About SDCs (Sociétés de développement commercial)

As a destination, a commercial artery can become more attractive and competitive if it is sufficiently structured to allow it to promote itself, to contribute to the enhancement of the urban living experience and to highlight its distinctive character.

In this context, the SDC is a prime tool for the community to take charge of its development. Created by the initiative of its merchants and professionals, the SDC’s mission is to promote business development and contribute to the commercial influence of a given sector. The SDC’s area of intervention generally consists of a commercial artery, a commercial district, or a downtown area.

♦ Why not just have a voluntary merchant association?

Because these voluntary associations are generally under-resourced, unsupported, and unstaffed, and often experience two recurring problems if left to their own devices: 1) the volunteer merchants who manage them may run out of steam, and 2) the difficulty of obtaining the payments of voluntary contributions by merchants to fund the association’s projects.

♦ The SDC can go a long way toward addressing this equity and resource issue

With its principle of a mandatory fees for all businesses, the SDC allows the association to stabilize its financing, provides it with better financial and human resources, and thus allows the implementation of a long-term development vision. This principle ensures that everyone pays their fair share and contributes to the commercial development of the sector.

♦ The SDC: a recognized formula

There are nearly 2,000 SDCs worldwide, including in Canada (400), the United States (1,000), the United Kingdom (290), South Africa, Germany and Australia. The province of Quebec has 41 SDCs (23 in Montreal), Ontario 271 (82 in Toronto), British Columbia 58, New York 74, London 62 and Los Angeles 42.

♦ The operation and democratic process of the SDC

A non-profit organization, its creation and operation are ruled by the city of Montréal municipal regulations. The democratic approach implicit in the SDC allows for the involvement of its members in its decision-making process. Members are invited to participate in general meetings to approve the SDC’s actions, membership fees, operating budget and to elect the members who will sit on a nine-person board of directors. Members must have paid their dues to be eligible to vote at these meetings.

♦ Financing of the SDC

The three main sources of revenue for the SDC are mandatory fees, municipal grants and the sale of sponsorships. The amount of the membership fee depends on the budget adopted at the general assembly of the members and the method of calculation used. The municipality collects the fees from all businesses in the district and proceeds to transferring the funds to the SDC.