Entrepreneurial go-getters wanted
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