Questions and Replies

Filter by year

04 May 2021 - NW1007

Profile picture: Kruger, Mr HC

Kruger, Mr HC to ask the Minister of Small Business Development

(1)With regard to the letter from the Banking Association of South Africa dated 10 October 2020 (details furnished), what (a) total number of small-, medium-, and micro-enterprises have been successfully assisted (i) with payment breaks on credit agreements and (ii) under the loan guarantee scheme since 27 September 2020 and (b) are the relevant details of the total assistance provided; (2) what (a) total number of requests by small-, medium-, and micro-enterprises for payment breaks on credit agreements have been denied since 27 September 2020 and (b) are the relevant details of the total assistance denied; (3) what (a) total number of requests by small-, medium-, and micro-enterprises for assistance under the loan guarantee scheme have been denied since 27 September 2020 and (b) are the relevant details of the total assistance denied; (4) what measures has her department put in place to ensure that more small-, medium-, and micro enterprises receive appropriate and sufficient financial assistance?

Reply:

(1)– (4): The Department of Small Business Development does not have the information requested as the scheme is jointly managed by National Treasury and the South African Reserve Bank. We will therefore request that this question be redirected to National Treasury.

_______________________________________________________________________________

RESPONSE RECOMMENDED BY:

_______________________

MR LINDOKUHLE MKHUMANE

ACTING DIRECTOR GENERAL: DEPARTMENT OF SMALL BUSINESS DEVELOPMENT

DATE:

______________________________________________________________________________

RESPONSE RECOMMENDED BY:

________________________

MS ROSEMARY CAPA, MP

DEPUTY MINISTER OF SMALL BUSINESS DEVELOPMENT

DATE:

_______________________________________________________________________________

RESPONSE APPROVED BY:

_________________________

MS KHUMBUDZO NTSHAVHENI, MP

MINISTER OF SMALL BUSINESS DEVELOPMENT

DATE:

28 April 2021 - NW521

Profile picture: De Villiers, Mr JN

De Villiers, Mr JN to ask the Minister of Small Business Development

Whether any staff member in her department (a) performed work in addition to the responsibilities related to his or her work, outside normal working hours, in the past five financial years and (b) has been performing such work during the period 1 April 2014 up to the latest specified date for which information is available; if not, in each case, how is it determined whether such work is being performed or not; if so, in each case, (i) what number of staff members and (ii) in what job or work categories are the specified staff members employed; (2) whether approval for such work was obtained in each case; if not, what is the position in this regard; if so, (a) what is the policy of her department in this regard, (b) by whom are such applications considered and approved, (c) what number of contraventions of this policy were brought to the attention of the National Treasury in the past five financial years and (d) what steps have been taken against the transgressors?”

Reply:

1(a) Yes, 12 staff members applied to performed remunerative work outside public service in the past five years and they were all granted permission.

1(b)(i) – (ii) The 12 staff members that were granted permission, between 1 April 2014 to date, to perform remunerative work outside the Public Service, guided by the Public Service prescripts and Departmental Policy directives, were or are employed in these work categories within DSBD: Co-operatives, BBSDP, Human Resource Management, Supply Chain Management, Financial Management and Office of the Director-General.

(2)(a) The Department of Small Business Development (DSBD) has an approved Ethics Management Policy and Remunerative Work Outside Public Service (RWOPS) Policy as guided by the Public Service Regulation 2016 and the circulars from the DPSA, guiding the management of the RWOPS. The RWOPS Policy allows the applicant to perform work after office hours and not more than 40 hours per month. The Policy further indicates that applicants are not allowed to use the state resources, including the time of the department, to perform their remunerative work.

(b) The appointed Ethics Officer is responsible for processing the applications and approval is granted by the Director-General.

(c) Zero.

(d) Not applicable.

_______________________________________________________________________________

RESPONSE RECOMMENDED BY:

_______________________

MR LINDOKUHLE MKHUMANE

ACTING DIRECTOR-GENERAL: DEPARTMENT OF SMALL BUSINESS DEVELOPMENT

DATE:

______________________________________________________________________________

RESPONSE RECOMMENDED BY:

________________________

MS ROSEMARY CAPA, MP

DEPUTY MINISTER OF SMALL BUSINESS DEVELOPMENT

DATE:

_______________________________________________________________________________

RESPONSE APPROVED BY:

_________________________

MS KHUMBUDZO NTSHAVHENI, MP

MINISTER OF SMALL BUSINESS DEVELOPMENT

DATE:

20 April 2021 - NW21

Profile picture: Mthenjane, Mr DF

Mthenjane, Mr DF to ask the Minister of Small Business Development

What (a) total amount of the budgeted COVID-19 relief fund for small businesses has been distributed to date and (b) is the racial profile of the businesses to which the specified funds were distributed?”

Reply:

a) Disbursements under the SMME Debt Relief Fund amounted to R316.2 million to 1 151 SMMEs of the R513 million that was set aside. It must be noted that no additional claims from approved beneficiaries were received against the Scheme when the economy moved to lockdown level 3.

b) The racial profile of the businesses is outlined as follows:

Race

Number

%

Asian

3

0.26

Black

696

60.47

Coloured

67

5.82

Indian

98

8.51

White

287

24.93

Total

1 151

100.00

20 April 2021 - NW77

Profile picture: Msimang, Prof CT

Msimang, Prof CT to ask the Minister of Small Business Development

Whether her department has taken steps to ensure that small, medium and micro enterprises that form part of the constituencies of municipalities are included in the procurement model of the cities to open up enough space for small business to participate in line with supply chain management processes of each city; if not, why not; if so, what are the relevant details?”

Reply:

The procurement of goods and services in municipalities is governed by the Municipal Finance Management Act, the Supply Chaim Management Regulations of the National Treasury as revised and the applicable Practice Notes as issued National Treasury. The MFMA, SCM Regulations and the various Practice Notes prescribe procurement requirements from SMMEs and Co-operatives of each municipality.

To augment the legislated mandates, the Department of Small Business Development consults and lobbies the South African Local Government Association (SALGA) on various policy and SMME support instruments it develops for adoption and implementation in municipalities. A recent example is that of when the Department was developing the SMME-Focused Localization Framework in 2020, it held consultations and mobilized for adoption by municipalities for implementation. The Localisation Framework identifies over 1000 products and services that must be procured from SMMEs and Cooperatives. To date, SALGA continues to create a platform for the Department to create awareness of the Localisation Framework amongst the municipalities to consider SMMEs and Co-operatives produced goods or services when issuing out tenders to bidders. To demonstrate success of this mainstreaming work, the City of Tshwane continues to consult with the Department in their process of developing its own localisation policy and reviewing its supply chain management policies.

_______________________________________________________________________________

15 December 2020 - NW3034

Profile picture: Schreiber, Dr LA

Schreiber, Dr LA to ask the Minister of Small Business Development

What is the current total Rand value of her department’s backlog for paying service providers within 30 days in compliance with the provisions of the Public Finance Management Act, Act 1 of 1999?

Reply:

The Department of Small Business Development (DSBD) does not have a backlog of service providers’ invoices that prevents the Department from paying within 30 days as per Section 38 (1)(f) of the Public Finance Management Act.

Also, the Small Enterprise Development Agency (Seda) has no backlog. At the end of November 2020 did not have any creditors not paid within 30 days.

The total value of the Small Enterprise Finance Agency (sefa) invoices backlog by end of November 2020 amounted to R57 435.60. This amount relates to two service providers as follows:

Name of Service Provider

Invoice Number

Invoice Date

Amount

Comments

Sisanda Property Valuers

SE01/P005

28/09/2020

R9 453.00

Sisanda Property Valuers was appointed to assist with valuation services. The service provider invoiced sefa under a different company name: Liquidation Station (Pty) Ltd, which is not aligned with their original proposal. The email enquiry was sent to Sisanda Property Valuers to clarify the matter as they did not declare this information on the quotation. In their response Sisanda indicated that they secured a joint venture agreement with Liquidation Station (Pty) Ltd. sefa Supply Chain Management requested Sisanda Property Valuers to submit the JV documents/board resolution as proof to substantiate their claim. Multiple follow-up emails were sent to Sisanda Property Valuers and to date they have not responded.

Refinitiv UK Limited

98014597

30/10/2020

R47 982.60

A Purchase Order (PO) was issued to Refinitiv UK Limited, the service provider then raised an additional subscription invoice that exceeds the approved original PO amount. A submission for the additional invoice has been approved by the relevant business unit and the additional invoice will be settled by 18 December 2020.

Total

   

R57 435.60

 

_______________________________________________________________________________

RESPONSE RECOMMENDED BY:

_______________________

MR LINDOKUHLE MKHUMANE

ACTING DIRECTOR GENERAL: DEPARTMENT OF SMALL BUSINESS DEVELOPMENT

DATE:

______________________________________________________________________________

RESPONSE RECOMMENDED BY:

________________________

MS ROSEMARY CAPA, MP

DEPUTY MINISTER OF SMALL BUSINESS DEVELOPMENT

DATE:

_______________________________________________________________________________

RESPONSE APPROVED BY:

_________________________

MS KHUMBUDZO NTSHAVHENI, MP

MINISTER OF SMALL BUSINESS DEVELOPMENT

DATE:

15 December 2020 - NW3097

Profile picture: Kruger, Mr HC

Kruger, Mr HC to ask the Minister of Small Business Development

With reference to the (a) letter, dated 31 July 2020, and (b) list of unpaid invoices sent to her by Mr H C C Krüger, what are the reasons that she has not yet responded to the specified letter?

Reply:

It is not normal practice for the Minister to ignore correspondence from stakeholders of the Department; and in particular from members of the Portfolio Committee on Small Business Development. The Honourable Member can be assured that the matters raised in the letter are a subject that the Minister prioritises and feels strongly about. The Honourable Member can be further assured that the Minister has raised these concerns with the Minister of Finance. However, as previously indicated in a reply to a written parliamentary question on this matter, the Office of the Chief Procurement Officer, which is situated within National Treasury, is entrusted with this responsibility and therefore the letter is requested to be re-directed to the Ministry of Finance.

Further to this, the letter was sent directly to the Minister’s inbox at a time when the Minister was in the midst of working on the department’s response to the impact of COVID-19 on small, medium and micro enterprises and co-operatives in South Africa. This, together with her numerous other commitments, does mean at times the Minister may not be able to immediately respond to the huge amount of correspondence sent directly to the Minister’s inbox, without copying the supporting officials. For this exact reason, there are a number of officials that are assigned to assist the Minister to timeously attend to correspondence and the office of the Honourable Member is requested to copy the officials in correspondence with the Minister as they were not copied the letter that was sent to the Minister in July 2020. The officials are:

09 November 2020 - NW2565

Profile picture: Kruger, Mr HC

Kruger, Mr HC to ask the Minister of Small Business Development

What are the reasons of her non-attendance of each meeting of the Portfolio Committee on Small Business Development (a) in the past financial year and (b) since 1 April 2020?”

Reply:

Whenever the Minister for Small Business Development is not able to attend a Portfolio Committee meeting, there is always an apology that is tabled which provides a reason for the Minister’s absence from that particular meeting. The Secretariat of the Portfolio Committee can provide the Honourable member with copies of the Minister’s apologies for each meeting the Minister was not able to attend.

28 September 2020 - NW2045

Profile picture: Mbhele, Mr ZN

Mbhele, Mr ZN to ask the Minister of Small Business Development

Whether, with reference to her reply to question 780 on 25 May 2020, she will provide Mr Z N Mbhele with a detailed list of all the approved beneficiaries of the Small, Medium and Micro Enterprise Debt Relief Fund, indicating the (a) provincial breakdown and (b) loan amount allocated in each case; if not, why not; if so, what are the relevant details?

Reply:

(a)- (b) Two excel spreadsheets with detailed lists of all the approved beneficiaries of the SMME Debt Relief Fund, indicating the provincial breakdown and loan amounts specified in each case are attached as Annexure A and Annexure B.

NB: This information is also available on the Department’s website

28 September 2020 - NW1485

Profile picture: Abrahams, Ms ALA

Abrahams, Ms ALA to ask the Minister of Small Business Development

(1)With reference to the total number of small, medium and micro enterprises (SMME) relief funding applications that her department has received to date, what total number of the specified applications (a) were received from (i) early childhood development centres and (ii) partial care facilities, (b) in each case qualified for SMME relief funding and (c) were rejected in each case; (2) what were the reasons for each rejected application in each case; (3) what total (a) number of the qualifying applicants in each case have been paid out, (b) amount in Rand has been paid out to qualifying applicants in each case and (c) amount in Rand still needs to be paid out to qualifying applicants in each case?NW1856E

Reply:

(1)(a)(i) The total number of applications received from early childhood development centres is 11 (eleven)

(1)(a)(Ii) The total number of applications received from partial care facilities is 0 (zero).

(1)(b)&(c) and (3)(a)-(c):

 

No

Name of Centres /

Facility

(1)(b) Qualified for SMME relief funding

(Yes/No)

1(c) Rejected for SMME relief funding

(2) Reason for rejection.

(3)(a) total amount paid to qualifying applicants

3(b) Amount still to be processed

Early Childhood Development Centre

1.

Pretoria West Early Childhood Development Centre

Yes

No

n/a

-

R228,000

 

2.

Ambulante (Pty) Ltd

Yes

No

n/a

R228,360

-

 

3.

JHJ Training CC

Yes

No

n/a

-

R156,694

 

4.

Canaan Consultants CC

Yes

No

n/a

R324,361

R170,768

 

5.

Truand Trading CC

Yes

No

n/a

-

R292,404

 

6.

Richys Training Centre & Technology (Pty) Ltd

Yes

No

n/a

R13,959

R13,959

 

7.

Pita Pan Events Cc T/A EarthkidzCreche

Yes

No

n/a

R63,997

R299,330

 

8.

Little Splash (Pty) LtdLtd

Yes

No

n/a

R18,500

R37,000

 

9.

Learn Play And Grow Kuruman Montessori Tree

Yes

No

n/a

R385,382

-

 

10.

