Integrated Business Statistics Program (IBSP)
Reporting Guide
This guide is designed to assist you as you complete the 2014 Survey of Service Industries. If you need more information, please call the Statistics Canada Help Line at the number below.
Help Line: 1-800-972-9692
Your answers are confidential.
Statistics Canada is prohibited by law from releasing any information it collects which could identify any person, business, or organization, unless consent has been given by the respondent or as permitted by the Statistics Act.
Statistics Canada will use information from this survey for statistical purposes.
Table of contents
Business activity
Reporting period information
Revenue
Expenses
Industry Characteristics
Sales by type of client
International transactions
General information
Data-sharing agreements
Record linkages
Business activity
The description on file for this business comes from the North American Industrial Classifications System (NAICS). This database contains a limited number of activity classifications. The classifications on file might be applicable for this business, even if it is not exactly how you would describe this business’s main activity.
By selecting "Yes, this is the main activity.", you indicate that the description is applicable, and it describes the main economic activity which typically generates the most revenue for this business.
By selecting "No, this is not the main activity.", you indicate that this description is not applicable as a main or a secondary activity of this business. You will be given a chance to describe this business’s main activity.
If none of the above activities describes your main source of revenue, please call 1-800-972-9692 for further instructions.
Reporting period information
Here are twelve common fiscal periods that fall within the targeted dates:
- May 1, 2013 to April 30, 2014
- June 1, 2013 to May 31, 2014
- July 1, 2013 to June 30, 2014
- August 1, 2013 to July 31, 2014
- September 1, 2013 to August 31, 2014
- October 1, 2013 to September 30, 2014
- November 1, 2013 to October 31, 2014
- December 1, 2013 to November 30, 2014
- January 1, 2014 to December 31, 2014
- February 1, 2014 to January 31, 2015
- March 1, 2014 to February 28, 2015
- April 1, 2014 to March 31, 2015
Here are other examples of fiscal periods that fall within the required dates:
- September 18, 2013 to September 15, 2014 (e.g., floating year-end)
- June 1, 2014 to December 31, 2014 (e.g., a newly opened business)
Revenue
- Sales of goods and services (e.g., fees, commissions, services revenue)
Include: sales, commissions, rental and leasing revenue if they are this business’s primary revenue source.
Report net of returns and allowances.
Sales of goods and services are defined as amounts derived from the sale of goods and services (cash or credit), falling within a business’s ordinary activities. Sales should be reported net of trade discount, value added tax and other taxes based on sales.
Include: Sales from Canadian locations (domestic and export sales); Transfers to other business units or a head office of your firm.
Exclude: Transfers into inventory and consignment sales; Federal, provincial and territorial sales taxes and excise duties and taxes; intercompany sales in consolidated financial statements.
- Rental and leasing
Report only if this is a secondary revenue source. If rental and leasing are your primary revenue source, report in question 1.
Include: Rental or leasing of apartments, commercial buildings, land, office space, residential housing, investments in co-tenancies and co-ownerships, hotel or motel rooms, long and short term vehicle leasing, machinery or equipment, storage lockers, etc.
- Commissions
Report only if this is a secondary revenue source. If commissions are your primary revenue source, report in question 1.
Include: Commissions earned on the sale of products or services by businesses such as advertising agencies, brokers, insurance agents, lottery ticket sales, sales representatives, and travel agencies - compensation could also be reported under this item (for example, compensation for collecting sales tax).
- Subsidies (including grants, donations, fundraising and sponsorships)
Include: Non-repayable grants, contributions and subsidies from all levels of government; Revenue from private sector (corporate and individual) sponsorships, donations and fundraising.
- Royalties, rights, licensing and franchise fees
A royalty is defined as a payment received by the holder of a copyright, trademark or patent.
Include: Revenue received from the sale or use of all intellectual property rights of copyrighted materials such as musical, literary, artistic or dramatic works, sound recordings or the broadcasting of communication signals.
