A New Look at International Trade: The Challenges Facing Alberta’s Entrepreneurs

By Britney Bresciani  |  
A New Look at International Trade:

On September 12, Startup Canada’s Startup Gov program hosted a critical conversation with a dynamic group of entrepreneurs from Alberta. The discussion highlighted the significant and often complex challenges that Canadian small businesses face when attempting to expand beyond their borders, particularly into the United States.

This timely roundtable revealed that while government and ecosystem players offer many supports, navigating international trade in today’s volatile climate remains a daunting task for founders. The conversation uncovered not only the specific hurdles of cross-border commerce but also highlighted systemic issues within the entrepreneurial ecosystem itself.

Key Challenges Raised

Entrepreneurs shared candid insights into the hurdles they are currently facing:

Regulatory and Logistical Hurdles: Entrepreneurs highlighted a complex patchwork of provincial and international rules. A skincare entrepreneur shared that a flat tariff of $20 USD per package made it nearly impossible to sustain sales in the U.S. Compounding this, a founder with a successful manufacturing business shared that their products have been arbitrarily rejected at the border by U.S. Customs and Border Protection, creating a crippling level of uncertainty.

Inefficiencies in the Ecosystem: The roundtable revealed a shared frustration with the lack of access to clear, consolidated information. Participants noted that it is difficult to find a simple, central list of available resources. As one founder put it, the current system is a “134-program maze” that can reward grant consultants over founders building real products.

Navigating Volatile Markets: MP Corey Hogan, who also has a background as an entrepreneur, acknowledged the volatile times and the fierce competition in global markets. He shared his own experience with a tech startup that struggled with complex regulations, data laws, and varying cultural approaches to business; challenges that are magnified for small businesses in today’s landscape.

What Entrepreneurs Are Asking For

The discussion revealed a clear need for actionable solutions and better support systems. Entrepreneurs shared a vision for a more streamlined, collaborative ecosystem:

  • Better Navigation Support: A concierge-style government service or a simple, centralized platform to help entrepreneurs understand and meet regulatory requirements across provinces and for international trade.
  • Domestic Expansion Funding: While export grants are widely available, similar support for interprovincial growth is almost nonexistent and would be beneficial.
  • Merit-Based Funding: Participants expressed a desire for broad-based access to capital. One founder noted the need for merit-based funding that supports job creation regardless of a founder’s demographic, and criticized the lending practices of institutions like BDC as uncompetitive.
  • Standardization and Accountability: The conversation underscored the need for unified processes and clearer documentation to reduce administrative overhead. Founders also called for more oversight in the grant award process, including post-award reviews to ensure funds are used for their intended purpose.
  • Government as Connector: The roundtable highlighted the value of the government using its convening power to bring together ecosystem players, including large corporations, small startups, and regulators, to co-create policy solutions.

A Call for Ecosystem Leadership

This roundtable reinforced the need for greater collaboration across the Canadian entrepreneurial ecosystem. By bringing together founder voices with policymakers and corporate partners like Amazon, Startup Canada’s Startup Gov program is creating a vital space for these conversations. By elevating founder voices and identifying the pain points that hinder growth, we can help shape smarter policy, designed by and for the people who feel its impact every day. Through Amazon’s established worldwide stores and fulfillment networks, Canadian businesses have access to immediate solutions for international expansion, with powerful tools and services that can help them overcome many export barriers and reach millions of global customers.

Thank you to our Startup Gov presenting partner, Amazon, for their commitment to supporting these critical dialogues and empowering entrepreneurs to build, grow, and compete on the global stage.