Lauem Investments (Pty) Ltd

Yes

No

n/a

114,444

R329,200

 

11.

JSLH School (Pty) Ltd

Yes

   

R481,474

-

Partial Care Centre

1.

None

         

2. There were 0 (zero) rejections in this category.

3.In order to ensure that funds are utilised for their intended purposes, disbursements are based on the clients’ monthly expenses and are paid out monthly. All remaining amounts will be disbursed by the end of July 2020 as the relief scheme comes to an end.

The table link below provides the provincial spread of approvals and disbursed amounts to date in this category:

https://pmg.org.za/files/RNW1485TABLE.pdf

28 September 2020 - NW1811

Profile picture: Komane, Ms RN

Komane, Ms RN to ask the Minister of Small Business Development

In light of the suspension of the Township Enterprise Fund, what plans does her department have to redress the spatial inequality faced by township businesses as township entrepreneurs struggle with poor infrastructure, access to formal supply chains, lack of networks and access to information?

Reply:

Before the declaration of National State of Disaster, Cabinet approved the Township and Rural Entrepreneurship Programme (TREP) on the 4th of March 2020 as a programme to support township and rural entrepreneurship. After the National Treasury reprioritised the national budget to fund the priorities that directly assisted the country to respond and mitigate against the impact of Covid-19 pandemic both on health and livelihoods of South Africans, the Department like most others was required to reprioritised its revised allocation in line with priorities focus areas. The Department in its priority interventions included the TREP as a priority programme that is funded through the adjusted Budget. The following interventions under TREP were implemented jointly with the agencies (Seda and sefa):

  • Autobody Repairers and Mechanics Support Scheme;
  • Bakeries and Confectioneries Business Support Scheme;
  • Clothing, Textile and Leather Business Support Scheme;
  • Personal care (Hairdressers) support programme; and
  • Butcheries support programme

In addition, the department also implemented the Informal Business Support programmes that prioritised businesses located in townships and rural areas, such as:

  • Spaza Shops and General Dealer Support Programme;
  • Tshisanyama and cooked food support programme;
  • Fruits and Vegetable Hawkers and Butcheries Support Programme.

Therefore, the suspension of the Township Entrepreneurship Fund has not suspended the Department’s support to township and rural based businesses in a form of a dedicated programme.

28 September 2020 - NW2044

Profile picture: Mbhele, Mr ZN

Mbhele, Mr ZN to ask the Minister of Small Business Development

(1)What number of small and medium enterprises (SMEs) have received government-guaranteed loans since the declaration of a state of national disaster; (2) whether her department provided inputs to the National Treasury on the planning and design of the Loan Guarantee Scheme for SMEs in order to ensure that the interest and unique needs and/or circumstances of (a) SMEs and (b) sole proprietors were substantively taken into account; if not, why not; if so, what are the relevant details?NW2606E

Reply:

1. The Department of Small Business Development (DSBD) is not responsible for the National Credit Guarantee Scheme as it is being implemented by National Treasury with the Reserve bank through the Commercial Banks.

2. The Department of Small Business Development (DSBD) was not requested to provide inputs in the development of the Loan Guarantee Scheme. However, since it became apparent that the National Credit Guarantee Scheme is not succeeding to fund mainly black owned small businesses that are continuously being rejected despite the relaxation of the funding criterion, the Department together with the Small Enterprise Finance Agency (sefa), have tabled a proposal to National Treasury to accommodate Khula Credit Guarantee (sefa subsidiary) to participate in the National Credit Guarantee Scheme in address the apparent market failure. The proposal is awaiting the decision of the Minister of Finance.

28 September 2020 - NW1973

Profile picture: Ngwenya, Ms DB

Ngwenya, Ms DB to ask the Minister of Small Business Development

What (a) is the role of her department in ensuring that the interests of women, youth and persons with disabilities are advocated for in the small business sector, (b) has been the contribution of her department in the development of the National Gender-based Violence and Femicide Strategic Plan 2020-2030 with regard to small business development and (c) are the strategies of her department in implementing economic power in respect of women acquiring land ownership?

Reply:

a) The Department of Small Business Development (DSBD) has not only advocated for the interest of women, youth and persons with disabilities in economic participation but has set specific targets to actively support businesses owned by women, youth and persons with disabilities included across its agencies.

The Department and its agencies (SEDA and sefa) have the following targets that are applicable for both financial and non-financial support across its implemented programmes:

Minimum of 40% of small-businesses supported must be women-owned and managed;

Minimum of 30% of small-businesses supported must be youth-owned and managed; and

Minimum of 6% of small-businesses supported must be owned and managed by persons with disabilities

In its reporting, the Department and its agencies report on progress that has been made in achieving these targets.

b) The DSBD actively participated and contributed to the development of the National Gender-based Violence and FemicideStrategicPlan (GBVF-NP) 2020-2030 especially Pillar 5, which deals with economic empowerment and the specific targets as indicated in (a) above are factored in the Plan as part of the department’s contribution.

c) The Department has no mandate to fund land acquisition, however the department and its agencies support small-scale agribusinesses in the areas of enterprise development, access to market support, and business infrastructure including equipment support (specific to agro-processing).

14 September 2020 - NW2043

Profile picture: Mbhele, Mr ZN

Mbhele, Mr ZN to ask the Minister of Small Business Development

(a) On what date will the reviewed organisational structure of her department be finalised, (b) what are the reasons for the delay in the finalisation and (c) who is responsible for the approval of the reviewed organisational structure?

Reply:

a) It is anticipated that the organisational structure will be finalised and submitted to the Minister of Public Service and Administration for consideration and concurrence by end of October 2020.

b) The finalisation of the structure was affected by the Covid-19 Lockdown as the focus of the relevant officials within the department shifted to making the work environment safe (Covid-19) for business continuity as the Department was part of those that were categorized as essential services.

c) The Minister of Small Business Development approves the structure in consultation with the Minister for the Public Service and Administration.

14 September 2020 - NW1953

Profile picture: Komane, Ms RN

Komane, Ms RN to ask the Minister of Small Business Development

What total (a) amount has been disbursed by the Small Enterprise Finance Agencyand (b) number of businesses have been supported through the Covid-19 Emergency Relief Funds since the declaration of a national state of disaster?

Reply:

Programme

a)Amount Disbursed

b) Number of SMMEs/Spazas

SMMEs Debt Relief Fund

R306.7million

1 159

Spaza Shops Support Programme

R16.2 million

4 626

14 September 2020 - NW2073

Profile picture: Mthenjane, Mr DF

Mthenjane, Mr DF to ask the Minister of Small Business Development

What (a) total number of small businesses have closed as a result of the Covid-19-induced lockdown between March and August 2020 and (b) role has her department played in assisting small businesses during the specified period?”

Reply:

a) The coverage of the businesses closed due to Covid-19 induced lockdown may differ given the different regulations based on the Risk Adjusted Strategy levels and with reference to several surveys conducted in the country during this period.According to the survey conducted by the Department in partnership with the World Bank, from a survey of 2 226 firms contacted 47% firms reported to be closed during the second half of May 2020 (Lockdown Level 4).

Statistics South Africa conducted a rapid response survey (experimental study) in April 2020 (for reference period 30 March to 13 April 2020). The study provided an early indication of business impact resulting from Covid-19. Responses were received from 707 businesses across 10 industry sectors. Key results were as follows: The majority of responding businesses (85.4%) reported turnover below the normal range; 46.4% indicated temporary closure or paused trading activity; 50.4% expected their workforce size to stay the same in the two weeks after the survey, while 36.8% reported that their workforce size is expected to decrease; 28.3% indicated that their workforce has decreased working hours and 19.6% reported laying off of staff in the short term; and 19.1% indicated that prices of materials, goods or services purchased increased more than normal.

In terms of access to financial resources: 23.8% indicated a decrease while 52.6% indicated access to financial resources remained the same; 38.2% of businesses applying for financial assistance reported that they would use government relief schemes; 30.6% indicated they can survive less than a month without any turnover, while 54% can survive between 1 and 3 months. These are some of the findings regarding businesses affected by Covid-19 and the effects of the lockdown. The DSDB will be undertaking a second wave of the Covid-19 Business Pulse survey in partnership with the World Bank in the next few months to check the effects of the lockdown especially as the country moves to low levels and the economy begins to open up.

(b) Following the Covid-19 induced lockdown, the DSBD together with its agencies (the Small Enterprise Development Agency [Seda] and the Small Enterprise Finance Agency [sefa])developed interventions to ensure that small enterprises survive Covid-19 challenges in the economy and preserve jobs during this period. The following are the interventions implemented:

To ensure that SMMEs do not close down completely the DSBD initiated the SMME Debt Relief Finance Scheme. This scheme supported SMMEs through with working capital[payroll assistance, rental assistance and utilities] to ensure that jobs are retained in the economy. This scheme has run its course and is now closed.

In order to facilitate economic recovery amongst SMMEs, the DSBD conceptulised a range of sector specific schemes. Of these schemes, the following has been launched:

  • Spaza Shops and General Dealer Support Programme;
  • Autobody Repairers and Mechanics Support Scheme;
  • Bakeries and Confectioneries Business Support Scheme; and
  • Clothing, Textile and Leather Business Support Scheme;

Furthermore, the DSBD has recently launched the following schemes:

  • Tshisanyama and cooked food support programme;
  • Personal care support programme;
  • Fruits and Vegetable Hawkers;
  • Butcheries Support Programme;
  • Small Enterprise Manufacturing Programme; and
  • Business Viability Programme.

sefa has also instituted a range of support measures to assist the SMMEs that they are funding. Amongst these measures, are the following interventions:

  • Work with clients around repaying existing loans, without restructuring the loans, but allowed leniency on repayments;
  • No penalties or additional interest was charged on late repayments;
  • Not aggressively pursuing arrears;
  • sefa is providing struggling clients with additional moratorium to enable them to recover from the market shock before they resume repaying their loans, especially those who started operating from lockdown level 3 and 2.
  • sefa’s key funding Partners (Intermediaries) have provided interest and capital moratoriums to end users during the lockdown period;

06 July 2020 - NW1156

Profile picture: Wessels, Mr W

Wessels, Mr W to ask the Minister of Small Business Development

(1)With reference to her reply to question 916 on 5 June 2020, what (a) is the name of each company from which the specified goods and/or services were purchased, (b) is the amount of each transaction and (c) was the service and/or product that each company rendered; (2) whether she will make a statement on the matter? NW1456E

Reply:

1. (a) (c) The following goods were procured:

  • 75 Laptops and 75 Laptop bags from Massmart Stores for a total of R682 350.00.
  • 75 Data cards and 75 Wi-Fi routers through the RT 15/2016 (Vodacom) for R43 038.75.
  • 1000 Masks from Hlathi Developments and Enterprises (Pty) Ltd for R35 750.00

2. No

06 July 2020 - NW1162

Profile picture: Kruger, Mr HC

Kruger, Mr HC to ask the Minister of Small Business Development

Whether her department has a strategy to assist existing small, micro and medium enterprises to start conducting business again after the devastating effects that Covid–19 had on their businesses; if not, what is the position in this regard; if so, (a) what are the relevant details and (b) on what date is it envisaged that the department will start rolling out the assistance?

Reply:

To assist existing SMMEs to start conducting businesses again after the effects of Covid-19, the Department of Small Business Development has initiated various programmes to support both formal and informal businesses. The informal and micro-business support schemes include:

  1. The Spaza Support – this scheme is not only meant to su
  2. Small Scale Bakeries and Confectioneries Business Support Scheme;
  3. Small Scale and Micro Clothing, Textile and Leather Business Support Scheme; and
  4. Automotive Aftermarkets Support Scheme.

More dedicated interventions such as those for butcheries, informal restaurants, personal care support are being finalised to support the micro and informal businesses to ensure the most vulnerable sector, which employs the largest number of people is adequately supported. These schemes fit in well with the Cabinet approved Township and Rural Entrepreneurship Programme that the DSBD is expected to implement during this current financial year.

In addition, the Department of Small Business Development is finalising other interventions to support formal SMEs when they return back to business activities during and post-Covid-19 pandemic. These interventions include the Business Viability scheme, which is targeting businesses through the economic recovery phase as we will be ensuring that SMMEs are ready to adjust to the new ways of doing business and ensuring that their business processes are adjusted to suit the new ways of doing business. Another intervention is the small scale manufacturing scheme to support and bolster local manufacturing as part of the department’s localization programme.

Public announcements are made as and when a support programme is ready to be rolled out. The four interventions specified in the first paragraph above, were all in place by the 24 May 2020.

05 June 2020 - NW911

Profile picture: Zungula, Mr V

Zungula, Mr V to ask the Minister of Small Business Development

What steps is she taking to (a) assist small businesses with access to computers so that they can access Government support, (b) bring online (i) the unregistered businesses and (ii) those whose tax clearances are invalid and (c) ensure that the micro/informal economy is reserved only for South Africans?

Reply:

a) A number of Seda offices have desktop computers at their reception areas where SMMEs can have access to the internet. It is envisaged that the footprint of these will be expanded such as to expand access to the rest of the Offices. Where Seda does not have physical offices, there are co-location points set up with municipalities and other provincial and district entities where Seda Business Advisors visit according to scheduled intervals on a weekly basis.

b) (i)-(ii) The Department launched the first database of SMMEs in the country (www.smmesa.gov.za) which enables all SMMEs to register and receive a unique registration number. This is now linked to the application process for financial and non-financial support so that when an enterprise applies for support they do not have to fill information that is already on the database therefore as someone as someone enters the registration all the information is retrieved and the enterprise will only focus on providing information that is required for that particular application. The SMMESA already interfaces with SARS and UIF whilst work is underway to interface with CIPC (BizPortal) and CSD. All these measures will ensure that those businesses that are not registered are registered and their tax matters are compliant.