- Dividends
Include: Dividend income; Dividends from Canadian sources; Dividends from foreign sources; Patronage dividends.
Exclude: Equity income from investments in subsidiaries or affiliates.
- Interest
Include: Investment revenue; Interest from foreign sources; Interest from Canadian bonds and debentures; Interest from Canadian mortgage loans; Interest from other Canadian sources.
Exclude: Equity income from investments in subsidiaries or affiliates.
- Other revenue - specify (including intracompany transfers)
Include: Amounts not included in questions (1) to (7).
- Total revenue
The sum of sub-questions (1) to (8).
Expenses
- Cost of goods sold
Many business units distinguish their costs of materials from their other business expenses (selling, general and administrative). This item is included to allow you to easily record your costs/expenses according to your normal accounting practices.
Include: Cost of raw materials and/or goods purchased for resale – net of discounts earned on purchases; Freight in and duty.
- opening inventories
- purchases
Include: raw materials, goods purchased for resale and non-returnable containers
Exclude: change in inventories
- closing inventories
- cost of goods sold
(opening inventories plus purchases minus closing inventories)
- Employment costs and expenses
- Salaries, wages and commissions
Please report all salaries and wages (including taxable allowances and employment commissions as defined on the T4 – Statement of Remuneration Paid) before deductions for this reporting period.
Include: Vacation pay; Bonuses (including profit sharing); Employee commissions; Taxable allowances (e.g., room and board, vehicle allowances, gifts such as airline tickets for holidays); Severance pay.
Exclude: All payments and expenses associated with casual labour and outside contract workers (report these amounts at sub-question (3) - Subcontracts).
- Employee benefits
Include contributions to: Health plans; Insurance plans; Employment insurance; Pension plans; Workers’ compensation; Association dues; Contributions to any other employee benefits such as child care and supplementary unemployment benefit (SUB) plans; Contributions to provincial and territorial health and education payroll taxes.
- Subcontracts
Subcontract expense refers to the purchasing of services from outside of the company rather than providing them in-house.
Include: Hired casual labour and outside contract workers; Custom work and contract work; Sub-contract and outside labour; Hired labour.
- Research and development fees
Expenses from activities conducted with the intention of making a discovery that could either lead to the development of new products or procedures, or to the improvement of existing products or procedures.
- Professional and business fees
Include: Legal services; Accounting and auditing fees; Consulting fees; Education and training fees; Appraisal fees; Management and administration fees; Property management fees; Information technology (IT) consulting and service fees (purchased); Architectural fees; Engineering fees; Scientific and technical service fees; Other consulting fees (management, technical and scientific); Veterinary fees; Fees for human health services; Payroll preparation fees; All other professional and business service fees.
Exclude: Service fees paid to Head Office (report at sub-question (21) - All other expenses).
- Utilities
Utility expenses related to operating your business unit such as water, electricity, gas, heating and hydro.
Include: Diesel, fuel wood, natural gas, oil and propane; Sewage.
Exclude: Energy expenses covered in your rental and leasing contracts; Telephone, Internet and other telecommunications; Vehicle fuel (report at sub-question (21) - All other expenses).
- Office and computer related expenses
Include: Office stationery and supplies, paper and other supplies for photocopiers, printers and fax machines; Postage and courier (used in the day to day office business activity); Computer and peripherals upgrade expenses; Data processing.
Exclude: Telephone, Internet and other telecommunication expenses (report this amount at sub-question (8) - Telephone, Internet and other telecommunication expenses).
- Telephone, Internet and other telecommunications
Include: Internet; Telephone and telecommunications; Cellular telephone; Fax machine; Pager.
- Business taxes, licenses and permits
Include: Property taxes paid directly and property transfer taxes; Vehicle license fees; Beverage taxes and business taxes; Trade license fees; Membership fees and professional license fees; Provincial capital tax.
- Royalties, franchise fees and memberships
Include: Amounts paid to holders of patents, copyrights, performing rights and trademarks; Gross overriding royalty expenses and direct royalty costs; Resident and non-resident royalty expenses; Franchise fees.
