Funding and opportunities for 2016

Despite the current gloomy economy, small businesses can be optimistic since there are opportunities to help them grow.  According to Stephen Timm, over the coming year and those to follow, business owners are likely to find a number of opportunities. Here are some:

• Favourable policy for small businesses include a promised 30% set-aside of state procurement for small businesses and increasing support for informal-sector firms.
• There is still likely to be plenty of infrastructure projects as part of the government’s drive to fix roads, schools, rail and other areas and promotion of locally-produced inputs in these projects (through increasing local content requirements).
• Those that develop mobile apps (particularly to serve e-commerce, solve social & economic problems or harness freelancers to serve customers) are likely to still see opportunities.
• The development of solutions and technology to address challenges in townships.
• Products and services that focus on green, healthy and alternative living (such as beauty, organic food and solutions to save natural resources).
• Products and services that focus on green, healthy and alternative living (such as beauty, organic food and solutions to save natural resources).
• Products that serve the growing African middle-class (with the gradual rollout of the Tripartite Free Trade Area agreement which was launched earlier this year).
• Solutions to help improve the public sector (such as those in training or in the development of e-government tools).
• Those coming off the Square Kilometre Array (SKA) telescope project — including big data, construction (to start in 2018) and those in the science field.
• Black-owned firms supplying corporates, with the increasing focus in the new BEE codes on supporting black suppliers, which came into effect in May.
• The development of new technologies such as virtual reality and 3D printing.

If you require funding or business ideas for next year, take a look at the following opportunities and events.  The National Small Business Chamber (NSBC), brings, My Business Expo – Africa’s biggest business start-up and growth forum, also incorporating, Business Start-Up Expo, Access to Finance Indaba, The Franchise Show, Trading Across Borders and Build a Business LIVE. With more than 25 000 visitors, 500 exhibitors and sponsors, and top of the line seminars, it’s the most successful show of its kind in the country.

Diarise the dates:

Johannesburg: 10 March 2016

Cape Town: 25 August 2016

Awethu Project invests in South African entrepreneurs

The Awethu Project is calling all entrepreneurs in South Africa who have established, innovative businesses with the potential for growth to apply for up to R5-million in equity funding.

Yusuf Randera-Rees, co-founder and chief executive officer of the Awethu Project, told talk radio station 702 that the South African government had given the initiative R64- million to invest in entrepreneurs. “Early stage entrepreneurs looking for between R500 000 and R5-million equity capital can apply on our website,” he said.

The Awethu Project is an entrepreneurship development company that was started by Randera-Rees in 2009. He said whether you were a black industrialist or a spaza shop owner, if you wanted help, you should be willing to partner with Awethu.

Awethu was not interested in just giving debt. “We want to help you (the entrepreneur) grow. We focus on things like finance, giving you a chance to go to an academy to get your MBA. I know all entrepreneurs need that, because I am an entrepreneur,” he said.

If your application was successful, you would get your money in 30 days. But, he cautioned, “it’s going to be a lot of hard work; you have to show how excellent you are”.

This opportunity was for entrepreneurs who were seeking financial and operational support to grow their business, without giving up control, News24 quoted Randera-Rees as saying. “The Awethu Project will partner with them,” he said.

It would also back up the successful candidates with a support team of experts in everything, including recruitment, black economic empowerment, labour law and marketing.

“Awethu elects to invest in equity because we want to be partners, and want to help entrepreneurs grow – we believe this is the answer to our country’s unemployment problem. The basic idea is that we go into partnership with the business owners we work with. We have the same incentive as the business owners to grow their businesses, and if we accomplish that we share in the rewards.”

The cost of the investment is a negotiated equity stake, which brings Awethu on board as a high impact partner. “With over 100 successful entrepreneurs that have passed through Awethu’s doors, this venture capital fund has a proven track record of solid returns for investors, and high growth rates for entrepreneurs.”

With funding from the government’s Jobs Fund and Discovery, as well as support from Archbishop Desmond Tutu, Awethu is offering an opportunity for entrepreneurs who have “ambition and talent, but lack entrepreneurship training and funding”.
Source: News24Wire and SouthAfrica.info reporter.