The Honourable Richard Brown, Minister of Development and Technology, said the Succession Planning Support Program is designed to assist entrepreneurs in preparing for the transfer of ownership of their businesses.

While much has been written and discussed about the pending retirement of Canada’s baby-boomers from the labour force, one key aspect is often overlooked, Minister Brown said, involving the effects and impacts of an aging small-and medium-sized enterprise (SME) sector on the Canadian economy. Business owners are growing older and a planning process for transfer of ownership is essential for the future success of a business and its employees.

Minister Brown said it is inevitable that someone other than the current owner of a business will own and operate that enterprise at some point in the future.

“Small business owners often invest years of their lives and the greater part of their financial assets in their companies,” said Minister Brown. “The Government of Prince Edward Island is committed to working with business owners to ensure smooth successions from either one generation to the next, or to new owners.”

Succession planning is a long-term process involving a wide range of issues. Components of the program include strategic business planning, business valuation, tax planning, retirement planning and transfer management.

Program assistance will be in the form of non-repayable contribution toward the cost of eligible professional expertise to develop comprehensive succession plans for businesses. Fifty percent of the cost to a maximum allowable assistance of $10,000 is available to eligible businesses.

The Succession Planning Support program will be administered by Business Development Officers specializing in one-on-one counseling across the province through PEI Business Development Incorporated.

Application forms are available from Business Development Officers at Access PEI centres or online at www.peibusinessdevelopment.com.