Pro Dealer Q1 2026

PRODealer

EDITORIAL

EDITOR-IN-CHIEF

Steve Payne steve@hardlines.ca

FEATURES EDITOR

Geoff McLarney geoff @hardlines.ca

CONTRIBUTING EDITORS

Rebecca Dumais rebecca@hardlines.ca

Sarah McGoldrick sarah@hardlines.ca

ART DIRECTOR

Shawn Samson shawn@twocreative.ca

PRESIDENT Michael McLarney mike@hardlines.ca

COVER PHOTOGRAPHY

Ema Suvajac

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EDITORIAL ADVISORY BOARD

Michelle Chouinard-Kenney GIBSON BUILDING SUPPLIES Aurora, Ont.

Brian Lavigne

EDDY GROUP TIMBER MART

Bathurst, N.B.

Luc Léger

ELMWOOD GROUP HOME HARDWARE Moncton, N.B.

Brent Perry ALF CURTIS HOME IMPROVEMENTS

Peterborough, Ont.

Gary Sangha CROWN BUILDING SUPPLIES

Surrey, B.C.

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OUTSTANDING RETAILER AWARDS

DEALERS TEAM UP TO BUY COASTAL

KENT BUILDING SUPPLIES CELEBRATES 50TH

RONA PARTNERS WITH CHAGALL

COOPER EQUIPMENT COLLABORATES WITH SKYJACK

BMR

PRO DEALER OF THE YEAR

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AN INCONVENIENT TRUTH

Steel derivative tariff s—imposed by Canada and not the United States—are a huge problem for the industry

“If you build it, they will come.”

How ironic is it that the renamed Center for Consumer Products (CFCP) would have its launch event shortly after the New Year? Just days after Canada shot itself in the foot with tariff s, once again.

This time, the culprit isn’t President Trump—or at least, not directly. It’s the Government of Canada.

The mess that the Finance Department has made of its support for the steel and aluminum industries is massive. Eff ective Boxing Day, Canada imposed steel derivative product tariff s on everything from vinyl windows to zinc door handles— some without a gram of steel in them

In an eff ort to shore up Canada’s metal producing industries, Ottawa has imposed import tariff s (from anywhere in the world) on a voluminous list of products. These tariff s are not small. They add a cost of 25 percent to the entire imported item. Google “ steel derivative tariff s ” to see the problematic list from the Finance Department.

Vendors now have an inconvenient truth. Either they pass the highlyexpensive tariff s onto their pro dealers (among other retailers) or they will suddenly lose money.

The way out of this catastrophe is not easy. Advocacy is needed with Ottawa. The CFCP is not only a newly-named organization, it has a new mandate. CEO Sam Moncada says he is up for the challenge.

Please, step up for this industry. You can reach Sam at smoncada@ centerforconsumerproducts.com. Stories of your own experience with these damaging tariff s are welcome. Even more welcome is joining your organization to the CFCP, to put industry muscle behind their eff orts.

Or email me your experiences with steel derivative tariff s here at steve@hardlines.ca.

BY STEVE PAYNE Editor-in-Chief PRO DEALER

steve@hardlines.ca

—Adrian Edge, Fenestration Canada “

The government only has a wide net. Unfortunately, they have caught some by-catch.”

“Being a part of Sexton Group has signi cantly elevated our business. Even though they have over 450 members across Canada, we always feel heard and valued as if we are part of the Sexton family. Their powerful network of members across the country has been invaluable, providing us with insights and connections that have helped us grow. They excel at connecting suppliers with members, ensuring we have access to the best products at the most competitive prices. We couldn’t be more pleased with our partnership.

Markus Lange, EG Penner Building Centre

PRO Dealer

NEWS NEWS NEWS

WHAT’S HAPPENING IN THE PRO INDUSTRY

PRO DEALERS AMONG OUTSTANDING RETAILER AWARD WINNERS

The 33rd Outstanding Retailer Awards were presented at the Hardlines Conference held in October in Banff, Alta. Eight stores in our industry were honoured, covering the range of retail hardware and home improvement stores. Six of the eight winners serve contractors as a substantial part of their business. Pro Dealer of the Year honours went to Jamie Adams and Tasha Birtch, co-owners of Adams Building Supply, a Castle member which is a hardware customer of Orgill Inc. The business has locations in Woodstock and Shakespeare, Ont. Adams and Birtch are our cover story ( see page 40) for this issue. Their Woodstock store, which was relocated in 2023, features a cutting-edge design from Burlington Merchandising and Fixtures and also has a double drive-through from Auto-Stak.

Another pro dealer, Brooks Building Supplies,

Rosetown, Sask., was a winner of the Retail Spirit Award. This award is given to a retailer who overcomes tremendous challenges to achieve success. The co-owners, Devon and Kelsey Brooks, started planning their new store in 2020, in the teeth of Covid lockdowns. Devon was (and is) a contractor. Kelsey worked in grain purchasing. The store is celebrating its fourth anniversary this spring. For more on Brooks, see page 60.

Another pro-heavy store won in the category of Best Building Supply Store under 15,000 square feet. The winner was Pike’s Home Hardware Building Centre of Happy Valley-Goose Bay, N&L, which is owned by Greg and April Pike. This incredible business got its start 50 years ago, as a convenience store. It has morphed into a serious LBM store with a significant front end.

Canada’s newest buying group EvoX also had a winner. Lauremat Inc. is in Sept-Îles, Quebec. It won in the category of Best Building Supply over 15,000 square feet. The store was represented at the ORAs by co-owners Laurence Scanlan and Larry Scanlan.

TIMBER MART, a signifi cant LBM buying group in the pro business, had a winner as well. Carrie Gagne was voted Young Retailer of the Year for her accomplishments running Gagne TIMBER MART, Beachburg, Ont., along the Ottawa River close to the Quebec border of Eastern Ontario.

A signifi cant number of contractors shop at one of the best big boxes in Canada. The Outstanding Retailer Award for Best Large Surface Retailer went to RONA+ Mascouche, in Mascouche, Quebec. The store manager is Jonathan Ashton.

BMR Avantis Montmagny, in Montmagny, Quebec, was a winner for the buying group which is a significant power in Quebec (and increasingly in Ontario and Atlantic Canada). The store won in the category of the Marc Robichaud award, which is given to the store that has made its mark in community leadership. Manager Dany Boucher accepted the award. And finally, the best hardware store went to Richardson’s Home Hardware in Nipawin, Sask. Owners are Theresa Chalus and Dustin Chalus.

“Canada’s home improvement retailers are, without a doubt, the best in the world,” said David Chestnut, the emcee of the awards gala in Banff. Launched in 1992, the awards have honoured more than 180 retailers in this industry.

BMR SIGNS TWO KEY STORES IN MONTREAL

BMR has announced that it has signed a building centre, Centre de rénovation St-Patrick, and a hardware store, La Quincaillerie NotreDame de Saint-Henri.

Both stores are in the southwest part of Montreal.

Today, the Lanouette family continues to operate the stores after multiple generations. The stores have a team of 80 employees and a total sales area of 37,000 square feet.

The signing will bring two long-established Montreal locations under the BMR Expert Centre banner after more than 50 years with a competing chain.

The family-owned business traces its roots back to 1889, when Georges Lanouette opened the original store on what is now Georges-Vanier Boulevard. A second location, Centre de rénovation St-Patrick, opened in 1994 in the Pointe-Saint-Charles neighbourhood, with a focus on construction materials.

The business had been carried forward by great-grandsons Marc Lanouette and Jean Lanouette, until Jean died in April 2023.

The two stores serve a broad customer base that includes contractors, renovators, and homeowners. In addition to core hardware and building materials, the business off ers services such as tool, window, and screen repairs, along with access to cabinetmakers for custom furniture projects.

For BMR, the addition strengthens its footprint in Montreal, a market where independent operators remain highly competitive.

“The Lanouette family’s business is a true fl agship, and we are immensely proud to welcome them into our network,” said Antonio Di Pasquale, COO at BMR. “This significant partnership also allows us to increase our presence on Montreal soil, which is excellent news for BMR.”

