Scarborough, a lively district in the eastern part of Toronto, is rapidly becoming one of the most attractive places for entrepreneurs to start and grow their businesses. Once known mainly as a residential suburb, Scarborough has transformed into a busy commercial and innovation hub. With its diverse population, strategic location, and expanding economy, business owners from across Canada—and around the world—are choosing Scarborough as their home base.

Scarborough’s rise as a business hotspot is not accidental. Supportive government programs, strong infrastructure, skilled talent, and relatively low business costs make it an ideal place for creative thinkers and ambitious entrepreneurs. Whether you’re launching a tech startup, opening a restaurant, or growing a service-based business, Scarborough offers the resources and opportunities needed for success.

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1. A Diverse and Fast-Growing Population

Scarborough is one of the most culturally diverse regions in Canada, home to large communities from South Asia, East Asia, the Caribbean, Africa, and the Middle East. This diversity creates a strong multicultural marketplace.

Why this matters for entrepreneurs

• Access to customers with varied cultural preferences

• Opportunities to build niche or culturally inspired businesses

• Easier hiring because multilingual talent is widely available

• A welcoming environment for newcomer entrepreneurs

From tech startups to specialty food stores, businesses thrive in Scarborough because they can reach multiple communities within one area.

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2. Lower Business Costs Compared to Downtown Toronto

Business owners across major cities often struggle with high rent and operating expenses. Scarborough stands out because it offers significantly lower costs than downtown Toronto.

Key cost advantages

• Affordable commercial rent

• Lower retail space costs

• Cheaper warehouse and industrial space

• Lower living expenses for owners and employees

Why this helps businesses

• More money available for marketing and innovation

• Ability to hire more employees

• Option to open larger stores or offices

• Better control over cash flow and long-term sustainability

Because of these savings, many manufacturers, small businesses, and tech startups choose Scarborough as an affordable launchpad.

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3. Strong Transportation and Infrastructure Access

Scarborough is well-connected to the rest of Toronto and the Greater Toronto Area (GTA), making it a convenient location for entrepreneurs.

Infrastructure benefits

• Access to major highways (401, 404, DVP)

• TTC buses, LRTs, and subway connections

• GO Transit routes to downtown Toronto and other cities

• Close proximity to Toronto Pearson and Billy Bishop airports

Impact on businesses

• Easy commuting for employees

• Smooth delivery and distribution

• Better accessibility for customers

• Greater opportunities for regional expansion

Scarborough’s transportation network plays a major role in supporting business growth and operations.

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4. A Thriving Startup and Innovation Scene

With the influence of the University of Toronto Scarborough (UTSC) and Centennial College, Scarborough has grown into an active centre for innovation and entrepreneurship.

Why this supports startups

• Access to advanced research labs and facilities

• Continuous supply of skilled graduates

• Entrepreneurship and innovation programs

• Affordable incubators and workspace options

Notable support programs

• UTSC’s Bridge Incubator

• Centennial College’s Centre of Entrepreneurship

• Toronto Innovation Acceleration Program

These hubs provide mentorship, funding pathways, and training that help entrepreneurs turn ideas into successful businesses.

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5. Support for Newcomer and Youth Entrepreneurs

Scarborough’s large newcomer population has inspired the growth of several organizations dedicated to helping immigrants start businesses.

Key support organizations

• Toronto Business Development Centre (TBDC)

• ACCESS Community Capital Fund

• Enterprise Toronto – Scarborough office

• Local newcomer settlement agencies

Services offered

• Business training programs

• Low-interest business loans

• Workshops on starting and managing a business

• Networking opportunities

• Guidance on marketing, finance, and legal requirements

Newcomers often find Scarborough a welcoming place to begin their entrepreneurial journey.

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6. A Strong Local Market With Growing Demand

Scarborough is home to more than 600,000 residents, making it one of Ontario’s largest and most diverse local markets. This creates strong demand for products and services.

Industries that perform well

• Restaurants, cafés, and global cuisines

• Retail stores and specialty shops

• Personal services (salons, spas, fitness studios)

• Tech and IT services

• Construction and skilled trades

• Transportation and logistics

Entrepreneurs often report gaining a steady customer base in Scarborough right after launching.

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7. Access to Toronto’s Larger Business Ecosystem

Although Scarborough has its own economy, it benefits greatly from being part of Toronto the financial and business capital of Canada.

Advantages of this proximity

• Access to top investors and venture capital firms

• Regular business networking events and trade shows

• Availability of government grants and incentives

• Opportunities to partner with major corporations

• Gateway to international business connections

Entrepreneurs enjoy both Toronto’s global opportunities and Scarborough’s affordability.

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8. A Community That Actively Supports Small Businesses

Scarborough has a reputation for community involvement, collaboration, and strong local support. Residents and local groups frequently participate in events promoting small businesses.

Community-driven benefits

• Local business expos and markets

• Cultural festivals that increase visibility and sales

• High foot traffic in plazas and shopping centres

• Word-of-mouth promotion within tight-knit communities

Scarborough Town Centre, one of the GTA’s largest malls often hosts pop-ups and supports local vendors, helping entrepreneurs reach new audiences.

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Conclusion: Scarborough’s Rise as a Business Powerhouse

Scarborough is steadily becoming one of Ontario’s most promising hubs for entrepreneurs. With its diverse population, lower business costs, strong transportation network, skilled workforce, and community support, it provides everything needed to launch and scale a successful business.

Whether you’re a newcomer, a young entrepreneur, or an experienced business owner looking for a strategic location, Scarborough offers endless opportunities for growth. As the district continues to evolve, more startups, investors, and innovators will choose Scarborough making it one of Canada’s most dynamic places for business.