www.fondsftq.com - The Canadian Business Journal

Fonds de solidarite FTQ
www.fondsftq.com
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Fon
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Queb
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bec’s development
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CB
FINANCE
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FINANCE • Fonds FTQ
FEBRUARY 2012 • The Canadian Business Journal
Fonds de solidarite FTQ began in 1984 as a development
capital fund with a mission to boost provincial economic
growth through the creation and protection of jobs by
investing in small- and medium-sized businesses.
Today, as the largest development capital network in Quebec,
Fonds de solidarite FTQ has grown to accumulate more than
$8.2 billion of net assets. Reads the company website, “Fonds de
solidarite FTQ has become a hub of knowledge and resources for
Quebec businesses and a key player in the local economy.”
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FINANCE • Fonds FTQ
Fonds de solidarite FTQ emphasizes socially
de solidarite FTQ announced its economic edu-
responsibility as well as sustainable economic
cation program for its partner companies, with
development across all of its operations. Other
the objective to further business growth for its
services, including economic training offered to
partners, and to promote overall improved finan-
its partner companies, is one example of how
cial health. Outlines the Fonds de solidarite FTQ
value-add services of Fonds de solidarite FTQ
website, “With this flexible program, employers
contribute to economic growth and prosperity.
choose the type of training best suited to their
workers and most beneficial to the company.”
Company mission
The main goals of the economic education
Fonds de solidarite FTQ outlines its company
program are to encourage effective communica-
mission with four pillars: to create, maintain,
tion between management and workers; to help
and protect jobs; to train workers; to develop the
employees better understand how the company
Quebec economy; and to prepare its investors for
operates; to promote teamwork and worker en-
retirement.
gagement; to explain Fonds de solidarite FTQ’s
In terms of job creation, Fonds de solidarite
role in the company as a financial partner; and to
FTQ invests in companies which impact the local
describe the company’s business plan to better
Quebec economy by offering services that create,
motivate company employees to further the com-
maintain, and protect jobs. Job creation invest-
pany’s growth and success.
ment by Fonds de solidarite FTQ offers custom
financing, in addition to traditional business
Investment benefits
financing sources, including equity loans (with an
In working to develop the local Quebec economy,
investment horizon of five to 10 years) and unse-
Fonds de solidarite FTQ works to stimulate the
cured loans that require no collateral and offer
economy through strategic investments benefit-
a competitive, risk-based interest rate which is
ting both workers and companies. Fonds de soli-
adjusted based on performance.
darite FTQ believes it provides a unique advan-
Fonds de solidarite FTQ also works to train
tage in this regard. The company has emerged
staff through the promotion of economic training
as the top development capital leader in Quebec,
to better influence economic development in the
offering unsecured financing, patient capital,
province of Quebec. Specifically, in 1989, Fonds
sector expertise (with more than 56 investment
FEBRUARY 2012 • The Canadian Business Journal
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sis, legal matters, taxation, labour relations, due
diligence, and asset investments. Headquartered
Nourishing excellence
since 1947.
in the Quebec hub of Montreal, Fonds de solidarite
FTQ utilizes its provincial network through its establishment of 16 regional funds and 85 local funds.
Part of the company structure of Fonds de
solidarite FTQ also encourages its shareholders to
prepare for retirement by offering “outstanding tax
benefits and reasonable returns on investment.”
Fonds de solidarite FTQ makes workers aware
of the importance of retirement savings. Part of
this emphasis toward building retirement savings
encourages workers to invest, particularly by purchasing shares of Fonds de solidarite FTQ. Workers
investing in Fonds de solidarite FTQ receive, among
professionals across 25 industries), multi-disci-
other advantages, two major benefits: tax credits,
plinary expertise, a Quebec-wide network, and
with 15 per cent on both provincial and federal
economic education. To date, Fonds de solidarite
taxes, as well as a tax deduction granted to all
FTQ has financed 2,129 companies and invests
RRSP holders, provincially and federally.
nearly $700 million a week, according to the
company website.
“Regardless of the challenges encountered
“RRSP (30 per cent more savings than a conventional RRSP) and higher tax savings, development capital and investments in small- and medi-
along the way, Fonds de solidarite FTQ will be there
um-sized enterprises…that’s the Fonds de solidarite
because we take the long-term perspective,” reads
FTQ,” summarized the company website.
the company website. “This approach results in an
unusually close business relationship.”
In terms of its multi-disciplinary expertise,
Looking toward the future, Fonds de
solidarite FTQ looks to remain an active and key
player in the local Quebec economy. CB
Fonds de solidarite FTQ has professionals trained
in a multitude of sectors, including market analy-
www.fondsftq.com
AS SEEN IN THE FEBRUARY 2012 ISSUE
OF THE CANADIAN BUSINESS JOURNAL