December 30, 2014 – Moncton, N.B. – Atlantic Canada Opportunities Agency (ACOA)
The Honourable Rob Moore, Minister of State (Atlantic Canada Opportunities Agency), today highlighted the Atlantic network of Community Business Development Corporations’ (CBDCs) efforts to help thousands of small- and medium-sized businesses in rural Atlantic Canada to start-up and grow.
Over the past year, the CBDCs invested over $60 million in 1,244 businesses in the region, helping to create and maintain more than 4,000 jobs in rural communities across Atlantic Canada. During that same time, more than 6,200 entrepreneurs participated in 436 business counselling and business skills development sessions.
This strategic support has helped Atlantic Canada’s rural-based businesses to compete successfully in regional, national and global markets. In fact, studies indicate that CBDC-assisted businesses create more jobs, grow more quickly, are more successful at staying in business, and have succeeded in leveraging an additional $338.6 million in funding from other sources – on average, $0.95 for every CBDC dollar invested.
The Atlantic Association of Community Business Development Corporations is a network of 41 CBDCs throughout Atlantic Canada. These independent, not-for-profit organizations provide business services and access to capital to small and medium-sized businesses, and social enterprises in rural areas.
- The Government of Canada, through ACOA, provides up to $12.6 million per year in operational and project funding to individual Atlantic CBDCs and their Associations, under the Community Futures Program (CF). Since April 1, 2006, ACOA investments in CBDCs, through the CF, have amounted to $102.4 million.
- Since the inception of the Community Futures Program in 1986, the CBDCs have issued 27,547 loans and invested more than $947 million in the Atlantic Canadian economy.
- From 2006 to 2011, the CBDCs awarded more than $354 million in loans to entrepreneurs and during this period, employment in businesses assisted by CBDCs grew by 6.2% compared to only 2.3% for businesses that did not receive CBDC assistance. In addition, sales increased by nearly 11% compared to 6.6%, and the five-year survival rate for CBDC-assisted businesses out performed comparable businesses by 25%.
- According to a recent client survey, satisfaction with all CBDC services is high, ranging from 75% for referral services to 95% for business loans.
“Creating jobs and securing economic growth remains our Government’s top priority. Reflecting on the past year, I am pleased to note the important contributions that Atlantic Canada’s CBDCs have made to the growth and development of small and medium-sized businesses throughout Atlantic Canada’s rural communities. Our Government looks forward to continue working with the CBDCs and their Associations, to help the region’s entrepreneurs create jobs, growth and prosperity and, in turn, contribute to strengthening our national economy.”
- The Honourable Rob Moore, Minister of State (Atlantic Canada Opportunities Agency)
“As CBDCs, we continue to provide support and assistance to rural Atlantic Canadian entrepreneurs through our many programs and services. This support and assistance helps provide meaningful employment and stimulates the economy of our local communities, and for that we are truly grateful. This past year has marked another banner year for the CBDCs of Atlantic Canada, providing assistance to help entrepreneurs succeed.”
- Stan Reid, President, Atlantic Association of Community Business Development Corporations
Director of Communications
Office of the Honourable Rob Moore
Atlantic Canada Opportunities Agency
A/Senior Communications Officer
Atlantic Canada Opportunities Agency
Senior Program Coordinator
Atlantic Association of Community Business Development Corporations