In addition, as part of Business Development Services, one of Seda’s priorities is to ensure that unregistered businesses are assisted with Companies and Intellectual Property Commission (CIPC), SARS and UIF registration processes. This is done through CIPC’s BizPortal.

c)  The DSBD, ensures that all micro / informal businesses who are assisted by DSBD are owned by people with the valid 13-digit barcoded South African identity document. The Department has been tasked to provide the Department of Home Affairs (DHA) with guidelines on sectors that must be reserved for South Africans and this process is almost complete. The Department is working with DHA and the Department of Trade and Industry and Competition to ensure that these sectors are designated. Consultations are underway with the affected and relevant sectors.

 

 

05 June 2020 - NW781

Profile picture: Mbhele, Mr ZN

Mbhele, Mr ZN to ask the Minister of Small Business Development

What (a) number of applications have been received for funding relief through the Spaza Shops and General Dealers Support Scheme in each province since the implementation of the national lockdown to curb the spread of Covid-19, (b) number of the specified applications have been (i) approved and (ii) rejected in each case in each province and (c) was the Rand value of each (i) approved and (ii) rejected application in each case in each province?

Reply:

(a) – (c) The graph below contains a response to the breakdown asked for:

Province

Application

Approvals

Rand value of approvals

Declines

Rand value of declines

Referrals

KZN

895

400

1 400 000

33

115 500

43

NW

26

6

21 000

3

10500

3

GP

166

64

224 000

10

35000

1

LP

354

110

385 000

14

49000

28

NC

7

1

3 500

0

0

0

EC

322

65

227 500

4

14000

13

FS

45

8

28 000

1

3500

0

MP

40

10

35 000

0

0

2

WC

31

12

42 000

4

14000

0

TOTAL

1886

676

2 366 000

69

 

90

The referrals are applications are referred to Seda to assist with business development support and to prepare them for resubmissions. The declined are those applications that are from individuals who are not spaza shops and as well as those that are duplicates where people apply more than once.

05 June 2020 - NW757

Profile picture: Hendricks, Mr MGE

Hendricks, Mr MGE to ask the Minister of Small Business Development

(1)With reference to the total number of 16 000 applications which were received from businesses that applied for the Covid-19 Relief Fund of which 600 loans were granted, what are the names of the companies that received the 10 highest loans in each province; (2) what number of (a) stores were saved and (b) new jobs does her department envisage will be created; (3) (a) what number of applications for the Covid-19 Relief Fund were received from each metropolitan area and (b) how did her department go about in aligning the granting of loans to the hardships caused by the Covid-19 pandemic; (4) whether it was not possible to grant smaller loans so that more of the 16 000 applicants could benefit; if not, why not; if so, what are the relevant details; (5) what plans does her department have in place to assist the remaining 15 400 applicants, where the companies are either on the verge of closing down or in dire need of start-up funds? NW959E

Reply:

1. The amount of loans approved for SMMEs ranged from as little as R13 200 to R500 000. The applicants had applied for salaries, rent and utility payments. Due to the Protection of Personal Information Act (POPI), we are unable to share the details of the companies that received the highest loans in each province.

2. (a) We have recorded to date with respect to clients that have signed legal agreements with sefa R53 million in the wholesale and retail trade: repair of motor vehicles, motor cycles and personal and household goods; hotels and restaurants sector. Generally, the retail stores would be included in this category. There were 154 SMMEs in this category and 1,533 jobs were maintained.

(b) It is not possible to create new jobs in this current situation. All businesses are locked down. We can only maintain jobs and possibly create them after the lockdown period has been lifted.

3. a) The information was captured per town and not according to metropolitan area.

b) We created a scorecard, which sought to pre-qualify SMMEs based on the criteria that was established for COVID-19 Business Relief applicants. Based on the output of the scorecard, the SMME will be approved.

4. The loans are meant to provide relief to businesses, which are experiencing difficulties during the COVID-19 lockdown period. As the period of the lockdown was not known, it was decided that we provide 3 months relief depending on the circumstances of each applicant which has now been reduced to 2 months to try and cover as many people as possible. With respect to consideration to provide smaller amounts, this would have invariably not provided the required relief to some of the businesses. There are businesses that carry huge monthly costs, i.e. rent, salaries, and utilities, in excess of R100,000, which could not be satisfied by providing a fraction of their costs to cover their total cost structure. We hereby submit that all possible means were made to spread the rand evenly to accommodate as many SMMEs as possible.

5. The ability of the institution to provide further loans to the remaining SMMEs, which have not been provided with loans under the COVID-19 Business Relief Fund, depends upon receiving appropriate allocation for this purpose. Just to emphasise with the Relief Funds that are being provided are not start-up funds but are for existing businesses to assist them to pay operational costs for few months

05 June 2020 - NW916

Profile picture: Wessels, Mr W

Wessels, Mr W to ask the Minister of Small Business Development

Whether her department awarded any tenders connected to the Covid-19 pandemic; if not, what is the position in this regard; if so, what (a) are the names of the businesses to whom these tenders were awarded, (b) are the amounts of each tender awarded and (c) was the service and/or product to be supplied by each business; (2) whether there was any deviation from the standard supply chain management procedures in the awarding of the tenders; if so, (a) why and (b) what are the relevant details in each case; (3) what was the reason for which each specified business was awarded the specified tender; (4) whether she will make a statement on the matter?

Reply:

1. (a) – (c) To date, the Department did not issue any tenders related to COVID-19.

2. (a) – (b) The Department did procure some goods and services through deviation as well as through RT 15/2016 contract, in preparation for the lockdown and work from home / remote working environment, the Department deviated from the normal procurement processes to procure the following:

  • A total of 75 laptops and 75 laptop bags for officials that ordinarily used desktop computers but needed remote connection due to the lockdown. The reason for deviation was that the store that these were purchased from was the only retailor that was able to supply the required number and specifications at short notice, before 26 March 2020, following the President’s announcement of the lockdown, which was on 23 March 2020.
  • Data cards and Wi-Fi routers, 75 each, through the RT 15/2016. The RT 15/2016 is a contract that was awarded to a specific mobile service provider to supply and deliver mobile communication services for government, hence no other quotations were sourced.
  • A total of 1000 masks. The service provider was sourced from the list that was provided by National Treasury and was the only service provider who had the required stock to deliver before the lockdown that started on 26 March 2020, following the President’s announcement of 23 March 2020. This was to enable DSBD officials who may still be coming to the office to have Personal Protective Equipment (PPE).

3. Not applicable, as no tenders were awarded.

4. No

 

05 June 2020 - NW277

Profile picture: Mbhele, Mr ZN

Mbhele, Mr ZN to ask the Minister of Small Business Development

(a)(i) What total amount in funding was approved by the Small Business and Innovation Fund by the end of December 2019 and (ii) to what number of small and medium enterprises was such funding allocated and (b) what is the (i) provincial and (ii) business sector breakdown of the approved beneficiaries?

Reply:

  1. i) Total SBIF approvals by December 2019 stood at R225 million

ii) This amount was approved under sefa’s SME Wholesale Lending channel, which is executed through intermediaries. The amount disbursed will be available by the end of April 2020 from sefa’s intermediary partners. The abovementioned information will provide developmental statistics relating to the number of SMMEs funded, the provincial spread as well as the amounts disbursed. Once received, this information will be shared accordingly.

 

14 November 2019 - NW772

Profile picture: Msimang, Prof CT

Msimang, Prof CT to ask the Minister of Small Business Development

Whether her department has taken any steps to facilitate the development of information technology (IT) infrastructure, as economic growth relating to the promotion of small, medium and micro enterprises depend largely on the advanced development of IT, which is severely lacking in townships and rural areas; if not, why not; if so, (a) what steps and (b) what are the relevant details?”

Reply:

The Department is working on the establishment of ICT/ Start-up Hubs in townships and rural area, and they will be to ensure linked with the main ecosystems hubs or “Focal Points”. The ICT Hubs are also linked to the program of the Department of Communications and Digital Technologies to extend connectivity to rural and township areas. The Small Enterprise Development Agency (Seda) invested in 8 ICT incubators and ensured access to high speed connectivity and some have MakerSpaces and developed a model for ensuring upscaling of these to focus on industry 4.0 technologies as well.

(a) To give effect to the President’s pronouncement during SONA, an incubation ecosystem mapping project has been concluded. Through Seda, we have started the process of rolling out a network of 100 digital hubs prioritising townships and rural areas. Starting in this current financial year, 2019/20 we are prioritising provinces that have the highest unemployment rate amongst the young people and are rural in nature which are: North West, Limpopo, Free State, Northern Cape, Mpumalanga, Eastern Cape and Northern Cape.

(b) Details of the current IT supported incubators are:

CENTRE

SECTOR

LOCATION

CONTACT NUMBER

INVOTECH

Mixed high-tech

Durban, KwaZulu Natal

031 373 6405

iHUB Incubator

ICT

Port Elizabeth, EC

041 702 8200

SoftstartBTI (SBTI)

ICT

Midrand, Gauteng

011 695 4800

Smartxchange

ICT

Durban, KZN

031 307 1998

Smartxchange

ICT

Ugu, KZN

039 682 0631

French South Africa Tech Labs

ICT

Cape Town, WC

021 551 8183

TUKSNOVATION

High Tech Innovation Engineering and ICT

Tshwane, Gauteng

 012 420 3003

Incubation 4.0

Digital technologies

Gauteng, Sandton

010 612 6505

  • Currently, we are in the establishment phase of digital hubs in Mangaung District, Enhlanzeni, Waterberg and Bojanala district Municipalities.
  • A new digital hub in Kwa-Mashu has been completed and almost ready to be operational.

14 November 2019 - NW771

Profile picture: Msimang, Prof CT

Msimang, Prof CT to ask the Minister of Small Business Development

What steps has her department taken to promote small, medium and micro enterprises in the townships and rural areas where they are in competition with big businesses that intend to establish shopping malls and other big businesses in townships and rural areas; if not, why not; if so, what are the relevant details?”

Reply:

In the past number of years, the Department of Small Business Development (DSBD) through its agencies; the Small Enterprise Finance Agency (sefa) and the Small Enterprise Development Agency (Seda) has focused on promoting SMMEs across all sectors of the economy including townships and rural areas. SMMEs based particularly in townships and rural areas mostly battle to survive, let alone effectively compete with large businesses operating in townships. The DSBD and its entities’ role focuses on supporting these enterprises through the growth stages by offering financial and non-financial support in order to assist as many of them as possible to survive.

With the limited resources that our development agencies (sefa & Seda) have had at their disposal they have had no choice but to focus on smaller end of the SMME spectrum. Annexure A below, details some of the interventions undertaken on these smaller but important enterprises in township and rural areas.

Capital limitations for sefa & Seda also resulted in the entities focusing on investing small amounts to SMMEs particularly those in township and rural areas.

However, the recent capital allocations to the DSBD has amongst others given rise to the development of funds and Programmes such as:

  • the Small Business Innovation Fund (SBIF);
  • the sefa EU Fund; and
  • the Blended Finance Programme.

These funds and programmes are properly conceptualised, and present an opportunity to agencies like sefa to do more in promoting SMMEs, not only for the stand-alone businesses but broaden their offering in supporting SMMEs in a more sector focused way and further encourage SMME group collaborations to explore opportunities available to them.

Most black business people in townships and rural areas tend to remain in the category of small enterprises for decades and never graduate to the next growth level and become Medium enterprises let alone large. Some of the reasons that hinder this graduation pattern is the (a) lack of capital; which leads to (b) the lack of capacity to deliver and (c) limited market access and procurement opportunities. To address this gap, the Department and its agencies intends to have parallel interventions to assist entrepreneurs operating small businesses and help them to graduate to operating medium and even larger enterprises.

Going forward the DSBD and its agencies will focus on unlocking and addressing these challenges as much as possible. It is the Department’s view that creating a vibrant SMME sector that contributes significantly to the economy cannot be the sole responsibility of government. The focus of the department during the sixth administration is on expanding incubation support to rural and township enterprises. The Department intends to open and strengthen the collaboration for effective SMME promotion partnerships with the private sector.

As an example, I wish to highlight some partnerships that the sefa already has in place with some private sector players:

Mercantile Bank

In December 2017 the International Finance Corporation (IFC) committed R740m to Mercantile bank over a 7-year term. The main purpose of the loan was to enable growth in SME lending, with a specific focus on black-owned and/or women-owned enterprises. To support this initiative, sefa provided partial collateral cover for SME’s which, other than for lack of security, would qualify for Mercantile Bank’s lending criteria.

Mac Steel

During the 2018/19 financial year, through a supplier credit guarantee programme in Gauteng, the sefa supplier guarantee product enabled:

  • 149 SMMEs to largely township based SMMEs acquired steel (on credit) in order to execute purchase orders/contracts they had at hand;
  • 273 Jobs were created; and
  • the value of the indemnity provided was only R12.5m.

Other such partnerships that are currently in place include partnerships with:

  • First National Bank;
  • Sasol;
  • Transaction Capital;
  • Mr Price Group; and
  • Barnes Reinforcing Industries.

Another intervention targeted at township revitalisation is Pick n Pay market store partnership. This initiative is part of Pick n Pay’s commitment to inclusive economic participation. The generic franchise model has been enhanced by structuring an agreement with the market store owners so that they benefit from Pick n Pay’s bulk buying, logistics, systems (stock management and POS), training etc without paying a franchise fee. In turn Pick n Pay benefits from penetrating the township market and through the distribution of their products.

A facility amount of R60 million to provide funding to 15 retail stores that operate as Pick & Pay market stores under the Township Revitalisation Programme was approved in Q4 FY19. sefa provides financing with a 12-month moratorium on capital and interest and a 72 months repayment term. The stores are 100% owned by the store owners. To date sefa has approved 8 deals and opened 3 Pick n Pay Market stores in Katlehong (GP), Paarl (WC) and Bophelong (GP). The department through its Black Business Supplier Development Programme has approved funding totalling R757 262 to support two stores.

This partnership is currently being reviewed given feedback that has been received from some of the beneficiaries of the project.

