CDI Capital Growth has announced that it is opening applications for funding grants to help small businesses, with the aim to create 600 news jobs by 2023.
The emerging impact funder will award grants between R105 000 and R1 050 000 to small businesses.
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The funding will be available for businesses that are experiencing growth or plan to expand and can therefore create jobs.
The emerging impact funder, which is part of the Craft + Design Institute non-profit organisation, will award grants between R105 000 and R1 050 000 to small businesses that succeed in their application. The funding amount, according to CDI Capital, will depend on how many jobs the businesses commit to creating before 31 March 2023.
The fund hopes to award grants to 20 businesses nationally within the next three months.
“We believe that small businesses are vital to growing our economy and creating jobs – even more so post the pandemic and recent social unrest,” Erica Elk of the CDI said in a statement.
“With meaningful, socially responsible investment we can maximise the potential of local entrepreneurs, building a generation of South African innovators, and a strong, inclusive economy.”
What to know about the CDI Capital funding application requirements
The fund is only open to South African-owned businesses. This means that at least 51% of the issued ordinary share capital needs to be held by South African citizens or a South African legal entity.
These businesses also need to operate within South Africa. Businesses that apply need to have existed for at least one year. Furthermore, turnover and assets need to be above R600 000.
Meanwhile, businesses will also need to match 20% of the contribution of the fund through their own cash contribution. For every R21 000 invested by the grant, the business will need to create one job. Overall, the business will need to create a minimum of five jobs.
Finally, the business must be tax compliant.
For businesses that want to apply for the fund, you can visit the CDI Growth Capital Fund website.
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Featured image: Steve Buissinne via Pixabay
