By Corene Sullivan
Local businesses and entrepreneurs say the city is shooting its own economy in the foot if it goes ahead with proposed budget cuts.
The draft budget cuts funding to the Ottawa Centre for Research and Innovation (OCRI), the Ottawa Life Sciences Council and the Ottawa Tourism and Convention Authority.
Jeffrey Dale, CEO and president of OCRI is speaking to politicians and the media to fight the cuts. “The economy has had a couple of hard years and we’re starting to see growth again. Now is not the time to cut,” he says.
The draft budget would take between $298,000 and $978,000 from OCRI,which Dale says is the lead economic development agency for Ottawa. It runs networking and collaborative events and helps companies sell their products outside of Ottawa.
The Entrepreneurship Centre is one of OCRI’s initiatives. “It’s one of the gems of the city, it helps small businesses start and grow,” says Dale. According to Dale, 5,000 entrepreneurs came through the door of the Entrepreneurship Centre either physically or by way of the Internet last year. Of those, 2,500 started businesses that generated sales of over $200 million.
Fred Hosking used the services of the Entrepreneurship Centre six years ago when he and his four partners wanted to launch their business, History Inc. The Centretown company now employs 70 people.
“Before we started the business we took a number of courses, and got a mentor through them (Entrepreneurship Centre). They helped us especially through their resources and what you need to know,” says Hosking.
Hosking says cuts to OCRI hurt the city. “Small businesses drive the economy,” he says.
Centretown would be especially hard hit because it’s home to so many small businesses. Gerry LePage, executive director of the Bank Street BIA, estimates that there are over 1,000 businesses in the neighbourhood. He says it’s in the city’s best interest to support those businesses.
“What is an investment and what is a cost?” asks LePage. “With an investment, you get something back.” The Bank Street BIA plans to put forward alternatives for the budget cuts.
“We’re the guys who are doing economic development for the city. If we’re not doing it, who is?” says Dale.