CASTLE DEALERS COMBINE TO BUY COASTAL DRYWALL SUPPLIES

Two of Castle Building Centres Group’s commercial members have teamed up to acquire a major gypsum supply dealer in Atlantic Canada. Encore Drywall Material Supplies and Groupe Beauchesne, which recently partnered to form Leonek Corp., have acquired Coastal Drywall Supplies Ltd. The GSD has locations in Dartmouth, N.S., and Hanwell and Dieppe, N.B.

Encore Drywall Material Supplies, headed by Doug Skrepnek, joined Castle in the summer of 2024. It has yards in Vaughan and Trenton, Ont. Groupe Beauchesne, meanwhile, joined the buying group in February 2025. Beauchesne has fi ve yards in Quebec— three in the Montreal area and two in the Quebec City market. Carl Léonard is the president of the company.

Skrepnek is no stranger to Groupe Beauchesne. After all, he used to be president of a powerful group of GSDs called WSB Titan Group, of which Beauchesne was a member. (Beauchesne contributed the B to the brand name.) The other two major partners were Southern Ontario’s Watson Building Supplies, contributing the W, and Western Canada’s Shoemaker Drywall Supplies, contributing the S.

Both Watson and Shoemaker were acquired by GMS Inc. of Tucker, Ga., in 2018, under Skrepnek’s presidency. Beauchesne was not acquired, but became an affi liate of GMS.

When Beauchesne joined Castle’s commercial division, Skrepnek’s existing close relationship with the Léonard family appeared to help seal the deal.

“I think we chose the right group for growth and we chose the right group for fl exibility,” Skrepnek said to Hardlines of Beauchesne joining Castle.

One of the motivators for Léonard and Skrepnek to get even bigger is that Americans are making signifi cant incursions into the Canadian GSD business. And not just any Americans, but the biggest two home improvement retailers in the world.

Home Depot acquired GMS Inc. last year. Not to

be outdone, Lowe’s bought Foundation Building Materials (FBM), too. Both GMS and FBM are two of the biggest GSD operators in Canada.

Ken Jenkins, president and CEO of Castle Building Centres, told Hardlines that this activity in the GSD market “compels groups like ours to support the channel.”

Meanwhile, Castle went on an impressive run of store recruitment in the late fall and early in the New Year. It signed nine dealers to its fold, including the three Coastal Drywall Supplies locations above.

Also joining the Mississauga, Ont.-based group were Takaya Supply Co., located in Coquitlam, B.C. The business is a Squamish Nation member-owned company.

Ilo-Ilo Hardware Store joined Castle next. The store is located in Cumberland, B.C., on central Vancouver Island.

Shauny K’s Aff ordable Building Centre in New Minas, N.S., joined next. The store was formerly known as Happy Harry’s.

Castle signed Les Distributions M. Dion Inc., in Salaberry-de-Valleyfi eld, Que. The business is a new retail division of MauDev, a development firm. Castle’s next new member was Concept Habitation Inc., in Sherbrooke, Que.

Finally, on Jan. 7, Castle announced it had signed Golden City Supply in Calgary.

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KENT BUILDING SUPPLIES RAMPS UP FOR 50TH BIRTHDAY

Kent Building Supplies is celebrating its 50th birthday this year. General manager Patrick O’Neil recently did an interview with CTV’s Your Morning Atlantic show to talk about what the retailer has planned.

“Not all companies make it that long and we intend to keep growing,” O’Neil said. “And helping Atlantic Canadians build Atlantic Canada.” Kent has 48 stores in the region.

“The fact that we grew up here, our owners (J.D. Irving, Ltd.) are here, we reinvest here … that’s a part of why we’ve been successful.”

“We’ve got promotions planned, contests, staff events, we’ve got some great commercials. We’ve got one running right now. We’ll have a new one in the second quarter and the third quarter.”

O’Neil also said that Kent will be launching a new version of their website this spring. “We also are planning to introduce more technology in the hands

COOPER EQUIPMENT

PARTNERS

WITH SKYJACK ON COMMUNITY INITIATIVE

Cooper Equipment Rentals Ltd., the largest Canadian-owned firm in its sector, has partnered with Canadian equipment manufacturer Skyjack Inc., a Guelph, Ont.-based firm, to promote its latest charitable campaign.

Skyjack has shipped Cooper nine new customized golden telehandlers, a gold trench shield, and a golden pump as part of the 5th annual Golden Equipment campaign that Cooper has run since 2022.

A telehandler combines the reach of a crane with the manoeuvrability of a forklift. It can be fitted with various attachments like forks, buckets, or man baskets.

of our associates at our stores to help them serve our customers better.”

The general manager said that two new stores would be opening during the year. O’Neil didn’t say where they are. Hardlines believes that one of the stores is a 100,000-square-foot unit in Moncton, replacing an existing truck terminal. And Kent is just finishing a store in Summerside, P.E.I, which is expected to open in the spring of 2026.

One of the spring promotions that Kent is planning is based around a Kent 50th anniversary bucket made by Plasticraft, a fellow J.D. Irving company.

O’Neil has been with Kent for 31 years and was most recently director of supply chain.

Cooper has raised over $575,000 for local charities since the first Golden Equipment campaign. The spotlight is on children’s and family mental health.

“At Cooper, valuing people is at the heart of everything we do—our team, our customers, and our communities,” said Darryl Cooper, president of Cooper Equipment Rentals, which is based in Toronto. “This campaign refl ects that belief. And partnering with another Canadian company to support mental health makes this next chapter even more meaningful.”

“When we considered who we wanted to collaborate with for this Cooper Cares initiative, Skyjack came immediately to mind,” said Antonia Edwards, director of marketing for Cooper Equipment Rentals. “Working with like-minded Canadian companies that share our values means a great deal to us.”

RONA PARTNERS WITH CHAGALL FOR TURNKEY INSTALLATION OF CABINETS AND VANITIES

RONA inc. has upped its game with pros. The retailer has partnered with a national leader in the manufacturing and installation of kitchen cabinets and bathroom vanities. The plan is for RONA to off er its pro customers turnkey installations in multi-unit buildings across Canada.

The deal with Le Groupe Chagall was announced in early December. The millwork firm has locations in Sainte-Julie, Que., Toronto, and Calgary.

“This partnership with Chagall signifi cantly strengthens RONA’s national pro service ecosystem, allowing us to off er a more comprehensive and integrated solution to professional builders,” said Jamal Hamad, senior vice-president, professional services at RONA.

“By adding kitchen and bathroom cabinetry for multi-unit projects, we can now support pro

customers from the earliest planning stages through to project completion.”

Hamad added that the deal reinforces RONA’s position as a one-stop shop for construction professionals across Canada.

RONA’s press release said that contractors can access the program from the planning stage.

“Customers will benefi t from expert guidance, rigorous quality control, and support throughout the project, ensuring a seamless experience and results that meet expectations. To see if a project qualifi es, interested builders can contact their outside sales representative from RONA or visit their local store’s PRO desk for full program details.”

Chagall has national reach and proven expertise in multi-unit projects, the release said.

“We’re pleased to collaborate with RONA to meet the growing needs of the construction and home improvement market and support developers in the success of their projects,” said Philippe McAllister, vice-president of business development at Chagall.

“Like RONA, we are committed to delivering tailored customer service to support industry growth and respond to the high expectations of professionals.”

Chagall specializes in food retail and commercial spaces in addition to multi-unit residential projects. It has a multidisciplinary team of designers, project managers, and certifi ed installers.

Chagall Group is a millwork manufacturer specializing in kitchen and bath cabinets. RONA’s plan is to use the partnership to extend its reach in multi-unit residential buildings across Canada.

“

” I’m really proud to be a part of a Canadian business, from coast to coast.

Francois Riopel Store Owner

Sainte-Adèle, QC

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Interview by Rebecca Dumais

SERVING PROS DIGITALLY

An interview with CHRIS PARSONS, author of Retail Rewired and president, partner growth and marketing, at Hale

In your book, you’ve said that curiosity is one of the strongest competitive advantages that a retailer can have. What does curiosity look like in practice in a retail team?

