Are you aware of the DTI grant of up to R1m available to black-owned businesses?

Black Business Supplier Development Programme (BBSDP)

The Black Business Supplier Development Programme (BBSDP) is a cost-sharing grant offered to black-owned small enterprises to assist them to improve their competitiveness and sustainability to become part of the mainstream economy and create employment.

The programme provides grants to a maximum of R1 million:

  • R800 000 for tools, machinery and equipment on a 50:50 cost-sharing basis; and
  • R200 000 for business development and training interventions per eligible enterprise to improve their corporate governance, management, marketing, productivity and use of modern technology on a 80:20 cost-sharing basis.

Objectives of the incentive scheme

  • To fast-track existing Small, Medium and Micro Enterprises (SMMEs) that exhibit good potential for growth into the mainstream economy;
  • To grow black-owned enterprises by fostering linkages between black SMMEs and corporate and public sector enterprises;
  • To complement current affirmative procurement and outsourcing initiatives of corporate and public sector enterprises; and
  • To enhance the capacity of grant recipient enterprises to successfully compete for corporate and public sector tenders and outsourcing opportunities.

Qualifying criteria of the incentive scheme

  • Fifty-one per cent black majority shareholding;
  • R250 000 to R35 million turnover per year;
  • One year in operation and trading as a business;
  • Fifty per cent management positions held by black people (historically disadvantaged individuals);
  • Enterprises formally registered for VAT;
  • Eligible to obtain funding to a maximum of R1 million:
    • R800 000 for tools, machinery and equipment on a 50:50 cost-sharing basis; and
    • R200 000 for business development and training interventions per eligible enterprise to improve their corporate governance, management, marketing, productivity and use of modern technology on a 80:20 cost-sharing basis; and
  • Be operating and trading for at least one financial year – at the sole discretion of the dti, an enterprise that has been operational/registered for less than a year may be considered for this incentive, provided that the enterprise can supply sufficient evidence to service a tender/contract.

 

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3 Responses so far.

  1. I am a 35 year old woman,the sole owner of the business with 9 years experience,i am interested on this grant plz tell me more

  2. Mfna'zile Vincent Ndaba says:

    need money to buy equipment and machinery.

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