AN ESSENTIAL ECONOMIC LEVERCAE Capital Rive-Sud was created in 1985 as the Centre d’aide aux entreprises de la Rive-Sud. Today, it is still a non-profit organization, but on a larger geographical scale, and it is still pursuing its original goal of providing key support to local businesses.

In collaboration with its partners - Canada Economic Development and Emploi Québec (lead partners), Business Development Bank of Canada and Investissement Québec -

CAE Capital Rive-Sud’s mission is to be involved with companies to:

• Contribute to the development of the regional economy• Invest in the development of businesses• Promote job creation and retention

Interventions are conducted along two major axes: coaching and financing.

QUALITY COLLABORATION DEVELOPMENT CREATIVITY

PROFESSIONALISM GOVERNANCE INTEGRITY

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A WORD from

the

Executive Director

The theme of the 2017-2018 annual report was RENEWAL -

the RENEWAL of our service offer, of our strategic positioning, of

our administrative and governance practices; the RENEWAL of our

portfolio, of our team, and of a portion of the membership

on our Board of Directors. With all of those RENEWALS implemented

and integrated, 2018-2019 has been a magnificent year for

AGILITY.

In fact, very favourable economic conditions have given borrowers vastly broader access to financing sources. Our AGILITY has enabled us, despite everything, to find a select spot in this market and to end the year with very, very good results. We have been rapid in processing requests. We have been flexible and adaptive in this highly competitive market. Our new revolving credit financing option has enabled a few enterprises to double, even triple, their sales. Finally, despite prevailing labour shortages, we have demonstrated AGILITY by sur-passing our goals by encouraging more individuals to choose entrepreneurship.

In 2018-2019 our team issued $10.5 million in loans across 47 projects in which 580 jobs were maintained and/or created. Our actions have generated investments of more than $21 MILLION. Since its foundation, CAE has invested nearly $129 millions in businesses. This year, more than $30,000 in grants has been made thanks to the Small Business Support Initiative (SBSI) project. In addition to the technical assistance offered to the clients funded, more than 120 new entrepreneurs have been coached in their start-up initiatives, and 285 entrepreneurs were coached and monitored in launching their business through our Cercles d’entraide and Soutien au travail autonome measures. At CAE, more than 3,000 hours of individual and more than 450 hours of group coaching have been given. Added to this are numerous hours of free training provided to our clients. What a year!

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The new team used the resources at its disposal and surpassed itself beyond expectation, both individually and collectively. I am extremely proud of this synergy which enables us to offer the best to our clients. It is with gratitude that I wish to highlight the extraordinary work of Brigitte, Jane, Nassr, Kim, Marie-Eve, and Annie. Everyone has worked together to make our organization a performance leader in its sector. I thank you all for your commitment and generosity. Our team did not hesitate to work on behalf of our community by raising more than $3,000 for the Grande guignolée and hundreds of dollars for the Quebec Breast Cancer Foundation. Congratulations!

Finally, I wish to highlight the exceptional contribution of our Board of Directors, which is entirely composed of volunteers. This year, the Board has literally propelled us forward, giving us the means to our ambitions, assisting the greatest number of businesses and new entrepreneurs. The Board’s drive, availability, and cutting-edge expertise have helped us to be amongst the most AGILE. Thank you to every one of our 11 Board members: Nathalie, Louis, Édith, Jean-Pierre, Jean, Jacques, Éléane, Ronald, Toby, Rachel, and Mario, our latest addition! Finally, I need to highlight the work of our new Chairperson, Ms. Nathalie Berthiaume. Thank you Nathalie for your exemplary commitment, your attentiveness, and your trust! You have skilfully asserted your new role and distinctively led the Board. Thank you!

May 2019-2020 be an equally great year, and even more!

Nathalie Dubord, LL.B.Executive Director

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CHAIRPERSONNathalie BerthiaumeDirector, Change ManagementBDC

VICE-CHAIRPERSONLouis DagenaisStrategic Advisor and ManagerInformation Technology, Governance, Project Management and MarketingVice-President and Chief Executive Officer, SmartUse Solutions Inc.