Exclude: Crown royalties
- Crown charges
Federal or Provincial royalty, tax, lease or rental payments made in relation to the acquisition, development or ownership of Canadian resource properties.
Include: Crown royalties; Crown leases and rentals; Oil sand leases; Stumpage fees.
- Rental and leasing
Include: Lease rental expenses, real estate rental expenses, condominium fees and equipment rental expenses; Motor vehicle rental and leasing expenses; Studio lighting and scaffolding; Machinery and equipment rental expenses; Storage expenses; Road and construction equipment rental; Fuel and other utility costs covered in your rental and leasing contracts.
- Repair and maintenance
Include: Buildings and structures; Machinery and equipment; Security equipment; Vehicles; Costs related to materials, parts and external labour associated with these expenses; Janitorial and cleaning services and garbage removal.
- Amortization and depreciation
Include: Direct cost depreciation of tangible assets and amortization of leasehold improvements; Amortization of intangible assets (e.g., amortization of goodwill, patents, franchises, copyrights, trademarks, deferred charges, organizational costs).
- Insurance
Insurance recovery income should be deducted from insurance expenses.
Include: Professional and other liability insurance; Motor vehicle and property insurance; Executive life insurance; Bonding, business interruption insurance and fire insurance.
- Advertising, marketing, promotion, meals and entertainment
Include: Newspaper advertising and media expenses; Catalogues, presentations and displays; Tickets for theatre, concerts and sporting events for business promotion; Fundraising expenses; Meals, entertainment and hospitality purchases for clients.
- Travel, meetings and conventions
Include: Travel expenses; Meeting and convention expenses, seminars; Passenger transportation (e.g., airfare, bus, train, etc.); Accommodations; Travel allowance and meals while travelling; Other travel expenses.
- Financial services
Include: Explicit service charges for financial services; Credit and debit card commissions and charges; Collection expenses and transfer fees; Registrar and transfer agent fees; Security and exchange commission fees; Other financial service fees.
Exclude: Interest expenses (report at sub-question (19) - Interest expense).
- Interest expense
Report the cost of servicing your company’s debt.
Include: Interest; Bank charges; Finance charges; Interest payments on capital leases; Amortization of bond discounts; Interest on short-term and long-term debt, mortgages, bonds and debentures.
- Other non-production-related costs and expenses
Include: Charitable donations and political contributions; Bad Debt expense; Loan losses; Provisions for loan losses (minus Bad debt recoveries); Inventory adjustments
- All other costs and expenses (including intracompany expenses)
Include:
Production costs; Pipeline operations, drilling, site restoration; Gross overriding royalty; Other producing property rentals; Well operating, fuel and equipment; Other lease rentals; Other direct costs; Equipment hire and operation; Log yard expense, forestry costs, logging road costs; Freight in and duty; Overhead expenses allocated to costs of sales; Other expenses; Cash over/short (negative expense); Reimbursement of parent company expense; Warranty expense; Recruiting expenses; General and administrative expenses; Interdivisional expenses; Interfund transfer (minus expense recoveries); Exploration and Development (including prospect/geological, well abandonment & dry holes, exploration expenses, development expenses); Amounts not included in sub-questions (1) to (20) above.
- Total expenses
(sum of sub-questions 1 to 21)
Industry Characteristics
- a. Executive/retained search services
Specialized search and recruitment service limited to filling highly paid executive, senior manager, and professional positions, according to client specifications.
May include fees for services such as:
• Conducting detailed interviews with the client organization’s management team;
• Developing job profiles;
• Conducting original research and advertising to locate potential job candidates;
• Screening possible candidates;
• Preparing, presenting and discussing a confidential list of highly qualified applicants with the client;
• Making interview arrangements;
• Negotiating compensation;
• Providing post-hire follow-up.
The search firm typically provides two assurances to the client firm:
• Repeat the search at no extra charge (out-of-pocket expenses only) should a placed candidate subsequently fail for reasons attributed to lack of due diligence by the search firm;
• Not to recruit from the client firm for a stated period of time.
