Below you will find a list of organisations funding small businesses.
1. SEFA
What is SEFA?
SETA ( Small Enterprise Finance Agency ) is a merger of samaf, Khula and IDC small business activities. Its vision is to help develop sustainable survivalist, micro, small and medium enterprises through the provision of finance.
Duration of the Loan:
SEFA loans are usually repayable between 1 and 5 years
Businesses that SAFA offers funding to:
SEFA offers funding to any business excluding the following business industries:
- Tobacco, liquor, gambling, sex trade
- Armaments
- Speculative real estate
- Leveraged buy-out funds:
- Hedging
- Borrowings
- Ventures inconsistent with the mandate of sefa
- Loans to partners, the fund managers, their employees and affiliates, except for members of FSCs
- Any business involved in illegal trade
- Any business whose trade or operations may prejudice the reputation and good standing of sefa
- Any political organisation
- People under debt review
- Any business having directors ( or equivalent ) who are un-rehabilitated insolvents individuals
- Technically insolvent businesses and individuals
Requirments:
To be able to apply for funding in SEFA, you must be:
- South African citizens with valid South African Identity Documents
- Be legally constituted including sole traders with a fixed physical address;
- All business operations, including but not limited to projects, programs or enterprises, must be operated within South Africa;
- Have completed official loan application forms;
- Have a written proposal or business plan that meets the requirements of sefa’s loan application criteria;
- Have provided all initial and supporting documentation for application in a professional manner;
- Demonstrate the character and ability to repay the loan;
- May incur debt in terms of relevant legislation;
- Have provided personal and / or credit references;
- Be owner manager;
HOW TO APPLY
- Applicants approach sefa’s nearest regional office for the initial basic assessment
- Regional office issue and assess application forms from qualifying applicants
SEFA Contacts
E-mail:helpline@sefa.org.za
Call centre: 086000 7332 (sefa)
List of SEFA Regional offices
Website: http://www.sefa.org.za/
What is Business Partners? The company actively supports entrepreneurial growth by providing financing, specialist sectoral knowledge and added-value services for viable small and medium businesses.
Duration of loan
On average, the repayment period is five years. Business Partners does not offer finance over short periods of time.
Requirments
When you apply for finance with Business Partnmers, your proposal will be assessed on the viability of your sound business plan and on levels of contribution that you may be able to offer. When considering an investment proposal, business partners look principally for an entrepreneur with integrity, drive, vision and appropriate experience, as well as for the potential profitability of the business and a marketable product or service. They will require a complete business plan to be in place before an entrepreneur can apply for investment finance.
When they receive your application, they will evaluate the business plan, and supply you with an in principle decision within seven days of receiving your documents. The in principle deceision is followed by negotiations, due diligence, and a submission to our investment committee. Each investment is individually structured and as such, the terms and conditions (such as interest rates, security, repayment term, own contribution, etc.) of finance vary from business to business.
Key factors Business Partners look for in a successful business plan?
- A comprehensive breakdown of what needs to be financed;
- Your own contribution;
- Up-to-date financials and realistic projections that present a viable business as a going concern (if it is an existing business);
- A viability assessment of the transaction, showing the business’ ability to meet all cash flow commitments (debt repayment, creditors and other cash expenses) and to generate a decent and acceptable return to the shareholders;
- A demonstration that all aspects relating to a successful business have been considered (including human resources, marketing, finance, technical, production and corporate governance);
Types of business insurance in south africa
From the day an entrepreneur starts a business, he exposes himself to certain risks. Even before the first employee is hired, a business is at risk, making it important to have the right insurance in place.
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