Ithala and The Durban Chamber of Commerce and Industry educate SMMEs on growth opportunities

The Ithala Development Finance Corporation in conjunction with the Durban Chamber of Commerce and Industry, the Department of Economic Development and Tourism and other public and private sector institutions recently held a workshop to educate emerging entrepreneurs on financial and growth opportunities.
The workshop, held at Umlazi’s V-section community hall attracted about 100 SMMEs.
Topics covered on the day included tips on how to access funding, financial planning and issues of compliance with financial policies.
Durban Chamber of Commerce and Industry SMME Manager, Gugulethemba Ngcobo said the workshop aimed to expose emerging business to information on SMME development programmes available to them within government and the banking sector.
She said the workshop also served as a networking platform for SMMEs.
“This is a second of its kind workshop and our aim is to create awareness among SMMEs on how to access funding and the lending criteria employed by financial institutions, she said.”
Ngcobo said the workshop also served to create awareness on the importance of complying with the South African Revenue Services and the New companies Act.
“Attendees were also told of the importance of having updated documentation such as a valid tax certificate,” she said.
Ithala Marketing Manager Bongi Sishi echoed Ngcobo.
“Ithala focuses on assisting business in the province and we have many success stories to show for it.”
She said it was however important for emerging business to have clearly defined business plans and the relevant documentation in place.
This included a tax clearance certificate, financial statements, and a letter of award.
“This not only speeds up the application process but also puts them in a better position to access funding,” she said.
Ithala focuses mainly on trade, construction, agriculture and manufacturing.
Nonkululeko Nkwanyana from the Department of Economic Development and Tourism cited fronting some of the issues which hindered SMME development and BEE programmes.
“We have set up a BEE Complaints Handling sub-directorate which deals with complaints of fronting,” she said.
Nkwanyana said emerging businesses normally fell prey to this practice by being used by established companies to secure lucrative contracts but only received a very small payment in return.
“People need to get expert advice before signing any contract to ensure that they do not become victims of fronting,” she said.
She advised SMMEs to report any malpractices to the Department of Economic Development and Tourism’s BEE Complaints Handling sub-directorate.