Financial reporting and accounting advisory services
You trust your external auditor to deliver not only a high-quality, independent audit of your financial statements but to provide a range of support, including assessing material risks, evaluating internal controls and raising awareness around new and amended accounting standards.
Accounting Standards for Private Enterprises
Get the clear financial picture you need with the accounting standards team at Grant Thornton LLP. Our experts have extensive experience with private enterprises of all sizes in all industries, an in-depth knowledge of today’s accounting standards, and are directly involved in the standard-setting process.
International Financial Reporting Standards
Whether you are already using IFRS or considering a transition to this global framework, Grant Thornton LLP’s accounting standards team is here to help.
Accounting Standards for Not-for-Profit Organizations
From small, community organizations to large, national charities, you can count on Grant Thornton LLP’s accounting standards team for in-depth knowledge and trusted advice.
Public Sector Accounting Standards
Working for a public-sector organization comes with a unique set of requirements for accounting and financial reporting. Grant Thornton LLP’s accounting standards team has the practical, public-sector experience and in-depth knowledge you need.
Tax planning and compliance
Whether you are a private or public organization, your goal is to manage the critical aspects of tax compliance, and achieve the most effective results. At Grant Thornton, we focus on delivering relevant advice, and providing an integrated planning approach to help you fulfill compliance obligations.
Research & development, government incentives
Are you developing innovative processes or products, undertaking experimentation or solving technological problems? If so, you may qualify to claim SR&ED tax credits. This Canadian federal government initiative is designed to encourage and support innovation in Canada. Our R&D professionals are a highly-trained, diverse team of practitioners that are engineers, scientists and specialized accountants.
Keeping track of changes and developments in GST/HST, Quebec sales tax and other provincial sales taxes across Canada, can be a full-time job. The consequences for failing to adequately manage your organization’s sales tax obligations can be significant - from assessments, to forgone recoveries and cash flow implications, to customer or reputational risk.
US corporate tax
The United States has a very complex and regulated tax environment, that may undergo significant changes. Cross-border tax issues could become even more challenging for Canadian businesses looking for growth and prosperity in the biggest economy in the world.
Cross-border personal tax
In an increasingly flexible world, moving across the border may be more viable for Canadians and Americans; however, relocating may also have complex tax implications.
While there is great opportunity for businesses looking to expand globally, organizations are under increasing tax scrutiny. Regardless of your company’s size and level of international involvement—whether you’re working abroad, investing, buying and selling, borrowing or manufacturing—doing business beyond Canada’s borders comes with its fair share of tax risks.
Transfer pricing is a complex area of corporate taxation that is concerned with the intra-group pricing of goods, services, intangibles, and financial instruments. Transfer pricing has become a critical governance issue for companies, tax authorities and policy makers, and represents a principal risk area for multinationals.
Succession & estate planning
Like many private business owners today, you’ve spent your career building and running your business successfully. Now you’re faced with deciding on a successor—a successor who may or may not want your direct involvement and share your vision.
Tax Reporting & Advisory
The financial and tax reporting obligations of public markets and global tax authorities take significant resources and investment to manage. This requires calculating global tax provision estimates under US GAAP, IFRS, and other frameworks, and reconciling this reporting with tax compliance obligations.
Our transactions group takes a client-centric, integrated approach, focused on helping you make and implement the best financial strategies. We offer meaningful, actionable and holistic advice to allow you to create value, manage risks and seize opportunities. It’s what we do best: help great organizations like yours grow and thrive.
We bring a wide range of services to both individuals and businesses – including shareholders, executives, directors, lenders, creditors and other advisors who are dealing with a corporation experiencing financial challenges.
Market-driven expertise in investigation, dispute resolution and digital forensics
Viruses. Phishing. Malware infections. Malpractice by employees. Espionage. Data ransom and theft. Fraud. Cybercrime is now a leading risk to all businesses.
Running a business is challenging and you need advice you can rely on at anytime you need it. Our team dives deep into your issues, looking holistically at your organization to understand your people, processes, and systems needs at the root of your pain points. The intersection of these three things is critical to develop the solutions you need today.
Updates for creditors, limited partners, investors and shareholders.
ASPE Sec. 3041 Agriculture Understanding and applying the new ASPE Section 3041 AgricultureThe Canadian Accounting Standards Board (AcSB) has released new guidance on recognizing, measuring and disclosing biological assets and the harvested products of bio assets.
Tax alert Agricultural Clean Technology ProgramThe Agricultural Clean Technology Program will provide financial assistance to farmers and agri-businesses to help them reduce greenhouse gas (GHG) emissions.
Tax alert ACT Program – Research and Innovation Stream explainedThe ACT Research and Innovation Stream provides financial support to organizations engaged in pre-market innovation.
Tax alert ACT Program – Adoption Stream explainedThe ACT Adoption Stream provides non-repayable funding to help farmers and agri-business with the purchase and installation of clean technologies.
Builders And Developers
Every real estate project starts with a vision. We help builders and developers solidify that vision, transform it into reality, and create value.
Rental Property Owners And Occupiers
In today’s economic climate, it’s more important than ever to have a strong advisory partner on your side.
Real Estate Service Providers
Your company plays a key role in the success of landlords, investors and owners, but who is doing the same for you?