14 November 2019 - NW1177

Profile picture: Hinana, Mr N

Hinana, Mr N to ask the Minister of Small Business Development

Whether her department incurred any costs related to the (a) inauguration of the President of the Republic, Mr M C Ramaphosa, held in Pretoria on 25 May 2019 and (b) State of the Nation Address held in Cape Town on 20 June 2019; if so, in each case, (i) what costs were incurred and (ii) for what reason?”

Reply:

a) The Department of Small Business and Development (DSBD) did not incur any costs in relation to the inauguration of the President of the Republic held on 25 May 2019.

b) In terms of the State of Nation Address held on 20 June 2019, only travel and accommodation costs were incurred by the DSBD as follows:

Attendee

(b)(i) Travel and accommodation costs

(b)(ii) Reason

Minister of Small Business Development

1. Flight, R10 800.17

(18-21 June 2019)

2. Accommodation, 9 356.72

(18-21 June 2019)

R 20 156.89

Attending Special Cabinet Meeting, Presidential Youth Dialogue, meeting with Vodacom and attending the State of the Nation Address

Deputy Minister of Small Business Development

1. Flight, R13 409.78

(3 way flights)

R13 409.78

Attending the State of the Nation Address

Guest of the Minister of Small Business Development

1. Guest flight, R8 216.17

(20-21 June 2019)

2. Guest shuttle in PTA, R1731.13 (20-21 June 2019)

R 9 947.30

Accompanying the Minister to the State of the Nation Address

TOTAL

R43 513 97

 

14 November 2019 - NW1374

Profile picture: Faber, Mr WF

Faber, Mr WF to ask the Minister of Small Business Development

Whether her department did business with certain (a) persons, (b) companies and (c) trusts (names and details furnished in each case) (i) in each of the past five financial years and (ii) since 1 April 2019; if so, (aa) on what date(s) did her department do business with the specified persons, companies and trusts and (bb) what was the (aaa) nature and (bbb) monetary value of each business arrangement?”

Reply:

The Department of Small Business Development has never done business with (a) persons, (b) companies and (c) trusts as per the details furnished in each case); therefore

(i) Not applicable; and

(ii) Not applicable,

(aa) Not applicable.

(bb) Not applicable.

(aaa) Not applicable.

(bbb) Not applicable.

11 September 2019 - NW628

Profile picture: Siwisa, Ms AM

Siwisa, Ms AM to ask the Minister of Small Business Development

What (a) total amount has (i) her department and (ii) each of the entities reporting to her spent on (aa) cleaning, (bb) security and (cc) gardening services in the (aaa) 2017-18 and (bbb) 2018-19 financial years, (b) amount was paid to each service provider to provide each specified service and (c) total amount was paid to each of the service providers?”

Reply:

(a),(b)&(c)(i) The Department of Small Business Development (DSBD)

The DSBD has entered into a Memorandum of Agreement with the Department of Trade and Industry (thedti) who is the Landlord, the rental cost is inclusive of all facilities management services for the DTI Campus - Blocks A and G. During 2017/18 and 2018/19 financial years, thedti has been responsible for all cleaning and hygiene services.

(a),(b)&(c)(ii) The Small Enterprise Development Agency (Seda)

 

No

Service Provider Name

Service Description

2017/18

2018/19

National Office

1

Affriboom

Cleaning

R694 775.88

 

 

2

Affriboom

Cleaning

 

R231 349.85

 

3

Staza

Cleaning

 

R454 558.16

 

4

Unitrade 1047 cc t/a Isidingo Security services

Security

R734 435.90

 

 

5

Unitrade 1047 cc t/a Isidingo Security services

Security

 

R510 367.61

 

6

Fidelity Security Services

Security

 

R350 178.44

 

7

Servent Office plant

Indoor plants

R136 397.58

 

 

8

Servent Office plant

Indoor plants

 

R74 942.53

 

9

Nomsa Ntentengi and Trading projects

Indoor Plants

 

R86 814.00

 

 

TOTAL

 

R1 565 609.36

R1 708 210.59

 

No

Service Provider Name

Service Description

2017/18

2018/19

Provincial Offices

10

Affriboom

Cleaning Services

 

R73,345.68

 

11

African Cleaning (CWL)

Cleaning Services

R91,343.34

 

 

12

Banewa Electrical & Trading

Cleaning Services

R105,489.96

 

 

13

Bekos

Cleaning Services

R11,300.00

 

 

14

Berco Hygiene

Cleaning Services

R17,842.76

R25,271.16

 

15

Bidvest

Cleaning Services

R83,347.20

R80,078.48

 

16

Bidvest

Cleaning Services

 

R43,938.90

 

17

Bidvest Managed Solutions (Pty) Ltd

Cleaning Services

R55,925.77

R61,632.36

 

18

Bidvest Prestige

Cleaning Services

R9,712.00

 

 

19

Bidvest Steiner

Cleaning Services

R58,482.00

R58,482.00

 

20

Bidvest Steiner Hygiene

Cleaning Services

R21,166.78

R16,631.66

 

21

Bokanya Hygiene

Cleaning Services

R82,279.00

R42,309.00

 

22

Bolacco Resources CC

Cleaning Services

R83,750.00

 

 

23

Boletshe Holdings

Cleaning Services

R36,503.00

 

 

24

Bollacco Resources

Cleaning Services

 

R57,000.00

 

25

Bubbly Agent

Cleaning Services

 

R49,980.00

 

26

Buhlebenkanyezi

Cleaning Services

 

R12,900.00

 

27

Burewa Trading

Cleaning Services

R65,800.00

 

 

28

Burewa Trading

Cleaning Services

 

R55,024.00

 

29

Carman Louw ( Oudtshoorn)

Cleaning Services

 

R23,837.00

 

30

Clean Pro

Cleaning Services

R44,756.00

R8,005.14

 

31

Connilicious

Cleaning Services

 

R34,700.00

 

32

Ditlhoho Trading

Cleaning Services

R81,870.00

R38,310.00

 

33

Divine Cleaning Services

Cleaning Services

R72,265.00

R68,671.00

 

34

Duba and Associates

Cleaning Services

R65,328.00

R71,040.00

 

35

Foxi Graffin (Eden)

Cleaning Services

 

R10,943.48

 

36

George Maids (Eden)

Cleaning Services

R29,540.00

R43,200.00

 

37

Gladtidings

Cleaning Services

R80,064.00

 

 

38

Glencor Trading (VRB)

Cleaning Services

R22,500.00

R25,704.00

 

39

Immaculate Cleaning and Hygiene

Cleaning Services

R13,609.30

R22,480.04

 

40

IndustroServe

Cleaning Services

R63,788.80

 

 

41

J & M Cleaning (PMD)

Cleaning Services

R24,058.82

R16,632.31

 

42

Kamanga

Cleaning Services

R8,960.00

R53,760.00

 

43

Khoja Enterprise (Pty) Ltd

Cleaning Services

R80,434.00

 

 

44

Khoja Enterprises Pty Ltd

Cleaning Services

 

R96,528.00

 

45

Kidisa Cleaning

Cleaning Services

 

R42,500.00

 

46

Kolina

Cleaning Services

R65,328.00

R70,743.80

 

47

Kuyikhonke

Cleaning Services

R43,200.00

R53,100.00

 

48

Laguna Enterprise

Cleaning Services

R53,151.96

 

 

49

LIVCLEAN (Pty) Ltd

Cleaning Services

R79,549.20

 

 

50

Livclean Pty Ltd

Cleaning Services

 

R48,697.95

 

51

LM Nobavu Trading (Mossel Bay)

Cleaning Services

R13,312.50

R25,337.50

 

52

Lukhaya Trading

Cleaning Services

R57,000.00

 

 

53

M Gardens

Cleaning Services

 

R32,500.00

 

54

Mabaledi

Cleaning Services

 

R77,800.00

 

55

Mabobo Trading

Cleaning Services

 

R21,250.00

 

No

Service Provider Name

Service Description

2017/18

2018/19

Provincial Offiices

56

Makhegy Trading

Cleaning Services

 

R75,060.00

 

57

Makhegy Trading Enterprise

Cleaning Services

R96,680.00

 

 

58

Malukhanyo Trading

Cleaning Services

R53,900.00

R66,240.00

 

59

Mancencence

Cleaning Services

 

R25,200.00

 

60

Mantlole Trading

Cleaning Services

 

R39,000.00

 

61

Mathole ME G Trading

Cleaning Services

 

R5,680.00

 

62

Matlosa & Sons

Cleaning Services

R37,531.00

R18,300.00

 

63

Miranda Randy

Cleaning Services

R45,000.00

R54,000.00

 

64

MJJ Enterprises

Cleaning Services

 

R32,200.00

 

65

MM Williams (HER)

Cleaning Services

R35,116.63

R47,669.93

 

66

Mokganelwa Enterprise (Pty) Ltd

Cleaning Services

R175,045.04

 

 

67

Mokganelwa Enterprises

Cleaning Services

 

R58,854.25

 

68

Mvabane Trading (WORC)

Cleaning Services

R27,891.20

R38,520.62

 

69

Mzilikazi and Mfuxwana

Cleaning Services

R53,395.00

R51,035.00

 

70

Ngxito Trading

Cleaning Services

R88,000.00

R43,900.00

 

71

NIDICT

Cleaning Services

 

R40,032.00

 

72

Nonelela Cleaning Services (Pty) Ltd

Cleaning Services

R68,401.70

 

 

73

NPaul

Cleaning Services

R65,328.00

R71,040.00

 

74

Oatlegile

Cleaning Services

R59,988.00

 

 

75

Papu

Cleaning Services

R59,884.00

R65,328.00

 

76

Pray and Works

Cleaning Services

R50,435.00

R45,000.00

 

77

Quatro Cleaning Services

Cleaning Services

R8,546.00

R108,419.00

 

78

Relekwa Cleaning

Cleaning Services

R16,595.20

R16,595.20

 

79

Relisec

Cleaning Services

 

R59,340.00

 

80

Rentokil Hygiene

Cleaning Services

R126,126.18

R137,425.93

 

81

Slyvia Cleaning Services

Cleaning Services

 

R7,200.00

 

82

Sphokie Cleaning Services (CWL)

Cleaning Services

 

R16,350.00

 

83

SSG Cleaning (Pty) Ltd

Cleaning Services

R34,575.24

 

 

84

Super Care (PO)

Cleaning Services

 

R64,185.34

 

85

Taumasole Trading & Projects

Cleaning Services

R78,000.00

 

 

86

The Reeds

Cleaning Services

R46,200.00

R46,200.00

 

87

Thuthusani Co-Operative

Cleaning Services

R42,000.00

R7,000.00

 

88

Titus D

Cleaning Services

R58,333.00

R99,999.00

 

89

Top 2 Bottom Cleaning

Cleaning Services

 

R27,729.19

 

90

Walla Enterprises & Cleaning

Cleaning Services

 

R45,918.21

 

91

Yvonne Cleaning (CoCT)

Cleaning Services

R67,640.00

R69,600.00

 

92

Zanele Mary

Cleaning Services

 

R59,388.00

 

93

Zanikay

Cleaning Services

R53,760.00

R48,000.00

 

94

ZP Mjandana (PO)

Cleaning Services

R72,000.00

R12,000.00

 

95

Divine Cleaning Services

Garden Service

R31,095.00

R33,320.00

 

96

Mmotlana

Garden Service

 

R35,400.00

 

97

Thebi & Son

Garden Service

R34,900.00

 

 

98

Berco Indoor Gardens

Indoor Plants

R44,969.81

R48,113.26

 

No

Service Provider Name

Service Description

2017/18

2018/19

Provincial Offices

99

Bidvest

Indoor Plants

R2,790.72

R3,720.96

 

100

Bidvest Execuflora (Eden)

Indoor Plants

 

R15,121.68

 

101

Havenside Nurseries

Indoor Plants

R9,120.00

R9,120.00

 

102

Lindol Plants (CWL)

Indoor Plants

R12,667.20

R17,777.19

 

103

Lindol Plants (PO)

Indoor Plants

R17,127.91

R17,503.10

 

104

Roto Plant (Eden)

Indoor Plants

R23,540.00

R8,880.00

 

105

Tekwini Plants

Indoor Plants

R3,588.00

R3,588.00

 

106

ADT Security (Pty) Ltd

Security Services

R7,258.00

R7,708.00

 

107

ADT Security (Pty) Ltd

Security Services

R10,424.48

R13,327.39

 

108

ADT Security (Pty) Ltd

Security Services

R5,883.12

R11,338.18

 

109

ADT Security (Pty) Ltd

Security Services

R4,370.71

R6,739.07

 

110

ADT Security (Pty) Ltd

Security Services

R8,807.49

R3,862.28

 

111

ADT Security (Pty) Ltd

Security Services

R4,832.79

R4,706.52

 

112

Armed Response

Security Services

 

R6,110.00

 

113

Armed Response North

Security Services

R12,640.00

 

 

114

Astron Alarms - De Aar

Security Services

R5,313.13

R6,571.08

 

115

Autronica Security Services (Pty) Ltd

Security Services

R3,420.00

R3,277.50

 

116

Black Spider

Security Services

R1,120.00

 

 

117

CHUBB Security SA (Pty) Ltd

Security Services

R8,410.56

R9,432.00

 

118

CHUBB Security SA (Pty) Ltd

Security Services

R9,111.55

R10,115.60

 

119

CHUBB Security SA (Pty) Ltd

Security Services

R6,724.00

R4,925.00

 

120

CHUBB Security SA (Pty) Ltd

Security Services

R9,886.76

 

 

121

CSS

Security Services

R4,749.00

R5,139.00

 

122

Fidelity Security Services

Security Services

R7,942.08

R9,847.83

 

123

Fidelity Security Services

Security Services

R6,156.00

R7,496.81

 

124

Fidelity Security Services

Security Services

R6,087.60

R6,141.00

 

125

Fluobizz Security

Security Services

R195,624.00

R199,353.00

 

126

Gunmar Security

Security Services

R6,570.00

 

 

127

Gunmar Security - Security

Security Services

 

R10,640.00

 

128

Hartwig and Henderson

Security Services

R4,579.54

R4,674.79

 

129

Hi-Tech

Security Services

R4,200.00

R4,200.00

 