I read a long time ago that retailing is “the art of the possible.” Too often you’ll start out with meetings and you’ll ask your team to brainstorm. And there’s always somebody that wants to tell you during a brainstorming session that XYZ idea will not work. I always wanted to get rid of that mentality. I don’t care what the idea is. Go in and explore ideas that are diff erent, that are going to be hard. Where you’re not constantly saying “that’s a silly idea” or “that’s not going to work.” Always follow the hard ideas because it’s going to be something that’s diff erent and that other retailers are not doing.

When it comes to the pro side of the business, is there anything that dealers should be doing right now?

Just circling back to your book, Retail Rewired.

What was your “Aha!” moment where you decided to write a book?

One frustration I had was when Walmart launched their self-checkouts. We started off with two or four checkouts in a store. And what they’re really meant to be is a fast queue for folks that had fi ve or 10 items. They could avoid the lines of the cashier and they’d be out the door. Now it’s fl ipped. You’ve got 20 self-checkouts at the retailers. And I thought, how ridiculous is this getting?

It’s important for dealers to offer extended value to pros. Because a lot of pros understand their communities quite well at the moment—they’re getting jobs, they’re getting contracts. But a lot of contractors don’t have the time to keep up on the trends. So as a pro dealer, if you can offer a service that leverages AI to mine what’s going on in the news, what government laws are being created, you’ll be seen as an asset. Things that could spike their business or slow their business. You can educate your customer base. If you’re just offering discounts to the pros … well, everyone does that. Everyone can offer a 10 to 15 percent savings based on volume. Or give them tier level savings. Help the contractors to market themselves.

As a consumer, I want to be served. I don’t want to be self-served. I drive there, I get in the store, I find my cart. I go around the store for half an hour and find my $300 of groceries. Then I have to go to a self-checkout and now I have to train myself on how to use your POS system.

Then I have to learn how to weigh vegetables or search vegetables up.

And I’m thinking, I should be getting paid for this. Or at the very least add it to my resumé! And then at the end of it—and this is the best part—it will ask me to rate the business out of fi ve stars! How can I even give you a fi ve-star rating? Because in this whole 45 minutes of my shopping experience, I have not talked to an associate. I’ve done everything myself!

Chris Parsons is one of Canada’s e-commerce thought leaders. After more than 20 years heading omnichannel teams for such brands as Home Hardware, Ren’s Pets, and Walmart, last year he joined digital agency Hale.

To listen to the full two-part interview with Chris Parsons, go to hardlines.ca/hardlines-podcast-series/

Interview By Steve Payne

Too many dealers look deeply at their competition only when they are building or buying a new store. But JIM INGLIS, a pioneer in Home Depot’s early years, calls competitive analysis a “journey” not an event

How important is doing a competitive analysis of your market niche?

The answer is obvious. You must know who your real competition is because those competitors are the alternative for your customer. It is, however, important to understand that your “real” competition varies by product category. The real competitor for one category may be a commodity lumberyard, while for another it might be a big box store. For another it

might be Amazon. For some categories it could be a local paint store. It all depends on your customer’s perception of where they would go if not to you.

How do you see the various pro markets?

A small hardware/building material dealer may be dealing in any of four pro categories: repair, maintenance, remodeling, and new construction. Each of these categories will have unique pro tradesmen

Price will always bring in the customer but it’s not always the best tool to generate loyalty. Cost is irrelevant to setting the right price. The only thing that matters is what is the customer’s alternative?

Keeping an eye on your competition is not an event, it’s a journey. Because business constantly changes. What you saw a year ago has certainly changed. The situation six months ago has probably changed. And even last week might have changed!

or commercial clients. Therefore, it is important to define your target customer and then prepare to be their best source. You probably are not going to be competent in all four of these categories, but you must be best in at least one. Once a target tradesmen group is identified as relevant, some faceto-face interaction is required to understand their needs.

How often should a pro store do research on their competitors?

Keeping an eye on your competition is not an event, it’s a journey. Because business constantly changes. What you saw a year ago has certainly changed.

The situation six months ago has probably changed. And even last week might have changed! Change is the one constant in the retail business, so you have to stay on top of your market. Which means that you need to be aware of what’s happening with your competition. And it could be a matter of pricing, it could be a matter of product assortment. It could be in terms of new services. It could be in terms of a store remodel. Or promotion and advertising. So, there’s not just one element that you’re looking at. There are multiple elements that are changing. And they’re changing quickly!

You held senior executive positions with Home Depot in the eighties when they were in their first decade. A few years ago, Home Depot revealed that it has 10 percent pros in terms of traffic, but that turns out to be 50 percent of the dollars. Where did the notion that pros didn’t like big boxes come from?

It’s actually likely higher than 50 percent today because of their new acquisitions. [Last year, Home Depot acquired Gypsum Management & Supply Inc., and Lowe’s acquired Foundation Building Materials. Thus, the two leading home improvement retailers in the world acquired market-leading gypsum supply firms in 2025.] The notion that pros don’t shop at big boxes is a myth. It’s not true. In the 1980s, Home Depot realized there was a synergy between the DIY

Jim Inglis was an executive vice-president with Home Depot in its early years before consulting for leading home improvement big boxes around

the world.

Without the proper technology, I believe that the independent will simply forfeit the business. Companies that have the capacity and the competence to be at the cutting edge of technology will win. And that is a big problem for the independent.

homeowner and the repair, remodel, and maintenance contractor because they were buying the same products. So, by providing those products at the right price, or the right assortment, or at the right service levels, they were able to appeal to both DIY and pro markets.

What that did was to take a huge portion of the contractor business away from lumberyards. It did not pull complex projects or new construction away, because the big box was not set up well to service that market. And you ended up with two different types of contractors. One type, that was focusing on single-family residence repair and remodel work, moved to Home Depot. The new construction contractor stayed away. But today, Home Depot is aggregating a portion of that complex and new construction business.

Your competitor’s pricing is probably not a secret any more, now that it’s available on your phone, right?

Well, that’s not necessarily true on all products. When you look at a store, you have to realize that there are different competitors for different parts of your product mix. You have to identify who is the relevant competitor for a particular item. If it’s a big box retailer or a mass merchant, yes, pricing is readily available on the internet. But if the category is a commodity building material it is more difficult. It could be five different prices depending who you are when you walk into the store. Most

small dealers are members of a co-op or similar wholesale group, and these organizations can typically provide good market information. Product manufacturers can also be an excellent resource for market information.

What kinds of competitive advantage do you have unless you are going to make the difficult decision to compete on price?

Price will always bring in the customer but it’s not always the best tool to generate loyalty. Cost is irrelevant to setting the right price. The only thing that matters is what is the customer’s alternative? And what do you want your customer to think about your brand regarding price?

Online shopping has become such a huge factor since Covid. Hardlines has measured online shopping from Canadian independent dealers at less than one percent of sales. Whereas the big chains, such as the big boxes and Canadian Tire, are doing more than 10 percent of their sales online. What is going to happen with that divide?

Most large home centre chains realize that the internet is now the front door of their store, although the next step is likely to be a store visit. They are experiencing or planning that 15 to 25 percent of their business will be online driven. Even then, perhaps 50 percent of that volume will be picked up by the customer in the physical store.

Without the proper technology, I believe that the independent will simply forfeit the business. Companies which have the capacity and the competence to be at the cutting edge of technology will win. And that is a big problem for the independent. They’re either going to have to make a very big investment on their own or they’re going to need to tie into a partner through their buying group that can provide them with that kind of expertise and technology. Technology is the biggest time-saver and therefore the most important tool. Outside of that, the ability to be small and independent is really questionable as far as a long-term strategy.

What is the most important competitive advantage you can have in the pro dealer market?

Service is everything. The pros will be loyal to the company that makes their job easy and saves them time. Time is the most important criterion, which is why technology is so important. And the expertise of your line employees, which needs to be augmented by technology, is the most important competitive advantage you have. Too often, the first thought is that price is the key factor. It’s not. Here are the fi ve most important issues by order of importance: 1. Time, 2. Relationship, 3. Quality (product and service), 4. Credit, 5. Price.

“

Here are the five most important issues by order of importance: 1. Time, 2. Relationship, 3. Quality (product and service), 4. Credit, 5. Price.

