Navigating economic change – an ATB panel discussion

Alberta's small businesses are facing a dynamic and uncertain economic landscape. How can they navigate these challenges and seize emerging opportunities? In this second article of our Empowering Entrepreneurs series, we examine how small business owners can apply ATB Financial's latest economic forecast to their finances and operations. 

Following Senior Economist Siddhartha Bhattacharya's detailed economic forecast, our expert panel shared practical strategies for navigating current market conditions and answered key questions from Alberta's business community.

Panel expertise

The discussion brought together four industry leaders to translate economic insights into practical business strategies:

• Siddhartha Bhattacharya, Senior Economist, ATB 
• Jacinthe Koddo, Fractional CFO, and Co-Founder Propela Financial Services 
• Mohammed Al-Taqatqa, Business Development Manager, Futurpreneur 
• Kerrie Ann Dozois, Senior Sales Leader, Entrepreneurial Growth, ATB 
• Moderated by: Jason Wellman, Vice President, Operations, POD Marketing

Key issues facing Alberta's small businesses

Alberta businesses face potential U.S. tariff impacts but maintain several advantages: improved market access, declining interest rates (expected to reach 2.5%), robust population growth, and increasing cross-sector investment.

Small business owners should focus on:

• Using favourable borrowing conditions strategically for debt management or growth.
• Leveraging Alberta's expanding labour pool while addressing sector-specific shortages through competitive wages and lifestyle benefits.

For service-based businesses with U.S. clients, tariffs would have indirect impacts. Key effects:

• The primary impact will be on goods trading.
• Secondary ripple effects on the services sector.
• Exchange rate implications – the Canadian dollar will likely weaken further, affecting all cross-border business.

While the full impact will remain uncertain until official policy announcements, businesses are advised to monitor U.S. trade policy developments, given their broad economic implications.

Mohammed Altaqatqa notes: "There's a lot of uncertainty. Everyone's trying to figure out what it means for their specific businesses. They need to prepare for potential disruptions and adapt their strategies."

What opportunities exist in economic uncertainty?

"In times of uncertainty, entrepreneurship is a great place to be," notes Jacinthe Koddo. "Small business owners have the agility and flexibility to pivot quickly, meet emerging needs, and adapt in ways that larger organizations often can't."

She advocated for destigmatizing financial discussions among business owners and sharing information where possible, while Mohammed highlighted programs and funding initiatives supporting newcomer entrepreneurs.

Connecting theory to practice

The panel, drawing on ATB's economic forecast, offered practical strategies for small businesses to transform market challenges into competitive advantages.

Interest rates

• Economic overview: Rates are dropping from 5% to 3.75% and are projected to reach 2.5% by summer 2025.
• Panel response: Kerrie Ann advised using this rate stabilization period for strategic business decisions, while Jacinthe cautioned against reactive debt repayment without a proper cash flow analysis.

Demographic shifts & talent strategy

• Economic overview: Alberta's population grew by 4.4 percent, with 79-80% of migrants under 40.
• Panel response: Jason and Mo discussed leveraging this demographic shift through remote work opportunities and adapting recruitment strategies to attract younger talent. They also considered Alberta's competitive advantages in housing affordability.

How can businesses navigate financial pressures?

With interest rates stabilizing, Jacinthe emphasizes foundational management: "To manage cash flow effectively, you need good bookkeeping, solid financial statements, and a clear understanding of your expenses and revenues." She advises:

• Maintaining accurate financial records.
• Creating realistic cash flow forecasts.
• Balancing debt reduction with operations.
• Avoiding reactive debt paydown despite lower rates.

What investment opportunities should businesses consider?

Kerrie Ann advises businesses to "start with a clear plan. Assess your immediate priorities—paying down debt, hiring staff, or investing in technology or equipment." 

Jacinthe adds that decisions must align with overall business goals: "If you're considering hiring, do you have a strategy for retaining that talent? Have you examined long-term costs and processes if you're considering investing in technology?"

How can small businesses leverage technology?

Mohammad emphasizes targeted adoption: "For small businesses, it's not about adopting every tool out there—it's about identifying specific bottlenecks and finding solutions." His recommendations:

• Focus on specific business challenges.
• Consider CRM systems for customer management.
• Automate repetitive tasks.
• Start small and seek expert guidance.

What's the best approach to talent management?

With Alberta's growing population, Kerrie Ann emphasizes building a compelling employee value proposition:

• Offering workplace flexibility.
• Developing strong company culture.
• Providing unique benefits.
• Creating clear growth opportunities.

"If potential employees understand your mission and see how they can grow with your company, you'll have a better chance of attracting the right talent."

How can businesses build effective networks?

"Building a strong network is crucial," says Jacinthe. Success strategies include:

• Connecting with other entrepreneurs.
• Participating in community events.
• Leveraging professional platforms.
• Developing trust-based relationships.

"People want to work with—and for—businesses they know, like, and trust."

Moving forward

In summarizing, moderator Jason Wellman paralleled economic conditions and maritime navigation. The broader economy—with its tariffs, interest rates, and population shifts—represents an unpredictable ocean beyond business control. Businesses with robust operations—solid finances, engaged employees, good networks, and appropriate technology—can weather economic storms by operating as agile tugboats rather than massive ocean liners. They can pivot quickly while maintaining their core structure, strategy, and people.

In addition to emphasizing careful planning, strategic thinking, and adapting to changing conditions, Jason emphasized the compounding impact of minor efficiency improvements. Kerrie Ann noted Alberta's unique economic position offers opportunities despite challenges. "It's a great time for business owners to make key decisions."