Expanding into the United States

Practical Considerations

Carolyn PowellBuffalo Niagara Enterprise

Why EXPAND into the US?

The main reason for growing into the U.S. to gain access to a market 10-times larger than the Canadian market. Once you cross the Peace Bridge and enter the U.S., there is a population of 58 million people within a radius of 300 miles. To put that in perspective, that is the equivalent of driving between Burlington and Ottawa and having the entire population of Canada along the way.

Expansion vs. Relocation

➡ Many Canadian companies that we work with have the goal of RELOCATING to the US. This is certainly one of the options, but not the only option.

➡ We like to help companies EXPAND. The main reason we encourage companies to expand instead of relocate is quite simple, risk reduction. The US is a huge market with risks and rewards. By properly expanding, you can minimize the risk to the Canadian parent, while setting up the US subsidiary for a prosperous future.

HOW To Expand in the US

➡ Partnership

➡ Purchase

➡ Expansion

Key Drivers to Consider

➡ Workforce

➡ Site Selection

➡ Incentives

Workforce➡ Labor Laws

• At-Will Employment

• Holidays/Vacations

➡ Employee Benefits• Tax/Legal

• Funding Options

• Health Insurance

➡ Immigration

The L-1 visa is a visa granted for intra-company transfers, is a fairly straight forward process for the Canadian company expanding into the US. The L-1 is a temporary visa with a wide range of eligible uses. Unlike other types of visas or visas commonly referred to as “green cards”, the L-1 does not have a limit on the number of visas issued each year.

Site Selection

www.buffaloniagaracls.com

A local guide is always recommended. Be that a realtor or an economic developer, local expertise in a market cannot be stressed enough. Again, regardless of where you expand in the US, look to local experts to guide you through local trends. Often times public funds are earmarked for developments that may not be obvious to the casual observer. Your ability to leverage public dollars can greatly enhanced through these local connections.

Incentives

➡ Tax abatements

➡ Low-cost financing

➡ Grants

➡ Workforce training

➡ Site development

➡ Product development

➡ Research and development

➡ Low-cost power

Influencers to Consider

➡ Utility Infrastructure/Cost

➡ Educational Institutions

➡ Ease of Management

➡ Lifestyle

Canadian Companies Expanding to Buffalo Niagara

To receive news and information monthly about Buffalo Niagara and expanding to the U.S., go to

www.buffaloniagara.org/Home/Doing_Business/Canadian and register to receive the Access U.S. newsletter.

Carolyn Powell

cpowell@buffaloniagara.org

(716) 541.1740

1.800.916.9073

665 Main Street, Suite 200Buffalo, NY 14203

www.buffaloniagara.org

(716) 842.1357