Seda WOMEN-OWNED ENTERPRISE DEVELOPMENT …

Seda WOMEN-OWNED ENTERPRISE DEVELOPMENT INFORMATION BOOKLET

DISCLAIMER

The purpose of this booklet is to fill the gap in the provision of vital information relating to the business environment, as well as the various support structures available to South African Women in Business. The information contained in this booklet is deemed correct at the time of printing, and Seda will not be held liable for any misrepresentation resulting from changing organisational staff, structures and programmes. Furthermore, this booklet deals with the support and assistance available across a broad spectrum of the economy, and does not have a single focus or orientation. Use of the information in this booklet will be left to the reader.

CONTENTS

Seda Concept

3

Introduction

6

Methodology

6

Starting your Business

7

? How to register your business

7

? South African Revenue Service (SARS)

8

? Registration of patents, trademarks and designs

9

? Testing and licensing

9

? Issues that will influence your choice of business format

9

? Broad Based Black Economic Empowerment (BB-BBEE) registration

10

? Conclusion

10

Women Entrepreneurs in South Africa

11

? Challenges facing the female entrepreneur in South Africa

12

? Opportunities facing the female entrepreneur in South Africa

13

? Assessment of specific opportunities

16

? Recommendations

18

How to use this SEDA Information Booklet

19

? Small Enterprise Development Agency (SEDA) Programmes

19

? Non-Sector Specific Programmes

23

? Tourism Sector

56

? Art Culture and Media Sector

59

? ICT Sector

71

? Clothing & Textiles Sector

77

? Legal Advisory Services and Business Related Enterprise

81

? Agriculture Sector

83

? Mining & Manufacturing Sector

87

? Chemicals & Energy Sector

94

? Construction Sector

98

? Aquaculture Sector

101

Programmes With Fees

104

Other Sources of Funding

119

References

124

Notes

124

List of Acronyms

125

Seda CONCEPT

THE SMALL ENTERPRISE DEVELOPMENT AGENCY (Seda)

The Small Enterprise Development Agency (Seda) an agency of the Department of Trade and Industry, was established in December 2004. It is mandated to implement national government's small business strategy, design and implement a standard and common national delivery network that must uniformly apply throughout the Republic in respect of small enterprise development integrating all government funded small enterprise support agencies across all tiers of government.

To this end Seda provides information, counselling and business support services, targeting in particular, micro and small enterprises (including co-operatives) from all sectors throughout the country. Assistance is also given to medium sized enterprises and emerging entrepeneurs.

Vision: To be the Centre of Excellence for small enterprise development in South Africa.

Mission: To develop support and promote small enterprises to ensure their growth and sustainability in co-ordination and partnership with other role players.

Goal: To ensure that the small enterprise sector grows and increases its contribution to sustainable and equitable social and economic development, employment and wealth creation.

Target Market: Seda's target market covers small, medium and micro enterprises (SMME), including cooperatives, as well as potential entrepreneurs with a business idea. The definition of a small enterprise is provided for in the National Small Business Act of 1996 and it is based on the number of employees, turnover and fixed assets. Seda defines its clients according to the number of employees. Historically, Seda has primarily focused on the micro and very small segments of the SMME sector, due to the sheer volumes and the number of people who want to start a business.

The outputs in terms of clients assisted have been huge, but this has come at a cost on impact measures such as employment, profitability and sustainability of assisted clients. To contribute to the target of five million jobs by 2020 as outlined in the New Growth Path, Seda believes it has to review its focus on existing micro and very small enterprises (with a staff of maximum of 20) as well as those potential entrepreneurs who want to start a business or are in the early establishment phase of a business. Whilst still working with these clients, the organization will enhance its focus on small and medium sized enterprises (those employing between 21 and 200 employees). These

latter segments of the SMME sector have a larger job creation potential in comparative terms.

Small enterprises defined by number of employees:

? Medium ? Small ? Very small

? Micro

51- 200 21 - 50 6 ? 20

0 - 5

33

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