There’s no business quite like mining. It’s volatile, risky and complex – but the potential pay-off is huge. You’re not afraid of a challenge: the key is finding the right balance between risk and reward. Whether you’re a junior prospector, a senior producer, or somewhere in between, we’ll work with you to explore, discover and extract value at every stage of the mining process.
Oil & gas
The oil and gas industry is facing many complex challenges, beyond the price of oil. These include environmental issues, access to markets, growing competition from alternative energy sources and international markets, and a rapidly changing regulatory landscape, to name but a few.
Moving forward with your growth strategy
Your business was resilient and weathered the pandemic, but it’s not smooth sailing yet. If you’re concerned about profitability, you’re not alone. A March 2021 report from Statistics Canada revealed that 41.8% of business owners expect a drop in profitability in the short term. Conversely, only 8.3% of businesses expected an increase.
These statistics show that many Canadian business owners see challenges in the months ahead. If you want to return to profitability, and if you’re contemplating changing your business strategy, you might still face fluctuations in demand, under- or over-supply, cash flow and operational issues. These factors will shape both the form and the timing of your strategy.
Regaining profitability in your business – three key approaches
There are three core elements to attaining business profitability: operational efficiency, revenue growth and cost reduction. Ideally, you will address all three to maximize your performance, but it is not always clear where to start. Every business is unique, and you’ll weigh each of those considerations differently depending on your situation.
It’s possible that you know the answer immediately, though many times it is not so obvious. If you’re in doubt, the best way to figure out what to prioritize may be to conduct an assessment.
1. How do I adapt my operations to increase efficiency?
Most small business owners are constantly looking for ways to make their business more efficient. This was true before the pandemic and it certainly remains so as businesses navigate the next phases of recovery. You may have already taken some measures to boost efficiency, or you may have had your hands full keeping things going during the height of the crisis. Either way, this may be a good time to look for ways to further improve your productivity.
One of the positives that came out of the past year was the increased pace of innovation. As a business owner, you now have access to many tools to help you run your business more efficiently. For example, it is easier than ever to use technology to find your best product mix, and to help with order taking, processing and delivery. Now may be a good time to look for tasks that you can streamline, outsource or automate.
2. What are my options to drive revenue growth?
It’s no secret that the pandemic has had a significant impact on the revenues of all organizations in the country, particularly small businesses. Statistics Canada reported that 86.4% of accommodation and food services business and 78.3% of art, entertainment and recreation businesses reported drops in revenue in 2020. This means that many small businesses in Canada are going to be playing catch-up over the next year.
Some of the strategies recently deployed by small and medium businesses to boost revenue include new delivery and sales models, and e-commerce is especially popular: according to Statistics Canada, 16.7% of businesses had an online sales platform or had plans to implement one as of early 2021. Does this mean you need to build your own e-commerce platform? Not necessarily – you might not need to have your own sales platform, because working with a service provider could help you keep costs low.
There are a multitude of other ways you can boost revenue. These can be as simple as offering coupons and loyalty programs, and bundling products/services. You could also add complimentary offerings, expand your geographic market area, form partnerships with other businesses or even alter your pricing model. Depending on your circumstances, one or more of these could be right for you.
While boosting revenue, each of these solutions have related cash flow and tax implications. For example, cash flow might be reduced up front in the form of increased inventory and sales costs, or down the road for options like loyalty program redemptions or coupons. Expanding your sales outside your current province(s) or overseas could result in additional tax requirements. If these steps deliver the revenue boost you are looking for, they are “good challenges” to have, and speaking to your business or tax advisor can help insure you’re prepared.
3. How can I reduce costs?
Addressing costs is the third element in the profitability equation. Depending on your line of business, significant costs may include inventory, leasing of real estate and/or equipment, administration, labour and – particularly in the wake of the economic downturn – debt servicing.
As a first principle, the steps you take to control these costs should align with your strategy for future growth. In other words, make sure the moves you make will support the business model you plan to have a year from now – which is not necessarily the same one you had a year ago.
If you have substantial costs related to leased space, you may be able to reduce or reconfigure your physical footprint through more virtual work, digitizing files and taking advantage of cloud-based tools for routine functions. Adding an online sales and delivery component may also give you more flexibility with your physical footprint, while also lowering the cost per sale in some cases.
Debt represents another big cost for many companies, particularly those forced to borrow just to keep the doors open in challenging business cycles. There is a natural inclination to reduce this burden as soon as possible by shifting any and all available funds into lowering that debt. Doing this alone however, without the support of a debt advisor, might lead to unintended consequences.
If you are facing substantial costs related to borrowing, consider speaking to someone with deep professional experience in this area. A debt advisor can assist you in several ways, including helping with refinancing or renegotiating credit agreements where you may have options that you were not aware of, such as lower rates or term changes. Additionally, it’s crucial to have an advisor in your corner who can prioritize goals in complex situations and help mediate between you and your lenders.
Have questions? Let us help.
Restoring profitability can be a complex balancing act—but you aren’t alone. We understand the issues that affect your business and will work with you to find the best way forward. Whether you're focusing on reducing costs, improving operational efficiency or driving revenue, our advisors are in your corner.
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