Sefa is the government’s primary small business funding agency, which was launched recently as a result of the merger between agencies such as Khula and Samaf. Sefa’s role is to promote the growth and the survival of small businesses through business financing.The products on offer fall into two lines: Direct Lending Products aimed at direct service to small businesses and Wholesale Lending Products aimed at intermediaries who have small businesses as their clients. Direct Lending Products include bridging loans, term-loans and structured small business loans. while Wholesale Lending Products include credit guarantees, land reform empowerment facilities and equity investments.
To qualify for financing from Sefa an entrepreneur must be a South African citizen with a valid Identity Document. The business must be registered and have a fixed physical address. The entrepreneur must own at least 50% of the business and manage the business. All the supporting documentation must be provided to meet Sefa’s loan application criteria, including a business plan which shows the ability to repay the loan. The entrepreneur must also provide personal and credit references.
Sefa does not support tobacco, liquor, gambling or sex trade, armaments, speculative real estate, leverage buy-out funds or any business involved in illegal trades, nor political organisations, people under debt review, or any business that have directors who are un-rehabilitated insolvents.
For more information:
Telephone: 086 000 7332