Your book, Breakthrough Retailing, is a how-to guide to home improvement retailing from the perspective of Home Depot’s journey—and your part of it as EVP of merchandising and then EVP of strategic development. But as you say in the preface, Home Depot was just 13 years of a 60-year retail journey. What are you working on next?

What I found is that culture aff ects how business is done. The culture in Japan is diff erent from the culture in Australia, which is diff erent from the culture in Germany, which is diff erent than the culture in Chile and so on. I’m working on a book that will give an insight into how cultures are diff erent around the world and how that will aff ect both good and bad decisions being made by various retailers around the world.

JIM INGLIS is a home improvement retail executive who has spent 60 years in the business. He was already a veteran of the field when he joined Home Depot in 1983. The company at that time was just five years old. He rose to become vice-president of merchandising on the West Coast, executive vice-president of merchandising, and executive vice-president of strategic development. He was also elected to Home Depot’s corporate board of directors. His book, Breakthrough Retailing , is available at Amazon.

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By Rebecca Dumais

SPORTS MARKETING TO PROS

From rink boards to jobsite banners, sports marketing remains one of the most visible ways building supply brands connect with pros

Companies such as Home Hardware,

The Home Depot, TIMBER MART, and RONA have leaned into sport as a brand amplifi er, blending national visibility with grassroots credibility. For contractors, these investments are about more than logos. They’re about showing up where customers live, work, and cheer.

Across the sector, sports marketing has evolved from simple signage into a long-term brand strategy. Retailers are no longer just buying impressions. They’re investing in emotional relevance through community presence, fan engagement, and internal culture. Whether the platform is hockey, baseball, football, or soccer, the common thread is connection.

RONA DOUBLES DOWN ON HOCKEY

Hockey is Canada’s national game. RONA has leaned into the sport with a combination of grass-

roots programming and high-visibility professional partnerships.

The RONA Rookies program is now in its second year. Last fall, RONA announced it will sponsor 150 minor hockey teams across Canada this winter, a doubling of its eff orts to support the hockey teams of the children and grandchildren of RONA employees.

Each RONA Rookies team receives approximately $4,000 in financial support. The money can be used toward equipment purchases, registration fees, tournament participation, and other team-related expenses. For retailers, programs like this serve a dual purpose: strengthening internal culture while extending brand visibility into local arenas.

“Hockey is very special to Canadians, and we’re proud to have been part of that love story for over 30 years,” said Catherine Laporte, chief digital and marketing offi cer at RONA. “Whether it’s

with local or professional teams, RONA is committed to the sport because we believe in the importance of creating living environments where everyone can thrive and fully enjoy what they’re passionate about.”

At the professional level, RONA continues as a major partner of the Montreal Canadiens and offi cial game co-presenter on Réseau des sports (RDS). The retailer has also expanded its partnership with the Edmonton Oilers following the team’s Stanley Cup final appearance last season.

Through its sponsorships, RONA says the goal is to create meaningful connections with Canadians and measure impact through engagement data rather than impressions alone.

Balancing grassroots initiatives with professional partnerships remains a deliberate strategy. RONA evaluates performance across both levels

using data to guide investment decisions, ensuring community programs such as RONA Rookies and national NHL partnerships work together rather than compete for focus.

“Hockey is much more than just a sport. It brings communities together, creates bonds between generations, and inspires our youth,” Laporte added.

“That’s why we are proud to invest in initiatives that encourage participation in sport and help young people pursue their dreams.”

As RONA expands its reach across multiple markets—from Montreal to Edmonton and beyond— sports sponsorship continues to play a role in geographic connection. The company points to hockey’s place in Canada’s cultural fabric as a key reason for maintaining a strong presence at both the local and professional levels, using the sport as a bridge to connect with diverse communities nationwide.

The RONA Rookies program now spans communities across the country, from the Laval Conquerants U11 in Quebec to the Burnaby Winter Club U13 in British Columbia. For retailers, the approach highlights how a well-balanced sports marketing strategy can build credibility, trust, and long-term brand relevance—both inside the rink and beyond it.

HOME DEPOT AND THE FIFA WORLD CUP

As major retailers look for ways to connect with customers beyond price and product, global sports sponsorships are increasingly becoming long-term brand platforms. Soccer’s FIFA World Cup is taking place this June and July in Canada, the United States, and Mexico. In terms of viewership and cultural impact, it is by far the largest sports event in the world.

The Home Depot’s sponsorship of the event—and soccer’s international association, FIFA—is extensive.

The Home Depot has stores across the three host countries. So it has positioned the event as a “backyard” moment for both communities and stores.

“Now that we’ll know who’s playing where and cities now know who’s coming, fans can start planning, and The Home Depot is ready to help everyone create their own World Cup moments,” said Allison Kolber, vice-president of integrated marketing. “Our new soccer-centered campaign launching this week

[late last fall] is just the beginning of how we’ll show up for our customers through the tournament next summer.”

At the local level, Home Depot plans activities in multiple host cities—from Toronto to Atlanta to Monterey—including outdoor viewing parties, DIY fan zones, and soccer-themed Kids Workshops in all stores. These eff orts are designed to refl ect how communities gather and celebrate.

Internally, the company is also using the tournament to engage its workforce. All 475,000 Home Depot associates across North America are being outfi tted with limited-edition orange aprons featuring FIFA World Cup 2026 branding. “The World Cup is a once-in-a-generation moment,” Kolber said, noting the aprons serve as a daily reminder that associates are part of something larger.

The strategy is especially visible in Atlanta, The Home Depot’s headquarters, where the FIFA World Cup will feature eight games. “We have deep roots in Atlanta,” Kolber said. “Supporting the World Cup here is another proud milestone and a way for us to engage with our communities and celebrate a moment that unites people across borders.”

For retailers, Home Depot’s approach underscores how sports sponsorships—when tied to community, culture, and employees—can become powerful tools for long-term brand building.

HOME HARDWARE’S EVOLVING SPORTS PLAYBOOK

For decades, sports sponsorship was largely the domain of banks, beer brands, and telecom giants. But home improvement retailers have stepped onto the national sports stage with growing confi dence. Few examples illustrate that shift better than Home Hardware’s expanded partnership with the Toronto Blue Jays of Major League Baseball.

Home Hardware has been aligned with the Jays since 2005, making it one of the longest-standing retail sponsors tied to the franchise. The relationship has evolved steadily from a traditional brand presence into something more immersive and media-driven.

In 2023, the retailer renewed its status as the Official Home Improvement Retailer of the Toronto Blue Jays, while its BeautiTone paint brand became the Offi cial Paint of the Jays, supported by permanent left-fi eld signage at Rogers Centre.

The real pivot arrived in 2025, when Home Hardware became title sponsor of the Blue Jays Central Studio. The studio functions as the broadcast hub for pre-game, in-game, and post-game coverage across the full 162-game season, pushing the brand beyond stadium signage into consistent national broadcast visibility.

Layered onto that broadcast strategy was Home Hardware’s “Raise a Little Hell” advertising cam-

paign, built around the Trooper (a Canadian band, of course) anthem. Rolled out nationally during the Blue Jays post-season run, the campaign leaned into Canadian nostalgia and fandom, positioning Home Hardware as part of both the game-day ritual and everyday life.

For dealers, the strategy highlights a broader shift in sports marketing. It’s no longer just about logo placement. It’s about long-term storytelling, emotional resonance, and repeated touchpoints across broadcast, social, in-store, and digital channels.

TIMBER MART: WHERE NATIONAL SPORTS MEET LOCAL PRIDE

Sports don’t just fill arenas—they anchor communities. From packed junior rinks to Grey Cup watch parties, sport is where neighbours meet, stories are shared, and local pride takes shape. TIMBER MART’s sports marketing strategy is built around that truth, using national partnerships to create meaningful, on-the-ground impact for its independent dealers.

Whatever it takes.

The company’s portfolio includes partnerships with Hockey Canada, the Canadian Football League (CFL), Sportsnet Radio, and Core Media, aligning the brand with some of the most-watched and most-trusted sports properties in the country. These relationships place TIMBER MART at the centre of major national moments, including hockey’s World Junior Championship and the Women’s World Championship, CFL regular season and playoffs, and the Grey Cup.

