Toronto, Canada, is one of the most dynamic and opportunity-rich cities in North America. It’s a multicultural hub with a resilient economy, thriving startup ecosystem, and unmatched access to international markets. For aspiring entrepreneurs and seasoned business leaders alike, it’s no exaggeration to say that Toronto may be the best location to start a business, especially if you value diversity, innovation, and access to global talent. This article outlines ten compelling reasons why Toronto is your gateway to entrepreneurial success.
Key Takeaways
- Toronto’s economy, talent pool, and business infrastructure make it ideal for launching ventures.
- Entrepreneurs benefit from government support, cultural diversity, and a strong education ecosystem.
- Choosing the best location to start a business, like Toronto, impacts access to customers, growth capital, and global networks.
Want to Start a Business in Toronto?
If you’re ready to build something great, Toronto is the place to do it. With access to world-class education, international talent, and abundant startup resources, the city offers fertile ground for every stage of the business lifecycle. For those looking to start a business in Canada, understanding Toronto’s economic and cultural landscape will give you a competitive edge. Programs like IBU’s BCOM in International Management and Technology are designed to equip you with market-ready skills, leadership training, and direct industry exposure.
Why Toronto Is the Best Location to Start a Business
Toronto’s mix of economic resilience, accessibility, innovation, and cultural inclusiveness makes it stand out. Here’s why choosing Toronto could be the smartest decision for entrepreneurs looking for the best location to start a business.
Robust Economy
Toronto anchors one of North America’s strongest regional economies. The Greater Toronto Area (GTA) consistently ranks high for GDP growth, financial stability, and market opportunity. According to the Global Cities Outlook, Toronto placed second in 2020, outpacing cities with traditionally dominant financial sectors.
Jennifer Reynolds, President of Toronto Finance International, highlights, “Toronto is the second-largest financial centre in North America and a critical engine for Canada’s economic development.” With a large customer base and access to capital markets, Toronto offers a solid foundation to start a business in Ontario.
Diverse Population
Toronto is a global city in every sense of the word. More than half of its residents are foreign-born, representing over 200 ethnicities and speaking more than 180 languages. This diversity creates unparalleled market potential across cultures, interests, and consumer behaviours.
It doesn’t matter if you’re developing a product, launching a service, or tapping into niche communities; the city provides ample opportunity for multicultural engagement. Plus, Toronto remains one of the safest cities globally, giving entrepreneurs peace of mind as they build their vision.
Ready to reach a global customer base from day one?
Toronto’s diverse population and international reach make it ideal for market testing and growth.
Accessible Resources
Launching a business involves more than a great idea; it requires access to mentorship, funding, and technical support. Toronto is home to MaRS Discovery District, Creative Destruction Lab, and dozens of startup accelerators and angel investor networks. Government grants like FedDev Ontario also offer seed capital and innovation funding.
Major tech firms like Google, Apple, and Amazon have opened offices here, drawn by Toronto’s educated workforce and innovative culture. These companies validate what entrepreneurs already know: the city has the tools and talent you need.
International Business University (IBU)
Located in the heart of downtown, IBU is designed to prepare you for real-world business success. Even if you’re pursuing undergraduate studies or looking to earn your MBA, IBU delivers a career-focused education aligned with the needs of modern business.
Programs like the MBA in Technology Innovation and Entrepreneurship and the MBA in Global Business Management integrate academic learning with practical experience. International students benefit from post-graduation work permits, giving them time and flexibility to launch or scale their businesses in Toronto.
Want to build a business while earning a business degree?
Choose from IBU’s BCOM or MBA programs to launch your career while still in school.
Easy Accessibility
Entrepreneurs thrive in connected cities, and Toronto fits the bill. With direct flights to major North American, European, and Asian cities via Pearson International Airport, you’re never far from suppliers, customers, or partners.
