Small Enterprise Manufacturing Support

Small Enterprise Manufacturing Support


The Small Enterprise Manufacturing Support Programme (SEMSP) is mainly targeted at resuscitating and growing townships, rural towns and villages’ economies, by providing financial and non-financial support to area based small-scale manufacturers.

The programme provides blended finance to enterprises in the manufacturing sector. It’s primary objective is to assist early stage businesses that play in the localisation market.

The purpose of the fund

  • To provide financial and business development support to small enterprises in the manufacturing industry sub-sectors

  • To provide infrastructure to small enterprises in the manufacturing industry sub-sectors

  • To provide market access opportunities to small enterprises (public and private sectors)

  • To facilitate aggregate input costs for raw materials

  • To prioritise manufacturing industry sub-sectors with good job creation potential, namely:
    • Furniture manufacturing

    • Metal and steel manufacturing

    • Chemical manufacturing

    • Agro-processing

  • To contribute to the resuscitation of township and rural economies

Scope of SEMPS

  • The programme will be applicable to all the manufacturing industry sub-sectors, but will prioritise furniture manufacturing, metal and steel manufacturing, petroleum and chemical manufacturing, as well as food and beverages manufacturing (agro-processing)

  • The programme will support the following categories of small enterprises that must be operating in townships and rural areas:
    • Furniture manufacturers, including coffin makers

    • Manufacturers and suppliers of iron and steel products (steel erector, welder, boilermaker, pipefitter, millwright, blacksmith, gunsmith)

    • Manufacturers of sanitisers, disinfectants, water, recycling, paints, oils, and related products

    • Food and beverage manufacturers including agro-processors of primary agricultural products sourced from small-scale farmers

  • The programme will consider projects from all manufacturing sub-sectors that will drive the revitalisation of township and rural economies through job creation

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  • To provide furniture manufacturers, including coffin makers, with enterprise development support that will include financial and non-financial support

  • To provide manufacturers and suppliers of iron and steel products with business development services and infrastructure support

  • To provide manufacturers of chemical and related products with capacity-building support including skills and facilities

  • To provide agro-processors with business development services, technical skills, and infrastructure

  • To open market access opportunities for manufacturing industry sub-sectors

  • To forge partnerships with relevant role players in the manufacturing industry


Financial support

  • Funding to purchase machinery and equipment for the various manufacturing sub-sectors that will be supported

  • Working capital for the various manufacturing sub-sectors that will be supported

  • Funding for product accreditation, certification and testing

Funding terms

  • Funding of up to a maximum of R15-million per small enterprise, up to 20% of the amount may be provided as a grant were necessary

  • The term of the funding will be determined by the business’s cash flows, a repayment period of up to 84 months per small enterprise, and a capital and interest moratorium period of up to 6 months

  • The loan will be repayable at prime lending rate

Funding criteria

Each application for funding is assessed in terms of the following criteria:

  • Company statutory documents

  • FICA documents

  • Certified copies of ID of directors/members

  • 6 months’ bank statements

  • Latest AFS and/or Management Accounts not older than 3 months from date of application (Statement of Financial Performance and Statement of Financial Position) – where applicable

  • Business profile

  • Project Execution Plan

  • 12 months’ cash flow projections (with clear assumptions) – where applicable

  • Copy of Lease Agreement or proof of ownership

  • Relevant industry certification – where applicable

  • Copy of Contract or Purchase Order

  • Facility statements of other funders – where applicable

  • Quotations for applied funding – where applicable

Qualifying criteria

Each application will be assessed in terms of the following criteria:

  • Be a registered legal entity in South Africa in terms of the Companies Act, 1973 (as amended

  • Close Corporations Act, 1984 (as amended); and the Cooperatives Act, 2005 (as amended)

  • Be a 100% owned by South African citizens

  • Have been in operation for at least two years

  • Be predominantly black-owned (51%)

  • Have a predominantly black management team (51%)

  • Be registered and compliant with the South African Revenue Service (where applicable)

  • Must be registered on the National SMME Database –

How to apply?

For application forms, please send an email to

For more information, view or download the Small Enterprise Manufacturing Support brochure below.

Apply now

Small Enterprise Manufacturing Support Programme (SEMSP) brochure (1.221 MB)