GATINEAU (Québec), Competition Bureau
Today, the Competition Bureau has launched its market study into the state of competition in the financing sector for small and medium-sized enterprises (SMEs). The launch follows a public consultation on what the study should cover, and the Minister of Industry's approval of the study's final terms of reference.
The Bureau's initial observations are that it can be hard for many SMEs to access competitive financing options. We aim to examine competition in the sector and how it can be improved to benefit SMEs and the new and innovative lenders that support them.
Our study is looking to answer the following questions:
- What is the state of competition in SME financing, and how does competition in the sector work?
- What barriers do lenders face when they try to enter the market or grow, and how can these barriers be reduced?
- What would make it easier for businesses to switch lenders?
We will share our findings in a final report, which will include recommendations on how governments across Canada can make SME financing more competitive.
