But at a cocktail reception Saturday night it was made pretty clear to me that if I expected to sell my stuff in America, then I needed a physical American presence. Preferably at the expense of closing my Canadian one. Conveniently enough, there was a representative from the Lt. Governor's office there, offering 25% State of California Tax-Breaks and other incentives to those of us hawking our wares to re-locate. I politely declined.

So much for NAFTA and free trade across the borders, and equal access to markets, etc. I guess the US is only for free trade when it means THEY go into OTHER markets, not when others try to come into theirs. Not that I'm surprised.

Skdadl: Closing shop here would throw my people out of work. That's not what I'm about. I believe that when you have good people who offer you their loyalty, you owe them your protection.

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From what I read, I hope your sales pitch doesn't advertise the fact that you are from Canada. My company (well, former company) had a small office located in the U.S. for only one particular reason that I'm aware of: an American mailing address.

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With some minor exceptions, I’m unaware of any country that doesn’t require some fashion of a “presence” within their borders to do business there. Branch, subsidiary, joint venture, partnership, whatever. If not one of those entities, then one must sell thru a domestic distributor or retailer. This is standard fare within the OECD. Small companies can often operate below the radar but it is usually unlawful.

Here’s a suggestion worth every penny you paid (and exactly as CW noted): Set up a US Branch sales office (anything from a paper-only company to an actual little office with a logo, phone and a temp) and hire an American salesperson on commission-basis. This would give you the “presence” suggested/required. (You could name your US Branch “USA Products” or whatever, you get the drift). You could share this "front-office with others, it's done all the time). And if didn’t work out, at least it would be a write-off; at Canadian rates even! (Sorry if this elementary suggestion insults your business acumen; just a shot from the hip). Oh, and there are turnkey outfits that will do all this for you on a “cost-plus” billing structure.

Silicon Valley is extremely tough. Always has been. But I suspect the recent economic downturn is more the cause of recent angst than 9-11. Many of the GenX types, having never had to actually look for a job, are a little shocked as things return to normal. Good luck!

[ February 20, 2002: Message edited by: SHH ]

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Luring business
Before Canada could make its pitch to tech companies, it had to get its financial house in order. For years, Canada has not been known as a free-market country.

"We recognize we have a branding problem," Tobin said.

The Canadian government used to own the country's largest airline, a major oil company and a major railway, but those have all since been privatized as the country has become business friendly. Chief among the new policies have been changes to tax laws.

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What is this pile of horseshit? Canada has been part of the "free world", the non-Communist, free-enterprise, capitalism-loving nations since 1917. Canada has a governmental structure that broadly parallels that of Great Britain and the USA, with a similar codification of the right to private property - although, granted, not as extensive as that in the USA. The tax system in Canada since the 1950s has had broad similarities to the US's as well.

The above quote is bunk and revisionist history.

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"Ten years ago, we had double-digit inflation and double-digit unemployment, and the economy was lackluster; from a financial perspective, we had no cachet whatsoever," Eckert said.

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This guy is so full of shit it's unbelievable.

This is 2002, not 1992. Eckert's off by a whole decade. In 1982, inflation was about 9% and unemployment was 13%.

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"We're no longer a high-tax environment but a competitive tax environment." In early 2001, the country implemented its biggest tax cut in history, a package worth $65 billion (in U.S. dollars), Tobin said. This is a big sum for an economy one-tenth the size of the United States', he noted.

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The tax cut is being phased in over five years, and furthermore, the "high-tax environment" phrase is such a bogus pile of crap. Refer to the thread where I discuss the relative structure of the tax system in Canada versus other members of the G7.

[ February 28, 2002: Message edited by: DrConway ]