The client makes the decision as to which candidate to hire. The search agency fee is charged whether or not the candidate is hired. This product is also known as retained search.
- Permanent placement services (exclude executive/retained search services)
Service of recruiting, selecting and referring candidates to the client to fill positions on a permanent (indeterminate) basis.
The services may include testing, interviewing, reference checking, evaluation and counselling of prospective employees. The service provider acts as an employment intermediary. The candidate is selected and hired by the client. The placement firm is paid on a contingency basis, i.e., only for successful placement of a candidate. This product includes permanent placement services for a complete range of occupations from low-level employees to management employees, including executives, domestic and international job placements.
Exclude:
• Permanent placement services for executives recruited through executive/retained search services; please report this amount in this section, at question 1 (a).
- Contract staffing services (temporary assignment of contractors — non T4 recipients)
Services of finding individual contractors to fill positions on the basis of written contracts that stipulate the deliverables for which the client has contracted, as well as specific terms and conditions of employment. Under the terms of this agreement, the service provider has legal rights and duties with respect to the individual contractors. As they are not employees of the employment placement agencies, the individual contractors are normally responsible for their own payroll deductions and government filings.
- Temporary staffing services (temporary assignment of staffing firm employees — T4 recipients)
Supplying personnel for temporary work assignments, temporary staffing firms hire their own employees and assigns them to support or supplement the client’s workforce in work situations such as employee absences, temporary skill shortages, seasonal workloads and special assignments and projects. The employees are on the payroll of the temporary staffing firm which is legally responsible for their actions, but when working they are under the direct supervision of the client. The temporary staffing firm specifies the pay, benefits, etc. of the employee.
- Temporary staffing to permanent placement services
This is a temporary assignment of staffing firm employees — T4 recipients — with the expectation of permanent work at the end of the trial period with the client.
The employee remains on the payroll of the temporary help staffing firm until the hiring decision is made at which time he or she becomes an employee of the client or, if not, returns to the temporary help staffing firm. This service may include training, counselling, assessment and résumé upgrading.
- Co-employment staffing and payrolling services
Co-employment staffing is provided by a professional employer organization; payrolling is long term staffing such as labour leasing, staff leasing, employee leasing and extended employee staffing.
A service in which a professional employer organization (PEO) co-employs a client’s workforce. The PEO and the client enter into a contractual agreement whereby the rights and responsibilities in respect of co-employees are shared or allocated, with the service provider assuming responsibility for certain activities as agreed with the client. These range from basic to full-service packages.
Payrolling is supplying personnel for extended work assignments. Under the terms of this arrangement, the client may recruit the person or persons hired by the staffing firm and assigned to their place of work, or transfer a portion of their existing workforce to the staffing firm. Long-term employees are placed on the payroll of the staffing firm, which is legally responsible for their actions, but when working they are supervised by the client. This service includes activities such as labour leasing, staff leasing, employee leasing, extended employee staffing and payrolling.
- All other sales
Include the following goods and services:
On-site management of temporary help
Provision of personnel who, in the work area of the client, assign, co-ordinate and monitor employees provided by the temporary help staffing firm. This service provides a single point of contact for the client. Activities include recruitment, testing, selection, training, reporting and quality monitoring. Assignment of an on-site manager requires a request from the client.
On-line job listing services
Soliciting candidates and posting job openings to a website which may be known as a job board, job bank, recruiting site, directory, labour exchange or employment registry. Organizations that post job listings to these sites are usually charged a fee, whereas job seekers usually have free access. These websites may include newsletters, referrals based on matching profiles or keywords and access to training and employment-related services and programs, search engines and other resources.
On-line résumé listing services
Soliciting and posting résumés/curriculums vitae to a website which may be known as a job board, job bank, recruiting site, directory, labour exchange or employment registry. Individuals who post resumes or vitae to these sites are not usually charged a fee; exceptions are online casting and talent search services that may charge for posting a vita or headshot. These websites may include job referrals based on matching profiles or keywords, access to training and employment-related services and programs, search engines, newsletters and other resources.
