Unlocking Opportunity for Small Businesses in the Modern Economy

Why digitalization—along with expert advice from a Scotiabank Small Business Advisor—is critical for growth

From as young as she can remember, Sarah O’Brien has been helping with her father’s business, a security guard and security system installation company called Security Management Services (SMS). “I was cleaning the office and stuffing envelopes,” O’Brien recalls. As she got older, she worked part-time as a security guard while at university.

Then, in 2019, O’Brien took over as CEO at SMS. “I always took for granted that my dad survived 30-plus years in business,” she says. “Coming in and taking that over was definitely intimidating.”

By 2023, O’Brien had successfully positioned the company for growth. “We finally had some money in the bank and we wanted to do something with it instead of just having it sit there,” she explains. So, that summer, O’Brien reached out to a Scotiabank Small Business Advisor to see how they could help SMS grow their business through digitalization and tailored advice on investments and savings.

One of the solutions that their advisor suggested was putting their funds in a cashable GIC. “We’re paid out regular interest, but the funds are easily accessible anytime we want,” O’Brien explains. With the interest earned from their cashable GIC, O’Brien started a $500-a-year wellness fund for their employees, which promotes a positive company culture and aids in staff retention.

Their advisor also suggested SMS start using remote deposit captures for cashing cheques from clients. The company processes anywhere between 100 and 150 cheques a week, so switching to remote deposits meant significant time savings and a more streamlined cash flow. “It allows us to deposit checks the same day we receive them,” O’Brien says. “We don’t have to wait to go into the bank. It’s been a game-changer for us.”

SMS started using a machine to scan cheques from their office, along with access to Scotiabank’s ScotiaConnect, an online banking platform for small business owners. Kevin Miller, a Senior Small Business Advisor at Scotiabank, says that ScotiaConnect is key to helping any small business digitize its finances. “You’re able to do electronic transfers of up to $25,000, send ETFs and wires, all from your kitchen table or wherever you’re working,” Miller explains.

ScotiaConnect also allows business owners to give staff varying levels of access, which helps owners delegate tasks safely. “You can set up boundaries for employees to see your operating account, but not your savings,” says Miller. Restrictions can also be placed on the upper limit of payments that different employees can send without needing approvals. “That way, your employees can do their jobs without risking control of your business,” Miller explains.

Digitalization tools, like remote cheque deposits and the ScotiaConnect platform, are helping small businesses like SMS to succeed and grow. According to Scotiabank’s Small Business Path to Impact 2024 report, released in October 2024, 71 per cent of small businesses have enhanced their digital capabilities in the past three years. However, only 54 per cent of small businesses have a digital transformation plan in place ,and small businesses with under $500,000 in revenue are less likely to have enhanced their digital capabilities.

Having digitalized business operations is important to attract and retain customers, too. A Scotiabank Small Business Consumers Poll,1 also released in October 2024, found that 60 per cent of consumers felt that a business’s online presence was very important or somewhat important in their purchasing decisions.

According to Miller, business owners who are planning to retire soon should consider digitalization as part of their succession plan to make the transition smoother. “Instead of trying to find that piece of paper you may have lost or shredded, you can go online and see the financial records you need because it’s all saved on the online platform,” Miller explains. Undergoing a business evaluation or audit—another common task in business succession–is also streamlined with the use of an online platform like ScotiaConnect. “You save money on accounting and lawyer fees because everything’s quick and at your fingertips, versus dropping off 10 boxes of paperwork at your accountant or lawyer’s office,” says Miller.

Ultimately, embracing digitalization means that small, family-run operations like SMS can modernize their finances and grow their business. “We have grand plans of expanding by getting another office and financing it internally,” O’Brien explains. But, before taking that leap, O’Brien needed to ensure that the day-to-day operations of SMS were set and running smoothly, which digitalization is helping her do. “We want to make the right decisions,” says O’Brien. “We’re building for the future.”


1 The Maru Public Opinion survey conducted on behalf of Scotiabank, was undertaken by the sample and data collection experts at Maru/Blue. 1,530 randomly selected Canadian adults who are Maru Voice Canada online panelists were surveyed from August 23rd to August 24th, 2024. The results of this study have been weighted by education, age, gender, and region (and in Quebec, language) to match the population, according to Census data. This is to ensure the sample is representative of the entire adult population of Canada. For comparison purposes, a probability sample of this size has an estimated margin of error (which measures sampling variability) of +/- 2.5%, 19 times out of 20. Discrepancies in or between totals when compared to the data tables are due to rounding.