We're going to see a recession or a longer period of slow growth: Economist
A small business lobby group says commercial bankruptcies are rising in Canada and even more small businesses are at risk of closure.
Data from the Office of the Superintendent of Bankruptcy Canada shows small business insolvencies have been on an upward trend since May 2021.
But the Canadian Federation of Independent Business says its own survey data indicates only 10 per cent of Canada's small business owners would file for bankruptcy if their business was no longer solvent.
It says 46 per cent of business owners say they would simply stop operating rather than go through the bankruptcy process.
The CFIB also says more than one in six Canadian small business owners say they are currently considering going out of business.
The lobby group wants government support to help Canada's small business sector get through the next few months and deal with challenges like pandemic-related debt and supply chain issues.