Through in-arena and on-field signage, broadcast and digital integrations, fan contests, and experiential activations, TIMBER MART reaches millions of Canadians annually. Just as important are the community-based events and dealer-hosted promotions that bring those national moments directly into local markets.

“For TIMBER MART and our independent dealers, partnering with iconic organizations like the Canadian World Junior Hockey Team and the CFL is about much more than brand visibility,” said Leigh Sylvester of K.C. Enterprises Ltd. in Gimli, Man. “It’s an invaluable opportunity to connect with our customers and neighbours through a shared passion for Canadian sports.”

That connection can be especially powerful at the local level. When Gimli hosted a Grey Cup

celebration at its TIMBER MART location, the event became more than a promotional stop. “It brought our community together and reinforced why these partnerships matter—not just for business, but for local pride and connection,” Sylvester added.

From a dealer perspective, sports marketing offers something traditional advertising often can’t: emotional resonance. By aligning with teams and events people genuinely care about, TIMBER MART dealers benefit from increased visibility through highly engaged environments, enhanced credibility, and stronger local trust.

“These partnerships are designed with our dealers in mind,” explained Jon Irwin, vice-president, member services at TIMBER MART. “They provide national-scale visibility while delivering tangible, local value—helping independent TIMBER MART dealers strengthen their presence, engage their communities, and differentiate their businesses in meaningful ways.”

In an increasingly competitive retail landscape, these examples show how sports marketing can do more than amplify a brand. When executed with intention, it can help independent dealers become an even stronger part of the communities they serve.

Interview by Steve Payne

BULLISH ON CANADA

Saint-Gobain Canada’s new CEO, JEAN-CLAUDE LASSERRE, talks to PRO Dealer about the company’s efforts toward carbon-neutrality and self-sufficient Canadian manufacturing

JEAN-CLAUDE LASSERRE has been working as a senior executive for Saint-Gobain, the global building materials giant, for more than 30 years. Prior to coming to Canada, he worked in seven countries—Côte D’Ivoire, Colombia, China, Poland, Italy, France, and South Africa. His experience globally led us to ask him: what are the prospects for this industry in Canada?

You’ve been Saint-Gobain Canada’s CEO since April 1 of last year, so you’re relatively new in this market. What are your first impressions of Canada and the structure of the Canadian industry?

I’ve worked for about 30 years in the construction sector and industrial sector of Saint-Gobain around the planet. That’s given me a vision of the main differences between mature and developing markets. In a nutshell, I think Canada is a mature country with still a lot of development to come, and I think that’s interesting.

In many countries, when you are in a developed country you don’t grow at the same pace as in a more emerging economy. We have that growth in Canada. We have it region by region, with very big differences between regions in your country. I think that’s one of the topics: a different way of structuring. When you’re talking about homebuilders, we don’t have exactly the same structure of building from British Columbia to Alberta or in Quebec. The third topic that surprised me is that we have in Canada all the potential to produce many of the products we need, and the engineers we need, in-house. I think that’s important—and by the way, that’s the way Saint-Gobain is organized. Almost everything we produce in Canada is for Canada.

Can you give us a summary of how SaintGobain is structured? It’s one of the largest building materials firms on the planet. We manufacture in 80 countries. And much more commercially, because we are in many countries where we don’t have plants. The company is organized by country CEOs. It’s one more way of

We have in Canada all the potential to produce many of the products we need, in-house. I think that’s important—and by the way, that’s the way Saint-Gobain is organized. Almost everything we produce in Canada is for Canada.”

Saint-Gobain Canada’s CEO, Jean-Claude Lasserre, was appointed on April 1, 2025. He has developed a sense of international building materials manuacturing through more than three decades in Saint-Gobain’s international operations.

having a pure relationship with a customer base and the proximity that the market needs. Obviously, we don’t build the same way in country A versus country B. Within North America, we try to get all that we can get in common while at the same time recognizing the specificities of Canada on one side and the U.S. on the other. That’s the way we are structured, and we do exactly the same in Europe and other countries.

In Canada, Saint-Gobain bought CertainTeed in 1988, and more recently you’ve consolidated various Canadian light construction companies: Kaycan in 2022, BP Canada in 2023, and Bailey Metal Products in 2024. Meanwhile, Saint-Gobain Canada has announced that it has concluded light construction acquisitions. How do you think that the component parts are coming together?

It’s a fair question. First and foremost, in each company, we have always internal growth, through new plants, and external growth. At the end of the day, we have heavily invested in external acquisitions in the last three years. We invested a lot of money to try to bring together all the recognized leading brands in Canada.

Saint-Gobain has made decarbonization a pillar of its strategy, as seen by the opening of your zero-carbon drywall plant outside Montreal. Is it fair to say, then, that Saint-Gobain places a prime importance on climate change? Yes, it’s clearly part of our DNA. We want to be carbon-neutral by 2050. Also, recycling content is something for us that is very important.

One of the big emitters of carbon is concrete production. You don’t have any interests in concrete production, but do you have scientists that are looking for replacement substances for concrete?

We are not a cement company, we are not a concrete manufacturer, but we manufacture a lot of admixtures, the liquid or powder additives that we put in concrete. By changing those components, we reduce the impact of cement and concrete on the planet. Through our Chryso brand, we are active in the decarbonization of the cement industry.

Right now, we have a difficult situation in Canada with tariffs and the fear that we will be changing a lot of our trade relationships. What do you see as the opportunities to overcome this situation?

There is a reason we have made such a decisive investment in Canada. We believe that with all the resources that we have in Canada, including the people, energy, and raw materials, that we are capable to produce in Canada for Canada, for years to come. We are here to stay and to keep developing.

ADAMS BUILDING SUPPLY

Woodstock and Shakespeare, Ontario

CO-OWNERS

Jamie Adams and Tasha Birtch

BUYING GROUP

Castle Building Centres Group

YEAR FOUNDED

1963 by William Allen as Allen Building Centre

PURCHASED

In 2002 by Jamie Adams, name changed to Adams Building Supply in 2023

Interview by Steve Payne

DOING THE RIGHT THING

Adams Building Supply, of Woodstock, Ont., was named Pro Dealer of the Year at last fall’s Outstanding Retailer Awards. An interview with the co-owners of this Castle store, JAMIE ADAMS and his wife, TASHA BIRTCH

Let’s start with the two of you as co-owners. When did you meet?

TB: In the fall of 2003.

JA: Tasha has a real job—she’s a dental hygienist. Someone has to pay the bills because I just put all of our cash into growing the business (laughs)

TB: I was in dental hygiene school back then. I couldn’t be a hygienist until I got past the board exam and got my licence. So, Jamie gave me a job at the contractor desk. We were dating at that time.

And the rest is history?

TB: Yes, we got married in 2006. Twenty years ago this year!

JA: Tasha works three days a week in dental hygiene. And then fi ve days a week here at the store!

She does everything I can throw at her—special projects, staff uniforms, staff events, customer events. She’s taken the lead on expanding our kitchen and bath. I’m really good on rough construction and selling lumber and commodities. And Tasha is an expert on finishing products. And we think we have the best staff in the business—so credit to the team, above all.

In your Outstanding Retailer Award entry last year, you talked about your relatively new installed sales program. Can you tell us about that?

JA: It really ramped up in 2025, starting in February. We hired an installed sales manager who has become our director of kitchen and bath sales. He has really grown the program. We’ve found a bit of a niche there. I think that’s a really big growth opportunity for us.

In the summer of 2023, you moved into a new store further from downtown. It gave you a lot of space—and the ability to design the store from the ground up.

JA: We definitely thought our new location would give us more visibility. We have more customer traffic—the parking was better, the access was better, there’s just more space. We can put more products into the store.

You worked with Burlington Merchandising and Fixtures (BMF) on the design of the new store.

