Quebec is shelling out $6.5 million to a new Startup Montreal program aimed at helping hypergrowth companies.
The Hypergrowth Quebec program plans to support 80 companies over the next two years to accelerate their international development. The program targets innovative companies that have the potential to reach a market value of $1 billion. The first cohort will be launched in May and will include 25 companies.
"With this program, we hope to help selected companies double their sales and triple their exports," said Minister for the Economy Lucie Lecours at a news briefing Monday. "Quebec hopes to triple the number of technology companies with a valuation of more than $1 billion by 2025."
Startup Montreal executive director Liette Lamonde said they will have no choice but to look outside Quebec for expertise.
"The best way to help is with those who have already been there and, unfortunately in Quebec, there are very few who have," she said.
Startup Montreal will be working with Apexe Global, a company based in Silicon Valley, California, but founded by Montrealer Jean-François Gauthier.
"We spent a year with Apexe creating a program that would take into account the reality of Quebec," said Lamonde.
"Rapid growth sounds like a nice problem, but entrepreneurs may need support when they find themselves in this situation," said Chateauguay MNA Marie-Chantal Chassé, who is also parliamentary assistant to the Minister of the Economy and Innovation.
"When a company is in hypergrowth mode, all the functions of the company are put under pressure," she said. "You have to hire human resources at high speed. The financial structure must evolve quickly and mature."
Desjardins Group also announced $1 million in funding for Startup Montreal, most of which will be used to support Hypergrowth Quebec. The program is also supported by BDC Capital, the amount of which was not specified.
-- This report by The Canadian Press was first published in French on Feb. 14, 2022.
