By Gabriel Louër
Supporting Indigenous businesses is about much more than fostering economic growth or hitting certain financial targets. While these objectives are important, there are several other dimensions that are often overlooked in the process of economic reconciliation.
Understanding the Indigenous Business Landscape in Canada
According to Statistics Canada, the Indigenous population makes up around 5 per cent of Canada’s total population yet accounts for less than 2 per cent of all businesses. This disparity can be owed to several factors, including the historical legacy of colonial oppression and the ongoing systemic inequalities that plague Canadian society.
Regardless of the underlying reasons, this fact underscores the importance of not only supporting existing Indigenous entrepreneurs, but of promoting reliable and sustainable pathways for business formation within the Indigenous community.
For many, particularly those within the Indigenous community, entrepreneurship is not simply a matter of creating excess profits but instead a means of sustenance. Moreover, given the vast structural differences that exist within Canadian society, this often means that entrepreneurship is one of the few options available for those seeking a reliable source of income.
In many remote communities, which are disproportionately comprised of Indigenous people, there are scarce opportunities when compared to major urban centres across the country. As such, entrepreneurship is one of the few viable pathways to prosperity.
Beyond Profit: Indigenous Entrepreneurship as Community Development
What’s more, Indigenous businesses frequently contribute to the social fabric of their communities. Economic development not only means increasing financial resources, but also stronger families and healthier communities. For these communities, money is a means to an end, not an end in itself.
As such, Indigenous businesses often focus on addressing local needs and providing opportunities that benefit the entire community. This includes creating jobs, providing training programs, supporting local supply chains, and reinvesting profits back into community-based projects.
Sustainable Practices and Systemic Challenges in Indigenous Business
Furthermore, Indigenous businesses have been at the forefront of promoting sustainable business practices and have prioritized social responsibility in their operations. This emphasis on sustainability can be owed to the rich culture of environmental sanctity that is found within Indigenous teachings.
While these businesses practices may seem counterintuitive when compared to traditional business models, this holistic approach understands that the economy works to the benefit of the people and not the other way around.
However, due to structural differences many Indigenous entrepreneurs operate in areas with limited resources, which makes it difficult to achieve their aims. One of the key challenges Indigenous entrepreneurs face in starting their businesses is that access to financial resources, such as credit and capital, is costlier.
Supporting Indigenous businesses is a critical component of both economic reconciliation and community empowerment, extending far beyond financial metrics. These businesses provide essential opportunities for growth, self-sufficiency, and social well-being, particularly in remote Indigenous communities where access to resources is limited.
Indigenous entrepreneurship is deeply intertwined with cultural values of sustainability and social responsibility, which prioritize the collective good over individual profit. While systemic barriers continue to hinder Indigenous business owners, fostering inclusive pathways to capital, training, and support can help break down these challenges, ultimately leading to stronger, more resilient communities.
