What is Enterprise Development?Enterprise Development is aimed at developing small, medium and micro-enterprises (SMMES) in the Agriculture, Manufacturing and Commercial sectors. The portfolio funds enterprises that will create permanent sustainable jobs. The goal is to develop rural, peri-urban and township communities to ensure they participate in the mainstream economy of South Africa.
We have a hybrid funding approach that combines grant funding from the Old Mutual Foundation and loan funding from Masisizane Fund and/or other funding partners. We’re seeking businesses or projects which are social enterprises or those that are addressing a social need in communities.
The Old Mutual Foundation has invested R1 775 000 to purchase equipment, register a trademark, and working capital for Happy Earth People(HEP). HEP is a 51% black-owned, 100% women and 100% youth-owned private company established in 2015. It has created a first of a kind in South Africa legume pasta which is made from 100% pure chickpeas and lentils.
- Grant funding: Between R500K – R2 million.
- Grant funding requests < R500K will be considered on a case-by-case basis.
Entrepreneur(s) will be assessed against the following criteria:
- Experience (knowledge or mastery of subject gained through involvement in or exposure to it)
- Background check.
Businesses located nationwide, preference given to businesses located in rural, peri-urban and township areas.
>51% black (African, Coloured, Indian as per BBBEE codes) owned businesses.
Agriculture, manufacturing and commercial.
Start and existing businesses
∙ Must have sold products and have guaranteed off-take agreements (contracts) in place.
∙ For start-up businesses operating for 2 years and less, letters of intent may be considered, but the type of industry the business falls under will be factored and each business assessed on its own merit.
∙ For businesses operating for 2 years and less, a maximum funding threshold of R1million will apply.
∙ For businesses operating for 2 years and more, the maximum funding threshold is R2 million.
Turn around deals
∙ Only accepted through referral by a funding partner and are decided on a case-by-case basis.
∙ The focus will be on identification of factors that resulted in the business failing in the past and how these challenges have been overcome.
Buy-ins (purchase of shares from a party that is not part of the business. No, buyouts.
∙ Closed corporation (CC).
∙ Co-operative (Co-op) - Considered under specific conditions.
∙ Non-profit or non- governmental organisations (NPOs/NGOs). Only the ones which are setup to create a cluster of viable businesses or social enterprises.
∙ Private company (Pty) Ltd.
∙ Trusts – considered under specific conditions
- Black woman-owned businesses
- Black youth-owned businesses
- Businesses that have shown effect or influence made through social and transformation activities.
- Businesses that have a strategic partner assisting the businesses with accessing markets, providing technical expertise and business development support (BDS).
- Working capital is capped at not more than 60% of total grant funding amount.
- Capex (infrastructure and equipment purchases etc.).
- Business development support (BDS).
- Purchase of land and/or buildings
- Business incubators or organizations offering training to businesses or entrepreneurs
- Conferences or events. Sponsorship of conferences and events exception made if the sponsorship will provide a platform for Old Mutual Foundation to profile its program and it may lead to business referrals.
We no longer provide application forms and prefer to conduct a telephonic screening with you regarding the potential of your business to match our funding criteria for us to recommend whether you should submit an application to us.
Contact our Enterprise Development (ED) Team, who's available to you assist during our working hours Mon- Fri, 08:00 – 16:30 and pitch your business to us:
- Simangele Lekhuleni on 011 217 1885/081 448 4211
If we’re not available to take your phone call, do not email, SMS, Whatsapp or leave voicemail messages, but rather try calling us again another time during our working hours. We’ll communicate with you via email if there is a need to do so.
- Applications are open throughout the year and assessed on a quarterly basis.
- Depending on the complexity of the business application and the timing of the quarterly review cycle, finalising an application could take between three - five months