130

Loskop Alarms - Security

Security Services

R5,193.00

 

 

131

Loskop Alarms - Security

Security Services

 

R2,570.80

 

132

Mzanzi Fire and Security

Security Services

 

R4,113.00

 

133

National Security and Fire

Security Services

 

R43,628.39

 

134

National Security and Fire

Security Services

R36,294.67

R40,327.41

 

135

National Security and Fire

Security Services

R12,646.44

R5,274.35

 

136

National Security and Fire

Security Services

R9,490.70

R9,490.70

 

137

National Security and Fire

Security Services

R8,512.44

R9,418.30

 

138

National Security and Fire

Security Services

R7,264.20

R7,764.84

 

139

Northern Spark Trading

Security Services

R11,153.00

 

 

140

Northern Spark Trading

Security Services

 

R11,459.72

 

141

NST Alarms

Security Services

R3,641.00

R3,720.00

 

No

Service Provider Name

Service Description

2017/18

2018/19

Provincial Offices

142

Potties Alarm

Security Services

 

R425.00

 

143

Prestige Security

Security Services

R5,449.64

R7,996.41

 

144

Protek Security

Security Services

R8,705.00

R9,021.00

 

145

Ravens

Security Services

R2,800.00

R4,200.00

 

146

Red Alert

Security Services

R5,796.00

R6,509.00

 

147

Red Guard Security

Security Services

R9,277.00

R13,779.15

 

148

SGD Security

Security Services

R2,061.67

 

 

149

South Cape Security (Eden)

Security Services

R2,709.20

R6,517.45

 

150

Suricat Armed Response CC

Security Services

R5,181.00

 

 

151

Suricat Armed Response CC

Security Services

 

R3,634.00

 

152

The Suresh Mohanlal Valjee Family Trust

Security Services

 

R16,974.00

 

153

Thorburn Holdings (Pty) Ltd

Security Services

R4,446.00

R4,482.00

 

 

TOTAL

 

R3 796 558.99

R3 804 197.89

 

(a),(b)&(c)(ii) The Small Enterprise Finance Agency (sefa)

 

No

Service Provider Name

Service Description

2017/18

2018/19

Head Office

1

Bidvest Protea Coin

Security Service

R898 983,90

-

 

2

Lindokuhlemate Trading & Project

Cleaning Service

R400 000,00

R480 000,00

 

3

Amaloba Horticultural Service JHB (Pty) Ltd

Indoor Plants

R31 258,98

-

 

4

Monitor Net

Security Service

R3 646,00

R3 325,00

 

5

Madiali Security and Projects cc

Security Service

-

R372 312,00

 

 

TOTAL

 

R1 333 888,88

R855 637,00

Regional Offices

6

Bidvest Services (Pty) Ltd

Cleaning Services

R11 516,22

R58 086,20

 

7

Kamatsikaa Trading Enterprises cc

Cleaning Services

-

R42 390,00

 

8

SSG Cleaning (Pty) Ltd

Cleaning Services

R89 099,04

R122 048,88

 

9

Red Alert TSS (Pty) Ltd

Cleaning Services

R74 186,16

R80 977,68

 

10

Supercare Services Group (Pty) Ltd

Cleaning Service

R64 249,57

-

 

11

Kagiso Rekopnae

Cleaning Service

R96 000,00

-

 

12

Garrett Assemblies

Cleaning Service

R97 080,00

-

 

13

S and B Sales Cleaning Services

Cleaning Service

R63 826,49

-

 

14

Funaki Cleaning Services

Cleaning Service

R71 040,00

-

 

15

Gcinakahle (Pty) Ltd

Cleaning Service

R60 000,00

-

 

16

Jay Lesedi

Cleaning Service

R48 856,60

-

 

17

Mangaung t/a Nobuhle General Trading

Cleaning Service

R72 119,88

-

 

18

Sholoza Security Service cc

Security Service

-

R90 650,25

 

19

Trident Security Service

Security Service

-

R70 492,45

 

20

Ngethemba Trading (Pty) Ltd

Cleaning Services

-

R31 356,00

 

21

Fidelity Security

Security Service

R2 500,02

R45 229,79

 

22

Berco Indoors (Pty) Ltd

Indoor Plants

R5 266,80

R46 883,05

 

23

Rentokil (Pty) Ltd

Indoor Plants

R22 939,10

-

 

 

TOTAL

 

R778 679,88

R588 114,30

RESPONSE TO QUESTION 628

628. Ms A M Siwisa (EFF) to ask the Minister of Small Business Development:

What (a) total amount has (i) her department and (ii) each of the entities reporting to her spent on (aa) cleaning, (bb) security and (cc) gardening services in the (aaa) 2017-18 and (bbb) 2018-19 financial years, (b) amount was paid to each service provider to provide each specified service and (c) total amount was paid to each of the service providers?

NW1626E

06 September 2019 - NW752

Profile picture: Hoosen, Mr MH

Hoosen, Mr MH to ask the Minister of Small Business Development

(1)Whether her department hosted any event and/or function related to its 2019 Budget Vote debate; if so, (a) where was each event held, (b) what was the total cost of each event and (c) what is the name of each person who was invited to attend each event as a guest; (2) whether any gifts were distributed to guests attending any of the events; if so, (a) what are the relevant details of the gifts distributed and (b) who sponsored the gifts?”

Reply:

1. Following the proceedings of the Budget vote held on 12 July 2019, the Minister hosted a brief Stakeholder engagement session.

(a) The Stakeholder engagement meeting was held in the Parliamentary precinct at Palm Court, Marks Building.

(b) The total cost spent was R17, 866.00.

(c) The Protection of Personal Information Act prohibits the sharing personal details of participants however, the invitees comprised of stakeholders from SMME Organisations and Cooperatives, Incubators, Corporate entities, members of the public and support staff.

(2) No gifts were distributed.

(a)&(b) Not applicable.

06 September 2019 - NW716

Profile picture: Mbhele, Mr ZN

Mbhele, Mr ZN to ask the Minister of Small Business Development

What measures and mechanisms did her department put in place and is implementing to enable, promote and expand small business access to equity financing?”

Reply:

Improving investment readiness is key to both debt and equity financing. The Department through its entities has a number of programmes that aimed at ensuring that SMMEs are enabled to access equity financing. We have incubation programmes that we are implementing through Seda where we provide structured training on both technical and soft skills to SMMEs. There is also a mentorship programme that is offered through Seda where we get skilled individuals to offer mentorship support to SMMEs. The agency also runs an investor pitching initiative called “Pitch & Perfect”, to close the large gap between what entrepreneurs present and what investors are looking for.

According to the Global Entrepreneurship Index, South Africa has higher innovation than the world average, but low risk capital and low start-up skills. Pitch & Perfect addresses these gaps, by providing annual seasons of both pitching masterclasses and pitching competitions at provincial and national level, to promote and enable investment readiness.

Through sefa, upon disbursement, if a client needs business support, sefa immediately assigns a mentor for a period of up to 12 months at sefa’s cost. In addition, sefa has an agreement with South African Institute of Chartered Accountants (SAICA) to assist eligible sefa clients with management accounts at no cost to sefa clients.

_______________________________________________________________________________

06 September 2019 - NW715

Profile picture: Mbhele, Mr ZN

Mbhele, Mr ZN to ask the Minister of Small Business Development

What measures and mechanisms did her department put in place and is implementing to enable, promote and expand small business access to private sector credit from commercial banks, specifically by having the State acting as surety and/or providing debt financing as collateral for eligible small, medium and micro enterprises?

Reply:

As announced during our tabling of the Department's Annual Performance Plan (2019/2020, the Department has adopted a new operational model which includes Access to Finance as a full programme. This programme extends to risk cover and business rescue, SMME contracting models, SMME payments, Common Application Templates, Blended Funding, SMME Funding Policy, financial sustainability and innovative funding facilities. These Initiatives will progressively be rolled out throughout the next five years jointly with the private sector. Currently the credit guarantee scheme which is called Khula Credit Guarantee Scheme that is implemented through sefa is in partnership with the private sector. This scheme offers guarantee to lenders on behalf of SME borrowers who would otherwise have their access impeded by the lack of collateral required by various financiers. We intend to upscale this programme as part of expanding various funding options for SMEs.

 

06 September 2019 - NW453

Profile picture: van der Merwe, Ms LL

van der Merwe, Ms LL to ask the Minister of Small Business Development

(1) With reference to the undocumented migrants who trade illegally within the borders of the Republic and her recent statements in this regard, what plans has her department put in place in order to identify all businesses run by undocumented migrants; (2) what is the annual contribution of the foreign-owned small businesses to the gross domestic product; (3) whether she has found reports that the Republic loses R7 billion annually in revenue due to foreign-owned tuck shops that have replaced the spaza shops run by South Africans are a true reflection of the facts; if not, why not; if so, what are the full relevant details?”

Reply:

1. The Department of Small Business Development (DSBD) is participating in the National Joint Operational and Intelligent Structure which comprise of Home Affairs, South Africa Police Service, Intelligent Unit, South African Revenue Service and National Prosecuting Authority, which is aimed at addressing issues relating to undocumented migrants trading in South Africa as well as the production and dealing of illicit goods, among others.

The above mentioned multi stakeholder Task Team is working together with various Local Business Chambers to identify and quantify all businesses that are operated by undocumented migrants. As I announced during my budget vote speech, we are in the process of developing a database / repository of all informal businesses that are operating in South Africa.

2. The contribution of foreign-owned small businesses to Gross Domestic Product is unknown as they are part of the undeclared/ informal economy. Additionally, most businesses in the informal sector are unregistered, unlicensed and do not make use of banking and financial institutions. As such, these businesses do not pay tax as well.

As recently witnessed in news reports, some of the goods traded are counterfeit and in the food retail sector; most of the goods sold are not certified by health and other relevant authorities. It is therefore difficult to quantify the contribution of foreign-owned businesses to the local economy.

3. Spaza Shops in the Township and Rural Areas have grown to be predominately run by foreign nationals. There has been a decline in the number of South African owned shops due to reasons such as the lack of government support, which we seek to address as the Department of Small Business Development.

05 September 2019 - NW655

Profile picture: Zungula, Mr V

Zungula, Mr V to ask the Minister of Small Business Development

Whether, in light of the Legacy Report of the Portfolio Committee on Small Business Development of the Fifth Parliament, wherein Recommendation 15.3 states that there is a lack of a national legislative framework to deal with the dominance of foreign nationals in the micro economy (details furnished), she has found that public hearings need to be held to engage South Africans on the specified issue; if not, why not; if so, what are the relevant details?””

Reply:

The Department of Trade and Industry back in 2013 drafted a Business Licensing Bill which amongst other things was developed:

  • To provide for a simple and enabling framework for procedures for application of licensing of business by setting national norms and standards; to provide for framework for co-operative governance and harmonisation of standard procedures and minimum, requirements for application of business licence;
  • To provide for framework for support monitoring and standard setting by national government in order to build local government into an efficient, frontline agency capable of integrating the activities of all spheres of government for the overall social and economic upliftment of communities in harmony with their local natural environment;
  • To provide for the appointment of inspectors; to provide for framework of penalties and administrative fines for non-compliance; and
  • To repeal the Businesses Act, 1991 and all proclamations, notices, regulations promulgated under that law; and to provide for matters connected therewith.  

The Bill went through the stages of the legislation development processes including the tabling in Parliament in 2014. However, due to dissatisfaction from the business formations, the Bill was sent back to the dti in 2014 for further consultations. The dti spent a greater part of 2014 consulting with business formations and other relevant stakeholders. The process of retabling the Bill was not finalised given the transfer of the mandate of small business development to the newly formed Department of Small Business which did not adequate capacity to finalise the process.

Therefore whether it is regulations or legislation that is aimed at dealing with the issues around managing the economic activities in the microeconomy I am of the view that it will not be necessary to undertake consultations for the third time on the same issues.

28 August 2019 - NW286

Profile picture: Nodada, Mr BB

Nodada, Mr BB to ask the Minister of Small Business Development

What (a) total amount is budgeted for her private office for the 2019-20 financial year and (b) was the (i) total remuneration, (ii) salary level, (iii) job title, (iv) qualification and (v) job description of each employee appointed in her private office since 1 May 2019?”

Reply:

The Guide for Members of the Executive give guidance on the appointment of the staff in the Private Office. It equally provides the recommended salary levels of each post. The salary levels are adjusted on an annual basis as prescribed in the Public Service Regulations.

The Office of the Minister has a staff complement as defined in the Guide for Members of the Executive. In line with the Protection of Personal Information Act (PoPi) and the Basic Conditions of Employment Act, I am unable to provide the members with such confidential information in the manner it is requested.

I however draw the honourable members to the Department’s Annual Report wherein the organogram of the Department provides the information required. Should it be insufficient, the Department will make the personal files of the officials available for further scrutiny by the Auditor General as prescribed by the Act.

a) Total amount budgeted for the private office for both the Minister and the Deputy Minister is

R 15, 844,624.00

b) (i) (ii) (iii) Ministry- the Minister’s office staff

  • One employee at salary level 14
  • Three employees at salary level 13
  • Two employees at salary level 11
  • One employees at salary level 7
  • Two employees at salary level 3
  • One employee at salary level 5

c) Deputy Minister’s office staff

• One employee at salary level 13

• One employee at salary level 12

• One employee at salary level 11

• One employees at salary level 11

One employee at salary level 3

 

_______________________________________________________________________________

28 August 2019 - NW371

Profile picture: De Villiers, Mr MJ

De Villiers, Mr MJ to ask the Minister of Small Business Development

What (a) number of official international trips is (i) she and (ii) her deputy planning to undertake in the 2019-22 medium term expenditure framework, (b) will the (i) destination, (ii) date, (iii) purpose and (iv) number of persons who will travel with the delegation be and (c) is the detailed breakdown of the expected cost of (i) flights, (ii) accommodation and (iii) any other expenses in each case?”

