HSBC Declines Internet Entrepreneurship Bank Account

My First Business Decision to Open an HSBC Business Direct Account Turned Out To Be a Wrong One

First Published Date : April 25, 2011 ADawnJournal.com

I have incorporated my Internet Activities in December, 2010. All my websites and domains are now under my new corporation A Dawn Dot Net Corp. – a Canadian federally incorporated business entity. How long does it take to federally incorporate a business in Canada? You will be surprised to know that it took me only slightly more than 24 hours to start my new corporation. How long does it take you to open a business account in Canada? Well, it all depends on which bank you pick. My first business decision choosing HSBC Canada to open my business account turned out to be a bad decision and became a nightmare. After leaving me hanging for 3 weeks, they told me that they would have to decline my application as they did not know what Internet Entrepreneurship was because they never dealt with this type of business before. Today, I will give you some insights into how my first wrong business decision to open a free HSBC Business Direct Account caused pain and agony.

Week 1

I walked into an HSBC branch located on 1940 Eglinton Avenue East in Toronto to apply for a Business Direct account. I was told by the branch that for this account I had to apply online and the branch was unable to provide me any help. So, I returned home and applied online. I was told on the confirmation email that I should hear from an HSBC Business Banking representative within 1 business day. However, 3 or 4 days passed and I did not receive any emails or calls from anyone regarding my application status. Finally, I ended up calling their business customer service. The business banking representative was friendly and apologized for not getting back to me. He interviewed me intensely regarding Internet entrepreneurship. I had to explain to him what a domain is, how we make money from ads on websites, the various faces of Internet entrepreneurship and much more. I had to show him a few of my websites and after a long conversation he seemed to be satisfied. He mentioned that I should be hearing from someone at the branch to visit and produce my corporate documents once my account is approved and that it should not take more than 2-3 days. A point worth mentioning is that I received a bankcard from HSBC in the mail even without even having my bank account approved.

Week 2

About 5 days passed and so far I did not receive any calls or emails from anyone. My Cuba trip was approaching, so I decided to call HSBC business customer service again. To my surprise, this rep asked me the same questions I was asked by the first rep. So I had to explain everything to him all over again. It was like a job interview. I was getting a little agitated. However, he apologized for the delay and mentioned that it should not take more than 2-3 days to get an answer. I mentioned to him that I would be in Cuba for a week. He assured me that I should have an answer before I return.

Week 3

Upon returning from Cuba, I checked my email and Canada Post mail box for any correspondence from HSBC. There was nothing. No rejection notice, no acceptance notice, no nothing. I called their business banking number again. This time, I summarized what happened so far so he did not have to start interviewing me again on Internet entrepreneurship. After listening to me, he mentioned that HSBC never dealt with business bank accounts for Internet entrepreneurship before and they are unable to issue a business bank account. I should be receiving a formal rejection letter within the next few days from HSBC. This rejection letter came to me after 2 weeks, not after a few days. And the funny thing is, although they declined opening an account for me, I still have been receiving a statement every month from HSBC. Their one department keeps issuing a monthly statement not knowing that other department declined my account. I am attaching a copy of this statement on top left of this post.

Final Word

I wasted all of December trying to open a bank account with HSBC Bank Canada. When I went to RBC Royal Bank to open a business account, they managed to do that in one day. I regretted going to HSBC the first time. HSBC claims to be “The World’s Local Bank.” However, they are far from providing world-class service to be considered the world’s local bank.

What is Outsourcing?

Outsourcing 101

First Published: September 12, 2010 ADawnJournal.com

The word outsourcing is often a bad word in North America. When people hear it they think of people losing their jobs to someone oversees. However, how much does everyone really know about outsourcing?

Outsourcing is essentially contracting someone out of the business to do something that had previously been done within the business. So, two organizations enter into an agreement that involves the exchange of services and payments. Companies these days can outsource to contractors within the same country, or to other businesses in another nation in an effort to save money. This is called offshore outsourcing and it is very popular among larger companies.

So, why does a company choose to use outsourcing?

1.   The first reason is that it is cheaper. The overall cost for the service to a company is much lower because they can either pay less, or not have to pay benefits. By using off-shore outsourcing, companies can pay the workers there a fraction what they pay workers in the developed world.

2.   The company may want to focus on its core business and therefore leave everything else to outsourcing. For example, the company may want to focus on making paper, so it outsources its customer service to another customer service company.

3.   A company may want to restructure its cost structure. They may want to balance the ratio of fixed and variable costs by moving things outside the company.

4.   Sometimes outsourcing is done in an effort to improve the quality of the service or product of the company. If the company makes computer chips and does not have good customer service, they may outsource the customer service to a company that has better customer service.

5.   The company may want to get access to another talent pool, which can help the company in the long run.

6.   The company may use outsourcing as a way to enhance the capacity for innovation within the company. The company will use external knowledge service providers to help the company.

