For more than four decades, I’ve helped leaders build companies — by finding the right people and the right timing to ignite growth. Today, I want to talk about something that could unlock both: Flow-Through Shares (FTS).
Most Canadians know FTS as a tool used by the mining and energy sectors. But what they may not realize is that FTS is one of the most successful policy innovations in Canadian history — and it’s time we extend that innovation to our technology sector.
Canada Keeps Creating Superheroes — But They Keep Getting Sold
Here’s a bit of irony for you:
The greatest superhero of all time, Superman, was co-created by Joe Shuster, a Canadian, and his partner Jerry Siegel. In 1938, they sold the rights to DC Comics for just $130.
DC went on to earn billions. Shuster died in poverty.
That story isn’t unique. Canada keeps producing incredible ideas, IP, and companies — and we keep selling them off before they realize their full value. Shopify is the exception. Nortel, Corel, Cognos, and dozens of others are the rule.
If we want to stop exporting our economic future, we need to start backing our innovators at home.
A Made-in-Canada Solution, Ready for a New Frontier
Originally introduced in the 1950s, Flow-Through Shares allow resource companies to “pass through” tax deductions to investors. This makes high-risk investment more attractive — and over time, it built the financial backbone of Canada’s natural resources industry.
Now ask yourself: What sector today faces the same early-stage risk, R&D costs, and global competition as mining once did?
Answer: Canadian tech.
Our startups and scale-ups are capital-hungry, IP-rich, and often cash-poor — a perfect match for the same kind of investment catalyst that helped build our resource base.
The Math Works. Here’s How:
Let’s do a conservative but powerful calculation:
New Private Investment: Extending FTS to tech could unlock $500 million/year in new private capital — modeled on early mining-sector adoption.
GDP Impact: With a standard GDP multiplier of 2.5, that’s $1.25 billion in economic activity annually.
Government Revenue: With 30% of GDP activity typically returned via taxes, that’s a $375 million boost to public coffers.
This isn’t just good policy — it’s good math.
Why Ottawa Should Lead
Kanata North alone generates $13 billion in annual output. Ottawa is home to nearly 10% of Canada’s tech workforce. This city knows how to build billion-dollar companies — but too often, we watch them get sold, shelved, or swallowed by U.S. capital.
We need a financing model that keeps ownership — and economic impact — here at home.
It’s Not Just a Canadian Idea
Other countries are already ahead of us:
UK’s SEIS and EIS programs offer investors 30–50% tax relief. These schemes have unlocked £30 billion in investment across 37,000+ companies — including Deliveroo and Revolut.
Australia’s ESIC incentives include a 20% tax offset and a 10-year CGT exemption. Their tech sector now contributes over $167 billion AUD — 8.5% of GDP.
Canada invented the playbook. Others are running with it.
A Sovereign Response to Foreign Pressure
Trump’s tariffs are escalating. Global protectionism is rising. We can’t afford to let Canadian companies be acquired, outsourced, or shut down just because they couldn’t find funding fast enough.
FTS is a sovereign response to a global challenge — a way to empower Canadians to invest in Canadians, while growing ownership, jobs, and innovation right here.
We Need Political Will — and Local Leadership
Extending FTS to tech could be enacted with a simple change to the Income Tax Act. But Ottawa won’t move unless local leaders do.
If you’re a mayor, a CEO, an investor — or just someone who’s tired of seeing Canadian breakthroughs become American profits — we’re asking you to join us.
Visit www.CanFlowThrough.com Leave a comment of support. Share this with someone who cares about Canadian innovation.
We’ve created enough Supermen.
Now let’s make sure the next one stays Canadian
