LOGIC:The 'Kanata-Protected-B' gateway is a high-value, specialized B2B SaaS, commanding premium pricing. Gross margins of 75% are achievable, reflecting the intrinsic value of pre-certified compliance and reduced risk for vendors. This assumes cloud hosting costs (e.g., Microsoft Azure Canada Central or AWS Canada West/Central for Protected B workloads) are 10-15% of revenue, with another 10-15% for support and ongoing security monitoring (COGS). However, local operational costs are significant. Labor in Ottawa for specialized cybersecurity, compliance, and government relations roles commands high salaries, easily pushing average senior developer/engineer compensation into the $130,000-$180,000+ range, escalating OpEx. Rent for Class A office space in Kanata North or downtown Ottawa (e.g., Centretown) averages $30-$45 per square foot (net), placing a 'Medium' impact on OpEx; while not the primary cost driver, it adds substantial fixed overhead for a growing team. Critical ongoing costs include legal counsel specializing in federal contracts and continuous third-party audits for compliance, adding another 5-10% to OpEx annually. Sustaining cash flow requires aggressive customer acquisition to offset these high local labor and compliance burdens before the long federal sales cycle exhausts capital.