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December 2025 New Business Factoid: Strong Year-End Formations, but Net Growth Remains Elusive

Each month, Cleanlist tracks both newly registered and closed Canadian businesses. Together, these metrics provide a clear view of business churn — and the real operating environment facing Canadian entrepreneurs.

📊 December 2025 Snapshot

In December 2025, Cleanlist identified:

  • 28,988 new businesses

     

  • 26,618 business closures

     

This results in a net gain of just 2,370 businesses nationwide.

Compared to prior periods:

  • New businesses ▲ 366% month-over-month (vs. November 2025: 6,217)

     

  • Closures ▼ 15% month-over-month (vs. November 2025: 31,297)

     

  • Net growth remained modest, despite the surge in formations

      

What’s Driving the Disconnect?

December often produces a spike in new registrations as:

  • Entrepreneurs finalize incorporations before year-end

  • Businesses prepare for January launches

  • Fiscal and tax timing decisions come into play

At the same time, closures remain elevated:

  • Many businesses delayed shutdowns until year-end

  • Cost pressures, financing constraints, and demand softness persist

  • The result is high churn, not strong expansion

In short: activity increased, but confidence did not fully return.

Why This Matters for Marketers and Sales Teams

High churn environments create shorter decision windows.

For brands targeting businesses:

  • New companies are forming — but they are cautious

  • Vendor decisions are faster, more price-sensitive, and less forgiving

  • Timing and relevance matter more than brand familiarity

This makes early-stage outreach critical. The longer a new business operates, the more entrenched its suppliers become.

The Cleanlist Takeaway

December’s data shows entrepreneurial intent is alive, but survival remains the priority.

For organizations selling to businesses:

  • Growth will come from precision targeting, not volume

  • New businesses should be engaged immediately after formation

  • Messaging must emphasize value, efficiency, and risk reduction

As 2026 begins, the opportunity isn’t just in how many businesses are created — it’s in how quickly you reach them.

🔍Want to Reach Canada’s Newest Businesses?

Cleanlist offers free self-service counts to help you size the opportunity. See our business data page for more information and links.

About The Data:

The data presented in this report was summarized from ResponseCanada™ Business, Canada’s largest and most up-to-date commercial database.

To learn more about the database or for licensing information, talk to Cleanlist.

Cleanlist is Canada’s largest customer data company. We clean, enrich, and validate business and consumer data. We’re also experts in data-driven document composition and Canada’s largest data provider for digital and offline marketing.