Reply:

(a) The international trips for the Minister are based on the requests for support from the Presidency and other key stakeholders such as the Department of International Relations and Cooperation (DIRCO), for essential issues of national interest related to SME and Co-operatives development. However; the Departmental requests for international trips are based on the requirements of the Department of Small Business Development (DSBD) Annual Performance Plan as well as fulfilling prior commitments in multilateral engagements such as the Brazil, Russia, India, China and South Africa (BRICS) and the Indian Ocean Rim Association (IORA) that have strong SME and Co-operatives development element.

(b) The size of the delegation to any Departmental international trip is governed by the DSBD Travel Policy and approved by the Director-General. The Delegation for Ministry is determined in line with the Public Finance Management Act (PFMA) and in line with the Ministerial Handbook.

(c) The (i) flights; (ii) accommodation costs and (iii) other expenses are as per National Treasury Guidelines for the applicable job levels.

 

14 August 2019 - NW128

Profile picture: Schreiber, Dr LA

Schreiber, Dr LA to ask the Minister of Small Business Development

With reference to the reply of the former Minister of Small Business Development to question 3767 on 21 December 2018, what (a) is the current total Rand value of each government department’s backlog for paying service providers within 30 days in compliance with the provisions of the Public Finance Management Act, Act 1 of 1999, and (b) steps will her department take to address the specified backlogs?”

Reply:

a) The National Treasury does not differentiate between large and SMME in its report of non-compliance with payment of suppliers.

According to the National Treasury 2018/19 Annual Report - the total Rand value of invoices older than 30 days and not paid by national Departments at the end of the 2018/2019 financial year amounted to R 634 million with the following Departments leading:

  • The Department of Water and Sanitation = R492 million or 78% of the total Rand value;
  • The Department of Agriculture, Forestry and Fisheries = R99 million or 16% of the total Rand value; and
  • The South African Police Services = R24 million or 4% of the total Rand value.

The total Rand value of invoice older than 30 days that are not paid by Provincial Departments for the 2018/19 financial year amounted to R 6.5 billion with the following Departments leading:

  • Gauteng Provincial Treasury = R2.6 billion or 40% of the total Rand value; and
  • Eastern Cape Provincial Treasury = R2.1 billion or 32% of the total Rand value.

(b) Steps the Department will implement to address the gap:

(i) The Department is working on a database for SMMEs that will be linked to the Central Supplier Database (CSD) of the National Treasury. When the systems are integrated, the Department will be able to know the amount owed to SMMEs.

(ii) sefa is the largest funder of SMMEs who are not paid and this in turn impacts on the sefa impairment ratio. The Department has requested the National Treasury to authorise cession agreement for sefa and when the cessions for sefa and other Development Finance Institutions (DFIs) are implemented, the DFIs will support SMMEs to collect invoices owed to them.

(iii) In addition, in instances where Departments owing a lot of money to SMMEs, the Department will be engaging with the National Treasury to top-slice from their budgets and enable the National Treasury and various Departments to pay the SMMEs directly.

(iv) The Department is also introducing an application for SMMEs to lodge disputes on their outstanding unpaid invoices.

 

NW1089E

18 April 2019 - NW143

Profile picture: Groenewald, Mr HB

Groenewald, Mr HB to ask the Minister of Small Business Development

With reference to the reply of the Minister of Public Service and Administration to question 3797 on 21 December 2018, what was the total expenditure incurred by her department relating to the travel privileges contained in the 2007 Ministerial Handbook of former (a)(i) Ministers and (ii) their spouses, (b)(i) Deputy Ministers and (ii) their spouses, (c) Ministers’ widows or widowers and (d) Deputy Ministers’ widows or widowers (i) in each of the past five financial years and (ii) since 1 April 2018?

Reply:

In line with the 2007 Ministerial Handbook, all travel privileges for former Members of Parliament are administered and paid for by Parliament. I am therefore not aware of any provision in the 2007 Ministerial Handbook which caters for Departments to incur travel expenditure for former Ministers and their spouses, Deputy Ministers and their spouses, Ministers’ widows or widowers and Deputy Ministers’ widows or widowers.

18 April 2019 - NW594

Profile picture: Chance, Mr R

Chance, Mr R to ask the Minister of Small Business Development

(1)(a) What was the cost of her trip to the China Import Expo in Shanghai in November 2018 in terms of accommodation, flights and allowances, (b) who accompanied her to the specified expo and what costs did her department incur in this regard, (c) what are the names, products and business done by the small to medium enterprises (SMEs) which her department paid to exhibit at the expo and (d) what number of these SMEs had accompanied her or her department on previous expos to China; (2) (a) what was the purpose of her visit to the United Kingdom in November 2018, (b) what are the names of the government and business representatives with whom she met, (c) what was the outcome of the specified meetings, (d) who accompanied her and (e) what was the total cost of the visit in terms of accommodation, flights and allowances; (3) what progress has her department and the Small Enterprise Finance Agency made in implementing the recommendations of the report entitled Business Rescue, Turnaround and Retention for SMME&Cs, which was produced by the University of Pretoria, dated 15 December 2017?”

Reply:

(1)(a) The Minister did not travel to China in November 2018 the Deputy Minister of Small Business Development travelled. Costs relating to the China Import Expo, Shanghai of November 2018

Item

Amount

Accommodation

R 173,658.00 (5 nights for 4 People)

Flights

R 198,839.40 ( 3 Business Class & 2 Economy)

Ground Transport

R 154,052.26 ( Executive Shuttle + Car)

Allowances

R 94 333. 36.

Total

R 620 883.02

(1)(b) People that accompanied the Minister and cost incurred by the Department:

The Deputy Minister was accompanied by his spouse, the Head of Office of the Deputy Minister; the Media Liaison Officer; and the Chief Director: International Relations and Trade Promotion.

The delegation also included 15 Small Medium Enterprises (SMEs) at a cost of R 46 000.00 per person with a total of R690 000.00. This included; return flights, 4-star accommodation, ground transport, transfer by bus to Yiwu and accommodation in Yiwu and airport transfers.

(1)(c) Details of SMEs that participated at the China Import Expo:

All the enterprises participated in matchmaking activities with Chinese Businesses as well as other participants in the Expo. Additional business to business meetings were organized by the coordinator which focused on products sold by the SME’s.

Name of company

Product and business conducted by SME

Tsheola Dinare Tours and Transport

(Gauteng Province)

The enterprise was represented by its Director. Tsheola Dinare Tours and Transport is a tour operator business that offers customised travel solutions in terms of tourism services, chauffeuring and shuttle services. Tsheola Dinare Tours and Transport (GP) operates everywhere in South Africa with branches in Durban, Cape Town and Johannesburg.

IKIM solutions cc

(Eastern Cape Province)

The enterprise was represented by its Director. IKIM solutions is a manufacturer of household cleaning chemicals, a marketer and distributor of water purification and waste water treatment chemicals. IKIM solutions links up with clients and suppliers involved in detergency manufacturing value chain to market products and initiate relationships with other companies.

X Sparks

(Gauteng Province)

The enterprise was represented by its Director. This enterprise builds super-efficient mobile and web applications as well as software tools designed with the user in mind. Their solutions are designed to distinguish companies from their competition. X Sparks solutions are delivered via two vehicles: X spark atx (advanced technology extended) for software development and X spark design for all innovative digital design solutions.

Maneli Pets

(Gauteng Province)

The company was represented by its Director. Maneli Pets is a specialist manufacturer of premium pet food and pet treats for the local and export market. Maneli Pets is the first South African pet company to be certified for exports to the US, UK, EU and Asia. Founded in 2016, the company prides itself on its unique proteins, minimalist processing, consumer transparency and sustainable business practices.

Kgarose kgaros Pty Ltd (Limpopo Province)

The company was represented by its Director. Kgarose kgaros Pty Ltd is a vibrant and innovative, black owned enterprise that produces sweet potato yogurt and sweat potato drinking yoghurt. The firm deploys the energy and the skills of the youthful workers to implement cutting edge production techniques to produce one of the best yogurts in the market.

Amphiguard brickyard

(Limpopo Province)

Amphiguard brickyard was represented by its Director. This enterprise specialises in the manufacture of cement bricks namely: maxi, stock, hollow, beveled pavers, interlocking pavers and v-shaped pavers. Amphiguard brickyard mainly supply cement bricks and pavers to top franchise brands, community contractors, and government contractors.

Solve Direct Electronics. [SDE]

(Gauteng Province)

The company was represented by its Director. Solve Direct Electronics. (SDE). SDE envisions a future where all participants are knowledgeable in their electronic assembly requirements. The company mainly trains individuals in a high technology and niche industry called the Aerospace Industry. Quality and compliance training are presented on class 3 level products meaning that lives depend on what we do. The company also produces printed circuit board assembly to leading electronic companies.

Barui-Driehoek Co-operative farm

(North West Province)

The enterprise was represented by a Director. Barui-Driehoek Co-operative farm is a registered cooperative with 5 members. The 1855ha farm belongs to the government, and was allocated to Barui-Driehoek Co-operative Ltd in 2011 on a renewable 30 years lease basis by the Department of Rural Development and Land Reform (DRDLR). The farm is currently divided into 15 camps. 300 cattle production on veld: in the short term, the main focus of the cattle enterprise is bonsmara cattle.

Mankoko Consulting JV (Gauteng Province)

The company was represented by its Director. Mankoko Consulting JV is a company that manufactures leather products, hand bags, shoes, hand gloves and belts. There is a section that manufactures cleaning chemicals for households and industries. The company is now expanding, venturing into introducing the manufacturing of leather safety shoes safety gloves, and safety jackets.

Chemsol, SA Adhesives (Pty) Ltd

(Kwazulu Natal Province)

Chemsol, SA Adhesives (Pty) Ltd was represented by its Director. The company specialises in Water Based Adhesives for the Paper and Packaging Industry and Wood Industry. The product brand CHEMSOL specialises in the Solvent based Adhesive for the Footwear, Furniture and Bedding Industry.

Sun Goddess

(Gauteng Province)

The enterprise was represented by its Director. Sun Goddess is a pioneering enterprise with a truly revolutionary fashion brand. Their brand has played the role of fashion-ambassador for South Africa, participating in shows from as far west as Washington as far north as Stockholm, and as far east as Singapore. The Sun Goddess team combine a fiercely individualistic style with a prodigious work ethic and an infectious sense of fun, while delivering the best of Afro-couture.

Gridbow Engineers & Technical Services

(Gauteng Province)

The company was represented by its Director. Gridbow Engineers & Technical Services, an Award Winning Electrical Infrastructure, Civil Engineering, Consulting, Maintenance and General Services Contracting Company, has since its formation, been at the forefront of providing Quality Services to all its esteemed clients which include Eskom, Anglo American, Randwater and ABB. Gridbow currently has a footprint in South Africa, Zambia, Australia, Zimbabwe, Rwanda and Swaziland.

WAM Technology

(Western Cape)

The enterrpise was represented by its Director. WAM Technology is a provider of software solutions and services for various sectors (including health, water, agriculture, manufacturing, food processing, tourism, education, property, retail, etc.). WaM Technology provide custom software including web development services, using a variety of the latest technologies such as .Net, C#, SQL Server, JavaScript, HTML, XAML, CSS, ASP, WCF, WPF, etc. It also offer hosting, maintenance, training and support services to these solutions for many satisfied clients – big and small.

Elim Spa Products

(Western Cape)

Elim Spa Products was represented by Its Director. The company offers unique products, in that it provides a Medi-Pedi which is an idea of saving money and time for the clients who are on the go and need a beauty treatment in a hurry. Medi-Heel also is unique in the ingredients used, as it allows the PH balance of the skin to be brought back to normal after a treatment. With the formulation of the new products, care is once again taken in the selection of ingredients, to ensure only the best possible results. We have also introduced our new 2 ranges, MediHand and Body Science.

Ntlantsana Accountants and Auditors (Pty) Ltd

(Eastern Cape)

The firm was represented by its Director. The company is an accounting and auditing firm established in 2012, which has grown year on year and currently has offices in Port Elizabeth, Queenstown, Mthatha and in Philippi in the Western Cape. Ntlantsana Accountants and Auditors (Pty) Ltd offers diverse accounting and auditing services such as company secretariat, accounting, taxation, internal auditing, forensic investigations, training and facilitation, mentorship, and also Broad Based Black Economic Empowerment (BB-BEE) services to its clients. A unique company offering a diverse range of accounting and business services.

(1)(d) The delegation of SME’s that accompanied Deputy Minister was new companies supported by the Small Business Export Development Scheme (SBEDS) and has not been supported to exhibit or form part of a delegation to China previously.

(2)(a) Minister Lindiwe Zulu was invited to attend the Women MPs of the World Conference that took place at the House of Commons, Westminster, United Kingdom. The Minister shared South Africa’s experience in how South Africa has integrated women into Parliament and other structures of leadership throughout the country. Minister Zulu also participated in a session, entitled “Policy focus: what difference are women MPs making?” This session looked at how women MPs can tackle gender inequality in four key areas:

*Promoting women’s economic empowerment

*Ending violence against women and girls

*Championing access to voluntary family planning and

*Breaking the barriers to girl’s education.

(2)(b) Minister of Africa from the Foreign and Commonwealth office for Africa, Minister for SMME Development and Entrepreneurship, Lord Anthony St. John, CEO of Afrika Tikkun, representatives from the WeWork incubation Centre, and representatives from the Flatron School, which was established as a supplement to the to the Incubator Training Programmes.

(2)(c) The meeting with the Minister of Africa from the Foreign and Commonwealth Office for Africa and the Minister for SMME Development and Entrepreneurship discussed the deepening of relations between South Africa and the United Kingdom and proposed partnership with the Department of Small Business Development in the incubation space. The meeting with the CEO of Afrika Tikkun, discussed how Afrika Tikkun aims to give young people opportunities through innovative and enterprising ways. In the visit with We Work Incubation Centre, it highlighted their different approached to incubation and accelerators, WeWork was started in the United States and made strides in facilitating access to markets for small businesses and affordable workspaces for SMMEs. It was agreed that the Department of Small Business Development and the Small Enterprise Development Agency (SEDA) engage with them on their model of the accelerators.

