Note: Figures may not add up to the total annualized administrative impact on all businesses due to rounding.

Small business lens

The small business lens (SBL) has been applied. Using the Treasury Board of Canada Secretariat definition of small business (fewer than 100 employees), there will be an estimated 555 small businesses affected by the amendments, which represents 94% of total beer manufacturers and liquor boards.

The SBL requires that two regulatory options for small businesses be assessed with one of the options being chosen for regulatory implementation. The results of the SBL analysis are presented in Table 6.

1. Initial option

The initial option for the regulation is that all-sized businesses need to comply with the changes to the Regulations as soon as they come into force in 2019. The estimated total annualized costs to small businesses are $583,954 (or $1,052 per impacted business).

2. Flexible option (recommended option)

The flexible option is the option the CFIA recommends for the implementation of the amendments (i.e. it was the regulatory scenario assessed in the cost-benefit analysis). Businesses (including small businesses) are provided a transition period until December 13, 2022, inclusively, for stakeholders to make adjustments to their current business operations. The option is intended to result in a higher industry compliance rate.