SMMEs business plan approval low

SMMES-Street vendors.PIC: KAGISO ONKATSWITSE
SMMES-Street vendors.PIC: KAGISO ONKATSWITSE

Business plan approvals for Small, Medium and Micro Enterprises (SMMEs) remain low, as financiers are reluctant to fund them.

The Local Enterprise Authority (LEA) revealed on its latest annual report for the 2014/2015 financial year that financiers continue to regard SMMEs as high risk, and therefore apply overly cautious measures when considering funding for them.

According to the LEA’s chief executive officer (CEO), Tebogo Matome they have facilitated development and submissions of 20 business plans at the value of P27.3 million to various financing institutions during the financial year.

Editor's Comment
A step in the right direction

That is indeed a welcome development, especially looking at the fact that the manual way of doing things is slowly disappearing and competency in the use of computers and other digital gadgets has become a must.The simple way of looking at it is just an example that almost all companies have gone completely digital and school leavers will be better placed after leaving school, because they will already be familiar with the use of computers.The...

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