Sale of on-line job site advertising space
Sale of advertising space on Internet job sites by the owner or operator of the site. Advertising in this medium consists mainly of announcements, splash pages and logo buttons directed to individuals seeking jobs.
On-line job site memberships
Sale of memberships in an online job bank, job board, recruiting site, directory, labour exchange or employment registry for a set period of time. The membership level varies but usually includes job postings, résumé searching, use of job tracking software and access to statistical databases.
On-line employment database search services
Enabling users to search résumés/curriculums vitae or job listings posted to a website. Searches can usually be conducted by function, industry, location and date of résumé posting using customized search engines.
Sale of employment-related software
Sale of software designed for employment/job search. Includes software for interactive Internet recruiting, applicant tracking and applicant evaluation.
Managed services
Managing and/or operating an area or task for a client organization on an on-going basis, with or without the provision of operating staff. This service may include shipping and receiving, mail services, accounts payable, purchasing, food services, maintenance of facilities, records management and other operations that support a client’s business. Managed services are also known as outsourcing, office management, facilities support, facilities management or project management services.
Human resource consulting services
Providing advice and assistance concerning policies and procedures relating to staffing and development, performance measurement, pay and benefits, internal communications, regulatory compliance, due diligence, labour relations and other human resource issues, with reference to the strategic and operational objectives of the client.
Consulting services, not elsewhere classified
Consulting services not directly related to human resource operations. Examples are: information technology (IT) consulting, management consulting and employment market consulting.
Employee evaluation services
Screening and appraisal of the technical and psychometric skills of individuals considered for hiring, promotion and/or advancement by the client. This service is most frequently used as part of the hiring process. This service also includes fee-based computer software certification tests.
Outplacement and career counselling
Assisting clients to deal with employee terminations in a fair, safe and lawful manner. Assisting client employees in making job and career changes. Employee assistance includes counselling, job search support, workshops, seminars and résumé upgrading.
Payroll services
Payroll processing, withholding deductions, remitting deductions and employer’s contributions to government-mandated and other plans, and filing reports.
Training services
Instruction related to employment in areas such as computer-based skills, certification programs, skills upgrading, safety training and tutorials. This service is adjusted to the needs identified by the client.
Personal background checks
Investigation of the personal, academic, financial and work history of candidates to be considered for hiring, promotion and/or advancement or those already employed by the client. This service is normally included as part of the hiring process. This product may be sold separately.
Medical exams for employment
A health evaluation of the candidate. Includes medical history, laboratory tests and physical examinations. This product may be sold separately.
Labour costs
- a. Salaries, wages and benefits paid to internal employees — T4 recipients
Internal employees are the staffing firm employees who are responsible for the day to day activities of the staffing firm. These internal employees are not assigned to client firms and their work is mainly carried out within the office(s) of the staffing firm.
Include:
• Administrative personnel;
• Recruitment consultants.
Please report all salaries, wages and benefits (including taxable allowances and employment commissions as defined on the T4 — Statement of Remuneration Paid) before deductions for this reporting period.
Include:
• Vacation pay;
• Bonuses (including profit sharing);
• Employment commissions;
• Taxable allowances (e.g., room and board, vehicle allowances, gifts such as airline tickets for holidays);
• Severance pay.
Include contributions to:
• Health plans;
• Insurance plans;
• Employment insurance;
• Pension plans;
• Workers’ compensation;
• Any other employee benefits such as child care and supplementary unemployment benefit (SUB) plans;
• Provincial and territorial health and education payroll taxes.
Exclude:
• All payments made to outside contract workers temporarily assigned and to casual labourers to whom no T4 — Statement of Remuneration Paid was issued.
