It appears certain the Carney government will soon bring a significant change to investing in some tech firms.
Interest is turning towards extending Flow-Through Shares (FTS) to tech. We think it is good to bring a new option to help generate more investment in Canadian tech firms .
If you are not familiar with FTS it was developed in Canada 71 years ago to power the mining industry and then extended to the oil and gas sector and then renewable energy. In brief, a company flows approved expenses through to investors by offering these special shares. Investors can get a tax benefit ups to 100% and the company gets funding.
The Liberals made a campaign promise to extend FTS to biotech, advance manufacturing , quantum computing and Artificial Intelligence.
The campaign, called Canada Flow-Through Shares was co-founded by David Perry , a leading recruiter focused on C-Class talent in tech and Paul LaBarge a tax and tech specialist at the law firm LaBarge Weinstein based right in our park.
In addition to the election promise the AI and Digital Innovation Minister, Evan Solomon said in a June speech that, “Incentives like Flow-Through Shares are needed for our smaller companies, to start the flywheel not only of innovation but adoption.”
The campaign team believes Mark Carney personally supports FTS and expect something in the fall federal budget.
Of it proceeds it could generate between $400-500 Million in new private investment money for tech.
You can learn more by going to www.CanFlowThrough.com. You can post a message of support as Terry Matthews has done or send an email to David, dperry@perryartel.com
