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OECD WorkshopOECD Workshop

SME Data Collection

Statistics Canada’s Experience

Presented by: Terry Evers

Director, Small Business and Special Surveys

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Opening Remarks

Work in Progress Challenges

Budget and resources Definition of SME Information needs Identifying / linking data sources Standardizing definitions and concepts

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Introduction

Statistics Canada organization What lead up to identifying the need for data on SMEs

Free Trade / Globalization / New economies (KBI) / Need for Innovation

Economy driven to large extent by SMEs Need to know what impact SMEs are having on the

Canadian economy

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Early Data on SMEs

Limited scope, specific objectives, partial picture of SMEs

Funded by Provincial Governments and Industry Canada

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Small Business Profiles

Coverage – Incorporated & non-incorporated businesses ($30,000 - $5M)

Data Source – Tax returns (CCRA) T2 electronic / T1 paper tax return

Usage – Enables firms to compare themselves to typical firms in same industry, revenue size & province

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Small Business Profiles (Cont.)

Users – Industry Canada, Finance Canada, Provincial and Territorial Ministries of Finance, businesses and consultants

Data Availability – Bi-annual since 1993 Limitations

Timeliness; T1 sample size; Industry level of outputs available

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Employment Dynamics

Coverage – All employer businesses

Data Source – Administrative Data (T4 slips)

Usage – Business entry and exit; job creation and loss by geographic area and industry

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Employment Dynamics (cont.)

Users – Industry Canada, Provincial and Territorial Governments

Data Availability – Annually since 1996 Limitations

Latest data covers 1983-99 Data is by establishment so hard to

reconcile with labour statistics which is by enterprise

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Small Business FinancingSupply Side Survey

Coverage – Enterprises »$5M in finance & leasing

Data Source – Administrative data from banks, finance companies, portfolio managers, venture capital companies, financial funds

Usage / Users – Discussed in T. Davis’s paper on Needs from a Canadian User Perspective

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Small Business FinancingSupply Side Survey (cont.)

Availability – Reference year 2000 and 2001 Limitations

Using authorization size as proxy for business size

Can’t relate outcomes to Demand Side which is based on business size (employment)

Excludes GBEs; not-for-profit orgs; angels; foreign suppliers

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Small Business FinancingDemand Side Survey

Coverage – « 500 employees & « $50M revenue Data Source –

National sample survey of businesses to determine nature and outcome of requests for financing

Follow-up survey of all businesses who indicated that they had requested financing (approx 25%) to determine sources and importance of financing

Usage / Users – Discussed in T. Davis’s paper on Needs from a Canadian User Perspective

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Small Business FinancingDemand Side Survey (cont.)

Availability – Reference year 2000 and 2001

Limitations Sample sizes limits detail available on

selected financing characteristics No data on importance of financing to

failed start-ups and failed businesses

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Next Steps

Inventory of data on SMEs at Statistics Canada Reviewing direction and priorities for Small

Business Financing Initiative – frequency and scope of surveys

Reviewing survey content Obtaining business size on Supply Survey Including attitude questions on Demand Survey

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Next Steps

Conduct more detailed investigations into other sources of financing (Angels, GBEs), Women Entrepreneurs, Importance of financing as it relates to business cycle (start-up, steady state, fast growth)

Historical analysis using 3 years of data available from the Demand and Supply Survey