PMEIT: growing impact after three years

From 2018 to 2020, 177 companies received support through the PMEit support service for innovative and technology-based SMEs (now called momentum).

Since then, these companies have been monitored using annual indicators to assess their growth and the long-term impact of the program. Three years after completing the service, the impact is even greater than anticipated.

When the SMEit project was submitted in 2018, our goal was to evaluate the program's success up to three years after its completion to ensure its long-term impact. After three years of observation, the progress made by the companies since they received support in 2018-2020 reveals exceptional results and a trajectory that looks even more promising for the coming years. We can't wait to see what happens next!

See the summary report containing key findings on the progress of SMEit companies.

The year 2022 was marked in the innovation sector by the end of the main measures related to COVID-19, but also by a marked slowdown in the investment sector. Considering this context, the results achieved in 2022 by companies supported by the SMEit support service are even more exceptional.

Overall, companies significantly increased their payroll (+71%), revenue (+42%), and financing (+9%) in 2022 compared to 2021 results.

While payroll and revenue experienced their strongest growth since the project began, the slowdown in the market had an impact on financing. The portion of financing coming from venture capital and angel investors declined for the first time, and companies had to significantly increase their debt financing.

The year 2022 also marks the end of the five-year monitoring of performance indicators for the SMEit support service for 2018-2020. Across the board, the results far exceed the targets set at the start of the project, demonstrating beyond any doubt the success of the SMEit formula.

Since 2018, these companies have employed more than 2,200 people, generated more than $469 million in revenue, and secured more than $779 million in financing and investments to continue accelerating their growth. In addition, the majority of them are already generating revenue from international activities.

These results are based on responses from 139 of the 177 startups that participated in a support program between 2018 and 2020 and submitted a report with key data on the number of employees, their revenues, and their sources of funding.

The success of PMEit is attributable to its innovative model, unique in Canada, based on collaboration and resource sharing. The 177 companies supported also represented regional diversity in Quebec, as half were located outside Montreal, spread across 15 administrative regions.

This model, designed by and for the Quebec accelerators network, enhances the support offered to startups in the commercialization phase without creating a new service window for entrepreneurs. By working as a network, accelerators can draw on all available expertise, contacts and resources to offer support that is perfectly tailored to the needs of each startup.

nine Quebec business accelerators have made this support possible:

• adopts Inc.
• centech
• cts
• district 3
• space-inc.
• esplanade
• founder fuel
• the swimming pool
• the camp

Some 30 organizations from across Quebec helped identify companies with strong growth potential. PMEit also brought together a network of more than 300 advisors and experts, selected for their ability to support startups in the commercialization phase and give entrepreneurs the tools and skills they need to propel their businesses toward growth.

This project was also made possible thanks to financial support from the Department of Economy, Innovation, and Energy (DEIE). Theacceleration service main, with a total value of $17.3 million, received financial support from the Government of Quebec totaling $8 million to support businesses between 2018 and 2020.