OVERVIEW According to research done by Absa, SMMEs were supporting enterprises, particularly in the 60% of the country’s employable population in 2011, against a manufacturing sector. In 2011/12, the DEDTfigure of just 18% in 1998. National government has created a new agency to spur the supported Bed Factory had 65 development of small, medium and micro enterprises (SMMEs). employees and had started disThe Small Enterprise Finance Agency (Sefa) will do the work tributing its products to other previously done by three separate bodies, and aim to get loans provinces. The launch in 2011 of out to small businesses as quickly as possible. Sefa will have access to R1.4-billion for disbursement over three years to 2015. the Enterprise Development The SMME sector is seen as the most likely to create new jobs Fund (EDF) by the National Empowerment Fund (NEF) was efficiently and cheaply. The new agency is under the control of the Industrial Development a positive step in providing more funding for start-up businesses. Corporation, which is itself a funder of many projects. Through the IDC’s Transformation and Entrepreneurial Scheme, The NEF’s Strategic Projects a black economic empowerment project is under way at Kakamas Fund has a five-year pipeline in the Northern Cape, where emerging farmers are planting citrus. of R30-billion. The focus of this fund is large projects, but small Vaal Community Citrus should create 1 330 jobs. Provincial governments and municipalities are obliged to enterprises will benefit from repromote procurement policies that support small business- lated contracts. es. Regional bodies such as the Eastern Cape Development Private companies also Corporation also play a major role in this regard. support entrepreneurship. A The Northern Cape Department of Finance, Economic new SMME Business Park Development and Tourism (DEDT) has a unit devoted to prod- was opened in Rustenburg in uct development and it channels funds into promising small 2011. One of the area’s biggest businesses, Xstrata Alloys, put R2.4-million into the Zinniaville facility which now hosts North West Craft and Design Institute, Sivumo Safety and Keba Shades among other enterprises. Anglo America’s Zimele fund has hub managers at various locations around the country based on the resource mined by the Anglo subsidiary. The Thermal Coal Hub and the Platinum Hub are two examples. The Mondi Zimele Hub in Piet Retief supports businesses in the supply chain and forestry. Zimele is supporting a bottled water business that employs seven people at the eMalahleni water reclamation plant. In order to stimulate job creation, in 2014, Business Partners Limited launched its SOUTH AFRICAN BUSINESS 2016
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