Small Business is Big in Canada … but
- Chris Herbert
- Oct 9
- 5 min read
But, we’ve lost 100,000 entrepreneurs—and 350,000 can’t get the financing they need. This raises the question: is BDC doing a good job?
Rural entrepreneurs power Canada’s real economy—jobs, exports, main‑street vitality, and community pride.
Yet we have 100,000 fewer entrepreneurs than 20 years ago and an estimated 350,000 who can’t access the financing they need.
That gap is widest outside big cities, where distance, thin credit files, and unconventional models collide with rigid underwriting and generic advisory.
BDC is Canada’s development bank. Its financing mandate matters—especially for small, young firms.
But when it comes to advisory, rural founders need something different: practical, peer‑powered commercialization help from people who have actually built and scaled companies in places like yours.
That’s why AREA 81 exists.
For rural entrepreneurs: why AREA 81 beats generic advisory
Entrepreneur‑led, not bureaucracy‑led. Our Venture Development Program is led by active founders—operators who’ve built, bought, or exited businesses and still sign payrolls.
Commercialization first (not classroom first). We don’t hand you a playbook; we build with you—offers, pricing, GTM, partnerships, and funding stacks tailored to rural realities.
Peer‑powered, accountability‑driven. Cohorts, pods, and 1:1s create the pressure and confidence to ship. You’re surrounded by Starters, Operators, and Veterans who move work forward—not just talk about it.
Funding pathways you can actually use. We design capital stacks (customer cash + grants + BDC/credit unions + private), and we’re building a micro‑investment pool so early rural ventures aren’t dead on arrival.
Real‑world hubs + digital reach. On‑the‑ground support in Grey–Bruce with a network that opens doors across Canada and beyond.
Quick comparison: BDC Advisory vs. AREA 81
What you need | BDC (and other gov't led advisory services) | AREA 81 (Venture Development Program) |
Who’s coaching you | Generalist advisors | Active entrepreneurs & domain operators |
Focus | Broad business hygiene | Commercialization & revenue first (offers, GTM, partnerships) |
Fit for rural | Variable | Designed for rural constraints & opportunities |
Accountability | Light touch | Pods, sprints, success metrics, ship dates |
Funding philosophy | Lender‑centric | Two tracks: Path A Customer‑Funded First (equity later); Path B Venture/Scale First (equity early, lenders last) |
Capital support | Application guidance | Full stack aligned to revenue: paid pilots, pre‑orders, retainers, grants, then debt/equity (as appropriate) |
Community | Program‑by‑program | Peer network (Starters, Operators, Veterans, Partners) |
Outcomes | Advice delivered | Traction: signed customers, cash in, file‑ready for financing or fundraising |
Bottom line: Keep BDC for financing when it matches your path. Join AREA 81 for coaching, mentorship and advisory that gets you customer cash first—or investor-ready—faster.
Two Funding Tracks (pick what fits your venture)
Path A — Customer-Funded First (default for most rural commercialization)
Order: customer cash (deposits, paid discovery, pilots, pre-orders) → non-dilutive (grants, rebates, municipal pilots) → lenders (BDC/credit unions) → equity to scale a proven machine.90-day target: 3–5 design partners and $15k–$50k in customer cash.
Path B — Venture/Scale First (equity early; lenders last)
Use when two or more apply: network effects/land-grab; capital-intensive build; long regulatory/technical runway; winner-take-most dynamics.
Order: LOIs/MOUs + anchor pilots → equity round (pre-seed/seed) → non-dilutive → lenders last (after revenue predictability/assets).90-day target: 5–10 LOIs (or 2+ paid pilots), data room, and a lead-investor short list.
One-minute decision
Can you land paid pilots/pre-orders in 30–90 days? → Path A
Need certifications/factories/networks before revenue? → Path B
Not sure? Start Path A while building Path B signals (LOIs, design partners).
Bottom line: Keep BDC for financing when it matches your path. Choose AREA 81 for advisory that gets you customer cash first—or investor-ready—faster.
What you’ll do inside AREA 81 (Phase One Business Model Design in action)
Vision → Market Fit: Vision Snapshot, Macro Triggers, and Lean Canvas customized for rural.
Clarity → Beachhead: We start with paying members (your peers) to pressure‑test assumptions and prioritize the fastest path to revenue.
Desirability → “Why Now”: Tight pitches for Starters, Operators, Veterans to unlock pilots and partnerships.
Viability → Rapid Viability Test: Know your customer/price/conversion/churn math before you burn months.
