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OVERVIEW

Development finance and SMME support Supply chains can create and support small businesses.

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unding for more than 2 300 small, medium and microenterprises (SMMEs) and support for 50 000 jobs – that’s what Anglo American’s Zimele programme has achieved in 30 years of supporting small businesses. Most of the support came through the purchase of goods from small businesses in the supply chain of Anglo mines or from companies supplying services to the relevant mine. Zimele (which means “stand on one’s own two feet”) changed focus somewhat in 2017, with more emphasis being placed on building up skills and on improving the sustainability of SMMEs. Most big companies in South Africa have two main programmes to support SMMES: enterprise development (ED) and local supplier development (or procurement). Venetia Mine in northern Limpopo is a De Beers Group mine. Anglo American is a majority shareholder in De Beers. As of 2019, more than 50 SMMEs had enrolled in incubation programmes, 27 businesses were supported by the mine’s ED programme and 34 locally owned companies were doing business with the mine. For Patience Nqaba of Ikefree Projects (pictured), the chance to offer maintenance services to the Venetia Mine was an opportunity to take her business to a new level. With 29 employees, Ikefree has subsequently signed up with Nando’s (to deliver food) and with Tiger Brands, to mainSOUTH AFRICAN BUSINESS 2020

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SECTOR INSIGHT Anglo American’s Zimele celebrated 30 years in 2019. tain the food company’s property. One of biggest problems faced by SMMEs is cash flow. Most government departments have rules about procurement which are biased in favour of purchasing from SMMEs or co-operatives. However, for many South African entrepreneurs, the inability or unwillingness of government to pay within 30 days presents a major risk to sustainability. Public procurement from township enterprises from provincial and municipal governments

Profile for Global Africa Network

South African Business 2019/2020  

South African Business 2019/2020 is a trade and investment journal for public and private entities either based in South Africa or looking t...

South African Business 2019/2020  

South African Business 2019/2020 is a trade and investment journal for public and private entities either based in South Africa or looking t...

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