Several Joburg SMMEs are reaping the benefits of a lucrative, groundbreaking service level agreement (SLA) between the City and SourceFin, which provides essential funding support for their operations, allowing them to deliver services to various clients seamlessly. The primary focus of this SLA is to enhance service delivery in the City while simultaneously nurturing the growth and development of SMMEs, thereby contributing significantly to economic growth, and addressing the pressing issue of unemployment.
Since its inception, a remarkable total of 16 Joburg SMMEs have received substantial assistance amounting to R23-million in the form of invoice discounting and purchase order funding. Such an injection of capital has allowed these enterprises to operate more efficiently and take on more projects, fuelling their expansion and creating employment opportunities within their communities.
Bohlokoa Masia, Manager at Ikamvalethu Opportunity Centre, lauds the collaboration with SourceFin, highlighting the significance of partnering with SourceFin, a reliable financial partner, to support small, micro, and medium enterprises in securing funding for their business ventures.
"Through SourceFin, we are able to provide crucial resources and support to SMMEs, address their financing challenges, and help them succeed in the market," he says.
Masia works in the Sustainable Employment Facilitation Unit within the Department of Economic Development, which spearheads the initiative, empowering SMMEs to thrive while stimulating economic growth.
SourceFin's financial injection has played a crucial role in helping emerging and established small businesses expand their operations and compete more effectively in the market. Among the notable beneficiaries of this partnership are Pendoflash, Pythagoras, Leratech, Purple Wire, and MD Dsign Worx, all of which have witnessed significant growth and success in their respective industries.
Linda Mpofu, the owner of Brim Energy, a Black female-run business, attests to the transformative impact of SourceFin's financial support, which has catapulted her company to new heights.
Mpofu says Brim Energy now supplies and delivers fuel efficiently to customers of all sizes, thanks to the reliable cash flow enabled by SourceFin. The company has been able to employ additional staff, contributing to local job creation, and is now poised to expand its market reach to serve both large-scale clients and small and medium businesses.
Another success story comes from Kwena Malebana, the founder and Chief Executive of a leading wholesale medical supplier. With the backing of SourceFin's financial support, Malebana says his company has flourished, providing healthcare professionals and institutions with high-quality medical products and supplies.
The reliability of SourceFin's funding has allowed Malebana to focus on growing other aspects of his business with confidence in its financial stability.
Masia expresses delight in witnessing the immense success of small businesses through this partnership, adding that the City's dedication to fostering a vibrant entrepreneurial ecosystem is evident in efforts to support and uplift local SMMEs through strategic collaborations like this one.
"Our collaboration with SourceFin is just the beginning. We are actively exploring opportunities to expand our partnerships to support even more SMMEs in the future to enable them to thrive in today's competitive market," he says.
Masia notes that the transformational alliance between the City and SourceFin serves as a shining example of how public-private partnerships can drive meaningful change and create sustainable economic growth by empowering local businesses.
"As these SMMEs continue to flourish and contribute to the City's prosperity, our commitment to the overall success of Joburg SMMEs remains steadfast."
Written by Getrude Mamabolo
27/07/2023