JA: Yes, and together we introduced selling centres into our store. They allow people to come in and get a sense of different kinds of projects. In other words, we are not handing them a brochure. But the cool

spinoff is that now our pro customers are sending their clients in, and we’re doing the selling for the pro customers as well. The big change since we opened is that now we have kitchen and bath in the front end where we used to have barbecues and seasonal. And it’s constantly evolving, but what we’re finding is that the previous approach, focused on having sections of hardware, puts us in direct competition

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“We’ve got a 20,000-square-foot warehouse. We had to figure out how to use that space as best as possible. And Paul [Tagarelli, president of Auto-Stak] is pretty awesome at that.”

with Home Depot, Canadian Tire, Walmart, and RONA. These companies have rows and rows of hardware. But we are now maximizing our sales by using displays and selling centres in that retail space. We are selling the whole project rather than merchandising parts and pieces.

When you redesigned the store for your new location, what kind of process did you and BMF go through?

JA: We kind of reverse engineered everything. First, we established the size of the building that we could afford to build. It was indeed a process. Over 20 years of doing this, you start to figure out what kind of space your customers need in a store. And

we came up with around 10,000-square-feet. That was the sweet spot for us. We knew we were going to be relatively pro-focused going forward. But at the same time, we wanted to make it attractive for retail, as well.

So we worked backwards. We started with the size. We went to BMF and talked about what we wanted to do with the display area of the store. The selling centres and displays take up about a third of the retail store. And then we worked with Orgill [the store’s hardware distributor]. We told them the departments and the kind of linear footage we had in mind. And we asked them for their recommendations. They really responded. It was a very collaborative effort between multiple groups.

Tasha, what did you think about the process?

TB: I didn’t work with BMF as much as Jamie did, because I was working more in dental hygiene at that time. I helped Jamie with designing the look and feel of the store, including the colours and the fabrication of all the signage and the displays.

You now have a double drive-through designed by Auto-Stak. Did you have a drive-through at your old location?

JA: Not at all. For instance, there’s not a lot of people in our area that are stocking the amount of cedar that we do now. Auto-Stak works perfect for us in that regard, as far as keeping it all in a condensed space, having it nice and organized, and

Adam’s Building Supply’s double drive-through was designed by Auto-Stak. It has a mezzanine which allows staff to use the full 30-foot ceilings for insulation.

really making everything pickable. We’ve got a 20,000-square-foot warehouse. We had to fi gure out how to use that space as best as possible. And Paul [Tagarelli, president of Auto-Stak] is pretty awesome at that.

Auto-Stak wanted to know, right down to the item, what’s going in each bin. There’s a mezzanine in our Auto-Stak, which allows us to use the full 30-foot ceilings in our warehouse for insulation. Again, it was a collaborative eff ort.

“

We have an incredible group of people working for us. When they come here, they don’t tend to leave. We try to be very work-life balanced.

Let me ask you about Shakespeare, your second store, half an hour north of Woodstock. It also used to be called Allen Building Centre. Is it branded Adams Building Supply now?

JA: So that store is almost fully branded as Adam’s Building Supply. I still need BMF to go up and do a little bit of signage work on the inside there. We’re probably going to revamp the merchandising and display spaces a little bit. That store is very contractor-focused. It doesn’t have a lot of walk-in traffi c. But we’ve got a really good young team at that store, and they’re full of energy. They grew the business by 15 percent this year in an Ontario market that is not spectacular, whatsoever. We give the staff a lot of credit. They’ve taken the ball and ran with it. They’re out there building relationships and taking market share.

We noticed that you said in your Outstanding Retailer Award entry: “Success doesn’t come from selling the most. It comes from being the most trusted.”

JA: That is because of our staff. We have an incredible group of people working for us. Some of them have been here almost as long as I’ve been here. When they come here, they don’t tend to leave. We try to be very work-life balanced.

Our staff have some leeway. When you need to take your kids to the dentist, it’s not a problem. We work it out. Everybody covers for each other. It’s a very good culture for the most part. And I think we take care of them. We pay them well. We have a lots of fun staff events. We did a potluck last week and that was staff-

driven. That was fun. When the Blue Jays were playing in the World Series, we had a hot dog day, ballpark food day. You’ve got to make work fun a little bit, too. I always say we take our jobs seriously but not ourselves. If you don’t like coming to work, it’s going to reflect in your performance. Most of our staff really enjoy what they do. They’re really good at building customer relationships and earning trust. Our customers can trust that when they need something done, we get it done.

In my speech accepting the Outstanding Retailer Award, I said we have a habit of not saying “no” to our customers. “No” is not in our vocabulary. Sometimes customers push us to the limit, but we always find a way. Put yourself in their shoes—they’ve got a problem to solve. And we can solve that problem. Our attitude is that we’re here to solve the problems of our customers.

You do a lot of youth initiatives around town— sports events, performing arts, and other things. Adams Building Supply is obviously big in community leadership?

JA: It’s ingrained in the culture. We want to be part of the community any way we can, so we support lots of different causes. We have an initiative here called Operation Sharing. They open up a pay-

Accepting the Pro Dealer of the Year award at last fall’s Outstanding Retailer Awards held in Banff, Alta.

what-you-can-afford store called The Christmas Place where the kids go in and shop for their parents and the parents go in and shop for the kids. The idea is that nobody should go without gifts at Christmas.

We work tirelessly during the holiday season with our local radio station and the United Way to round up donations of goods that are used to support this cause. We have also been a long-time lead sponsor for an organization called K2K Productions. It’s a local youth organization that puts on junior and senior musical productions each year and also provides summer theatre camps for kids of all ages. They do small groups with the kids every week where the kids are free to talk about any struggles they might be having and receive support from counsellors. The musicals are first-rate productions and require elaborate sets. Our stores supply all the materials needed to create the sets for each musical. It works out to a sponsorship of $5,000 to $10,000 per year.

We are now a key sponsor of minor ball, minor hockey, minor soccer, as well as the local junior hockey teams in Woodstock, Tavistock, and Stratford. The Adams Building Supply name is on a multitude of jerseys and team banners in those trading areas.

We are all over the community. But we’re involved in so many different aspects that a lot of the sponsorships, deliberately, happen under the radar. We do a lot of it quietly. Because it’s not always about marketing, it’s about doing the right thing.

By Steve Payne

THE CAPITAL GAINS HIKE THAT WASN’T

The federal government said, in its budget for 2024, that a major capital gains tax hike was coming. Last year, the government deferred it and then cancelled it. We discuss the implications for tax planning with JIM McCONNERY, managing partner, Welch LLP

The capital gains tax in Canada marked its 50th anniversary on Jan. 1, 2022. Historically, the idea of a capital gains tax came out of the Royal Commission on Taxation (the Carter commission) which first met in 1962.

A capital gain is realized when you sell a business— for example, a contractor specialist yard—for a profi t. The notion that such profits should be taxed wasn’t common currency in Canada until the Diefenbaker government started to dig into the subject. Before that, it was federal tax policy that capital gains should be untaxed.

But proponents of the tax argued that “a buck was a buck was a buck.” In other words, all forms of income should be treated the same as far as the taxman was concerned.

“

The proponents of the tax argued that ‘a buck was a buck was a buck.’ In other words, all forms of income should be treated the same as far as the taxman was concerned.

Still, it took a decade to introduce a capital gains tax to Canada. And when it was introduced in 1972, it was under an “inclusion rate” of 50 percent (simply put, only 50 percent of a capital gain would be taxed as income and 50 percent would be untaxed).

After 16 years, the inclusion rate was increased to 66.6 percent in 1988. And then it was increased to 75 percent two years later.

Interestingly, both of those hikes occurred under Prime Minister Brian Mulroney. The capital gains tax was fi rst brought in under a Conservative government and then increased twice under Conservative governments. It would take a Liberal government (under Prime Minister Jean Chrétien) to reduce the inclusion rate, twice in one year, in 2000. Eventually, the inclusion rate settled at 50 percent

from 2000 for more than a quarter-century.

The notion that Conservatives are a boon to businesses and Liberals are punitive to businesses didn’t show up in capital gains tax policy at first.

But that changed when Justin Trudeau became prime minister. The federal government’s economic statement in 2024 proposed to raise the capital gains inclusion tax back up to 66.6 percent. Finance Minister Chrystia Freeland announced that the capital gains tax inclusion rate would be hiked on June 24, 2024.