SECRETARYÉdith Pion, CPA, CA, M.FiscPartnerRaymond Chabot Grant Thornton

TREASURERJean-Pierre HudonRetiredRBC Royal Bank

DIRECTORSRachel Auger, CPA-CGAProfessor, Corporate Finance LecturerHEC Montréal

Eléane Côté, M.Sc.Principal Advisor, Taxation, R&D Credits and Tax IncentivesRio Tinto

Toby Gauld, B.Sc. M.Eng.PresidentOptima Aero and Proprimmo

Jacques LalibertéBusiness Consultant

Jean MatteauConsultantFIER-Longueuil

Ronald P. GagnonPartnerBDO Canada LLP/s.r.l./S.E.N.C.R.L.

Mario SévignyVice-President, FounderMSB – A subsidiary of Sogeclair

More than 258 hours of volunteering

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Nathalie DubordExecutive Director Jane Lagacé

Accounting Technician

Marie-Eve BerthiaumeBusiness Advisor

Kim DesaulniersBusiness Advisor

Nassr TribakDirector of Financing

Brigitte DemersAdministrative

Officer

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CAE’s financing component is a key and complementary tool to traditional financing by financial institutions. Our short-term financing stands apart in its implementation speed and particularly in its AGILITY, which we enforce to meet our clients’ needs.

TOTAL REQUESTS 119

Number of CLIENTS met 95Number of ACTIVE LOANS as of March 31, 2019 36

Total loans during the year 47Number of loans authorized 52

Businesses financed 32JOBS maintained or created 580

Total investments authorized during the year $11.7 millionTotal investments paid out during the year $10.5 million

Investments generated more than $21 MILLION

Average loan $222,346 Mean asset turnover 1.9 times

RESULTS

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This year order financing constitutes 63 % of the financing activities of CAE. We have increased our tax credit financing interventions by more than 10 % in order to effectively ventilate our investment portfolio and to diversify risk. We are proud to note that the manufacturing sector represent 53 % of the companies financed.

LOANS DISBURSED INDUSTRIESFrom April 1, 2018, to March 31, 2019

63% 35%

20 LOANSORDERS

$6,547,114

24 LOANSRS&DE ET CDAE

$3,708,158

3 LOANSOTHER

$195,000

2% 46% 53%

SPECIALIZED SERVICES

17 ENTERPRISES$4,811,071

MANUFACTURERS

14 ENTERPRISES$5,519,201

OTHER

1 ENTERPRISE$120,000

1%

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IMPACTSINCE 1986CAE CAPITAL has financed 932 projects and has invested nearly $128.8 million, generating nearly $339 million in economic benefits.

Thanks to its interventions, CAE has helped to create or retain 580 jobs this year and 8,965 jobs since its creation.

1986198719881989199019911992199319941995199619971998199920002001200220032004200520062007200820092010201120122013201420152016201720182019

$225,000$352,770$316,000$435,000$330,000$257,980$658,063$739,668

$1,074,962$739,264

$1,088,147$413,687

$1,302,308$1,337,827$1,158,291$1,125,627

$1,304,490$2,106,175

$3,094,579$2,996,828$3,018,807$4,089,737$4,996,541$5,459,176$7,419,260

$6,739,568$7,485,108

$8,398,700$8,432,893

$10,653,738$11,581,063$9,388,569$9,576,689

$10,450,272

TOTAL$128,746,787

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Coaching is also a significant part of our service offer. To achieve this mandate, we prioritized two measures in partnership with Emploi-Québec, specifically the Cercles d’entraide Rive-Sud and Support for Self-Employment for the MRC de la Vallée-du-Richelieu and for the MRC de Rouville.

Being an entrepreneur is a daily challenge. Services and the training offered by CAE Capital Rive-Sud are essential tools during an entrepreneurial process. Thanks to the adviser because everyone stand out and made a difference in my project, a television series, La Tribu Gourmande. CAE contributes to regional economic development by its investment in the coaching of his local entrepreneurs! Sincerely Bravo !!

– SYLVIE MADOREProducer - designer - developer

LA TRIBU GOURMANDE INC.

“

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CERCLES D’ENTRAIDERIVE-SUD

SUMMARY OF RESULTS

2,360 hours of individual coaching

610 hours of post-participatory coaching

10 groups created (8 groups in Beloeil and 2 groups in Longueuil) for a total of

120 participants for business start-up training.