- Salaries, wages and benefits paid to employees temporarily assigned — T4 recipients
Employees from the staffing firm sent temporarily to client firms on short-term or extended work assignments. The staffing firm is responsible for paying all salaries, wages and benefits of the assigned employees. The work of employees assigned to client firms is carried out under supervision provided by the client firm.
- Amounts paid to contractors temporarily assigned — non T4 recipients
Amounts paid by the staffing firm to contractors assigned to client firms to fill positions on the basis of written contracts that stipulate the deliverables for which the client has contracted, as well as specific terms and conditions of employment. Under the terms of this agreement, the employment service provider has legal rights and duties with respect to individual contractors.
Not being employees of the staffing firm, the individual contractors are normally responsible for their own payroll deductions and government filings. The contractors are not issued a T4 — Statement of Remuneration Paid — by either the staffing firm nor the client firm.
Sales by type of client
This section is designed to measure which sector of the economy purchases your services.
Please provide a percentage breakdown of your sales by type of client.
Please ensure that the sum of percentages reported in this section equals 100%.
- Clients in Canada
a. Individuals and households
Please report the percentage of sales to individuals and households who do not represent the business or government sector.
b. Businesses
Percentage of sales sold to the business sector should be reported here.
Include:
• Sales to Crown corporations.
c. Governments, not-for-profit organizations and public institutions (e.g., hospitals, schools)
Percentage of sales to federal, provincial, territorial and municipal governments should be reported here.
Include:
• Sales to hospitals, schools, universities and public utilities.
- Clients outside Canada
Please report the percentage of total sales to customers or clients located outside Canada including foreign businesses, foreign individuals, foreign institutions and/or governments.
Include:
• Sales to foreign subsidiaries and affiliates.
International transactions
This section is intended to measure the value of international transactions on goods, services, and royalties and licences fees. It covers imported services and goods purchased outside Canada as well as the value of exported services and goods to clients/customers outside Canada. Please report also royalties, rights, licensing and franchise fees paid to and/or received from outside Canada. Services cover a variety of industrial, professional, trade and business services.
General information
Data-sharing agreements
To reduce respondent burden, Statistics Canada has entered into data sharing agreements with provincial and territorial statistical agencies and other government organizations, which have agreed to keep the data confidential and use them only for statistical purposes. Statistics Canada will only share data from this survey with those organizations that have demonstrated a requirement to use the data.
Section 11 of the Statistics Act provides for the sharing of information with provincial and territorial statistical agencies that meet certain conditions. These agencies must have the legislative authority to collect the same information, on a mandatory basis, and the legislation must provide substantially the same provisions for confidentiality and penalties for disclosure of confidential information as the Statistics Act. Because these agencies have the legal authority to compel businesses to provide the same information, consent is not requested and businesses may not object to the sharing of the data.
For this survey, there are Section 11 agreements with the provincial and territorial statistical agencies of Newfoundland and Labrador, Nova Scotia, New Brunswick, Quebec, Ontario, Manitoba, Saskatchewan, Alberta, British Columbia, and the Yukon.
The shared data will be limited to information pertaining to business establishments located within the jurisdiction of the respective province or territory.
Section 12 of the Statistics Act provides for the sharing of information with federal, provincial or territorial government organizations. Under Section 12, you may refuse to share your information with any of these organizations by writing a letter of objection to the Chief Statistician and returning it with the completed questionnaire. Please specify the organizations with which you do not want to share your data.
For this survey, there are Section 12 agreements with the statistical agencies of Prince Edward Island, the Northwest Territories and Nunavut.
For agreements with provincial and territorial government organizations, the shared data will be limited to information pertaining to business establishments located within the jurisdiction of the respective province or territory.
Record linkages
To enhance the data from this survey, and to minimize the reporting burden, Statistics Canada may combine it with information from other surveys or from administrative sources.
Please note that Statistics Canada does not share any individual survey information with the Canada Revenue Agency.
Please visit our website at www.statcan.gc.ca/survey-enquete/index-eng.htm or call us at 1-800-972-9692 for more information about these data-sharing agreements.