The business community came out in force against the Liberals’ promise to raise taxes in this way. The Canadian Tax Foundation and the Canadian Federation of Independent Business were just two of the lobby groups that spoke out vociferously against the measure.

The capital gains tax was introduced to Canada in 1972, ten years after the Royal Commission on Taxation started its work.

When the hike was delayed and then cancelled entirely by Prime Minister Mark Carney, the public sector union CUPE (the Canadian Union of Public Employees) was apoplectic.

“New Liberal leader backpedals on party promise to tax the rich,” its press release said.

PRO Dealer magazine spoke to our tax expert, Jim McConnery, managing partner at Welch LLP, Ottawa, about how the capital gains tax reversal happened. And what pro dealers can do to ensure they and their families are protected from future tax shocks.

What happened to the Liberals plans to hike the capital gains tax inclusion rate to 66.6 percent on June 25, 2024? It seems that it got shelved?

The quick answer is that yes it did. It was proposed at fi rst to have an eff ective transition date of June 25, 2024. In the business community in Canada, there was lots of consternation as we were going through 2024. Tax software, and the tax community, were getting geared up for the change. There was a lot of pushback and a lot of frustration. I think there was pretty good advocacy from the business community in Canada as to why the policy initiative did not make sense. It was clearly conveyed that what the government was proposing would have a negative impact on business owners who drive employment in Canada and the overall Canadian economy.

The government was receiving that feedback on an ongoing basis but they seemed somewhat stubborn. On Jan. 31, 2025, the government announced the measure was being postponed, deferred to Jan. 1, 2026.

Trudeau had announced his pending resignation by this point and Mark Carney was running for Liberal leader. And at the same time, there was optimism at that point, too, that the government would probably not proceed because the measure was so unpopular. There was legitimate pushback from the business community in Canada, about employment, and about the economy. And then on March 21, 2025, Carney announced that the measure was eff ectively cancelled for good.

What was the eff ect of the change in policy? It did cause a lot of problems, including for lots of our clients that would have engaged in transaction planning. In some cases, our clients crystallized capital gains before June 25, 2024, on the expectation that if they didn’t do that, they were on tap for more material tax in the future. [“Crystallizing” a capital gain is deliberately triggering a gain—and paying the tax— without selling the asset.] Some people crystallized incurred tax that could have otherwise been deferred. With some clients, we looked at the options as to how we could be on side if the measure proceeded, but still have the fl exibility. It created lots of work for accountants and lawyers. There was definitely a period of time where it seemed adversarial. The business owner was made out to be the bad guy.

The government and the Finance Department, they get input from lots of diff erent parties. They had a bit of a simplistic frame of mind where business owners were portrayed as having avenues to engage in planning that were not available to the regular individual that earns employment income. It was decided that Canada’s tax regime should curtail those planning opportunities.

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But the view that you can think of a business owner as the same as someone who earns employment income in a regular job is somewhat fictitious. It was problematic that our tax regime was trying to drive change in that direction. But the government right now seems to be on a different path.

Could that mentality come back again? Could we have the capital gains tax inclusion rate hiked again?

I’d be sceptical that the current iteration of the Liberal government has any appetite to engage in tax measures that are punitive or restrictive for the business entrepreneur community. I’d be optimistic that over the next few years, we’re going to see a sort of pro-business agenda in a very legitimate way. The government is going to want to see more investment in business in Canada.

But all bets are off, from my perspective, if we’re looking more than five or 10 years out. The view is that governments will change on a periodic basis. And the policy initiatives will change.

In March of 2025, when Carney cancelled the planned hike in the capital gains tax, we were first seeing the United States levying punitive tariffs on Canadian goods. But sooner or later,

“

The view is that governments will change on a periodic basis. And the policy initiatives will change.

the tariffs issue will be settled, hopefully. What then would you advise building supply dealers about preparing for any future tax shocks?

First of all, the hardware or building supply dealer needs to think about their specific circumstances. What is the long-term plan for the business? Is it on the radar that there could be a sale of the business at some time to an external party? Or could it be the case that there’s a succession plan that happens within the family group? Or perhaps to a management-employee group of the company. So there needs to be a plan for how that specific business will monetize or convert that value to cash at some time in the future.

That kind of thinking will drive some of the options that are feasible from a tax-planning perspective. I see a lot of business owner clients for whom it might be premature to engage in those discussions. But to the extent that the owner can frame a game plan for what their plans might be for the business over time, it’s helpful. It can help the accountant, the advisor, and the legal counsel provide advice to the owner.

What kind of structures do you see for tax planning that are becoming increasingly popular?

If a business owner has a spouse and two children, for example, perhaps the family will have an equity interest in the business indirectly through a family trust. In that case, maybe there’s four lifetime capital gains exemptions that are potentially in play. So instead of sheltering $1.25 million (the current lifetime capital gains tax exemption for an individual) it may be that same business owner and family can shelter $5 million of tax on a future sale.

Why JRTech? #988

“As a retail store owner, I can’t recommend JRTech’s Electronic Shelf Labels (ESL) enough. These digital price tags have revolutionized our retail operations, customer experience, and have saved us time and money. By optimizing pricing and reducing labour time in picking orders and replenishing inventory, we have seen increased profitability. As well, our staff now has more time available to perform other tasks such as customer service. Customers expect synchronicity between our store locations including online. This can be tough to manage without the use of ESL’s. Consistent pricing allows us to avoid price haggling, and at the same time, the tech savvy in-store experience helps maintain or even improve customer loyalty and satisfaction. In summary, JRTech’s ESL’s are a game-changer. If you want efficiency, accuracy, and a competitive edge, I suggest taking a serious look at implementing them.

, President,

There’s an exercise where you contemplate what would happen to the business if the owner died unexpectedly. Is the liquidity there to fund the tax that might arise at death?

What else do you tell your business owner clients?

There’s an exercise where you contemplate what would happen to the business if the owner died unexpectedly. Is the liquidity there to fund the tax that might arise at death? And then I advise the owner to contemplate their overall financial plan, the financial security that they have connected to the business. And the retirement nest egg type of funding that they’ve accumulated separately. As a result, there’s lots to do!

First and foremost, it would be prudent to evaluate the plan for the business. Does the business owner think they’ll eventually sell to an external party? Or do they think that it will be a succession within the family?

When PRO Dealer magazine looked at succession planning a year ago, we interviewed the CEO of the Chartered Business Valuators Institute, Christine Sawchuk. She argued for planning six to eight years in advance for any sale or succession of the business, particularly for capital gains tax planning. What else should pro dealers consider?

One thing that comes to mind, and it’s probably common in the hardware and building supply industry, is that a lot of business owners have an operating company. And all of the wealth generated by the business income just keeps accumulating in the operating company. Whereas, it would seem very prudent for most business owners to have a holding company in which to distribute surplus cash from the operating company.

If our readers don’t have a holding company, what kind of risks do they face?

It sometimes becomes an issue from a planning perspective when that transfer of cash has not occurred proactively. If ever there are creditor type concerns, or if some big legal liability arises, that pool of value for a business owner always being at risk is challenging. I often see that business owners don’t always understand the benefits of a holding company. Or that it’s very feasible to move funds into it from the operating company tax-free.

Tax-free? How has that situation been permitted to exist?

Because our current tax regime does not want to tax inter-company dividends. When money is moving as dividends between corporations, that movement is generally tax-free—so it’s very feasible. If you can accumulate long-term investment dollars in a holding company, it sometimes alleviates the pressure on the sale of the operating company. Because you’ve already got some of your financial security set aside in the holding company.

JIM McCONNERY is a tax partner in Ottawa with Welch LLP Chartered Professional Accountants. Welch is a full-service accounting firm with 13 offices which are mostly in Ontario. Welch has a diverse client base across the country including a significant number of retailers. McConnery, who is a CPA and CA, focuses on tax planning for high net worth individuals and business owner clients. Reach him at jmcconnery@welchllp.com

The Retail Sourcing Show.

