In South Africa the term SMME stands for small, medium and micro-enterprises. The enterprise of small providers has always been a positive potential in any democratic society, and the need for their future survival is vital in keeping a balanced educational system for the future. Dream Team Capital can assist with the necessary developments for grant procurement and provide access to SMME Grants to businesses across the country.
SMMEs are vitally important to the South African economy as they generate more than half of all employment, provide over 60% of total exports, employ approximately 50% of workers in manufacturing industries and contribute roughly 90% of total export earnings.
The combination of small and medium enterprises is seen as the ‘mainstream’ of SMMEs. According to the NSBA schedule, this combination would refer to a separate and distinct business entity, with between 5 and 200 employees, an annual turnover of less than R10 million, and a gross asset value of less than R5 million.
Small businesses have a major role to play in the South African economy in terms of employment creation, income generation, and output growth.
SMME Grants in South Africa include:
• Agro-Processing Support Scheme (APSS) – Department of Trade, Industry and Competition (DTIC)
The Agro-Processing Support Scheme (APSS) aims to stimulate investment by the South African agro-processing / beneficiation (agri-business) enterprises. The investment should demonstrate that it will accomplish some of the following;
increased capacity, creating employment, modernised machinery and equipment, competitiveness and production improvement and widening participation.
• Black Industrialists Scheme (BIS) – DTIC
Grant programme of the Black Industrialists Policy that aims to unlock the industrial potential of predominantly black-owned and black-managed businesses within the South Africa economy. The broader objective is aimed at promoting industrialisation, sustainable economic growth and transformation through the support of black-owned entities within the manufacturing sector.
• Co-operatives Incentive Scheme (CIS) – Department of Small Business Development (DSBD)
A 100% non-repayable business grant to improve the viability and competitiveness of co-operative enterprises. It helps to lower cooperatives’ cost of doing business through an incentive that supports Broad-Based Black Economic Empowerment.
• Clothing and Textile Competitiveness Improvement Programme (CIP) – DTIC
Programmes makes available non-repayable business grants allocated for the formation of clusters of either similar manufacturing entities or a value chain cluster, comprising e.g. manufacturers, suppliers and retailers.
• Infrastructure Investment Programme for South Africa (IIPSA) – Development Bank of South Africa (DBSA)
Provides innovative financing, involving the blending of EU grants together with loans from participating Development Finance Institutions.
• Export Marketing and Investment Assistance (EMIA) – DTIC
The scheme develops export markets for South African products and services and to recruit new foreign direct investment into the country.
• Pre-commercialisation Support Fund – Technology Innovation Agency (TIA)
Grant enables innovators to evaluate, demonstrate and advance the value proposition and commercial potential of their research outputs.
• Tourism Transformation Fund – National Empowerment Fund (NEF)
Funding designated to transform the tourism sector. To qualify enterprises must provide services to tourists as its direct clients. The enterprise must be at least majority (51%) black-owned. The grant portion of the funding is capped at R5-million.
• National Youth Development Agency – NYDA
Support for young entrepreneurs in the form of non-repayable business grants and non- financial business development support. The programme aims to enable youth entrepreneurs to establish or grow their businesses.
• Youth Pipeline Development Programme – Industrial Development Corporation (IDC)
A part of the IDC Special Scheme business support and grant funding programme. This grant aids potential applicants to improve the readiness of their proposal.
• Sector Funding – TIA
Programme works to increase the rate of commercialisation of viable intellectual property from South African technologies emanating from higher education institutions.
• Support Programme for Industrial Innovation – DTIC
This incentive provides financial assistance for the development of commercially viable products and processes. Similarly, it facilitates commercialisation of such technologies.
• Seed Fund – TIA
The purpose of the fund is to increase the rate of commercialisation of viable intellectual property from South African technologies emerging from higher education institutes.
• Sector Specific Assistance Scheme – DTIC
This scheme compensates for costs of the approved activities, aimed at developing South African emerging exporters through events. This incentive provides financial support for physical and digital events participation by qualifying emerging exporters.
• Seda Technology Programme (STP)
The programme offers non-repayable small business grants and entrepreneurs can access support services, including incubation, quality and standards and technology transfer services.
Contact us – for more information on SMME Grants.