Op-ed. Small-business sector facing ‘silver tsunami’
Updated: Apr 25, 2022
Winnipeg Free Press, Jan. 13, 2022, by Marcelo Vieta & Dan Brunette
Even before the COVID-19 pandemic, another threat to business continuity was looming — the “silver tsunami.” Canada’s 1.2 million small- and medium-sized enterprises (SMEs) community has been bracing for the departure of nearly three-quarters of its owners, who plan to retire within the next decade.
Often, the intent is for owners to transfer the company to relatives or sell to a third-party purchaser. The reality is that either way, many entrepreneurs have yet to draft a formal succession plan or are unable to execute it due to various factors, heightened by the COVID-19 reality.
There’s a lesser-known, but proven, third option that rarely gets the attention it deserves.
SMEs could also consider selling the business to employees or community stakeholders who have formed co-operatives. Such transitions, known as Business Conversions to Co-operatives (BCC), are a tried-and-true solution for rescuing businesses or for succession planning in numerous jurisdictions around the world. ...
To read the entire op-ed, see the piece in the Winnipeg Free Press, Jan. 13, 2022, by Marcelo Vieta (Co-opConvert project lead) and Dan Brunette (Co-opConvert community lead and Director Advocacy and Partnerships for Co-operatives and Mutuals Canada)