(2)(d) The Director for Special Projects in the Ministry of Small Business Development accompanied the Minister.

(2)(e) Costs relating to the visit to the United Kingdom in November 2018

Item

Amount

Accommodation

R18 000.00

Flights

R19 332.68

Allowances

R6 882.84

Total

R44 215.52

(3) A draft action plan has been developed and presented to EXCO. Some additional stakeholder consultations are required to refine the action plan before it can be presented at the Economic Sector, Employment and Infrastructure Development Cluster for consideration.

18 April 2019 - NW399

Profile picture: Mulaudzi, Adv TE

Mulaudzi, Adv TE to ask the Minister of Small Business Development

What number of loan applications have been approved by the Small Enterprise Finance Agency (Sefa) for artificial intelligence and online companies since the establishment of Sefa?”

Reply:

The Small Enterprise Finance Agency (Sefa) has not funded applications for artificial intelligence and online companies since establishment.

18 April 2019 - NW322

Profile picture: Mulaudzi, Adv TE

Mulaudzi, Adv TE to ask the Minister of Small Business Development

What number of loan applications were (a) approved and (b) rejected by the Small Enterprise Finance Agency in each of the past five financial years”

Reply:

a) Approved loan applications:

Approvals – Loan Applications

FY2014

FY2015

FY2016

FY2017

FY2018

Grand Total

340

420

389

196

249

b) Rejected loan applications:

Rejected – Loan Applications

FY2014

FY2015

FY2016

FY2017

FY2018

Grand Total

79

91

139

221

184

18 April 2019 - NW194

Profile picture: Kruger, Mr HC

Kruger, Mr HC to ask the Minister of Small Business Development

What (a) number of international trips did (i) she and (ii) the Deputy Minister undertake (aa) in the (aaa) 2013-14 and (bbb) 2014-15 financial years and (bb) since 1 April 2015, (b) was the (i) destination and (ii) purpose of each trip and (c) amount did each trip cost in terms of (i) flights, (ii) accommodation and (iii) any other related expenses?

Reply:

(a)(i)(aa) The Minister of Small Business Development’s official international travel are as follows:

(aa)(aaa) 2013 – 2014

Minister was only appointed to her current portfolio end of May 2014 on which falls under 2014 – 2015 financial year.

(aa)(bbb) 2014 – 2015

One trip was undertaken by the Minister during this financial year

(bb) 1 April 2015 – 31 March 2016

Six trips were undertaken by the Minister during this financial year.

(bb) 1 April 2016 – 31 March 2017

(a)(i)(b) The destination and purpose of each trip is as follows:

(i) Destination

(ii) Purpose

Milan, Italy

15 – 18 March 2015

attend the Entrepreneurship Ministerial to the Global Entrepreneurship Congress

Zimbabwe, Bulawayo

29 April – 1 May 2015

To attend and participate in the Zimbabwe International Trade Fair (ZITF) and have bilateral talks with meet her counterpart, Minister Sithembiso Nyoni, Minister of Small and Medium Enterprises and Cooperative Development of the Republic of Zimbabwe.

Deauville, France

14 – 16 October 2015

To attend and address the 11th Edition of the Women’s Forum Global Meeting on the Economy and Society.

(i) Destination

(ii) Purpose

UK, London

16 – 20 October 2015

To attend and speak at the 11th South Africa – United Kingdom Bilateral Forum to enhance South Africa- UK Economic relations, upon the invitation of the Minister of International Relations and Cooperation.

Berlin, Germany

7 – 11 November 2015

To support President Zuma on his State visit to Germany and to address the Opening of the Youth Skills Development And Employment Symposium.

Switzerland, Geneva

11 – 13 November 2015

To meet with Executives of the UNCTAD, ILO AND WIPO on how these institutions can work with South Africa to implore interventions into the informal sector and enhance South Africa’s entrepreneurial ecosystem.

USA, New York

11 – 18 March 2016

To participate and lead round table discussion on gender economic empowerment as part of the South Africa’s delegation attending the 60th Session of The United Nation Commission on the Status of Women.

Maputo, Mozambique

20 – 21 March 2016

To attend and participate as well as accompany the SMME’s delegation to a programme Business Forum

New Delhi and Goa, India

11 – 18 October 2016

To attend the 8th BRICS Summit, BRICS Ministers of Trade and BRICS Trade Fair

(a)(i)(c) The costs of the trip were as follows:

Country

(i)Flights

(ii)Accommodation

(iii)Other expenses

Milan, Italy

R 90 000.00

R 15 000.00

R36 000.0

Zimbabwe, Bulawayo

R27 480.00

R 12 000.00

R13 500.00

Deauville, France and UK, London

R365 000.00

R91 259.00

R116 689.00

Berlin, Germany and Switzerland, Geneva

R142 000.00

R56 220.00

R56 628.00

USA, New York

R130 980.00

R80 778.00

R140 608.00

(a)(ii)(aa) The Deputy Minister undertook official international travel as follows:

(aa) (aaa) 2013-14

No DSBD related travel was undertaken by Deputy Minister as she was only appointed to her current portfolio at the end of May 2014.

(aa)(bbb) 2014-15

Five trips were undertaken by the Deputy Minister for this financial year.

 

(a)(ii)(b) The destination and purpose of each trip is as follows:

(i) Destination

(ii) Purpose

Switzerland, Zurich

Date:

15-17 September

Deputy Minister travelled to the International seminar on the essential role of women in business for economic sustainability in Zurich, Switzerland to deliver a lecture on the role of the Department in supporting and creating women led enterprises.

India, Dehli and Mumbai

Date:

14-27 November

To lead a delegation of 34 South African SMME crafters to the India International Trade Fair, as part of the Department’s access to market programme.

USA, New York

Date:

09-20 March

To participate at the 59th session of the United Nations Commission on the status of women, as part of the South African official national delegation and speak on the Department support for women led enterprises.

Tanzania, Dar Es Salaam

Date:

23-26 March

To lead a business delegation on an international trade mission organised by the PBF as part of its primary objective of creating a platform of dialogue between its business community, national and international businesses, amongst others.

Brazil, Sao Paulo

Date:

14-16 March

To lead a South African delegation of pre-dominantly South African women entrepreneurs to attend the Global Summit of Women, in a drive to ensure that women are exposed to international business trends, and for government leaders from around the world to exchange solutions in policies and programs that can accelerate women’s economic development

USA, Atlanta and Santa Fe

Date: 04-14 July

To lead a delegation of South African crafters and artists as part of the DSBD’s commitment to facilitating different interventions that are geared towards supporting the South African Creative Industries to access international markets. The trip was also aimed at promoting a healthy trading relationship between South Africa and the United States, as well as learning and sharing experiences that would contribute to the domestic growth and exports of South Africa’s Creative Industries.

(c) The costs of the trip were as follows:

Country

(i)Flights

(ii)Accommodation

(iii)Other expenses

Switzerland, Zurich

R147, 446.00

R27, 432.00

R58, 046.41

India, Dehli and Mumbai

R146537.56

R61, 403.04

R39, 574.04

USA, New York

R268, 103.16

R96, 709.14

R47, 357.16

Tanzania, Dar Es Salaam

R27, 714.78

R10, 995.60

R51, 234.48

Brazil, Sao Paulo

R179, 910.88

R75, 367.72

R54, 351.14

USA, Atlanta and Santa Fe

R519, 622.88

R110, 450.17

R108, 145.94

18 April 2019 - NW195

Profile picture: Chance, Mr R

Chance, Mr R to ask the Minister of Small Development

What was the (a) destination, (b) purpose, (c) detailed cost breakdown and (d) outcomes of her overseas trips conducted since 1 June 2017?”

Reply:

Date

Date: 13-16 June 2017

(a) Destination

Washington, Unites States of America

(b) Purpose

Attending the 11th Biennial United States-Africa Business Summit

(c) Detailed cost breakdown

Approximately Air travel: R133 038.23

Approximately Subsistence and Travel (S&T): R8 202.01

Approximately Accommodation: R 83 338.40

Approximately Ground transport: R 9 254.00

(d) Outcomes of the trip

Minister was requested by the State President, former President Jacob Zuma to represent South Africa at the 11th Biennial USA-Africa Business Summit wherein Minister would speak to South Africa and Africa’s economic strategies and partnership with the US Governments policies towards South Africa and Africa. This included the Africa Growth and Opportunity Act (AGOA) and elements of the SA-US bilateral partnership. In addition, Minister provided the rationale for Africa’s developmental approach as implemented through regional integration and as premised on Agenda 2063: The Africa we want. Minister further provided a progress update on how Africa is making great strides to realising its regional integration aspirations through the implementation of the Tri-Partite Free-Trade Area (and other regional free trade areas) as well as the Continental Free Trade Area. Minister Zulu further met with the World Bank Group to discuss potential partnership with the Bank in so far as entrepreneurship is concerned. The Bank committed to work with DSBB through their regional office to render relevant assistance in entrepreneurship policy and support for emerging and high performing enterprises.

Date

Date: 21-24 June 2017

(a) Destination

Bulawayo, Zimbabwe

(b) Purpose

Attending the 9th Conference of Ministers of the Coordination Committee for Development of African Handicraft (CODEPA)

(c) Detailed cost breakdown

Approximately Air Travel: R 21 564.69

Approximately S&T: R 8 571.00

Approximately Accommodation: R 12 200.00

Approximately Ground Transport: R 11 481.00

(d) Outcomes of the trip

The focus of the 9th Conference of Ministers of the Committee for Development of African (CODEPA) Handicraft was to engage on matters relating to the development and promotion of African handicrafts. The Conference also reflected on the 8th CODEPA Conference and held dialogues on ways to address obstacles in the handicrafts sector across the continent. The conference agreed on renewed efforts towards; investing additional resources in the sector for development purposes; the need to enhance support for infrastructure, skills and market access initiatives within the African continent and beyond and; the necessity for data-collection and analysis in the craft environment, amongst the key outcomes.

Minister Lindiwe Zulu was elected as the Second Vice President of the CODEPA. South Africa will assume the Presidency of and host the CODEPA Conference in 2019 given CODEPA’s succession system. Linked to this role, South Africa is to share with other member states the best practises on the development of and on the promotion of the craft sector. Furthermore, South Africa and Zimbabwe, agreed to work together in mobilising Southern African Development Community (SADC) Member States to participate and collaborate on flagship projects in the craft sector through bilateral means as well as through CODEPA.

Date

01 – 7 September 2017

(a) Destination

Xiamen, China

(b) Purpose

To attend the 9th BRICS Summit which was held against the theme: BRICS A stronger partnership for a brighter Future? The Minister was requested by the President to support him in attendance particularly with matters relating to SMME Development.

(c) Detailed cost breakdown

Approximately Air travel: R 188 677.38

Approximately S&T: R 28 766.00

Approximately Accommodation: R 102 349.00.

Approximately Ground transport: R 35 156.29

(d) Outcomes of the trip

The BRICS Summit adopted the BRICS Declaration which looked at progress on matters discussed in the previous BRICS Summit and determined ways and means to further enhance the partnership based on mutual and equal benefit for all members. The summit further prioritized putting in place mechanisms that enhance economic development and inclusion of all members particularly through the promotion of SMME Development. The meeting also discussed matters pertaining to the global economic situation and international economic governance, international and regional hotspot issues and national security and development, amongst others. The Summit also acknowledged the recent launch of the Africa Regional Centre of the New Development Bank (NDB), which was launched last month in Johannesburg. The BRICS Development Bank underlines BRIC’s commitment to the development of the African continent and emerging markets.

Date

Date: 07 – 13 October 2017

(a) Destination

Guangzhou, China

(b) Purpose

Attending 14th China International Small and Medium Enterprise Fair (CISMEF)

(c) Detailed cost breakdown

Approximately Air travel: R 180 838.29

Approximately S&T: R 32 683.00

Accommodation: Not applicable.

Ground transport: Not applicable.

(d) Outcomes of the trip

South Africa co-hosted the 14th CISMEF and this provided the Department with an opportunity to show-case the capabilities of local SME’s in South Africa with those at a global scale. The opportunity afforded our SME’s with a platform not only to access global markets for their products but, also to gain linkages to their Chinese counterparts.

The upshot of CISMEF was the conducting of Business to Business (B2B) match making engagements principally with clients from the Bank of China and other business associations. South African exhibitors have reported successful market linkages with Chinese counterparts. The process of engagement between South African and Chinese companies is ongoing which may translate into trade opportunities for participating enterprises, as well as possible new markets.

Date

Date: 17 – 23 November 2017

(a) Destination

Tallinn, Estonia and Helsinki, Finland

(b) Purpose

Attending the 2017 Start-up Nations Summit

(c) Detailed cost breakdown

Approximately Air Travel: R 90520.00

Approximately S&T: R 28 443.00

Approximately Accommodation: R 8 490.00

Approximately Ground Transport: R 54 269.70

(d) Outcomes of the trip

The Minister represented South Africa in participation in the Start-up Nations Chapter in South Africa, the Start-up Nations Summit and Bilateral meetings in Finland was aimed to broaden economic relations between South Africa and Finland in the areas of Informal and Communication Technology; and Research and Development.

A series of bilateral engagements between the Minister of Small Business Development with counterparts in Finland took place. These engagements led to amongst other outcomes, to strategic partnership noted through the signing of a Memorandum of Understanding (MoU) between the Minister of Small Business Development and the Chief Executive Officer of the Global Entrepreneurship Network to facilitate access to market for SMMES and start-ups, partnerships and navigating through government regulations in the respective countries.

Date

14 - 19 April 2018

(a) Destination

Istanbul, Turkey

(b) Purpose

To attend and participate at the Global Entrepreneurship Congress (GEC). South Africa through the department of Small Business Development is a member of the Global Entrepreneurship Network which is responsible for the GEC.

