Small Enterprise Finance Agency (SEFA)

sefa is a financial institution that specialises in providing financial products and services to qualifying small, medium, and micro enterprises and cooperatives in South Africa. Established on April 1, 2012, sefa operates as an implementing agency of the Department of Small Business Development, aiming to support the growth and development of SMMEs and cooperatives, alleviate poverty, create jobs, and foster economic growth.

SEFA's Multisectoral Funding for SMMEs and Cooperatives

sefa's operations encompass various sectors, including services, manufacturing, agriculture, construction and mining. By using a hybrid approach of wholesale and direct lending channels, sefa strives to ensure easy access to finance for SMMEs and cooperatives throughout the country.

Functioning as a DFI and operating under the ownership of the IDC, sefa is committed to fulfilling its purpose of supporting the establishment, resilience, and expansion of SMMEs and cooperatives. By actively contributing to poverty reduction and generating employment opportunities, sefa operates from its head office situated in Centurion, Gauteng.

sefa's core function involves providing credit facilities, loans, and credit guarantees to SMMEs and cooperatives. Additionally, the agency supports the institutional strengthening of financial intermediaries, develops strategic partnerships, and monitors the effectiveness and impact of its financing activities. With a focus on innovation, sefa collaborates with various institutions to create new finance products, tools, and channels to increase market participation in affordable finance provision.

Fostering the growth of sustainable SMMEs and cooperatives

SEFA aspires to take the forefront in fostering the growth of sustainable SMMEs and cooperatives by providing accessible finance. Guided by its mission, SEFA aims to ensure efficient and sustainable finance access, forge strategic partnerships, and offer institutional support, all while diligently monitoring the impact of its initiatives. At the heart of SEFA's operations lie core values such as prioritizing swift action, nurturing a passion for development, upholding integrity, fostering transparency, and embracing innovation to drive lasting positive change in the business landscape.

Recognising the importance of partnerships, sefa collaborates with a wide range of institutions, including the Black Business Council, University of Johannesburg, Industrial Development Trust, South African Informal Traders Association, and various government departments and agencies such as the Department of Small Business Development, Economic Development Department, and the Industrial Development Corporation.

To extend its reach and accessibility, sefa also works with subsidiaries, associates, and intermediaries. Through these partnerships, sefa provides not only financial support but also business assistance to help establish and grow enterprises, contributing to sustainable job creation. SMMEs and cooperatives can access sefa's products through commercial banks, cooperative financial institutions, micro-finance intermediaries, retail financial intermediaries, and strategic partnerships.

Whether you are a startup, an established small enterprise, or a manufacturer seeking to expand, SEFA offers a range of funding options, including loans and grants, tailored to meet your specific needs. Backed by SEFA's expertise and commitment to fostering economic growth, these funding opportunities can be a catalyst for your business success.

Empowering Small-Scale Manufacturers: Small Enterprise Manufacturing Support Program

Are you a small-scale manufacturer in need of financial and non-financial support? Look no further than the Small Enterprise Manufacturing Support Program (SEMSP). Specifically targeting township, rural, and village economies, SEMSP aims to uplift these communities by providing assistance to furniture manufacturers, iron and steel product suppliers, chemical product manufacturers, and agro-processors.

Through SEMSP, you can access funding for machinery and equipment, working capital, and product accreditation. With funding of up to R15 million available, there is also the possibility of a grant portion of up to 20%. Take advantage of repayment periods tailored to your cash flows, a maximum of 84 months, and a 6-month moratorium on capital and interest.

Seizing Opportunities in Challenging Times: Township and Rural Entrepreneurship Programme

Are you an entrepreneur operating in rural or township economies? The Township and Rural Entrepreneurship Programme (TREP) is here to support you. TREP offers funding and comprehensive business development support to informal, micro, and small enterprises in these areas.

As the economy rebuilds and restructures in the wake of the Covid-19 pandemic, TREP aims to enhance the quality, competitiveness, and resilience of businesses in sectors such as clothing, bakeries, retail, automotive, and more.

With a blended finance model, TREP provides a financial package of up to R1,000,000, with a grant portion of up to R100,000. Loan repayment terms allow for a maximum of 60 months, a fixed interest rate of 5%, and a 6-month moratorium period. Additionally, TREP offers business development support, including compliance assistance, training, and mentorship, coordinated through Seda.

Nurturing Innovation: Grants for South African Youth-Owned Enterprises

Attention young entrepreneurs between the ages of 18 and 35! The Youth Challenge Fund is here to support your innovative ideas and business ventures. As a youth-owned enterprise, you can access grants and business development support through this program.

To be eligible, you need to be registered with the CIPC, have 100% South African ownership, and actively participate in the day-to-day operations of your business. The Youth Challenge Fund offers a grant portion ranging from 20% to 40%, depending on the specific channel and funding framework.

In addition to financial support, successful applicants will have access to valuable business development support and mentorship, enabling the growth of commercially viable and sustainable business ideas. Don't miss out on this opportunity to take your entrepreneurial journey to new heights with the Youth Challenge Fund.