Our editor, SK Uddin, had the privilege of sitting down with Karen Svendsen, Senior Director, Small Business Client and Partnerships at RBC, for an engaging discussion on the evolving landscape of entrepreneurship in Canada. In this insightful conversation, Karen shared how RBC is empowering small business owners to navigate uncertainty, drive innovation, and achieve sustainable growth. She also highlighted practical strategies and tools that RBC offers to help entrepreneurs succeed in today’s fast-changing business environment.
Karen Svendsen, Senior Director Small Business Client and Partnerships, is responsible for setting the strategic direction and priorities for Small Business in Canada at RBC. A career long advocate for Small businesses and their owners, she leads cross functional teams to deliver innovation for tomorrow, and solutions for today, as Small businesses start, manage and grow their business.
She has more than 25 years of financial services experience with RBC across retail and commercial banking, role strategy and design, and client strategy. Her experience includes leading key programs to accelerate client acquisition and growth, transform employee engagement and capability, and foster deeper client connections.
Karen has a Bachelor of Fine Arts in Theatre from York University and is a believer in the role creativity and a foundation in the humanities contributes to business solutions.
You’ve worked with small business owners through all kinds of cycles. What feels different or unique about this moment?
What feels different right now is the level of complexity small business owners are facing. In just the past few years, they’ve had to navigate recessions, manage supply chain disruptions, compete for talent, adjust to rising interest rates, and respond to global pandemics – all while adopting new technologies and keeping up with rapidly shifting consumer expectations. Now, businesses are being asked to adapt faster and more decisively than ever before.
What also stands out is that these changes don’t feel temporary. There’s a sense that the landscape has fundamentally shifted, and small businesses are adjusting to a new normal – not waiting for things to go back to the way they were.
At the same time, there’s opportunity. We’re seeing a stronger push to support Canadian businesses because it feels good and tangible. Small businesses are well-positioned to tap into that momentum and build deeper local connections.
We’re also seeing growth in digital and eCommerce. That creates new avenues to reach customers, but it also creates pressure – because small business owners are doing it all. They’re running day-to-day operations, managing hiring, serving clients, and planning for growth at the same time.
That’s where RBC can help. Our role is to meet them where they are and help them go further – whether that’s through advice, digital tools, or solutions that go beyond banking.
The RBC Economics team was recently interviewed, sharing macroeconomic and sector-specific insights on how businesses can navigate these shifting times. What are your key takeaways from that interview that every small business owner should know?
My first takeaway from the interview is that all small business owners should continue to stay agile and informed. The impact of the current macro-environment is being felt unevenly across sectors, but business confidence has recently shown improvement from very low levels earlier in the spring.
Second, interest rates are easing, but with uncertainty, so it’s important to monitor interest-rate trends closely. Refinancing debt when rates drop can ease costs, but maintain flexibility, as rate cuts aren’t guaranteed. Finally, trade policies could reshape opportunities. Small business owners need to understand not just the broader economic picture, but how their specific industry is evolving.
What are some innovative business models or strategies that small businesses can look at adopting?
Challenging times often accelerate innovation, and we’re seeing many small businesses investing in data, embracing digital tools, and rethinking traditional approaches. Even modest investments can help businesses punch above their weight. Things like e-commerce channels, cloud-based accounting tools, and customer relationship management software can make the necessary tasks of running a business simpler and more efficient.
Another approach I’ve seen success with is hybrid business models – for example, brick-and-mortar businesses now servicing online customers, or service-based companies that offer digital subscriptions for tangible goods, which ensures a steady stream of repeat customers and greater predictability of sales.
There’s also value in going to market with other businesses that align with your goals. Tapping into your network – whether it’s other small businesses, industry partners, or community organizations – can open doors to new customer bases, shared resources, and collaborative growth opportunities. Partnerships like these can help you scale faster, expand your reach, and bring more value to your clients.
How are small businesses being impacted by tariffs and trade disruptions? What steps can they take to mitigate the risks they face, and where are there opportunities to diversify?
Tariffs are particularly impacting small businesses who rely heavily on imported goods or international suppliers, as increased costs and longer lead times have put pressure on margins. In response, some businesses have chosen to reassess their supply chains by looking at local sourcing, nearshoring and diversifying suppliers.
Many businesses are also focusing on financing and risk management. But just as important is maintaining a strong connection with your customers. This is an opportunity for small businesses to demonstrate that they truly understand their clients – by listening, adapting, and staying close to their needs during times of uncertainty.
At the same time, it can be helpful to monitor customer behaviour closely. Pay attention to both what’s selling and what’s stalling – those signals can reveal opportunities to pivot, refine your offering, or meet an emerging need. Tools like RBC’s Insight Edge™ platform can help business owners access real-time data around customer trends, competitive benchmarks and market intelligence so that they can reach their target customers more effectively, while simultaneously optimizing their business operations.
If a small business is looking to secure financing, what should business owners focus on to strengthen their application?
Having a written business plan – and regularly tracking your progress against it – is one of the best ways to demonstrate credibility when seeking capital. It shows lenders and investors that you’ve carefully considered the risks, understand your industry, and have a clear strategy for growth.
In today’s environment, it’s more important than ever to revisit and update your business plan to ensure it reflects both resilience and flexibility. RBC offers an extensive online hub with tools such as a free Business Plan Builder, to help entrepreneurs get started with a new business or improve their existing business.
It’s also important to remember that growth requires capital, and there are more funding options available than traditional financing alone. RBC collaborates with Grantmatch, a leader in helping organizations secure government funding. This includes support for a wide range of businesses, non-profits, and public sector entities. We’ve also worked with the Business Development Bank of Canada (BDC) to offer the Business Accelerator Loan Program – an innovative financing solution that helps small and medium-sized businesses access up to $500,000 in funding, backed by a BDC guarantee. It’s designed to help growing businesses that may not yet qualify for traditional lending but still need capital to expand, innovate, or manage operating cash flow.
Finally, we always encourage business owners to stay connected with their advisors. At RBC, we’re proud to work with businesses of all sizes – through every stage of their journey and through all business cycles.
How is RBC supporting small businesses right now?
At RBC, we help small business owners manage today’s challenges and plan for the future with personalized advice, digital tools, and solutions tailored to their needs.
That starts with digital banking options like the RBC Digital Choice Business Account, which makes it easy to bank anytime, anywhere, while keeping business and personal finances separate and organized.
We also provide solutions beyond banking. Through collaborations with Ownr, we help simplify business registration and incorporation, and with 1Password, we help small businesses protect their data and operate more securely online.
To help business owners stay informed, we launched the RBC Tarrifs Navigator site – a digital platform with real-time updates on trade, tariffs, and international growth trends. We also proactively share insights with clients, so they have the information they need to make decisions quickly and confidently in a changing market.
Disclaimer:
The views and opinions expressed in this interview are those of the interviewee and do not necessarily reflect the official policy or position of CanadianSME Small Business Magazine. The content provided is for informational purposes only and should not be construed as professional advice. CanadianSME is not responsible for any actions taken based on the information provided in this interview.