7.   The company may want to use outsourcing as a way to deal with risk management for some risks, and an outsourced company may be able to handle those risks better.

8.   Some companies will use venture capital as a way to outsource because some countries match government funds in venture capital with private venture capital for new businesses starting up.

9.   There is a tax benefit for companies who outsource sometimes. Countries offer tax incentives to companies who move their manufacturing operations to another country.

10.   An outsourced company is often better able to manage the increase or decrease in production, making it easier for a company to make money.

11.   Some companies, especially for small businesses, there is the desire to outsource work so that work-leisure time can be maximized and balanced. By having someone else deal with computer issues, the business owner does not have to deal with it themselves.

In some cases outsourcing can be bad, but in other ways it can be very beneficial for a country and a company.

Jobs That Will Be Obsolete In The Future

Will Your Job Survive In The Future?

First Published: Nov 26, 2013 EntrepreneurJourney.com

A report recently published by the Canadian employment website Workopolis looks at some jobs
that will not exist in ten years. Technological advancement and widespread availability of the  
Internet will make these jobs a thing of the past in the future as people will not be needing
anyone to provide these services anymore.

Here are the ten jobs that will vanish:

- Social media expert

- Taxi dispatcher

- Toll both operator

- Retail cashier

- Word processor or typist

- Switchboard operator

- Photo finisher

- Video store clerk

- Print journalist

Source: Workopolis

Also, according to Workopolis, here are the top five fast growing and fast decline jobs:

Fast Growing Jobs

- Financial advisor

- Financial service representative

- Field sales representative

- Sales associate

- Social worker

Fast Declining Jobs

- People greeter

- Photo lab associate

- Head cashier

- Data entry clerk

- Courier

Source: Workopolis

The study by Workopolis mentions that as people will rely more on smartphone apps to call taxi, 
taxi dispatcher jobs will be no longer required at some point. However, people still like to interact, 
buy, or get help from real persons and jobs like financial advisors/representatives, sales
associates, and social workers will continue to be in demand.

What Motivates Entrepreneurs?

3 Things That Motivate Entrepreneurs

First Published: EntrepreneurJourney.com Mar 9, 2013

Motivation is what makes entrepreneurs think outside the box and come up with bright ideas to change lives. But is there any common denominator that motivates entrepreneurs? There are too many, actually. I will discuss three common motivators that make entrepreneurs break boundaries to make the impossible possible. 

Freedom - As simple as it sounds, entrepreneurs value their independence more than anything else. To come up with new ideas and products, entrepreneurs need to break the rules, and breaking the rules is not possible when you are under someone else’s authority. Behavioral science research and consulting firm Humantelligence research shows that 60 percent of entrepreneurs valued their independence more than anything else. 

Passion - Passion or obsession is one of the most important denominators that make entrepreneurs engaging and keep motivated at a project even if there is no quick solution in sight. You can not be persistent at something if it’s not interesting, challenging, satisfying, and stimulating. And that is only possible when are passionate about what you are doing and you love and enjoy doing it. 

Money - If you look at Forbes The World’s Billionaires list, a high percentage of super-rich persons are entrepreneurs. Some entrepreneurs are motivated by wealth to become financially independent and some entrepreneurs are motivated by wealth to reach the ultra-rich class. So money is another major factor that motivates entrepreneurs. 

A point worth mentioning is that there are many other motivators and they do not equally motivate each entrepreneur, as everyone is different. However, there is one thing that applies equally to all entrepreneurs and that is all entrepreneurs are working hard across the globe to enrich the lives of all of us.

Work at Home Trend Is On The Rise, Even Among Non-Entrepreneurs

Employees Are Catching Up With Entrepreneurs On Working At Home

First Published: May 21, 2012 EntrepreneurJourney.com

In the past, it was thought that working at home was a luxury that could only be afforded by entrepreneurs. However, in the post-industrial economy, a greater numbers of paid employees are choosing to work at home. Due to the availability of technology and the increasing popularity of working at home, more employers are offering the option to work at home than ever before. 

I was looking for some stats to illustrate this trend. The most reliable I was able to find is a publication by Stats Canada made available in 2010. Let’s look at some numbers: 

Self-employed people working at home in 2000 = 1.4 million

Self-employed people working at home in 2008 = 1.8 million

Percentage of the workforce working at home in 2008 = 11.2% 

Percentage of people who are working at home and employees = 48% 

Percentage of people who are working at home and entrepreneurs = 52% 

More university graduates (22%) are working at home than high school graduates (7%). 

More male employees (29%) worked at home than female professionals (19%). 

More self-employed females (67%) are likely to work at home than males (56%). 

City employees are more likely to work at home than those who live outside a city. 

Now, if you are an entrepreneur and already working from home, you are well aware of the advantages of working at home. If you are an employee and would like to work from home, talk to your manager or HR dept. regarding work at home opportunities provided by your company. If you would like to search for work from home jobs, enter these keywords in your search queries: “work at home”, “part time”, “work from home”, and so on.