The Business Referral and Information Network (BRAIN) programme was initiated by the Department of Trade and Industry, and is now managed by the NAMAC Trust.

 

Any individual or small business that needs business information may call the National Centre for assistance with business queries.

 

Queries may vary from quite basic ones, e.g. 'Who can help me finance my business' to very complex ones concerning manufacturing processes, international markets, patent infringements, etc.

 

http://www.brain.org.za/FINANCING/financingnat.html

 

BRAIN National SMME
Information Centre
NAMAC
Building 23, CSIR Campus, Meiring Naude Rd, Brummeria, Pretoria

 

P O Box 395, Pretoria, 0001

 

E-mail: offersn@namac.co.za

 

Telephone:
+27 12 349 0100

 

Fax:
+27 12 349 2850

 

Umsobomvu Youth Fund

http://www.umsobomvu.org.za/

Umsobomvu is a catalyst facilitating the creation of opportunities for youth employment and youth entrepreneurship by making investments that deliver effective programmes. Umsobomvu conceptualises and designs programmes and contracts suitable service providers for implementation.

Strategy Design Conceptualisation
Umsobomvu works to design and conceptualise strategies with key partners and role players in the youth development and youth employment field. This involves identifying and understanding the needs of young people and programmes that work.

Umsobomvu Youth Fund
Telephone: 27 11 805 9701, Fax: 27 11 805 9709
P.O.Box 982, Halfway House, 1685
Block P, Cental park, 16th Road, Midrand, South Africa

Email: info@uyf.org.za

Commercial Banks

Loan Amount

R60 000 to R120 million
When advancing loans might require to take up to 20% equity in the business

Requirements

• Business Plan
• Stringent assessment criteria
• Good credit rating

Additional Information

All major South African Banks have different products to finance SMMEs. Banks normally prefer existing businesses as compared to Start-ups. Banks require that securities provided cover the amount of the loan applied for. Interest depends on the risk profile of the client. BankMonitor provides a good overview of what the banks can offer.

Access the bank websites to find out about their products and services:

ABSA | First National Bank | Investec Bank | NBS Bank | Nedbank | Standard Bank | Wesbank

Khula Credit Guarantee Scheme

Contact Details

Khula Credit Guarantee Scheme

Enquiries:
helpline@khula.org.za
Tel: (011) 807 8464
Toll free number:
0800 118815

Target Group

• Start-ups, existing manufacturing, retail and service SMME's

• Any legal business.

Loan Amount

R120 000 - R600 000

Requirements

• SA Citizenship
• Minimum 10% own contribution in cash an/or assets
• Detailed business plan approved by the bank and Khula

Additional Information

Khula Credit Guarantee Scheme was created by the Department of Trade and Industry to help SMMEs who do not have adequate security to access finance from commercial banks. Khula will provide a guarantee of 80% on the loan, which has been approved by a commercial bank. Four of the major banks in S.A participate in this scheme i.e. Standard Bank, ABSA Bank, First National Bank and Ned Enterprises.

 

Various small banks also participate in the scheme.

 

Applicants should not contact Khula directly but should apply for finance at the nearest bank participating in the scheme.

 

If the bank finds that the applicant does not have enough security to cover the loan amount, they will request Khula to issue a guarantee of 80% on the loan so that the risk for the bank on the approved loan will be 10%. Applicants, who apply at banks for financial assistance and have adequate security for the loan they are applying for, would not qualify for the Khula Credit Guarantee Scheme.

 

Interest charged on a loan will depend on the assessment of the client by the bank and also on the viability of the proposed business.

 

Zimele

 

Contact Details

Enquiries :
Ms Natasha Hiralal
Tel: 011 638 4172
Fax : 011 638 5321
Website: http://www.zimele.co.za
Email: nhiralal@angloamerican.co.za

 

Target Group

Small to medium sized business with Black shareholding
IT companies
Engineering

 

Loan Amount

Equity financing up to R1,5 million

 

Repayment Options

Not Applicable

 

Location

National

 

Requirements

• No cash based businesses
• Extremely commercially viable business

Additional Information

Loans for agricultural projects, including buying of farms. Interest on loans depends on the risk profile of the client. Big loans may need some security and/or own contribution depending on the risk.

Business Partners

Contact Details

Enquiries :
The website http://www.businesspartners.co.za has a listing of regional contact numbers

Target Group

Exisiting medium to big existing businesses in the manufacturing, retailing and service sectors

Loan Amount

R150 000 - R15 million

Requirements

• Equity financing
• Business plan

Additional Information

Business Partners have branches countrywide. They assist medium and big businesses through equity financing. This means they become a partner in the business until the loan has been paid off or until the owner of the business buys them out. Interest will differ depending on the risk involved.