Small and medium-sized businesses in Quebec will once again be able to gain access to $90 million in funds provided by Capital régional et coopératif Desjardins (CRCD) and Caisse de dépôt et placement du Québec.
The announcement comes as part of Capital croissance PME (CCPME). The new investment brings the fund’s total to $540 million.
CCPME will help SMBs targeting less than $5 million in funding.
“Many Québec SMEs that are among the finest in their field are undercapitalized because they rely mainly on debt to obtain capital,” said Luc Ménard, CEO at Desjardins Business Capital régional et coopératif. “This approach hinders their development and makes them vulnerable to acquisition by foreign competitors. Equity investments, on the other hand, help ensure their longevity. We’ve created the SME Equity program, which offers more flexible governance along with a shorter agreement that’s simpler and less costly.”
With more than 104,000 shareholders, Capital régional et coopératif Desjardins (CRCD) is a public company with $1,789 million in net assets. CRCD contributes to Québec economic development through several levers developed with its manager, Desjardins Business Capital régional et coopératif.
Nearly 70 companies alone in 2016 received funding through this fund.