High costs, red tape, and labour challenges have forced Canada into an entrepreneurial drought, according to the Canadian Federation of Independent Business.

Policy Director Brianna Solberg says in Canada, there have been six consecutive quarters where small business exits have outpaced business entries, and Saskatchewan is not immune.

“In the most recent quarter which we have data for, which is Q2 2025, the net business openings were down 42 businesses. The quarter before that was even more alarming. We saw net negative 172.”

She explains that the uncertain and expensive business environment is forcing many to shut their doors, which could result in fewer jobs, less competition, less innovation, and a weakened economy.

“Small to medium sized businesses make up around 99 per cent of businesses in Saskatchewan, and they employ over 60 per cent of all private sector workers, so if they cease to exist, where are people going to work and get the goods and services that they need?”

Also according to CFIB data, 53 per cent of business owners say they wouldn’t recommend someone start a business today, which Solberg says is a glaring red flag.

She adds that the recent provincial budget catered to large businesses, but small businesses would like to see more targeted measures such as reducing taxes, cutting red tape, and promoting investment.