Black Business Supplier Development Programme Black Business Supplier Development ProgrammeBBSDP Registered Network facilitators

the dti D epartment of Trade and Industry The department of trade and industry has numerous programmes aimed at developing businesses in South Africa The black business supplier development programme (bbsdp) is a cost sharing grant offered by the dti

What is the BBSDP? It is a grant / gift to Black owned business (50.1%) Ranging from R to R1 million Split into 2 parts:- Capex – to assist with the financing of plant and machinery Training, ISO, Software, Mentoring, Marketing, etc

the dti How does it work? The bbsdp is primarily aimed at black-owned businesses (50.1% of shares must be Black owned) The dti offers a grant of up to 25% of annual turnover (to a max of R1million) to be used for the expansion of the business The grant is free and non-repayable The grant is free and non-repayable

the dti 80% of the grant to be used as a deposit (35%) for the purchase of machinery & equipment – the balance (65%) to be financed by the applicant 20% of the grant to be used for “soft” issues such as training, mentoring, software etc. Cost shared by the applicant on a 80/20 basis 80/20 (80% free and paid to supplier by the dti) (20% to be paid by applicant)

the dti WHO QUALIFIES? Ownership to be at least 50.1% black Management team to be predominantly black (50%) Turnover between R250k and R35million Registered business for at least 1 year Tax clearance certificate Up to 3 years financial statements Latest management accounts

the dti OUR ROLE? Alan is a registered Network Facilitator and member of Graphit cc AND Marc is the managing member of Moneyer Accounting and Business Consulting – registered supplier of accounting services, mentoring, training and software suppliers. WE ARE THE LINK BETWEEN THE APPLICANT AND the dti

the dti BBSDP OUR ROLE? Ensure the applicant satisfies all qualifying criteria Ensure all relevant documentation is submitted with the application Assist with the completion of the application form Perform company diagnostics to ensure it is a sound business Submit application and follow up Assist applicant in obtaining finance DTI pays us a fee for doing the above

How much does an enterprise qualify for? Quarter of it’s annual turnover to a max of R1mil. Max of R as a 35% deposit for machinery 65% to be financed by banks Max of R on an 80/20% cost sharing

examples How much does an enterprise qualify for? examples R annual turnover R4,000,000 annual turnover ¼ of turnover = R % of R = R to be used as a deposit and the balance to be financed 20% of R = R to be used for software, training, mentoring ¼ of turnover = R1, % of R1,000,000 = R to be used as a deposit and the balance to be financed. 20% of R1 million = R to be used for software, training, mentoring

What is the qualifying criteria? Ownership to be at least 50.1% black (Indian, Coloured, Black) Management team to be predominantly black (50%) Annual Turnover between R250k and R35million CIPC Registered business for at least 1 year (CIPRO) Tax clearance certificate Be compliant at SARS, Trading for 1 year plus (Up to 3 years financial statements) Latest management accounts 3 months bank statements

Why the bank? Can help each other get customers Bank management and the dti management have agreed to support the bbsdp The dti will provide a 35% deposit (25% required by bank) We need a relationship at branch level to do business Less risk for the bank No contracts Lets do business

Other dti incentives EIP

Contact Us Alan Torley Marc Scougal Vox Fax