Firms partner for SME growth
Retail Capital and Sureswipe unite
APARTNERSHIP between Retail Capital and Sureswipe is set to bring a much-needed level of data-driven scrutiny to the South African funding space and ensure better growth in the small and medium enterprise (SME) sector. This is according to Retail Capital chief executive Karl Westvig.
Westvig said yesterday that Retail Capital, which provides working capital to small businesses, and payment solution provider Sureswipe had recently entered into a partnership to provide easier, more accessible channels of funding so that business owners could better track and manage their income and expenses.
Sureswipe’s system traces the small businesses, so that after three months it will generate a sufficient profile for business owners to determine whether they pre-qualify for Retail Capital’s merchant funding that has the potential to open new avenues of growth.
Westvig said the partnership provided merchants with greater access to funding channels.
“It is in our business DNA to innovate, and we believe that, by expanding our partnerships and the services we provide, we are making a difference not only in the success of each business, but also in the growth of the SMEs in South Africa. Our partnership with Sureswipe gives us access to a pool of entrepreneurs who want to take the next step in growing their businesses but might not have the finance to do so,” said Westvig.
He said the ability to grow was vital not only for small businesses, but also for the South African economy as a whole.
Westvig said that, according to a World Economic Forum article written by Babson College professors Daniel Isenberg and Vincent Onmenyeh, high-growth firms, far more than start-ups, were the “real generators of jobs, taxes and wealth”.
Westvig said it’s not always easy for businesses to get the funding they need to fuel this growth.
He said a survey last year found that 52% of entrepreneurs viewed access to funding as their biggest challenge.
GIVING EASY ACCESS TO FUNDING ASSISTS THE OWNER WHEN THE BUSINESS MOST NEEDS IT
“Giving easy access to funding assists the owner when the business most needs it. The increase in turnover in the following months not only has a positive influence on their profit margins, but also gives them access to further funding and opportunities that would not have been possible through conventional funding channels,” said Seger.
Sureswipe’s managing director and founder, Paul Kent, said the payment solution space was evolving rapidly.
“It moved from being about convenience and safety, to providing automated data for inventory and now funding applications, as we can now provide our merchants with access to capital. This partnership puts us at the forefront of that evolution and entrenches our position as a leading enabler of South African businesses,” said Kent.