Latest news with #SpazaShopSupportFund
Zawya
3 days ago
- Business
- Zawya
South Africa: Govt pays $335,634 from spaza shop fund
Government has so far disbursed R6m out of R500m in funding through the Spaza Shop Support Fund (SSSF) to eligible spaza shops and other food-handling outlets. The fund, aimed at increasing the participation of South African-owned spaza shops in the townships and rural areas retail trade sector, was launched last month. 'This is moving in a slow pace due to all the parties that are involved in coordinating the work, which includes inspections, verification of citizenship as well as site and health inspections. 'The fund will assist shop owners that met the deadline for the registration of an operating permit,' Minister of Small Business Development Stella Tembisa Ndabeni said during a media briefing in Pretoria on Thursday, 29 May. It offers funding of up to R300,000 per shop through a combination of grants and low-interest loans. In addition, it allocates funding specifically for initial stock purchases, infrastructure improvements, business development tools, and Point of Sale (POS) system adoption. The fund is being administered by the National Empowerment Fund (NEF) and the Small Enterprise Development Finance Agency (Sefda). Through the fund, shop owners will be provided with assistance in meeting hygiene and regulatory standards to ensure the provision of safe, high-quality products. Inaugural Global SME Ministerial Meeting Marking the countdown to the first-ever Global Small and Medium-sized Enterprises (SME) Ministerial Meeting to be hosted by the South African government and the United Nations Small Business Agency in Johannesburg, the Minister shared the vision and expected outcomes of the Ministerial meeting. Taking place from 22-24 July 2025, the Ministerial Meeting will serve as a dedicated platform for ministers and officials responsible for Micro, Small and Medium-sized Enterprises (MSMEs) to share strategic insights, shape future policies, and foster global consensus on the small business agenda. Countries from around the world have confirmed their participation, including Brazil, Cambodia, Costa Rica, Egypt, Ethiopia, Kenya, India, Indonesia and Switzerland, among others. Nearly 50 countries are expected to be at the event. 'As a country, through the Department of Small Business Development, we are steadfast in our commitment to create a more enabling legislative and policy environment that empowers small businesses to grow, scale up, and compete on the global stage. 'In addition, we will galvanize a call-to-action to influence dialogues and decisions at the Group Twenty (G20) Summit under South Africa's leadership. We are unequivocal that the G20 needs a sharper MSME focus with its own dedicated Working Group, and we will use this Global Ministerial to bolster this position. 'We will also use this Global Ministerial to develop and activate strong partnerships across governments, multilateral institutions, and businesses. We do not want a talk- shop. We will emerge with practical initiatives that strengthen the global MSME support eco-system, as well as country-level partnerships that translate policy into action,' the Minister said. Startup20 Task Force The Department of Small Business Development will also be hosting the Startup20 Task Force planning sessions in the days preceding the Ministerial. This will provide the opportunity for Task Force leaders to share thinking with global MSME leaders beyond the G20. 'The challenges that small businesses face is vast and cannot be tackled by any one nation alone. Thus, I passionately urge governments, international agencies, development partners, and the private sector to join us in strengthening MSME ecosystems. 'Let us deepen our regional and global cooperation, share knowledge, and uplift MSMEs especially those led by women, youth, and persons with disabilities,' the Minister said. South Africa assumed the G20 Presidency from 1 December 2024 to 30 November 2025 under the theme: Solidarity, Equality and Sustainability.
The Citizen
3 days ago
- Business
- The Citizen
Government pays R6 Million from R500 million Spaza Shop Fund
Only a fraction of the fund has reached township and rural spaza shop traders as verification delays slow disbursements The department of small business development has so far disbursed R6 million from the R500 million Spaza Shop Support Fund (SSSF). This is aimed at supporting South African-owned spaza shops and food-handling outlets in townships and rural areas. Launched last month, the fund is designed to provide financial assistance of up to R300 000 per shop through a mix of grants and low-interest loans. However, according to small business development minister Stella Ndabeni, on Thursday, the implementation has been slower than expected. 'This is moving at a slow pace due to all the parties that are involved in coordinating the work, which includes inspections and verification of citizenship, as well as site and health inspections,' she said. Focus on compliance and sustainability To qualify for funding, shop owners had to register for an operating permit before the deadline. The money can be used for stock purchases, infrastructure improvements, business development tools and the adoption of point of sale (POS) systems. 'The fund will assist shop owners that met the deadline for the registration of an operating permit,' Ndabeni said. The initiative is administered by the National Empowerment Fund (NEF) and the Small Enterprise Development Finance Agency (SEFDA) and includes support to help businesses meet hygiene and regulatory standards. ALSO READ: Illegal spaza shops 'still proliferate' despite warnings Global SME Summit set for July The Minister also announced that South Africa will host the first-ever Global Small and Medium-sized Enterprises (SME) Ministerial Meeting in Johannesburg from 22 to 24 July 2025. The event, co-organised with the United Nations Small Business Agency, will see participation from nearly 50 countries, including Brazil, Kenya, India and Switzerland. 'We are steadfast in our commitment to create a more enabling legislative and policy environment that empowers small businesses to grow, scale up and compete on the global stage,' said Ndabeni. She said the meeting would help shape global small business policy and push for the formation of a dedicated MSME Working Group under the G20 during South Africa's presidency. 'We do not want a talk shop. We will emerge with practical initiatives that strengthen the global MSME support eco-system,' she added. NOW READ: Spaza shops ask for more than R32m worth of stock
IOL News
6 days ago
- Business
- IOL News
Joburg launches outreach drive to help spaza shops access R500 million fund
The City of Johannesburg, in partnership with the Department of Small Business Development, has launched a series of outreach sessions aimed at helping spaza shop owners The City of Johannesburg, in partnership with the Department of Small Business Development, has launched a series of outreach sessions aimed at helping spaza shop owners access the R500 million Spaza Shop Support Fund. Initially announced by President Cyril Ramaphosa in November 2024, the fund is administered by the National Empowerment Fund (NEF) and the Small Enterprise Development Finance Agency (SEDA) and aims to support township businesses, including spaza shops and convenience stores, through a mix of grants and interest-free loans. IOL previously reported that the Portfolio Committee on Small Business Development has expressed frustration over the limited progress in approving applications for the R500 million Spaza Shop Support Fund, with fewer than 400 out of more than 3,200 submissions being processed since the fund was introduced in April.
