As we enter the 3rd month of life with COVID-19, your business might now be reaching the end of its reserve funds. Due to uncertainty of the duration of the pandemic and the ability of governments to contain it without a vaccine, COVID-19 is having a huge impact on Small & Medium Enterprises (SMEs).

To assist SMEs with access to information for COVID-19 relief, Morobi Chartered Accountants, in partnership with I AM AN ENTREPRENEUR, has consolidated the various business support initiatives and programmes offered by both government and private sector. This page will assist you to understand the various relief packages, qualifying criteria and application procedures.

If you believe we are missing any specific programme relevant to SMEs please do not hesitate to contact [email protected].

 InitiativeDebt Relief Finance Scheme
 Institution Department of Small Business Development
 Type of SupportDebt Relief Finance
 How to apply?

Register on the National SMME Database at www.smmesa.gov.za;

complete the online application form and upload the required supporting documents.

 How much?

Based on the level of financial distress over the preceding 3 months;

Min. R50,000. Max. R5 million.

 Terms & Conditions

Business be registered with CIPC as at 28 February 2020;
Company must be registered & compliant with SARS & UIF;
Company must be 100% owned by South African citizens;
Employees must be 70% South Africans.

 For More Informationwww.smmesa.gov.za
 InitiativeIDC Relief for Distressed Businesses
 Institution  Industrial Development Corporation
 Type of SupportThis facility is for businesses operating in the IDC mandated sectors who are unlikely to be able to pay all their debt as it becomes due & payable, as well as those businesses unable to fund their operating activities.
 How to apply?

Apply online at www.idc.co.za

No refinancing of existing facilities;

Business must show recovery in 18 – 24 months;

Have to operate in sectors within the IDC mandate. Click here for a list of sectors covered by this facility.

 How much?Dependent on each application
 Terms & ConditionsClick here for a list of sectors covered by this facility.
 For More Informationwww.idc.co.za
 InitiativeCOVID-19 Business Term Loan
 InstitutionAll Commercial Banks
 Type of SupportThe COVID-19 Term Loan Scheme for Small and Medium Enterprises (SMEs) was announced by President Cyril Ramaphosa. The initiative is the result of commercial banks working with the National Treasury and the South African Reserve Bank to provide government-guaranteed loans to SMEs that may not be able to meet their financial obligations during the lockdown and when the economy reopens. Commercial banks are in consultation with the Government on the implementation of the Term Loan Scheme and will be ready to receive applications as soon as all industry parties have concluded engagements and signed arrangements. The application forms will be made available once applications open.
 How to apply?Apply through your respective business bank
 How much?Unknown
 Terms & ConditionsUnknown
 For More InformationContact your business banker
 InitiativeFNB COVID-19 Relief Measures
 InstitutionFNB
 Type of Support

Three-month Payment Holiday for Business Loans
Assistance with Processing Credit Insurance Claims
Individual Bridge Facilities
Waiving of Speedpoint rentals & minimum fees

 How to apply?

Applications are through the FNB app, their website and call centres;

The relief measures are only for the period 01 April 2020 – 30 June 2020 (three months).

 How much?Dependent on each application
 Terms & Conditions

Turnover of no more than R20 million per annum;

You or your business must have a good credit record with the Bank, and have honoured your payments to the Bank prior to COVID-19.

 For More Informationwww.fnb.co.za
 InitiativeStandard Bank Financial Relief For Businesses
 InstitutionStandard Bank
 Type of Support

Business Loan Instalment Relief for SMEs
Personal Loan Relief for SME Owners
Business Insurance excess waiver relief

 How to apply?

Applications are through the Standard Bank app, their website and call centres;

The relief measures are only for the period 01 April 2020 – 30 June 2020 (three months).

 How much?Dependent on each application
 Terms & Conditions

Business must be based in South Africa;
Turnover of no more than R20 million per annum;
Business Current account, Bizlaunch account and Business Lending accounts are paid up to date;
Business is in good standing.

