Red Deer

Review the Business Climate

How it's done

The business climate is the general economic environment that local businesses operate in. Reviewing and understanding the local business climate provides valuable insights about the economy, costs, risks, and incentives that may impact the success of your business. This activity will guide you to better understand the business climate in Red Deer and help you answer the following fundamental questions.

What is the business climate in Red Deer?

We have compiled the most important aspects of Red Deer’s business climate as an interactive dashboard below. This dashboard provides valuable economic, resident, household, dwelling and development indicators that may influence the success of your business.

What costs and assistance should I know about?

Whether you have a new or existing business it is critical to be aware of costs, incentives and grants that impact your business. This dashboard provides you with a snapshot of the major costs of conducting business in Red Deer and assistance available to Red Deer businesses.

Red Deer has an excellent business environment with many advantages that support businesses and allow them to be competitive in the provincial, national and world markets. Some of the advantages that Red Deer businesses enjoy are:

  • no business taxes
  • no capital tax
  • no machinery and equipment tax
  • no payroll tax

Red Deer continues to be a great destination to do business thanks to its infrastructure, strong urban growth centers, increasingly diverse economy, growing population and lucrative investment opportunities.

As of July 1, 2019, the general Alberta corporate income tax rate is 11 percent. The Alberta small business income tax rate is 2 percent for eligible small businesses with income up to $500,000.

The combined federal/provincial corporate income tax rate in Alberta is 26 percent for general businesses and 13 percent for small businesses, and a competitive corporate income tax rate is in place for manufacturers. Businesses also benefit from the fact that Alberta has no inventory tax, no machinery and equipment tax and no payroll tax, which are common in many other provinces and U.S. states. Learn more

The Alberta government also offers additional tax credits to encourage capital investment into a wide variety of sectors.

Alberta Investor Tax Credit (AITC)

Capital Investment Tax Credit (CITC)

Want to compare the mill rate between communities? Click here

How do I use this information?

Having access to business climate statistics and information is one thing, but it's quite another to use data effectively and in a way that will benefit your business. This next section will help you do just that. Learn how to use this information to make better business decisions.

Monitor the local business climate

On-going assessment of the business climate is an essential part of operating a competitive business. In any business climate, there are numerous factors outside your control that will impact your business, both positively and negatively. The health of the economy impacts all businesses, but small businesses usually feel the effect of economic changes faster than big businesses. Improvements in the economy typically provide a rapid increase in new opportunities for small businesses, while an economic downturn can have a significant and prolonged negative impact.

Unfortunately, you can’t influence the economy, but you can monitor the business climate indicators provided above and then take the necessary actions to minimize risks to your business. Staying up to date with the business climate can also help you identify new opportunities that your business can take advantage of.

Know your costs

All industries are unique and incur different types of costs when starting or operating. Understanding these costs is essential when it comes to setting prices, budgeting and planning for growth or downturns. We’ve provided some of the local costs associated with taxes, development and labour that often get overlooked by businesses. There may be other municipal and provincial costs that apply to your business so we encourage you to contact us to find out more.

Where can I learn more about the business climate?

While we are providing you with a range of valuable information about the business climate, the fact is that there's much more available. In this section we provide you with links to other websites that will supplement our information and help to keep your finger on the pulse.

There may also be other municipal and provincial costs that apply to your business so we encourage you to contact us to find out more.

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Contact us

Main Line
Land and Economic Development
403-342-8106
econdev@reddeer.ca

Peter McGee
Economic Development Officer
Cell: 403-358-2435
peter.mcgee@reddeer.ca

Michelle Zeggil
Economic Development Officer
Cell: 587-876-0094
michelle.zeggil@reddeer.ca

Bre Fitzpatrick
Economic Development Officer
403-505-7307
bre.fitzpatrick@reddeer.ca

City Hall 4914 – 48 Avenue, Red Deer, AB, T4N 3T3