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OVERVIEW is an important part of the plan to boost SMMEs. A provincial Youth Economic Empowerment plan allocates R94-million over three years to training 3 425 young people in technical skills such as bricklaying, working with concrete, diesel mechanics, boiler making, fitter and turning and plumbing. Trainees are given placements after the training is complete. The Small Enterprise Development Agency is active in supporting entrepreneurs. Seda gives non-financial support through training, assistance with filling in forms, marketing and creating business plans. In KwaZulu-Natal, Seda runs 12 incubators which either help new businesses get started or with the rehabilitation of existing enterprises. Three models are used: Technology Demonstration Centres (demonstration and training); Technology Incubators (where the focus is rehabilitation); Hybrid Centres, which combine elements of the other two models. The KwaZulu-Natal incubators include ICT and construction (three centres each), furniture and hi-tech (two each), chemicals, and essential oils. The provincial government controls two important development funding institutions, both of which report to the DEDTEA: • Ithala Development Finance Corporation • KwaZulu-Natal Growth Fund. Ithala is in the process of applying for a full banking licence. In 2015/16 Ithala financed 336 businesses and co-operatives, which led to an estimated 2 618 jobs being created. The agricultural sector was a strong focus area. Ithala's commercial and industrial property portfolio of over one-million square metres of lettable space makes it one of the biggest operators in the province. To support township and rural communities, district warehousing facilities are being built using municipal and Ithala properties. This will go a long way to assisting farmers and traders to buy in bulk and consequently get discounts on their purchases. The Small Business Growth Enterprise (SBGE) will run a pilot project, which will also contain a bulk-buying component, further assisting small enterprises.

ONLINE RESOURCES Business Partners: www.businesspartners.co.za Industrial Development Corporation: www.idc.co.za Ithala Development Finance Corporation: www.ithala.co.za KZN Growth Fund: www.kzngrowthfund.co.za National Department of Small Business Development: www.dsbd.gov.za Small Enterprise Development Agency: www.seda.co.za Small Enterprise Finance Agency: www.sefa.org.za

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Another initiative aims to get small traders organised through the establishment of a provincial small traders' association. The KwaZulu-Natal Growth Fund Trust operates as a Debt Fund and an Equity Fund with a total of R1.1-billion worth assets under management. The IDC provides finance across a range of sectors from agriculture to tourism. It has holdings in several companies with a presence in KwaZuluNatal: 42.6% in Hans Merensky (Pty) Ltd, a plantation and timber mill operator; 100% in Prilla 2000, a cotton-milling operation; and 85% in Foskor, which has a phosphoric acid plant in Richards Bay. The IDC also funds local development agencies such as the Ugu South Coast Development Agency. All of the major banks have SMME offerings. Standard Bank’s Community Investment Fund (CIF) initiative extends loans to informal businesses. The CIF has distributed more than R7-million to more than 630 businesses through its six funds in three provinces. Nedbank has an enterprisedevelopment product that supports businesses with a turnover up to R35-million with at least 25% black ownership. The Masisizane Fund makes loan financing available in sectors such as agriculture and agri-processing), commercial, supply chain and manufacturing. It also offers training and technical support and funding to help businesses to comply with legislation.

KwaZulu-Natal Business 2018/19  

The 2018/19 edition of KwaZulu-Natal Business is the 10th issue of this highly successful publication that, since its launch in 2008, has es...

KwaZulu-Natal Business 2018/19  

The 2018/19 edition of KwaZulu-Natal Business is the 10th issue of this highly successful publication that, since its launch in 2008, has es...

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