300 hours dedicated to start-up training

52.25 hours of coaching per client

78% women

AREAS LOCATION OF PARTICIPANTSn MRC de La Vallée-du-Richelieun Agglomération de Longueuiln MRC de Marguerite-D’Youvillen Autres

22% 16%

6%

6%

4%

20%

26%

SOCIO-ECONOMIC INSERTION RATE OF NEW CLIENTS

n Launchedn Pre-start up stagen Back to workn Start-up stage

n Project abandonedn Job seekingn Other

81% Service industry

9% Construction

5% Retailing

5% Food and

food services

46%

30%

10%

14%

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SUPPORT FOR SELF-EMPLOYMENT (Vallée-du-Richelieu)

SUMMARY OF RESULTS

24 enterprises assisted for a total of 25 entrepreneurs

67% women

81% with college (CEGEP) or university degrees

38% aged less than 35 years

52% had a personal income of less than $20,000

27 jobs created

AREASBUSINESS LOCATIONS

37%

25%

13%

8%4%

13%

INSERTION RATE

n launched and registeredn launched and incorporatedn launchedn launched and in a partnershipn pre-start up n project abandoned

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29% 23% 18% 12% 6% 6% 6%

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SUPPORT FOR SELF-EMPLOYMENT (Rouville)

SUMMARY OF RESULTS

10 enterprises assisted for a total of 11 entrepreneurs

45% women

45% with college (CEGEP) or university degrees

82% aged less than 35 years

63% had a personal income of less than $20,000

9 jobs created

AREAS BUSINESS LOCATIONS

50%

20%

20%10%

INSERTION RATE

n launched and registeredn launched and incorporatedn launchedn project abandoned

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SMALL BUSINESS SUPPORT INITIATIVE (SBSI)

In collaboration with Réseau des SADC+CAE, the Small Business Support Initiative (SBSI) program enables small businesses to have access to expertise in five intervention areas deemed essential to Québec’s economic future in order to improve productivity and profitability and to ensure they continue to be going concerns. Those essential areas are: Innovation, sustainable development, business succession, IT integration, and female entrepreneurship.

In 2018-2019, we granted $31,000 to 8 businesses for 9 projects.

$14,000for IT integration

$17,000for female entrepreneurship

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COMMITTEES, TABLES AND BOARDS OF DIRECTORS

• Ambassador for LADN Montérégie 2019• Ambassador for the 2019 female leadership cohort of the CCIRS• Member of the Table des intervenants of the MRC de Margueritte

d’Youville and of the MRC de la Vallée-du-Richelieu• Member of the labour table of the MRC de la Vallée-du-Richelieu

and of the MRC de Rouville• Volunteer team of the Grande Guignolé des Médias• Volunteer team and drop-off point for the “Dare to Give” campaign

of the Quebec Breast Cancer Foundation

MEMBERSHIP

• Member of the Association en planification fiscale et financière (APFF)• Member of the Association of Quebec Women in Finance (AFFQ)• Member of the Chambre de commerce et d’industrie Vallée-du-Richelieu• Member of the Chambre de commerce et d’industrie de la Rive-Sud• Member of the Réseau des SADC + CAE du Québec

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• More than 15 topics were covered, specifically:• Legal aspects• Market studies• Marketing plan• Online marketing• Financial forecasting• Taxation• Professional Facebook profiles• Sales and networking techniques

ORGANIZED BY CAE CAPITAL RIVE-SUD

48 REFRESHER and complementary training sessions were offered this year

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LEAD PARTNERS

• Business Development Bank of Canada (BDC)• Capital Réseau des SADC et CAE • Canada Economic Development (CED)• Emploi-Québec

STRATEGIC PARTNERS

• Canada Revenue Agency (CRA)• Local development centres (CLDs) and regional municipal counties (MRCs)• Développement économique Longueuil (DEL)• Expansion PME• Investissement Québec • Regroupement des CAE autonomes du Québec• Revenu Québec• Réseau des SADC et CAE du Québec

BUSINESS PARTNERS

• Consultants• Brokers• Private funds• Regional funds• Financial institutions• Professionals• Venture capital firms

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RIVE-SUD

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270 Sir-Wilfrid-Laurier BLVDSuite 200Beloeil, QC J3G 4G7514-656-5650 • info@caecapital.com

caecapital.comcaerivesud.ca