SP Impact Fund (the Fund) provides funding for the following

• Purchase Order Funding – unlocks working capital to procure materials from suppliers for a particular Purchase Order awarded to the SMME.
• Materials and Supplies Procurement Funding – typically involves procurement of materials and supplies for SMMEs executing projects with the Funds strategic partners.
• Invoice Discounting (ID) – unlocking/providing bridging finance for working capital on the back of invoices that are in the payment pipeline of Paymasters.
• Concessionary Loans/Construction funding – funding of both materials and supplies, as well as working capital to enable the SMME to deliver on their contracts timeously. This funding can be a combination of any of the above-mentioned products.

No, the funding provided does not require collateral, however, to be eligible, applicants must meet the Fund’s selection criteria as specified.

This varies and depends on the nature and complexity of the funding requirement. However, should all of the application and compliance requirements be met, the standard turnaround time is typically no more than one month of receipt of the completed application with supporting documentation.

Depending on the form of funding, SP Impact Fund’s model is based on short repayment cycles which range between 30 to 180 to 12 months. Typically, our loans are structured around a maximum repayment period of one year depending on the funding type.

SP Fund provides financial products at concessionary rates and with no collateral requirement. Also, the Fund approaches each application on its merit applies the right model so as to establish a transaction that does not hinder the SMME in achieving his project milestones and objectives.

Yes, this is a requirement. Funding will only be disbursed to an SP Impact Fund regulated account.

In line with its Risk Management and Credit Control policies, the Fund insists on ring-fenced bank accounts that are ceded to the Fund until such time that the loan is fully paid. The bank accounts are opened in the name of the participating SMMEs with SP Impact Fund confirmed as a signatory.

The ring-fenced accounts are used exclusively for receiving and distributing funds that are received from the paymaster / main contractor or used to pay suppliers for goods and services.  Funds received in the account not related to the project funded by us, will be treated as non-related and will be distributed to the SMMEs nominated business bank account.

The Fund is responsible for the bank fees on the account until the project is concluded. The SMME will be responsible for the fees should they which to take over the said account.

No, unless it becomes necessary. Its involvement is limited to a support and advisory role. A Project Manager (PM) is assigned to each project and works with the Management for the duration of the project.  The PM is assigned at the initial stages of the application and will assist the applicant throughout the process.

This depends on the nature of non-financial support, however, should the intervention fall outside the standard scope of non-financial services of the Fund, the applicant will be required to pay toward that service.  Depending on the speciality and technical content of the intervention, the Fund may consider a subsidy towards the cost.

SP Impact Fund will still provide whatever assistance possible to enable SMMEs to achieve compliance. Each case is afforded the Fund’s full attention and assistance.

This is a fundamental condition for approval.

The PM assigned to you will work with you to determine exactly what the training needs are for yourself as the business owner as well as for your employees.  This needs analysis will result in a training programme over a specific period.

Our minimum requirement is that your funding needs must be R250,000 and above.
 
Our maximum threshold is R5 million per SMME funded.