Execution → Sprints: 90‑day cycles with Success Criteria and ship dates. You’ll launch pilots, close customers, or pivot—deliberately.
For organizations & municipalities: partner with AREA 81 to sponsor entrepreneurs
We’re inviting municipalities, chambers, colleges, employers, Indigenous EDOs, credit unions, and foundations to become AREA 81 Partners by purchasing blocks of P2P memberships ($500/yr per entrepreneur) and, where appropriate, sponsoring Venture Development seats.
Keep it simple: fund seats, fill seats, track outcomes.
How it might work
Choose a seat block: 10, 25, or 50 P2P memberships (multi‑year optional).
Set targeting criteria: youth, newcomers, under‑represented founders, priority sectors, or open call.
Onboard with AREA 81: we run orientation, form peer pods, and start 90‑day sprints.
Optionally sponsor VDP scholarships: for founders tackling commercialization sprints.
Co‑host two events per year: a local kickoff + a mid‑year showcase.
Quarterly impact reports: members active, pilots/pre‑orders signed, revenue generated, jobs created/retained.
Why this works
Removes the cost barrier for rural founders at the moment it matters.
Builds local capacity fast (peer pods + operator mentors) without creating new bureaucracy.
Turns sponsorship into outcomes: pilots, revenue, hires—not just attendance.
Suggested KPIs
Activation: ≥80% of sponsored seats active within 30 days.
Customer cash: ≥60% of members secure a deposit/pre‑order/paid pilot within 90 days.
Follow‑on support: grant submissions, lender approvals (when appropriate), investor meetings (Path B).
Economic impact: revenue, jobs, and local suppliers engaged.
A respectful note to BDC teams
Your financing mandate matters—especially your willingness to take more risk with small, young firms.
Keep doing that. Where we see friction is advisory fit for rural founders under time and capital pressure.
How we complement you:
Advisory first: We fix offers, pricing, GTM, and partnerships so deals pencil out.
File‑ready founders: We deliver cleaner packages, clearer milestones, and realistic use‑of‑funds.
Shared success metrics: revenue growth, jobs, follow‑on capital, and renewal/retention.
For Path B startups, we’ll prep equity‑ready files (LOIs, pilots, data room). As pilots convert to revenue, your working‑capital products become appropriate.
Until then, for these ventures, lenders come last by design.
So—is BDC doing a good job?
Financing: Often, yes—especially where others won’t lend.
Advisory for rural commercialization: Not enough. Rural founders need doers, not binders.
AREA 81 fills that gap with an entrepreneur‑led program that converts advice into traction—via Customer‑Funded First (Path A) or Venture/Scale First (Path B) when the thesis demands acceleration.
So, What's Next?
Rural founders: Join the AREA 81 P2P Network ($500/yr) or Venture Development Program ($500/mo). Bring your next 90‑day goal. We’ll make it real—via Path A or Path B.
Organizations & municipalities: Become an AREA 81 Partner and purchase P2P memberships (e.g., blocks of 10–25 seats) for local entrepreneurs; optionally sponsor VDP seats and co‑host quarterly venture clinics.
BDC teams: Pilot a BDC × AREA 81 advisory‑first handoff in Grey–Bruce. We’ll deliver customer‑ or investor‑ready founders and faster commercial outcomes.
Small business is big in Canada—especially outside big cities.
Close the first‑mile advisory gap, choose the right path, and the financing—and the growth—follow.
About the Author
Chris Herbert is a seasoned entrepreneur, strategist, and content creator with a proven track record of empowering businesses to achieve growth and success.
As sales and marketing professional and cofounder of Mi6 Agency, he has been instrumental in helping entrepreneurs startups and ventures achieve significant milestones, including taking a startup to market that was acquired, preparing and promoting a venture for acquisition on behalf of a venture capitalist, and driving a company's growth from $15M to $40M, leading to its successful acquisition.
A former cofounder of Silicon Halton, Chris built a thriving tech community of 1500 members and hundreds of events, before selling his interest in 2024 to focus on the launch of Mi6's One2One service and rural entreprenership accelerator AREA 81, a rural entrepreneurship accelerator program offered by Mi6 Agency.
As a Level 3 Leanstack Coach, Chris applies methodologies like Running Lean to help entrepreneurs scale effectively. His insights on entrepreneurship, marketing, and SDGs are featured on Mi6agency.com, along with his 7Q Series on startup funding.
Why Chris Herbert and Mi6? Because our expertise transforms ventures into success stories.
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