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OVERVIEW

Development finance and SMME support A small loan can make a big difference.

SECTOR INSIGHT Several new banking licences are in the pipeline.

R

esearch 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%. In the third quarter of 2017, Seda calculated that the growth year-on-year of SMMEs being created reached 21% in the province. Seda has a number of incubators which it supports 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. MPUMALANGA BUSINESS 2018/19

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Seda is a subsidiary of the national Department of Small Business Development (DSBD) and is one of the most active agencies in supporting entrepreneurs. 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. When a small Witbank company approached Seda to help it become more competitive in the field of ventilation structures, air crossing tunnel structures and explosion barriers, it became clear that the pressing need was for Peneul Nathi Trading (pictured) to purchase its own corrugated iron manufacturing machine. Seda helped the entrepreneurs draw up a business plan for a loan which was presented to the Sasol Siyakha Enterprise and Suppliers Development Trust. A loan of R4.9-million was granted, and the machine was bought. Turnover increased by 48% and an additional 25 employees were added to the staff. Sappi’s long-term Ngodwana mill project will spend more than

Profile for Global Africa Network

Mpumalanga Business 2018/19  

Mpumalanga has several investment and business opportunities in a wide range of sectors. In addition to the regular articles providing insig...

Mpumalanga Business 2018/19  

Mpumalanga has several investment and business opportunities in a wide range of sectors. In addition to the regular articles providing insig...

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