As part of the 7th edition of the Takeover Summit, the Quebec Business Transfer Center (CTEQ) unveils the very first national study of takeover in Quebec with the support of the Ministry of Economy, Innovation and Energy.
This study carried out under the direction of Marc Duhamel and the CTEQ team presents a national count of the number of business transfers in Quebec during the period 2015-2021. The study analyzes a new administrative database made up of 188,000 SMEs each year on average.
ECONOMIC AND FINANCIAL BENEFITS OF TAKEOVER
The study estimates that business transfers involve up to $26 billion in assets and affect up to 120,000 employees each year on average. The national study also reveals that companies that have undergone a transfer of ownership are among the best performing in Quebec: in 2021 they posted average annual revenues of $4.8 million, or 9.2 times more than those generated by companies newly created.
TAKEOVER NOW MORE IMPORTANT THAN BUSINESS CREATION
In 2021, Quebec recorded more than 8,600 business transfers, marking a significant increase of 32.1% compared to 2015. For the first time, takeover exceeds the creation of new businesses, marking a historic turning point for the the Quebec economy and this despite a difficult economic context, affected by inflation, high interest rates and the labor shortage.
FROM INTENTION TO ACTION
The study also reveals that 91% of business transfer intentions between 2015 and 2021 came to fruition. This suggests that the scale of the recent wave of business transfer intentions portends a significant increase in the years to come. According to Statistics Canada data, 9.0% of private sector SMEs in Quebec, which represents approximately 24,000 businesses, plan to sell or transfer in the coming year. This trend should also stimulate demand for training, financing and advisory services, all essential in order to effectively support entrepreneurs in the transfer process.
“ Today, we mark a turning point in the history of entrepreneurship in Quebec with the publication of the very first national study on the subject. This study validates our observations of recent years in the field and we are particularly struck to see that takeover now occupies a more important place than the creation of SMEs in Quebec. declares Alexandre Ollive, president and CEO of CTEQ.
“ The first national study of repreneurship, which we are presenting today, marks a pivotal step, because it begins a new era in the mapping of repreneurship in Quebec. In addition, this study promotes the advancement of knowledge by carrying out detailed analyzes which will make it possible to propose concrete solutions to meet the complex needs of the business succession market. », Mentions Marc Duhamel Ph.D, scientific director of ORTEQ.
DESJARDINS, FIRST FOUNDING MEMBER OF ORTEQ
Desjardins not only financially supports the CTEQ observatory, but also leverages its expertise in business transfers. Present across Quebec, Desjardins’ field expertise will help improve the quantity and quality of information on takeovers.
“ Thanks to the involvement of Desjardins as the first founding member of our observatory, the CTEQ can rely on solid knowledge and experience in business transfer in order to develop knowledge and promote informed decision-making by stakeholders. the entrepreneurial ecosystem in Quebec”, adds Alexandre Ollive.
“ This study confirms that we are at the heart of a wave of business transfers which makes takeover a major economic issue for Quebec. Through this partnership, Desjardins wants to step up its support and even better respond to the growing needs of businesses in planning their entrepreneurial succession. At the same time, we want to create an ecosystem that allows more young people, women and newcomers to go into business with entrepreneurship. », Says the president of Mouvement Desjardins, Guy Cormier.
About the Quebec Business Transfer Center
A leader in takeovers in Quebec, the CTEQ is an economic development organization that offers a unique solution combining a business transfer advisory team and a confidential platform for connecting buyers and sellers of SMEs. Neutral and personalized advisory service – Business opportunities – Business network – Training and events are offered to give the best chance of success for carrying out a business sale or purchase project. The CTEQ has expertise in all sectors of activity and mandates dedicated to the sectors of culture, tourism, collective recovery and groups under-represented in entrepreneurship. Present in all regions of Quebec, the CTEQ is supported by the Quebec Ministry of Economy, Innovation and Energy. ctequebec.com
