I am a new business owner and would like to leverage my RRSP+. Is it possible?

You may be eligible to redeem part of your RRSP+ to maintain or create employment in your new business.

In keeping with its mission to maintain and create jobs, the Fonds de solidarité FTQ lets you redeem part of your savings if you have set up or or acquired a new business. Note that you have one year from the date on which the business was founded or acquired to submit your redemption request under this criterion.

Requirements:

The shareholder must show that the business is duly constituted

AND

must show that they are the owner of the business (alone or with others) and that they participate in the decision‑making process

AND

must show that the injection of capital will create or maintain at least one full-time permanent job

AND

must show that the business is a going concern and not a seasonal business, unless the business operates several seasonal activities throughout the year.

Documents required:

The Fonds de solidarité FTQ form

AND

a declaration of registration or certificate of incorporation

AND

proof of creation or retention of a full-time permanent job

If the job created or maintained is the shareholder’s, provide one of the following:

  • employment record or letter from the employer confirming the end of an employment at which the shareholder worked full-time
  • recent proof of the termination of employment insurance benefits
  • proof of the end of a contract under which the shareholder worked full-time
  • proof of admission into a government program

If the job created or maintained is not the shareholder’s, provide one of the following:

  • monthly remittances to the Québec and federal governments
  • pay slips showing a full-time permanent job
AND

proof that the business is a going concern.

For a new business in operation for less than a year

  • recent invoices from suppliers and customers after the business was registered
  • GST and QST numbers
  • a commercial lease or operating permit (if applicable)

For a business already in operation acquired less than a year ago:

  • a notarized deed of sale
  • a purchase contract.

Eligible shares:

Except for the exception mentioned below, the minimum holding period of 730 days, provided in the Act, for the application of redemption criteria relating to retirement, phased retirement and shareholders who have reached 65 years of age Fonds de solidarité FTQ share redemptions will be gradually extended as follows:

Date of redemption Before June 1, 2027 Between June 1, 2027, and May 31, 2029 Between June 1, 2029, and May 31, 2031 After May 31, 2031
Minimum holding period 2 years 3 years 4 years 5 years

Exception : Shareholders who are or will turn, during a year, 71 years of age may redeem their Shares without a minimum holding period.

Subsequent share acquisition:

Two years after purchase by the Fonds de solidarité FTQ.

Disbursement terms and conditions:

A single payment of a net value of $30,000 or a lesser amount if the analysis conducted by the Fonds de solidarité FTQ shows a financial need less than $30,000.

The shareholder can only invoke this criterion once.

Do you have more questions?

Our agents will be pleased to answer any questions you may have at:

1-800-567-3663
Legal Notes
Please read the prospectus before subscribing to shares of the Fonds de solidarité FTQ. Copies of the prospectus may be obtained on the Website fondsftq.com, from a local representative or at the offices of the Fonds de solidarité FTQ. The indicated rates of return are the historical annual compounded total returns including changes in share value and reinvestment of all dividends and do not take into account income taxes payable by any security holder that would have reduced returns. The shares of the Fonds de solidarité FTQ are not guaranteed, their value changes and past performance may not be repeated.