The Citizen
21-05-2025
- Business
- The Citizen
Spaza shops ask for more than R32m worth of stock
According to the presentation, spaza shop owners applied for a combined total of R32.4 million for machinery and stock. Spaza shop owners across the country have submitted applications requesting more than R25 million worth of machinery and stock from the government, as part of efforts to revitalise the informal retail sector. This comes after the launch of the R500 million Spaza Shop Support Fund by the Department of Small Business Development. In a recent briefing, it was revealed that the Department of Small Business Development (DSBD) received more than 3 269 applications from spaza shop owners seeking support through the Spaza Shop Support Fund. However, only 387 of these applications have been processed so far. Most applications came from KwaZulu-Natal, with 142 submissions and the least from North West with eight. ALSO READ: Government's R500m spaza shop support fund gets thumbs up Funding requests According to the presentation, spaza shop owners applied for a combined total of R32.4 million for machinery and stock. Of this, machinery accounts for more than R16.4 million, while stock requests make up R16 million. 'The fund seeks to enhance food safety, improve competitiveness, and strengthen locally-owned spaza shops,' the department said. ALSO READ: Illegal spaza shops 'still proliferate' despite warnings R52 million disbursed to partners To ensure efficient delivery, three Distribution Channel Partners (DCPs) have been contracted and are working across various provinces. According to the department, R52 million has already been disbursed to two of these partners to begin processing and distribution. 'The approach also provides bulk buying (wholesale network) opportunities that will propel the spaza shops to exploit economies of scale and enjoy competitive pricing and packaging,' it said. Furthermore, geo-mapping and registrations of spaza shops have commenced, with 1 411 shops verified. 'Awareness workshops will be conducted in all provinces between 23 May and 1 July 2025, covering one district per province,' it said. Online applications can be accessed on the Spaza Shop Fund website. NOW READ: Government offers R500m spaza shop support fund – Here's what you need to know
The South African
23-04-2025
- Business
- The South African
HOW to secure a share of R500-million informal-trader funding
Township entrepreneurs best act quickly to secure a share of South Africa's R500-million informal-trader funding. Following government's crackdown on spaza shops over poisonings last year, all legitimate traders had to register their businesses with local government. Now, a new Spaza Shop Support Fund (SSSF) promises to support, expand and sustain informal traders with the financial and technical assistance they need to succeed. But they must be compliant … Applications for the R500-million informal-trader funding opened this week (Monday 21 April 2025) through the Department of Small Business Development (DSBD). All eligible spaza shop owners and informal traders are encouraged to to take advantage of the available funds. Basically, the R500-million informal-trader funding will help level the playing field against large retail outlets. A maximum of R300 000 is available per applicant through a combination of grants and low-interest loans. Compliance and meeting hygiene and regulatory standards is essential to secure the funding. Digital payment systems, inventory and accounting management tools are expensive, and financial literacy programmes are offered. Qualifying applicants must be South African citizens or naturalised before 1994. As mentioned, the spaza shop/informal trader must be registered with the local municipality as per the recent business licencing drive. Furthermore, a portion of the R500-million informal-trader funding depends on timeous registration with the South African Revenue Service (SARS). Likewise, the SSSF will prioritise entrepreneurs aged 18-35, as well as female owners and those with disabilities. Business support includes the following: R40 000 for the initial purchase of stock. for the initial purchase of stock. R50 000 for upgrading building infrastructure, systems, refrigeration, shelving and security. for upgrading building infrastructure, systems, refrigeration, shelving and security. R100 000 for training programmes on sale devices, business skills, digital literacy, credit health, food safety and business compliance. for training programmes on sale devices, business skills, digital literacy, credit health, food safety and business compliance. R125 000 will be provided as a free-interest loan. The National Empowerment Fund (NEF) and the Small Enterprise Development Finance Agency (SEFDA) will jointly administer the fund. Applicants for the R500-million informal-trader funding must create an account on the SEFDA SMME Portal. Complete the registration process, accept the terms and conditions, follow all the prompts to submit the application online. Alternatively, you can contact: Spaza Shop Support Fund (SSSF): 011 305 8080 NEF: 086 1843 633 SEDFA: 012 748 9600 Let us know by leaving a comment below, or send a WhatsApp to 060 011 021 1. Subscribe to The South African website's newsletters and follow us on WhatsApp, Facebook, X and Bluesky for the latest news.
