Denis Brisebois
Vice President | Tourism-Leisure-Culture | Management consulting

As the lockdown is gradually being lifted, businesses and organizations in the tourism, leisure and culture sector are entering the critical yet complex period of economic recovery. Do you have all the keys in hand to get through this turbulent period?

To cope with this new reality and weather the ups and downs, organizations must review their activities and processes in an effort to implement the best solutions.

The sector can get a new boost even if it’s likely to experience a great deal of uncertainties in the coming months. Some businesses will be more affected than others but those that can adapt will come out stronger and better equipped. It’s an opportunity to get back up on the right foot and ensure a sustainable future.

Seizing opportunities to restart your business or limit losses

Well before this crisis, organizations were already dealing with a number of issues, including demographic changes, the influence of technology and an increased focus on a healthy environment for clients.

The pandemic is forcing the sector to speed up its transformation. Certain trends, such as teleworking and buying local, have become vital. Businesses must transform and adapt, taking into account these emerging needs.

They must also endure new constraints due to the context and fluctuations brought about by the virus. Clients’ habits have changed and how they will behave post-crisis is still unclear.

SME Solutions - Relance RCGT

Assessing your business’ position and implementing effective solutions quicker

An in-depth analysis of your business’ environment and position will help you make more informed decisions. You have several options:

  • Go for it: Seize this opportunity to increase your activities and boost growth;
  • Hibernate: Keep your expenses as low as possible and delay reopening;
  • Focus on what’s essential: Reduce your activities to a minimum and focus on what you do best until the economy recovers;
  • Diversify: Seize this opportunity to develop a new offer and solicit another clientele;
  • Merge: Team up with a partner or business with a complementary service offer and limit costs;
  • Close or sell: This may be the best solution while you can still get back the maximum value for your business given the context;
  • Make an acquisition: This could be an opportunity to invest in a field or business to which you can contribute added value;
  • Transform and reinvent yourself: You may realize that you have everything you need to innovate and modernize your organization.

If you want to take action but don’t know where to start, our team of experts can help you avoid some unpleasant surprises.

We’ve put together more than 20 support programs and others will be announced in the days and weeks to come for various industries. It can be daunting to navigate through so many different offers and programs. So, let our experts help you optimize your organization’s capacity to get financing.

If you want to secure a future for your business, you must not only persevere but also demonstrate agility and creativity. It won’t be easy but there’s hope for new beginnings.

28 May 2020  |  Written by :

Denis Brisebois is a management consulting expert and leader in tourism, leisure and culture....

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As the lockdown is being lifted, businesses are gradually reopening. Until then, let’s take a look at some questions that have come up about temporary foreign workers.

Here are answers about frequently asked questions for organizations that have hired temporary foreign workers (TFWs) or planned on hiring TFWs.

I hired a TFW before the crisis and he’s still in his home country. What can I do until he arrives in Canada?

First off, contact your future employee as soon as possible to make sure they still plan on coming to Canada. If that’s the case, reassure them that the job they were hired for will still be available when they get here.

If possible, set a potential arrival date and coordinate travel logistics between his home country and Canada. You can also request to extend the Labour Market Impact Assessment (LMIA) to give your employee more time to travel to Canada.

The goal is to maintain trust with your TFW and guarantee that they will be available when you need them.

I temporarily laid off TFWs who were working for me. What can I do to help them until business reopens?

Once again, communication is key. Keep in touch with your employees and keep them informed of your plans to eventually reopen. Since the borders are closed, your TFWs cannot return to their home country and they must continue to cover their needs during the unemployment period.

Let them know they’re eligible for the Canada Emergency Response Benefit (CERB) and refer them to the website where they can submit their applications. This will ensure that your TFWs can cover their needs during the crisis and remain available when business resumes.

I want to rehire my TFWs after the crisis. How can I make sure they’re legally allowed to stay in Canada until then?

As mentioned above, your TFWs should stay in Canada during the unemployment period. So, they must maintain a legal status throughout their stay. If their work permit is about to expire, you have two options:

  • You can apply for a work permit extension for employees;
  • You can change their status to a visitor status.

In all cases, your TFWs must have a valid permit allowing them to stay in Canada.

I want to withdraw the job offer for which I had hired a TFW before they arrived in Canada. What’s the process?

Inform the TFW as soon as possible so they can make the necessary arrangements. Contact Immigration, Refugees and Citizenship Canada (IRCC) and the Ministère de l’Immigration, de la Francisation et de l’Intégration (MIFI) to withdraw their work permit application.

In certain cases, if the work permit application hasn’t been processed, you could be eligible for a processing fee refund. Lastly, inform Employment and Social Development Canada (ESDC) to have your LMIA application withdrawn.

Be proactive and establish clear and open communication with your TFWs. That way, you’re making sure your employees are informed of your decision and are available to come back to work as soon as possible, if needed.

Regardless of your situation, we recommend that you speak with an immigration expert who can help you make the right decisions and guide you throughout the process.

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The Grant Thornton International IFRS team has published Understanding the impact of COVID-19 on your 2020 deferred tax provision.

The COVID-19 pandemic is having a tremendous impact on the world’s economy. Many businesses are struggling to stay afloat and doing whatever they can right now to rationalize costs and preserve any cash surpluses they have in order to bridge future cash flow needs. Around the world, governments are stepping in to try and limit the impact of the pandemic by providing financial support in numerous ways, from direct cash payments through to the deferral of tax payments.

This publication sets out four key areas of an entity’s tax provision that could be affected by the impacts of COVID-19. More specifically, it focuses on how government support in the form of tax incentives and tax relief might change previous assessments that were made applying IAS 12, Income Taxes. A key point to be mindful of is that any one of these key areas may be applicable if interim financial statements under IAS 34, Interim Financial Reporting, are being prepared.

Download the document below.

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ASPE-ASNFPO – COVID-19: Accounting Implications for Years Ended On or After March 31, 2020

The novel coronavirus (COVID-19) pandemic continues to have a significant impact on our economy, including consumption, production and supply chain disruptions. Despite encouraging signs, the business environment remains highly uncertain. Entities need to carefully consider the accounting implications resulting from this still uncertain situation.

This edition of Flash presents accounting implications and identifies key financial reporting areas that entities should consider when determining the potential impact of the COVID-19 pandemic on their business and, on the results, financial position and disclosures in their financial statements prepared in accordance with accounting standards for private enterprises (ASPE) or accounting standards for not-for-profit organizations (ASNFPO). It also discusses the recent decision of the Accounting Standards Board of Canada (AcSB) to defer the effective dates of several amendments to standards in light of the COVID-19 pandemic.

Download our Flash Info below.