatives, Lethbridge ranks eighth in the nation. By comparison, an annual "entrepreneurial index" report placed Calgary in 21st place - and Toronto in 91st. The high ranking for Lethbridge, explains the Canadian Federation of Independent Business, comes in part from the local business community's favourable comments on this city's taxes and policies.
But Lethbridge was far from the only Alberta community topping the polls, points out CFIB spokesperson Richard Truscott. Grande Prairie placed first across Canada, Lloydminster was No. 2 and Edmonton placed fifth.
Fort McMurray and Red Deer ranked immediately ahead of Lethbridge, sixth and seventh respectively. But Medicine Hat finished much further down, in 39th place.
Among Canada's mid-sized cities, the CFIB placed Lethbridge fifth.
"A lot of it is related to the number of new businesses, and the steady growth perspective," Truscott said.
Changes in city taxes and polices relating to small business could place Lethbridge still higher, he added. But it was high ratings from the city's business community that boosted Lethbridge into Canada's top 10.
"Albertans should be proud that six of the eight largest cities in our province ranked in the top 10," Truscott said. "It is a sure sign the entrepreneurial spirit is alive and well in our province."
Saskatchewan also fared well in this year's survey, with Saskatoon and Regina placing third and fourth, and Moose Jaw just behind Lethbridge in ninth. Last year, Truscott said Lethbridge placed 19th - and a year earlier, 43rd in the list of 100.
He said the ratings, as scored by CFIB members, include a dozen indicators related to three general fields: local government's policies as they relate to small business, the level of entrepreneurial activity found in each community, and the level of business expectations and optimism that members voiced.
Lethbridge business operators still hope to see homeowners pay more of the city's property tax bill, Truscott said. The split is currently $2.70 for each $1 paid to the city by homeowners, he added, but that compares with about $4.50 in Calgary. Grande Prairie is among the lowest, at $2 for $1.
At Economic Development Lethbridge, the CFIB ranking was welcome if not surprising.
"One of the ways we measure and track entrepreneurial activity is the growth in new business licences issued," said Cheryl Dick, the agency's chief executive officer. "While we've seen steady increases over the past few years, 2011 has proven to be exceptionally strong."
The 333 new licences issued during the first nine months, she said, represent a 14 per cent increase over last year. While home-based businesses were up six per cent, others (184 of them) showed a 22 per cent hike.
"Not only are new businesses opening, they are sticking," Dick emphasized.
"In 2010, there were only eight business bankruptcies, with only Fort McMurray lower than Lethbridge," she said. "In 2009, Lethbridge had the lowest business bankruptcy rate, with zero."
The CFIB results underline the level of stability enjoyed by Lethbridge-area businesses, she added - as well as the continuing strength of Alberta's economy.
"Even so, it's particularly gratifying that Lethbridge is in the top 10 across the country."