By Sarah McGoldrick

STARTING FROM SCRATCH

In 2020, Devon and Kelsey Brooks didn’t have any experience in retail. Today, BROOKS BUILDING SUPPLY is celebrating its fourth anniversary as a full-scale pro yard in Saskatchewan

Built on vision, expertise, and commitment to service, Brooks

Building Supplies is a true ground-up success story. A member of the Sexton Group, the Rosetown, Sask.–based business is led by husbandand-wife team Devon and Kelsey Brooks.

With immense courage in 2020—when the business world was on the verge of shutting down because of Covid—the couple began their dream of owning a building supply store. Devon was a contractor specializing in exterior work. Kelsey had a career in grain purchasing. At first the couple thought they would open a store with the exterior products which Devon was using.

BROOKS BUILDING SUPPLIES

Rosetown, Saskatchewan

BUYING GROUP: Sexton

CO-OWNERS: Devon and Kelsey Brooks

STORE OPENED: February 2022

RETAIL SPIRIT AWARD WINNER: 2025 Outstanding Retailer Awards

But, as it turned out, they ended up transforming the former site of a co-op implements store into a modern building-supply destination that is full-service.

Building materials retailing is a highly competitive sector. Even more daunting, the couple had precisely zero experience at it. With the help of a willing cohort of family members, their buying group, and others, the couple are now are celebrating the fourth year since they opened.

The operation includes a 2,000-square-foot retail store, 3,000 square feet of storage buildings, and a one-acre lumberyard.

Devon and Kelsey serve a town that only has a population of 2,507 and 1,224 dwellings ( source: 2021 Census). But 400,000 people live in the triangle between Saskatoon, to the northeast; North Battleford, to the northwest; and Swift Current, to the south.

“Sexton’s Dave Leonzio was a huge part of helping us envision the storefront and what we would need.

Plus, the two highways that run through town carry 5,000 vehicles a day. The local economy is stable thanks to an established farming community. Rosetown is also home to growing sectors in manufacturing, oil and gas, retail, service, and hospitality.

The couple, who were born and raised in Rosetown, knew that there was a hole in the local building supply market. Devon had shopped at the Co-op, and while he was always treated with great respect, he couldn’t get the right kind of products, sometimes, for his contracting work.

BUILDERS SERVING BUILDERS

“We try our best to carry what the customer needs,” Devon says. “We have a staff of professional contractors, carpenters, and plumbers and we work

Brooks Building Supplies includes a 2,000-square-foot retail store, 3,000 square feet of storage buildings, and a one-acre lumberyard.

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closely with electricians; they all have been a huge asset to us. Not only in providing knowledge but also informing us what is needed and what is not.”

Brooks Building Supplies is a true pro dealer. They do 60 percent of their business with pros, 10 percent with institutions, and 30 percent with consumers.

Focusing on building long-term relationships, Brooks Building Supplies leverages its pricing, customer service, and product selection. Their selection of SKUs is counter to what occurs most often in small towns.

“Coming from a small community, it is not uncommon to see a retail business in town filling a large variety of needed product that may otherwise be inaccessible in a small community,” the couple wrote in their Outstanding Retail Awards entry.

The co-owners have avoided this, deliberately. They have solidly positioned their business as the experts in LBM. “By doing so, we instill confidence in our customers and become the reliable option for contractors and renovators. We are the best fit for the few, rather than the ‘sort of fit’ for many.”

TIME AND MONEY

“We, the owners, are very hands-on,” Kelsey says. “We have to be smart about money going out and coming in. So, we try our best to make wise

decisions on what we are stocking. If we don’t have it, we will work with our vendors and get it in to keep their job going. We understand time and money.”

The company has also remained competitive through the adaptation of its business model and services to meet evolving customer needs. Since they opened in 2022, they are have added two important services: an eavestrough business and a cabinet shop.

“We never planned to get into eavestroughs, but it’s been great,” Kelsey says. “It’s another service we can offer to our customers—and it’s also another thing for our employees to do. It made sense. Devon definitely is always thinking—he can’t help himself!”

Kelsey laughs. “I have to be the voice of reason sometimes. I’m definitely more cautious. But it’s all good. I get to learn about something new all the time, basically,” she said.

The pair are excited to see their vision come to life with the cabinet shop. Along with the shop they have added more indoor storage for building materials such as lumber. It was a critical step in protecting products from the weather. There has also been an addition to the Brooks Building Supplies storefront to create more retail space.

COMMUNITY ENGAGEMENT

Devon and Kelsey believe in the importance of community engagement and its role in brand identity. Kelsey says the company is approached by various organizations within the community for support, from service clubs to, more recently, sponsoring a bronc riding match in Oyen, Alta., just across the border.

“We may not be the biggest sponsor at any one event. We try to spread it out evenly amongst many,” she said. Brooks’ vendors work with them on many event fundraisers and sponsorships.

2025 Outstanding Retailer Awards Retail Spirit Award winners. The award honours the store that best embodies the entrepreneurial drive, dedication, and determination that fuel Canada’s home improvement industry. From left: Niki Duncan, DuPont (sponsor); Kelsey Brooks, Devon Brooks, owners; Martha Swinn, DuPont (sponsor).

For example, Cloverdale Paint donated paint to improve the look of swings at the local Kinsmen Park. Meanwhile, Norske donated tool sets at raffle tables for a local hockey tournament and a Kinsmen event to raise funds for a new park. Prime Fasteners helped with providing drills and batteries for the Table Mountain Ski team at North Battleford.

“I think the most rewarding aspect for us is helping out the community and getting to meet new people every day from our town and the surrounding areas,” Devon adds, noting the pair take pride in other community volunteer opportunities, such as the local KidKare program and the hospital’s surgical days.

ROSTER OF VENDORS

The store has made strides to adapt to the needs of its growing roster of vendors. This has been managed with the help of the company’s business development representative, Dave Leonzio, of the Sexton Group.

The company has gone well beyond its expected product inventory and continues to add new and innovative products with pros and DIYers in mind.

“In the early stages of opening our store, we planned to be strictly an exterior products store only,

as this was Devon’s area of expertise as a contractor,” the couple told PRO Dealer. “It was upon meeting Dave Leonzio, now our business development representative at Sexton Group, that we saw an opportunity to do more. As we learned about the different vendor relationships that Sexton had to offer, we saw an opportunity to be a full LBM retailer.”

The couple also relies heavily on their small team to help meet the needs of pros and consumers alike.

“We have been fortunate enough to have staff with knowledge, and they want to learn and grow with us,” Kelsey said. “It’s something we need to get better at, as we don’t have a real training program. We haven’t had much time for that; it’s more of a ‘get thrown to the wolves’ and see if it’s a good fit or not,” she said.

ANALOGUE FIRST

While other stores may be exploring new ways to reach customers through online sales, Brooks Building Supplies is staying somewhat analogue for now. The company recently revamped its website and social media. But the counter is where customers can expect to get the best deals.

Immediate growth is very much in the future for Brooks Building Supplies. The company plans to expand its footprint once again in 2026. This will allow them to continue to expand their product offerings and enhance the pro experience.

“We are planning on a new storage shed for the spring at our yard,” Devon says, “After that is complete, we can look at expanding our store on the property as well.”

Looking back, it’s incredible how far the couple has come in the four years since they opened. Kelsey’s parents originally found the property. “At first, we thought it was a crazy idea. There were old tractor parts scattered all over the yard. Both the yard and buildings need a lot of fixing up. But with a little imagination, we saw the potential.”

Devon and Kelsey Brooks recently won the Retail Spirit Award at the Outstanding Retailer Awards for just such an imagination.

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Target Audience: The hardware and building material supplier and dealer community

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CHALLENGE

NICHE BUSINESS THE

Solid Hook does incredibly specialized deliveries, such as this one

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“

The precise relocation and installation of the helium tanks required meticulous planning and execution.

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THE CHALLENGE Delivery and installation of the crucial helium tanks used to cool the lab’s Nuclear Magnetic Resonance device

By Geoffey McLarney

THE COMMUNICATION Solid Hook put out a press release vaunting this project’s specialized equipment handling, complex coordination, and cost savings

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Castle Building Centres has worked alongside building professionals for over 60 years. Our 300+ locations across Canada represent a national network of retailers devoted to supporting the growth of their communities.

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