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Pierre-Michel Cotton is originally from the Aylmer sector in Gatineau. He certainly showed his moxy when he chose to build, in his own backyard, components for the aerospace industry, given that most of the industry is concentrated in Montréal and Toronto. “C&R Développement is the only business in the aerospace sector in Gatineau,” he points out.
C&R Développement is a sub-contracting business that designs and builds parts for the aerospace, telecommunications and defence markets. “We are known for our expertise in the development of high-precision parts,” explains Mr. Cotton.
When he completed his training in mechanical engineering technology at the Cégep de l’Outaouais in 1993, Pierre-Michel Cotton immediately set about preparing a business plan. “I had contacts with an aerospace sub-contractor in the Montréal area,” he reports. “He had too many contracts and could not meet the demand. My goal was essentially to meet his needs.”
The Business Development Bank of Canada (BDC) and Caisse Desjardins, with the help of a loan guarantee from the Corporation du fond d'aide aux enterprises, pitched in to get Mr. Cotton’s business up and running.
When the business started in 1994, it had two employees. Today, it employs approximately 40. “I am a born entrepreneur. From a very early age, I already dreamed of having my own business. I was probably influenced by some of my family who are also in business.”
Proving yourself and breaking into the market
Half of the clients of C&R Développement are in the Montréal-Toronto corridor. The other 50% are outside Canada, mainly in the United States but also in Europe and Asia.
“This is a particularly difficult market to get into. You do it by earning your clients’ trust. You have to show that you can deliver the product as requested, while meeting the deadlines.”
In 1995, C&R Développement proved itself while carrying out a contract for JDS Uniphase. Since then, the doors to the telecommunications sector have been wide open to it. The business subsequently got contracts with Héroux-Devtec and MDA Space Missions (formerly Spar Aérospace).
“At the peak of the high tech boom, around 1999, my business had as many as 70 workers. But when the bubble burst, we were left with only 25. Many businesses in this industry shut down. The only reason we made it through is that we had diversified and built up a good client base,” he explains.
C&R Développement went through a major growth spurt when it moved to a new plant on rue Vanier in the Aylmer sector. It doubled its work area to more than 15,000 square feet. The business is planning another expansion within the next few years.
In this sector, productivity is a daily challenge because more and more contracts are being given to companies in Asia, where production costs are well below those in western countries. This is why $2 million were injected into modernizing the plant in 2005. “Automating our activities has enabled us to increase our productivity while reducing labour costs.”
For this business in the Aylmer sector, the future also depends on its ability to keep renewing its technology. According to Pierre-Michel Cotton, this is one of the best ways to maintain your reputation in the industry and continue to expand your market.
Pratical information
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What made you decide to start up this business?
Very simply, it was a childhood dream.
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Why Gatineau?
Because it’s my hometown, and the place where I wanted to set up my business.
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In your opinion, what advantages does Gatineau have over Ottawa?
On the one hand, rent is lower in Gatineau than in Ottawa. Also, I avoid the rush hour traffic congestion, as do my employees, most of who live on the Quebec side
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What are the advantages of working for yourself?
To tell you the truth, there are not that many. Naturally, business people derive a great deal of personal satisfaction from carrying out a project. However, they have to work long hours and often get practically no holidays.
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What surprised you the most about the business world?
Realizing just how little we know about starting up and running a business. New entrepreneurs have no idea how many challenges they will have to overcome, in terms of project financing and hiring qualified staff. But this is probably for the best because if I had known, I probably would have thought twice about getting into it.
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To what do you attribute your business success?
I happen to believe that the key to success lies in effort and long hours of work. This is how I got through the different stages of building my business.
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were your toughest challenges, and how did you overcome them?
When the high tech bubble burst in the early 2000s, the company went through a particularly difficult time. We survived because of our reputation for expertise in the development of high precision parts. As well, we were not at the mercy of just a few clients. At the time, we had a good client base.
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What does it take to succeed in business today?
Lots of effort and sacrifices. Entrepreneurs who do not invest the necessary effort simply do not make it. You also have to protect the business’ finances, for instance by setting up an emergency fund. In order to succeed, entrepreneurs have to surround themselves with people they trust. I have a right arm who looks after the day-to-day production activities.
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What advice would you give someone who is thinking of starting up a business?
You have to be able to foresee changes so you can quickly apply strategies, either to overcome problems or to seize opportunities.
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How did Développement économique – CLD Gatineau contribute?
I am currently working on expanding our facilities, and DE-CLDG is supporting us in obtaining the different permits we need. We are also being guided towards a program that will help us get tax breaks for the construction of a commercial building.
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