The private sector in Quebec has just over 220,000 businesses, almost all of which are SMEs, which provide employment to nearly 2 million people.
Before the pandemic, there were approximately 7,500 businesses for sale in Quebec per year. This figure has doubled. According to estimates from the Observatoire du repreneuriat et du transfert d’entreprise du Québec (ORTEQ), there are more than 16,000 businesses in Quebec whose owners wish to sell or transfer a business by the end of 2024.
Threat to the Quebec economy
Let us recall that for several years, certain indicators, accelerated by the pandemic period, could alert us:
- aging of the population and consequently increased retirement of owner-managers,
- little succession within the family unit,
- economic losses due to the pandemic in certain sectors,
- difficulties in repaying loans and consequently early sale.
It is therefore easy to understand that the entire entrepreneurial community in Quebec is looking into this issue. And that the Government of Quebec is placing entrepreneurship at the heart of its economic challenges.
In a context of labour shortages that affects all regions of Quebec and sectors of activity, it is essential that business transfers be prioritized and facilitated. It is also an interesting option for all business people, novice or experienced, who wish to participate in the local and global economy of Quebec.
Repreneurship is entrepreneurship
Taking over an existing business is now considered the future of entrepreneurship. It is even considered that taking over an existing business now goes beyond the creation of new businesses.
With many entrepreneurs set to retire in the coming years, efforts must continue to prepare a qualified, innovative and dynamic succession, while facilitating the transfer and takeover of businesses in Quebec.
The Quebec entrepreneurial ecosystem is working on this by offering events around entrepreneurship, financial assistance, and support for various clienteles aimed at encouraging their interest in creating or taking over businesses. Thus, we see that more and more young Quebecers want to become entrepreneurs , as well as women and immigrants.
International (immigration) source of buyers
The Government of Quebec has clearly understood that business immigration could be a solution to repreneurship. To this end, it has implemented immigration processes since the beginning of 2024 to facilitate repreneurship by foreign buyers. To remain consistent with its francization policy, it has ensured that this approach facilitates the arrival of French-speaking immigrants, who could therefore integrate more quickly into Quebec society.
To ensure successful repreneurship, the program requires that buyers be supported by local experts who can assist the buyer throughout the acquisition process.
Just one piece of advice, but a good one: get help
Many foreigners choose to take over a business to immigrate and settle in Quebec permanently. Before making such a decision, the first essential and unavoidable step is to take an exploratory trip. Discovering the country allows suitors to prepare themselves, to understand cultural differences, to understand the market, and to objectify their project.
One of the main causes of failure in repreneurship in Quebec by a foreigner remains linked to cultural biases. Classe Affaires Canada France, a Canadian company based in Montreal and with an office in France, has been supporting French people and other French-speaking foreigners in their expatriation project in Canada for 8 years.
In addition to organizing exploratory trips and making connections with the experts needed to implement their project, Classe Affaires Canada helps buyers in all their repreneurship stages, from identifying the target to the transaction, including of course all the due diligence stages and the essential immigration procedure.
Within its partners and its network of experts (business lawyers, tax specialists, accountants, business brokers, banks and other stakeholders in the sector), Classe Affaires collaborates in particular with two major players: the CTEQ (Centre de transfert des entreprises du Québec) and the CQF (Conseil québécois de la franchise).
To learn more about Quebec’s immigration programs for business people: www.quebec.ca/immigration/permanente/immigrer-affaires/entrepreneurs/repreneuriat