Public transportation through the TTC and regional transit systems makes commuting and client meetings efficient. Toronto’s geographic location also offers close access to Montreal, Ottawa, and U.S. markets like New York and Chicago, perfect for expansion.
Networking Opportunities
From startup mixers to investor pitch events, Toronto is a hotbed of professional networking. Events like TechTO, Elevate, and the Collision Conference bring together tech founders, investors, and mentors.
Universities like IBU also foster networking among students and alumni. If you’re looking for ways to build professional relationships, read this guide on Networking in University.
Your network is your net worth.
Learn how IBU helps students connect with peers, mentors, and investors.
Affordable Compared to Global Cities
While no large city is inexpensive, Toronto offers better cost-efficiency than other international hubs. LivingCost.org reports that Toronto is 59% less expensive than New York City. Lower housing, food, and transportation costs mean entrepreneurs can invest more in their ventures.
If you’re bootstrapping or backed by investors, starting a business in Ontario’s capital lets you stretch your dollar while maintaining a high quality of life.
Government Support Programs
Canada is known for its pro-entrepreneur policies. Programs like Startup Canada, the Canadian Small Business Financing Program, and SR&ED tax credits provide capital and operational support for new businesses.
In Toronto specifically, local economic development offices and entrepreneurship centres help you navigate permits, grants, and mentorship opportunities. If you’re planning to start a business in Canada, this ecosystem ensures you’re never alone.
Cultural Hubs and Innovation Spaces
Creativity drives innovation, and Toronto’s cultural infrastructure is unmatched. Locations such as Harbourfront Centre, Artscape Daniels Launchpad, or Toronto Reference Library’s Business Hub, the city offers spaces that foster creativity and collaboration.
These environments inspire bold ideas and cross-sector partnerships, essential ingredients for entrepreneurship. Co-working spaces and maker labs bring together creatives, technologists, and investors under one roof.
Inspiring City Energy
Toronto’s entrepreneurial spirit is contagious. Ranked as one of the world’s most livable cities by The Economist, the city offers more than business; it offers lifestyle.
From safe streets and vibrant neighbourhoods to a global culinary scene and green spaces, Toronto keeps you inspired through every stage of your journey. It’s not just the best location to start a business, it’s the best city to live, learn, and grow.
Build Your Business in Toronto With IBU
IBU positions you at the centre of Canada’s entrepreneurial engine. As a student, you’ll gain more than education; you’ll gain access. Access to mentors, co-ops, funding opportunities, and Toronto’s business community.
If you’re looking to start a business in Ontario or expand globally, IBU’s programs build the mindset and skillset required for success. With small class sizes and personalized learning, you’re not just a number; you’re an emerging leader.
FAQs About Starting a Business in Toronto
Why is Location Important When Starting a Business?
The right business location plays a significant role in determining customer traffic, visibility, accessibility, and operational efficiency. Entrepreneurs must thoroughly research a mall, office space, storefront, or warehouse that fits their type of business and budget.
What Are the Best Business Opportunities in Toronto?
Toronto offers diverse business opportunities in Toronto across industries such as tech startups, fintech companies, manufacturing, and retail. With a highly skilled workforce, strong commercial presence, and access to global markets, businesses can operate effectively in high-demand sectors.
What is the Best Business to Start in Toronto?
It depends on market demand, budget, and location type. Popular options include fintech startups, retail stores, pop-up shops, software companies, and commercial real estate ventures, all benefiting from Toronto’s strong economy.
Starting Strong: Why You Should Start a Business in Ontario
Choosing where to establish your venture is a make-or-break decision. By deciding to start a business in Ontario, you benefit from a stable economy, a diverse customer base, and unmatched access to resources. And when that city is Toronto, you’re starting in a place that’s already proven itself as a business powerhouse.
If you’re serious about entrepreneurship, Toronto isn’t just an option; it’s the answer. Learn, build, and scale here. There’s no better place to begin.
Ready to launch your business in Toronto?
Discover how IBU can help you thrive in the best location to start a business.