 For More Informationwww.standardbank.co.za
 InitiativeABSA payment relief plan
 InstitutionABSA
 Type of SupportThree-month Instalment Relief for Personal & Business Loans
 How to apply?

Applications are through the ABSA app, their website and call centres;

The relief measures are only for the period 01 April 2020 – 30 June 2020 (three months).

 How much?Dependent on each application
 Terms & Conditions

Business must be struggling with cash flows due to the COVID-19 pandemic;
Loan instalments, interest & fees will accrue monthly and be capitalised into your loan account.

 For More Informationwww.absa.co.za
 InitiativeNedbank COVID – 19 Debt Assistance
 InstitutionNedbank
 Type of SupportThree-month Payment Holiday for Personal and Business Loans
 How to apply?

Applications are through the Nedbank Money app, their website and call centres;

The relief measures are only for the period 01 April 2020 – 30 June 2020 (three months).

 How much?Dependent on each application
 Terms & ConditionsAll individual and business clients, with existing loan agreements, and who are in good standing.
 For More Informationwww.nedbank.co.za
 Initiativesefa COVID-19 Response Programme
 InstitutionSmall Enterprise Finance Agency (sefa)
 Type of SupportSMME Debt Relief Finance Scheme
 How to apply?Click here to download application form.
 How much?Maximum of R500,000 per SMME
 Terms & Conditions

The facility is for working capital only – strictly direct costs which should be auditable;
Term of the funding is determined by the business cash flows with a maximum of 6 months moratorium;
Interest is at Prime less 5%;
If funds are misused, the business or individual responsible will be liable for repayment at Prime plus 10%;
Company must be 100% owned by South African Citizens, employees must be 70% South Africans, and must be registered with SARS, UIF & the National SMME Database.

 For More Informationwww.sefa.org.za
 InitiativeCOVID-19 Temporary Employee/ Employer Relief Scheme
 InstitutionUnemployment Insurance Fund (UIF)
 Type of Support

A special UIF payout to affected employees.

This is not a loan, you will NOT have to pay it back.

 How to apply?

Click here to login to the U-Filing website and apply (Tip: Use Chrome or Firefox for a better experience);

Click here to read the Step-By-Step Guide on how to apply.

 How much?

The minimum amount to be paid by UIF to clients is R3,500.00;

The maximum amount to be paid by UIF to clients is R6,638.40;

Click here for a detailed explanation of the formula applied by the UIF to determine pay-outs.

 Terms & Conditions

Business must be registered with UIF;

Business must be contributing to UIF for the employees being applied for;

Business must cease operations for 3-months or less.

 For More Informationwww.labour.gov.za
 InitiativeBusiness Growth/Resilience Facility
 InstitutionDepartment of Small Business Development
 Type of SupportThis scheme is for businesses geared to take advantage of supply opportunities resulting from the COVID-19 pandemic
 How to apply?

Register your business on www.smmesa.gov.za and complete & submit the online application form;

Make sure you upload all the required supporting documents.

 How much?Funding will be dependent on the level of financial distress calculated on the average of the last 3 months.
 Terms & Conditions

The business must have been registered with CIPC by at least 28 February 2020;

Company must be 100% owned by South African citizens & employees must be 70% South African;

Be registered and compliant with SARS & UIF.

 For More Informationwww.smmesa.gov.za
 InitiativeIDC Essential Supplies Intervention
 InstitutionIndustrial Development Corporation
 Type of SupportThis facility is designed to provide funding to companies that have capacity to acquire and/or manufacture products needed to treat, curtail and combat the spread of the COVID-19 pandemic.
 How to apply?

Short term loans for once-off contract or import funding;

Revolving credit facility;

Guarantees to banks for banking facilities, imports and ordering requirements;

 How much?Dependent on each application
 Terms & Conditions

Track record of manufacturing comparable products;

Proof of contract or purchase order;

IDC loans & trade facilities @ Prime + 1% p.a;

Manufacturing Competitiveness Enhancement Programme (MCEP) loan facilities @ 2,5% p.a;

Guarantees @ 2% p.a

 For More Informationwww.idc.co.za