Canada's Social Enterprises Grow 22% Despite Recession Fears

Canada's social enterprises are proving that doing good and doing well can go hand in hand, even when the economy looks shaky.

A new national survey from Buy Social Canada reveals that 22% of social enterprises across the country reported growth or launched new services in the past year, despite recession fears looming over the broader economy. These businesses blend profit with purpose, tackling social challenges while generating real revenue.

"I think the non-profit sector and particularly the social enterprise sector within that is a very innovative space," said Rebecca Sherbino, founder of The Raw Carrot, a food business that employs people facing barriers to traditional work. When she started 12 years ago, most Canadians had never heard the term "social enterprise."

Now the sector is booming. The survey of over 400 social enterprises across Canada reveals they generated more than $6.5 billion in revenue and paid over $250 million in wages last year alone.

These aren't niche organizations operating in a single industry. Social enterprises span construction, healthcare, tourism, arts, and more, working in both rural and urban communities nationwide.

Marc Soberano runs Building Up, a Toronto construction company that provides renovation services while training people who face employment barriers in the trades. "We've grown so much beyond what I would have ever expected, and it still feels like there's so much to grow," he said.

The survey found these enterprises employ more than 18,000 people, including over 5,600 individuals facing barriers to traditional employment. That's creating inclusive job opportunities where few existed before.

The Ripple Effect

This first national survey in a decade gives policymakers hard data to understand the sector's true impact. Without it, social enterprises often get overlooked in economic development and workforce policy conversations.

"Evidence-based policy starts with having evidence," said Elizabeth Chick-Blount, CEO of Buy Social Canada. "This survey helps demonstrate the impact, capacity and needs of the social enterprise sector."

The timing matters. Over the next decade, an estimated $2 trillion in Canadian small business assets will change hands as owners retire. Buy Social Canada sees this as a chance for social enterprises to acquire existing businesses, preserving local jobs while expanding their mission-driven work.

Challenges remain. Many social enterprises struggle with limited access to markets, constrained capacity-building support, and a lack of flexible financing. Current policies often work against them rather than supporting their hybrid model.

But the federal government is paying attention. Public Services and Procurement Canada held 3,640 events across the country from 2024 to 2025 to help social enterprises access federal contracts, and new procurement policies increasingly consider social outcomes alongside cost and quality.

"Bet on each other and show each other what we're all capable of," Soberano said, reflecting the sector's collaborative spirit and its potential to reshape how we think about business success.