En­tre­pre­neur­ial go-get­ters wanted


CityPress - - Business -

The IDC has cre­ated an on­line por­tal that makes it easy for those seek­ing fund­ing to sub­mit ap­pli­ca­tion forms and track ev­ery step of their ap­pli­ca­tion process.

Ap­pli­cants must log onto idc.co.za and pro­ceed to the “ap­ply for fi­nance” func­tion, where they can sub­mit their ap­pli­ca­tion.

Once they have sub­mit­ted the ap­pli­ca­tion, they will re­ceive a track­ing num­ber that they can use to track the process and view all the stages that the ap­pli­ca­tion goes through, from as­sess­ment through to due dili­gence. The por­tal has been avail­able since May 1.

David McGluwa en­cour­ages peo­ple to make use of this fa­cil­ity. He said it would as­sist to speed up the ap­pli­ca­tion process. Po­ten­tial IDC clients re­ceive SMSes that alert them to what in­for­ma­tion is re­quired of them through­out the as­sess­ment process.

“Some­times a client waits for in­for­ma­tion, but they do not know that the IDC is also wait­ing for them to give ad­di­tional in­for­ma­tion. That is where we some­times ex­pe­ri­ence de­lays. This por­tal will as­sist him or her to track their re­spec­tive ap­pli­ca­tions,” he said.

McGluwa says it nor­mally takes be­tween one and three months to go through the ap­pli­ca­tion stage, as­sess­ment and dis­burse­ment of the granted loan.

McGluwa said while the cor­po­ra­tion has funded some as­tute young busi­ness­men who have gone on to cre­ate suc­cess­ful en­ter­prises, South African youth were gen­er­ally prone to start­ing busi­nesses in ar­eas they feel com­fort­able in, but which the IDC would not con­sider for fund­ing.

These in­clude car washes, shisa nya­mas or the taxi op­er­at­ing busi­ness.

“Most young peo­ple have never had ex­po­sure to a man­u­fac­tur­ing com­pany, so it’s very dif­fi­cult for them to start a busi­ness in an area that they have not been ex­posed to. What they know from grow­ing up – tuck shops or car­washes – we see a lot of those en­quiries com­ing through.

“We sit with a lack of in­no­va­tion among young peo­ple. It’s more like: ‘my neigh­bour has this busi­ness, I must also have one’; in­stead of look­ing at a mar­ket gap [and de­ter­min­ing] ‘what can I come up with to close that mar­ket gap?’”

How­ever, he is ex­cited about the drive led by the IDC and the depart­ment of trade and in­dus­try to cre­ate new black in­dus­tri­al­ists.

McGluwa said new black in­dus­tri­al­ists were in­vest­ing in sec­tors that were driv­ing the econ­omy, of­ten in spa­ces where few black busi­ness peo­ple have op­er­ated be­fore.

“We are see­ing black peo­ple in the ac­tive in­dus­trial sec­tors that drive the econ­omy of South Africa. They are mov­ing into that space, and that is the ex­cit­ing part.

“It has ex­ceeded all our ex­pec­ta­tions.”


LOOK UP David McGluwa, head of op­er­a­tions at the IDC, says that the de­vel­op­ment fun­der is en­cour­aged by the growth in the num­ber of young black in­dus­tri­al­ists

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