Canadian tech companies look to make it big in New York - Action News
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Canadian tech companies look to make it big in New York

Companies including Tulip Retail and Voices.com are leading the wave of new Canadian tech firms looking to gain a foothold in the burgeoning New York City tech scene, through a Canadian government program that offers office space and coaching on the ins and outs of doing business in the U.S.

Federal program helps Canadian startups gain foothold in competitive New York tech scene

Making it big in New York

9 years ago
Duration 2:38
Canadian program offers tech advice, office space, coaching on doing business in the U.S.

It hasbeen more than a decade since Ali Asaria left the Waterloo, Ont-basedcompanyResearch in Motion, as BlackBerry was then called, andeven longer since he invented the videogame Brickbreaker, the popular time waster on the once ubiquitous device.

It has been so long, in fact, that he says sometimespeople don't even know what Brickbreakeris. Now, the Canadian entrepreneur is in New York City, trying to sell what he hopes is the next big thing in retail.

Canadian companies that come here arecompeting with West European companies, Israeli companies, LatinAmerican companies and Asian companies,so it'sa worldwide forum.- Pierre-Georges Roy, Canadian consultant in New York

"It's really important for us to be here," he says, sitting in a boardroom in a shared office space near Times Square. "Just being in town, being able to say, 'Hey, I'm in town for a meeting,'it's allowed us to connect to a class of retailer that we never would have been able to unless we moved here ourselves."

He's in New York as part of the Canada Technology Accelerator. Since 2012, the federal program run by the Canadian Trade Commissioner's office selects six to eightcompanies to bring to New York for four months.They're given office space and mentoring to help gain a foothold in theburgeoning New York tech scene.

Asaria's latest venture is Tulip Retail. It gives sales associates at major retailers an iPad that allows them to better help customers who come into the store after doing research online.
Companies taking part in the Accelerator meet at a boardroom near Times Square to learn about finding financing and building relationships in New York CIty's competitive tech sector. (Steven D'Souza/CBC News)

"Before Tulip, customers were walking into stores with more information on their phones than the store associates had," Asariasays.

He isjoined in this class by five other companies, including David Ciccarelli, CEO of Voices.com. Based in London, Ont,., the 10-year-old company is an online clearing house for voice-over talent. In the last three years, the staff has grown from 30 to close to 90. With some customers already in New York, coming here was a natural fit.

"It's the capital of the world for media, entertainment, finance and fashion," Ciccarelli said. "That media and entertainment element for us was the one that stood out. There's a lot of prospects."

Companies need a strong balance sheet andclear business plan, and have to set targets that mentors like Pierre-Georges Roy, a Canadian consultant working in New York, keep tabs on.

'No sympathy factor' for being Canadian

Roy says some companies have been sent home because they weren't prepared to handle the fast pace and competitiveness of New York's tech scene.
Consultant and mentor Pierre-Georges Roy helps startups navigate the ins and outs of New York City's tech scene as part of the Canada Technology Accelerator, a federal program run by the Canadian Trade Commissioner's office. (Steven D'Souza/CBC News)

"Canadian companies that come here arecompeting with West European companies, Israeli companies, LatinAmerican companies and Asian companies,so it'sa worldwide forum," Roy said.

New York's tech sector is known as Silicon Alley, and is focused more on business-to-business products and services, compared to the more consumer-focused Silicon Valley on the West Coast. Recently Silicon Alleywas ranked as one of the top five places in the world for startups.

With so much competition, Roy says companies learn quickly that being Canadian doesn't matter.

"Being Canadian is neutral. It's neither a positive or a negative. There's no sympathyfactor," he said.

'Time is of the essence'

The companies also learn that New Yorkers don't like to waste time with pleasantries.

"Time is of the essence, even askingfor 10 to15 minutesof people's time is a huge win, and if you can get in front of someone for just a short period, there's no time for small talk, " Ciccarelli said.

Asaria hasalready lined up a dozen meetings and is speaking at two fashion conferences. He hopes to be able to set up an office here at the end of the program.

Ciccarelli has seen a five-fold increase in business and hopes to set up shop here as well.

"Raising capital in theU.S. or Canada is a 12- to 18-month process. None of this stuff happens overnight, so if i can plant the seeds early enough, Ifind that when the time is right,then I'll have a dozen relationships and a dozen doors i can knock on."