Financing your medical equipment part 6/6: Government grants and public funding institutions

Small Business finance Agency(SEFA)

This government?agency provides loans directly to small and medium enterprises(SMEs), and cooperatives operating in all sectors of economy. The funding ranges from R 50 000 to maximum of R15 million. SEFA has different financial solutions including assets finance, bridging loan, term loans etc. Your choice will depend on your requirements and personal circumstances.?Assets acquired through Assets finance can be used by Sefa as security for the loan. The loan duration is up to maximum of 60 months or for the economic life of the asset.?

Industrial Development Corporation(IDC)

The role of Industrial Development Corporation's role is to enhance the industrial capability of South Africa by boosting economic growth. IDC fund entrepreneurs starting new enterprises or supporting companies that to extent operations. IDC offers debt funding from about a million.

National Empowerment Fund(NEF)

National Empowerment Fund consist of following funds:

Women Empowerment funds

The NEF Women Empowerment Fund is aimed at accelerating the provision of funding to businesses owned by black women. The funding starts from R250 000 to R75 million across a range of sectors, for start-ups, expansions and equity acquisition purposes.

In order to provide for different transactional needs, WEF uses a range of funding instruments that range from secured (senior debt) to unsecured options (equity), and/or a hybrid of the two.

Imbewu fund?

This fund is designed to support black entrepreneurs?wishing to start new businesses as well as support existing black-owned enterprises with expansion capital.?The Fund supports these entities by offering debt, quasi-equity and equity finance products with the funding threshold ranging from a minimum of R250 000 to a maximum of R15 million. The fund include products such as:

Entrepreneurship finance

Procurement finance?

Franchise finance

UMNOTHO FUND

Funding ranges from R 2 million to R 50 million and consist of five products.

Acquisition Finance, Project Finance, Expansion Finance, Capital Markets Fund, and Liquidity and Warehousing. These products provide capital to black-owned and managed enterprises, black entrepreneurs who are buying equity shares in established black and white owned enterprises, starting new ventures, expanding existing businesses and BEE businesses that are or wish to be listed on the JSE.

Gauteng Enterprise propeller(GEP)

GEP offers financial and non-financial support to qualifying SMMEs and Co-operatives across all sectors in Gauteng. They provide customised business solutions that assist entrepreneurs to run their businesses efficiently, which also includes facilitating CIPC registration, providing business advice and commissioning business development support interventions.

Their financial support offerings include:

Start-up Finance The Start-up Finance Programme is dedicated to helping SMME’s and co-operatives to secure the finances they need to jump-start their business ventures.

Contract Finance This type of loan caters for entrepreneurs and SMMEs who have secured contracts from government departments, public entities and private sector companies.

Growth Finance This programme assists viable existing businesses looking to expand their operations by securing additional capital.

Franchise Finance GEP Franchise Finance Programme assists with funding to acquire a new or existing franchise, as well as the much-needed working capital.