Development finance and SMME support

OVERVIEW Development finance and SMME support

Many small businesses operate in trade and accommodation.

Support for the small business sector is not always easy to measure. Advice and mentoring are important but it’s in turnover figures where concrete results can be seen.

Bushbuckridge entrepreneur Freddy Sibuyi (pictured) took full advantage of the advice and support that Tholoana Enterprise Programme of the SAB Foundation had to offer. Turnover of Freddy and Sons Maintenance and Engineering jumped from a little over R602 000 to more than R2.2-million and he added 10 employees to his original staff complement of five.

The SAB Foundation has provided over R6-million in grant funding and business support to 60 entrepreneurs in Mpumalanga. Collective turnover has increased by 324% and 121 new jobs have been created.

Research done by the Small Enterprise Development Agency (Seda) shows that a high percentage of SMMEs in Mpumalanga are in the trade and accommodation sector. Whereas the national figure is about 43%, in Mpumalanga it is closer to 50%.

Seda supports several incubators in the province: Furntech, furniture manufacturing, White River; Mobile Agri-Skills Development & Training (MASDT), agricultural training, Nelspruit; Mpumalanga Stainless Initiative (MSI), stainless steel processing, Middelburg (with Columbus Stainless); Timbali floriculture, Nelspruit; Ehlanzeni TVET College Rapid Incubator Renewable Technologies, Nelspruit.

Seda is a subsidiary of the National Department of Small Business Development (DSBD). Seda is not a financial agency, focussing rather on training and administrative support, although the agency will help SMMEs get in touch with financial bodies.

Sappi’s long-term Ngodwana mill project will spend more than R600-million on procuring goods and supplies from broad-based black economic empowered companies, of which R51-million will go to SMMEs.

Other companies supporting SMMEs through their buying chain include Woolworths and Anglo American. Woolworths is funding

ONLINE RESOURCES

Mpumalanga Economic Growth Agency: www.mega.gov.za Mpumalanga Stainless Initiative: www.mpstainless.co.za Small Enterprise Development Agency: www.seda.org.za

TechnoServe to ensure that small tomato growers can grow produce that will meet the demanding standards of the retailer, and to help them expand production.

Anglo American’s Zimele runs four enterprise development and investment funds. Zimele runs hubs related to the supply chains of platinum, thermal coal and, with Mondi, forestry.

The Mpumalanga Economic Growth Agency (MEGA) is the implementing agent of the provincial government’s SMME support policy.An agreement has been signed with Standard Bank to launch an SME Fund with a capitalisation of R500-million.

Kruger Lowveld Chamber of Business and Tourism

The voice of business in Ehlanzeni.

As the official representative body of business and tourism in the Kruger Lowveld (Ehlanzeni District), our main mandates are to promote the region as a tourism and investment destination, to provide a diverse suite of networking and marketing opportunities for our members, and to represent and speak on behalf of the business and tourism community of our area. We do this by building and maintaining meaningful relationships with all spheres of government as well as like-minded organisations, and by acting as liaison between these entities and the business community. KLCBT’s president is Mr Oupa Pilane (pictured).

Area of operation

The Kruger Lowveld covers the Ehlanzeni District of Mpumalanga, including the following local municipalities: City of Mbombela, Thaba Chweu, Nkomazi and Bushbuckridge, as well as the southern part of Kruger National Park and the surrounding private nature reserves.

Member benefits

Listing on website, Pay-to-Play participation in various marketing services and projects, weekly newsletter, invitations to all KLCBT events, advocacy and representations made by KLCBT on behalf of members, access to preferential arrangements negotiated by KLCBT with service providers, brochure display at Crossing Centre office, various sponsorship options, access to tender information.

We are actively involved in the following advocacy campaigns: Service delivery: Public participation in various forums where government engages with stakeholders regarding budgets, planning and legislation.

CONTACT DETAILS

Physical address: KLCBT House, Crossing Centre, Nelspruit Postal address: Private Bag X 11326, Nelspruit 1200 Tel: +27 13 755 1988 Fax: +27 13 753 2986 Email: business@klcbt.co.za and tourism@klcbt.co.za Website: www.klcbt.co.za Promote home-grown businesses through education processes, research, maintaining a database, lobbying for stricter regulations on large shopping chains, engaging large chains to buy local and to spend their CSI budgets locally. Local Economic Development: We are assisting with incubation in seven main corridors, mainly adding additional tourism products. Anti-corruption: S e v e r a l successful initiatives reduced roadside corruption. Water: Bulk-water supply faces a future crisis and lobbying for the increase of storage capacity is beginning to show success. Roads and public attractions: Require upgrades and investment. Safety and security: A concern for all regions in SA.