Jason Unrau
Northern News Services

Inuvik (Apr 16/04) - Small businesses in this region have to follow the same rule of thumb that all businesses must be concerned with: pay attention to the bottom line.

"Business is business and finding ways to be profitable in this region is key," said Keith Hamilton, the new general manager of the Western Arctic Business Development Services.

"In smaller communities the customer base is not so large and costs are higher, meaning it will take more money to make money in the North."

The WABDS helped about 40 to 50 businesses in the region last year, providing loans that usually average about $20,000, but can go up to $150,000

Hamilton likes to describe his place of work as a "one-stop shop" for prospective entrepreneurs.

"They can come in and get advice about their ideas. We can help them write a business plan and, if it's a sound idea, either loan them the money to get started or help them get a loan from the bank," he said.

Originally a federal initiative, the non-profit business development service has since been taken over by the territorial government and administers several federal and territorial business assistance programs for the likes of the department of Education Culture and Employment, the department of Resources Wildlife and Economic Development and Aboriginal Business Canada.

Poor planning leads to failure

Providing start-up capital to those with sound ideas seeking to go into business for themselves is a big part of the development services operations.

Loans officer Zach Howard said that poor planning rather than lack of funds is what most often sends a business into failure.

"A lot of people come to me (for a loan) because of mistakes and if they would have planned things before, they wouldn't be in that situation."

To help budding entrepreneurs better shape their ideas before any money changes hands is the role of the Service's economic development officer, Darina Falsnes.

"I'm the first point of contact," she said. "I give counselling and advice about issues such as licensing and regulations to clients and help them with a business plan if they want."

Falsnes says that the WABDS is not merely a beginning point for those interested in starting their own business.

"If people run into difficulties, I can help advise them on marketing and financial considerations as well."