Seda boost for local incubation space
Move is aimed at maximising resources at hand and growing the SMME economy
THE Small Enterprise Development Agency (Seda) says it is preparing for its new role as a key facilitator within the incubation and acceleration ecosystem.
In terms of this role, Seda will be responsible for designing incubation models, managing national incubation standards, market assessments aimed at feeding opportunities to the ecosystem and influencing or directing private sector and government spend accordingly.
Speaking at a recent event, acting deputy director: General Enterprise Development at the Department of Small Business Development (DSBD), Mzoxolo Maki, said: “There is definitely a need for Seda to play a role in the regulation, co-ordination and facilitation of the incubation and acceleration space in South Africa.
“Seda needs to elevate its role to be the ecosystem leader, by leading incubators instead of being a regular participator,” he said.
“This move is aimed at maximising resources at hand, as both Seda and the DSBD do not have enough resources to reach all these SMMEs. With improved co-ordination of the Business Development Support (BDS) ecosystem, we can bring about significant growth and positive impact to the South African SMME economy,” said Seda chief executive Mandisa Tshikwatamba.
South Africa currently has 244 incubators and accelerators with tech incubation hubs making up only 20% of the network.
About 86% of incubators are located in urban areas, with very few existing in townships and rural areas, an ecosystem mapping exercise recently conducted by Seda revealed.
Meanwhile, the Minister for Small Business Development Khumbudzo Ntshavheni has announced the establishment of the National Small Business Advisory Council (NSBAC).
The council, which will be established in line with the provisions of the National Small Enterprise Act, will act as an advisory body to the Minister.
It will represent and promote the interests of the SMME sector, including co-operatives, and advise the minister on matters including: Strategies to identify market failures affecting the sector
The impact of current and new legislation on the sector National standards pertaining to SMME and co-operatives development and regulation Steps to be taken to create access for SMMEs and co-operatives into value chains
Constraints affecting the viability of the SMME and co-operatives ecosystem.
The ministry has called for nominations for members to serve on the council who must have expertise and experience in enterprise incubation, market access, enterprise supplier development and blended financing and SMME finance, among others.
For more information on how to nominate a person to serve on the National Small Business Advisory Council go to www.dsbd.gov.za. The closing date for nominations is Friday.