Aboriginal peoples and communities are among the first inhabitants of Canada and are thus considered as one of the founders of Canada. Aboriginal peoples already had legal systems and governance structures even before European settlers arrived in Canada. With the advent of European settlers, Aboriginal peoples were forced to either assimilate to the foreign systems and culture or ignore the immigrants and keep their culture. The latter, however, resulted in conflicts between the European settlers and the local Aboriginal communities. Such conflicts were settled through the signature treaties. However, the signing of the agreements did not guarantee that the rights of Canadian Aboriginal communities were recognized of protected. In fact, the formation of legal bodies such as the Indian Act and the British North American Act only served to oppress these communities even more (Uribe 1).
The Aboriginal people had to wait until 1982 when the Constitution Act was implemented for their collective rights to be recognized (Uribe 1). It is therefore not a surprise that the Aboriginal communities were left behind as the rest of the country saw economic development and advancement. Fast forward to present times, the Aboriginal communities are finally turning to economic development to better their lives and build a brighter future for the next Aboriginal generations and build a brighter future for the next Aboriginal and build a brighter future for the next Aboriginal generations. According to statistics issued by the National Household Survey (NHS) in 2011, more than 43,000 members of the Canadian Aboriginal communities are business owners (Promise and Prosperity: The 2016 Aboriginal Business Survey 5).
The NHS, however, does not hold considerable data about entrepreneurs from the three Aboriginal communities i.e. the Métis, the First Nations and the Inuit. The body is, therefore, is unable to adequately identify and address the issues affecting these entrepreneurs such as what they need for their future economic growth. Research such as those conducted by the Canadian Council of Aboriginal Business have thus been commissioned to investigate problems facing Aboriginal business persons and how to counter such problems (Promise and Prosperity: The 2016 Aboriginal Business Survey 5).
The findings of such research activities are communicated widely so that Aboriginal communities and businesses, as well as governments, can develop policies, tools, and initiatives that may be implemented to help Aboriginal Peoples to realize their business potential fully. There is also need to understand the differences and particular needs of the three distinct members of Aboriginal communities so that they may receive different treatment suitable to their needs Understanding these differences will also be helpful in averting conflicts and divisions among all concerned parties (Promise and Prosperity: The 2016 Aboriginal Business Survey 5).
The economic growth and development of the Aboriginal communities have been facilitated by the increased recognition of the collective rights of these communities. However, many flaws still exist with the law, and there is, therefore, need to create precedents through the Supreme Court decisions especially those regarding treaty rights of Aboriginal communities. There is, therefore, need to redefine the relationship between the Canadian state and the Aboriginal peoples in an attempt to ease into the post-colonial era. This is essential if harmony is to be established between the government and the Aboriginal people (Uribe 1).
The Canadian government is, however, making efforts to recognize and protect the collective rights of Aboriginal communities. Even though first Nations law has in the past been ignored and considered inferior as a result of their incompatibility with Canadian common law, efforts are being made to include some of the Aboriginal laws in settling disputes involving Aboriginal affairs and rights. The Supreme Court of Canada despite strong influences from European law has increasingly acknowledged First Nations laws principles which are flexible and would, therefore, allow their recognition as law by non-Aboriginals (Uribe 16).
Despite the government’s legislative efforts to help Aboriginal business, the following financial and economic factors are still the primary stumbling blocks to the growth of Aboriginal businesses;
Access to capital and financing for their businesses. Most Aboriginal entrepreneurs rely on their personal savings for the funding needs. There is also a major issue in locating potential capital sources. For instance, few government programs are intended to provide grants and loans to small sized businesses. Awareness of the existence of such programs is also low among Aboriginal business owners.
Another stumbling block for Aboriginal business owners are requirements needed by financial institutions to provide lending. This is not surprising as research has revealed that only 30 percent of Aboriginal entrepreneurs have a formal business plan. Those who do not have a business plan have consequently found it difficult to access funding from lending institutions.
Access to technology is another problem hindering the growth of Aboriginal businesses. The businesses are therefore unable to apply technology to prosper their businesses (Promise and Prosperity: The 2016 Aboriginal Business Survey 7).
The Canadian Council of Aboriginal Businesses has provided a few suggestions on what may do to help overcome the challenges faced by Aboriginal business persons.
Ensure availability of funding for Aboriginal businesses. Aboriginal business owners should, therefore, be assisted in locating sources of finance as well as meeting lending requirements.
Support development of human resources by offering and funding skills training. The training and educational opportunities may involve critical aspects such as employee management, leadership, accessing financing or developing business plans and marketing.
The governance and land management policies on Aboriginal reserves should also be updated governance. Existing policies encourage businesses located on the reserves to remain small and not expand. The policies focus on stability instead of growth and must, therefore, be phased out (Promise and Prosperity: The 2016 Aboriginal Business Survey 8).
Conclusion
The development of Aboriginal communities has for a long time been hampered by the lack of recognition of the collective rights in the Canadian government. However, efforts are being made to overturn this, and currently, the Supreme Court of Canada has made efforts to include Aboriginal principles in handling cases that involve Aboriginal rights. However, the Aboriginal communities still face challenges in other aspects of their lives, and this has been manifested in the stunted growth of Aboriginal businesses. The primary cause for this is the lack of access to financing by Aboriginal entrepreneurs. The Canadian government is, however, working to help Aboriginal business owners to overcome these challenges and may, for instance, implement the suggestions provided in the research reports issued by the Canadian Council of Aboriginal Businesses such as ensuring the availability and ease of access to funding for Aboriginal businesses.
References
Promise and Prosperity: The 2016 Aboriginal Business Survey. 1st ed. Canadian Council for Aboriginal Business, 2016. Print.
Uribe, Julieta. A Study on the Relationship between Canadian Aboriginal Peoples and the Canadian State. 1st ed. Canadian Foundation for the Americas, 2006. Print.
