OTTAWA – October 2012– In a keynote presentation in Ottawa, Peter Lyman, Senior Partner of Nordicity, demonstrated an impressive $3.26 return on investment for each dollar the Centre for Commercialization of Research (CCR) receives in government funding, as found in the report titled The Economic Impact of the Centre for Commercialization of Research, produced by Nordicity and The Evidence Network.
The report found that the business-advisory services and financing provided by CCR to early stage companies in Canada generated 840 cumulative jobs between 2009-10 and 2011-12 and led to the creation of $42 million in gross domestic product (GDP) for the Canadian economy. In other words, $3.26 of GDP was created for every one dollar of public funding of CCR.
Nordicity and The Evidence Network also found that these economic benefits were achieved at no net cost to Canadian taxpayers.
Highlights of the report include:
Every dollar of CCR funding yielded $3.26 in economic benefits in terms of GDP CCR-supported companies generated 16,300 cumulative jobs and $740M in GDP between 2009-10 and 2011-12 Since 2009, CCR’s involvement with early-stage companies generated 840 cumulative jobs in Canada and led to the creation of $42 million in GDP Economic activity generated by CCR support yielded an estimated $13.2 million in federal and provincial taxes, i.e. more than the $12.9 million in funding that CCR received during those three years – thus, a net positive fiscal impact CCR-supported companies attracted an estimated $140 million in follow-on financing in 2011-12 CCR-supported companies spent $150 million on R&D in those years, about half of their total operating expenses.
Dr. Mario Thomas, Managing Director, Ontario Centres of Excellence’s Centre for Commercialization of Research (CCR) says the study provides evidence of the importance of providing business support to innovative companies and the real benefits to Canada’s economy.
“CCR works with globally-oriented entrepreneurs and early-stage companies to give them what they need to take publicly funded research outcomes from the academic lab to global markets and today’s report demonstrates that this kind of support and the work that CCR does is literally paying off for Canada’s economy in a really substantial way.”
The preparation of this report combined the strengths of Nordicity’s economic impact analysis methodologies and The Evidence Network’s innovation impact assessment methodology.
The analysis drew upon a variety of primary and secondary data sources, including an online survey of client companies in order to quantify the economic impact that could be directly attributed to CCR.
The report not only quantified the direct economic impacts, but also the spin-off and spillover impacts associated with CCR client companies’ development of innovative products and services for global markets.
Study director and Nordicity chief economist, Dustin Chodorowicz, said that “this study demonstrates that CCR has been very effective and that the incremental jobs and GDP created have been achieved at no net cost to the taxpayer.”
For more information on this or other Nordicity projects, contact:Dustin Chodorowicz, PartnerCanada: +1.613.234.9429UK: +44 (0) 75 1197 email@example.com www.nordicity.com
Nordicity is a boutique international consulting firm providing private and public sector clients with solutions for Strategy and Business, Policy and Regulation and Economic Analysis across four priority industries:
Arts, Culture and Heritage Digital and Creative Media ICT and Innovation Telecommunications and Spectrum
Nordicity was founded in Ottawa, Canada in 1979. We now have offices in London, United Kingdom; Toronto, Ottawa and Vancouver, Canada; and clients across North and Central America, Europe, Africa, and Asia.
For more information about Nordicity, visit www.nordicity.com
ABOUT THE EVIDENCE NETWORK
The Evidence Network (TEN) provides assessments of the impact of innovation intermediaries on companies, drawing on its expertise in innovation intermediary management, technology commercialization, research on innovation intermediaries, and impact assessment. TEN entered the market in 2009 and has rapidly become known for its sound methodology and robust approach designed to determine the impact of intermediary services on the resources and capabilities of companies, and the impact on companies’ performance in the market.
For more information about The Evidence Network, visit www.theevidencenetwork.com
ABOUT THE CENTRE FOR COMMERCIALIZATION OF RESEARCH (CCR)
Established in 2008, the Centre for Commercialization of Research (CCR) is a federally-funded Centre of Excellence for Commercialization and Research (CECR) under the Networks of Centres of Excellence program. Drawing on its unique approach to commercialization, CCR provides business services and funding to support the growth of early-stage companies whose products or technologies have been developed by publicly funded Canadian academic/research institutions. The Centre for Commercialization of Research is a division of Ontario Centres of Excellence.
For more information about the CCR, visit www.ccr-canada.com