(c) Detailed cost breakdown

Approximately Air travel: R 135 841.93

Approximately S&T: R 25 388.00

Approximately Accommodation: R 24 881.00

Approximately Ground transport: R 22 186.00

(d) Outcomes of the trip

South Africa participated in the GEC as we previously hosted the 2017 Congress in Johannesburg and needed to take forward the matters discussed in that year. South Africa also serves as a Member of the Start-up Nations Steering Committee which directs the agenda for the Start-up Nations Summit. The Conference discussed ways of enhancing Entrepreneurship policy globally and success and failures experienced in various regions. South Africa also took a few of its high performing start-ups to experience the global developmental trends by other start-ups but also to share our own experience. South Africa also received 3 awards for its work in developing the South African and regional entrepreneurial ecosystem. These included: the GEN Country of the year award; the GEN Brand Champions award; and the GEN Research Champions awards. This acknowledgement is good for the country as it is seen as a catalyst in developing entrepreneurial policy and encouraging start-ups. South Africa further contributed to discussions on digital inclusion for entrepreneurship ecosystems, the role of entrepreneurship ecosystems and governing with dynamic growth-orientated business in mind.

Date

03 – 08 June 2018

(a) Destination

Brussels, Belgium

(b) Purpose

Attending and participating in the 12th European Development Days Conference

(c) Detailed cost breakdown

Approximately Air travel: R 226 165, 36

Approximately S&T: R34 763, 32

Approximately Accommodation: R 56 940, 00

Approximately Ground transport: R 12 000, 00

(d) Outcomes of the trip

Minister Zulu participated in the 12th EU Development Days representing South Africa upon the request of Minister of International Relations and Cooperation. The conference deliberated on “Women and Girls at the Forefront of Sustainable Development: protect, empower and invest.” Minister delivered remarks at a Special Session dedicated to the Centenaries of the late President Mandela and Mama Alberatina Sisulu on their role in the Upliftment of women. The South Africa delegation also had meetings with the European Union division responsible for Entrepreneurship development and with the African and European Business Angels Network to forge stringer ties with South African entrepreneurs and possible partnerships on entrepreneurial policy. Minister Zulu also met with her Belgian counterpart to strengthen our bilateral partnership on the enhancement of SMME and Cooperatives development and consider relooking at agreements that have lapsed in this regard.

Date

09 – 13 July 2018

(a) Destination

Washington DC, USA

(b) Purpose

Attendance at the 17th AGOA Forum representing South Africa.

(c) Detailed cost breakdown

Approximately Air travel: R 196 995.00

Approximately S&T: R 18 122.80

Approximately Accommodation: R 25 000.00

Approximately Ground transport: R 3 000.00

(d) Outcomes of the trip

Minister Zulu together with Minister Davies represented South Africa participated in AGOA to further strengthen Africa’s position of the forum and to also highlight South Africa’s own priorities under the partnership in line with the theme Forging New Strategies for US-Africa Trade. South Africa also contributed to discussions on “facilitating US-Africa Small Business Trade through e-commerce and highlighted Africa’s experience in this regard. South Africa also engaged with the US Small Business Administration to enhance bilateral relations as it related to the promotion of Small Business and Cooperatives development.

Date

27-30 August 2018

(a) Destination

Balaclava, Mauritius

(b) Purpose

Attendance and participation at the Indian-Ocean Rim Association Ministerial Conference on Women economic Empowerment

(c) Detailed cost breakdown

Approximately Air travel: R29 544.68

Approximately S&T: R11 982.80

Approximately Accommodation: Not Applicable

Approximately Ground transport: R10499. 76

(d) Outcomes of the trip

Minister Zulu was invited to attend and Co-Chair this session by virtue of South Africa’s Chair-ship of IORA from 2017-2019. South Africa’s participation was against the premise that Uniting the peoples of Africa, Asia, Australasia, and the Middle East through enhanced cooperation for peace, stability and sustainable development, in line with our national interests as a country which are manifested in our policy frameworks and underpinned by the National Development Plan (NDP). Minister Zulu also met with her Mauritius counterpart to strengthen trade and investment relations ass driven by SMME’s and Cooperatives. South Africa’s participation also highlighted the work we are doing on building the Blue Economy, Infrastructure Development, Industrialisation and Manufacturing, ICT Development and Digital Technology, and Agriculture and Agro-processing, with emphasis on localization, enterprise supplier development programmes and procurement and skills development for SMMEs within these high end productive sectors, and incorporating women into these sectors.

Date

06 -10 November 2018

(a) Destination

London, United Kingdom

(b) Purpose

Attendance and Participation Women MPs of the World Conference and Visit to We Work London

(c) Detailed cost breakdown

Approximately Air travel: Not applicable

Approximately S&T: R 6882.84

Approximately Accommodation: Not applicable

Approximately Ground transport: Not applicable

(d) Outcomes of the trip

Minister Zulu attended the Women MPs of the World Conference which deliberated on women economic empowerment issues, ending violence against women and girls, championing access to voluntary family planning, and breaking barriers to girls’ education. Minister participation expressed ow South Africa has integrated women into all spheres of society including in parliament, and leadership positions including in business. Minister also visited and met with WeWork London and Flatron School with the aim of learning about their incubation model. We Work’s model provides for shared workspace for technology start-ups communities, and services for entrepreneurs, freelancers, start-ups, small businesses and large enterprises. South Africa has a similar model through which local SMEs can also access services to enhance their operations.

Date

23-24 February 2019

(a) Destination

Kinshasa, Democratic Republic of Congo

(b) Purpose

Minister Zulu was requested by President Ramaphosa to attend the Presidential Inauguration of the Democratic Republic of Congo’s President elect Mr Felix Tshiskekedi on behalf of the Republic of South Africa.

(c) Detailed cost breakdown

Approximately Air travel: Not Applicable

Approximately S&T: Not Applicable

Approximately Accommodation: Not Applicable

Approximately Ground transport: Not Applicable

(d) Outcomes of the trip

Minister Zulu represented South Africa at the Presidential Inauguration of the President of the Democratic Republic of Congo to show South Africa’s cordial relations with the People of the Democratic Republic of Congo.

Date

10-17 March 2019

(a) Destination

New York, United States of America

(b) Purpose

Attendance and Participation at the 63rd Commission on the Status of Women

(c) Detailed cost breakdown

Approximately Air travel: R100 298.68

Approximately S&T: R13 671.00

Approximately Accommodation: R58 400.00

Approximately Ground transport: R 8400.00

(d) Outcomes of the trip

Minister Zulu formed part of the South African delegation in attendance at this 63rd Commission on the Status of Women, and highlighted South Africa’s role in the implementation of the Beijing Declaration and its Action Plan. In particular Minister Zulu focused on the South Africa’s advances in the inclusion of women into the economy through entrepreneurship, as well as South Africa’s role in promoting human rights, peace and security especially for women.

16 April 2019 - NW536

Profile picture: Mhlongo, Mr P

Mhlongo, Mr P to ask the Minister of Small Business Development

(a) What number of (i) buildings, (ii) properties and (iii) facilities does her department currently (aa) own and (bb) rent, (b) what is the value and purpose of each (i) owned and (ii) rented property and (c)(i) for how long has each property been rented, (ii) from whom is each property rented and (iii) what is the monthly rental fee for each property?”

Reply:

The Department of Small Business Development (DSBD) does not own any buildings, properties and facilities, therefore:

(a)(i)(ii)&(iii) Not applicable.

(a)(aa) Not applicable.

(a)(bb) Two (2)

(b)(i) Not applicable.

(b)(ii) The DSBD is currently leasing office space in two buildings at the Department of Trade and Industry (the dti) Campus.

(c)(i) The Department has occupied the two buildings since April 2016 (3 years).

(c)(ii) Block A forms part of the dti’s Public-Private Partnerships (PPP) and Block G is owned by Delta Property Fund which is leased through the dti as the Landlord inclusive of services.

(c)(iii) The Ministry occupies 529 m² which costs an amount of R204 188.71 at Block A, the Department occupies 3966 m² which costs an amount of R1 324 655.12 at Block G. The total space is 4495 m² at R1 528 843.83, monthly.

16 April 2019 - NW715

Profile picture: Mbabama, Ms TM

Mbabama, Ms TM to ask the Minister of Small Business Development

What is the (a) make, (b) model, (c) price and (d) date on which each vehicle was purchased for use by (i) her and (ii) her deputy (aa) in the (aaa) 2016-17 and (bbb) 2017-18 financial years and (bb) since 1 April 2018?”

Reply:

aaa. Details of the vehicles purchased for use by the Minister and Deputy Minister for 2016/2017

NO

ITEM

(i) MINISTER

(ii)DEPUTY MINISTER

a.

Make

Lexus

Volvo

b.

Model

GS350

XC90

c.

Price

R538 048.08

R659 728.51

d.

Date of purchase

17 September 2014

27 September 2011

NO

ITEM

(i) MINISTER

(ii)DEPUTY MINISTER

a.

Make

Lexus

Volvo

b.

Model

GS350

XC90

c.

Price

R542 458.74

R855 696.36

d.

Date of purchase

02 December 2014

24 January 2014

bbb. Details of the vehicles purchased for use by the Minister and Deputy Minister for 2017/2018

NO

ITEM

(i) MINISTER

(ii)DEPUTY MINISTER

a.

Make

BMW

BMW

b.

Model

540i

540i

c.

Price

R944 376.80

R874 876.80

d.

Date of purchase

20 December 2017

20 December 2017

bb. No vehicles were purchased for the Minister and Deputy Minister during the 2018/2019 financial

09 April 2019 - NW287

Profile picture: Mulaudzi, Adv TE

Mulaudzi, Adv TE to ask the Minister of Small Business Development

What number of (a) tender briefings were held in 2018 by (i) her department and (ii) each of the entities reporting to her and (b) the specified briefings were compulsory?

Reply:

(a)(i)&(b)The Department of Small Business Development (DSBD)

(a)(i) The DSBD did not advertise any tenders for the 2018/2019 and therefore no briefing sessions were held

(b) The Department did not have any briefing session and it must be noted that briefing session can no longer be made compulsory but rather suppliers would be encouraged to attend the briefing session.

(a)(ii)&(b) The Small Enterprise Development Agency (Seda)

No

Tender Number

Description

Compulsory / Non-compulsory

1.

RFP/T 01-2018/19

Invitation to tender for provision of Security Services at Seda National Office for eighteen (18) months period.

Compulsory

2.

RFP/T 06-2018/19

Invitation to tender for Rental Office Space for Seda’s JTG Northern Cape Branch Office in Kuruman for a period of three (3) and five (5) years

Compulsory

3.

RFP/T 08-2018/19

Appointment of a Service Provider to provide an Internal Audit Services on a co-sourced basis for a period of three (3) years

Compulsory

(a)(ii)&(b) The Small Enterprise Finance Agency (sefa)

No

Tender Number

Description

Compulsory / Non-compulsory

1.

Sefa: 19/DSBD/2018

Appointment of Service Provider to conduct the 2018 Annual Review on SMME and Co-operatives in South Africa (DSBD)

Non-compulsory

2.

Sefa: 11/FIN/2017

Appointment of Service Provider for Construction Work to reinstate the 1st floor shops and roof refurbishing at the Victoria Street Market located at 151/155 Bertha Mkhize Road, Durban, KZN

Compulsory

3.

Sefa: 17/FIN/2017

Appointment of a Service Provider for Public Sector Invoice Discounting

Compulsory

03 April 2019 - NW600

Profile picture: Chance, Mr R

Chance, Mr R to ask the Minister of Small Business Development

What are the relevant details of the progress made between the (a) Small Enterprise Development Agency and (b) Small Enterprise Finance Agency and the Department of Trade and Industry relating to its black economic empowerment status as accredited providers to the small and medium enterprises sector?”

Reply:

The Department of Trade and Industry (the dti) has published the application for the Small Enterprise Finance Agency’s (sefa) B-BBEE facilitator status for public comment. The latest update from the (the dti) is that responses have been received from the public with no major objections and therefore the facilitator status will be granted. However, the approval to use the facilitator status will be limited to the transformation of financial intermediaries. The final approval is awaiting a go-ahead from the Minister of Trade and Industry.

The Small Enterprise Development Agency (Seda) is in consultation with the the dti regarding a BEE facilitator status and has initiated the BEE verification process. The first verification process was finalised in May 2018 which found Seda to be non-compliant as most of Seda expenditure was not considered as it was core of our business. A second verification is planned to take place in March 2019.

02 April 2019 - NW65

Profile picture: Mulaudzi, Adv TE

Mulaudzi, Adv TE to ask the Minister of Small Business Development

(1)Whether she has been informed that she has been implicated in testimony made under oath and in written documents by Mr Agrizzi at the Judicial Commission of Inquiry to Inquire into Allegations of State Capture, Corruption and Fraud in the Public Sector including Organs of State, chaired by Deputy Chief Justice Raymond Zondo; if so, were the allegations made by Mr Agrizzi in respect of her true; (2) whether she declared any financial or material gifts from Bosasa as required by the Executive Members’ Ethics Act, Act 82 of 1998; if not, what is the position in this regard; if so, what are the relevant details?

Reply:

1. The Minister has not been informed that she has been impacted in the above. The Minister is also not aware of any allegations made against her by Mr Agrizzi as indicated above with regards to the said Commission.

2. All gifts are recorded accordingly in the gifts register and submitted in line with the Executive Members’ Ethics Act 83 of 1998, none such were received from Bosasa.

21 December 2018 - NW3767

Profile picture: Chance, Mr R

Chance, Mr R to ask the Minister of Small Business Development

(a) What progress has her department made with regard to ensuring compliance by government departments to provisions of the Public Finance and Management Act, Act 1 of 1999, concerning payment of suppliers within 30 days, (b) why has her department not implemented the Cooperatives Amendment Act, Act 6 of 2013, and (c) what international benchmarks informed the revised Schedule 1 of the National Definition for Small Enterprises in South Africa, as gazetted on 12 October 2018?”

Reply:

a) A process towards conducting a sample study is underway, emanating from the realisation that the Department of Planning, Monitoring and Evaluation (DPME) in its monitoring endeavours with compliance with public policy, intended its study to focus at the impact of failure to comply with the 30 day payment on suppliers. DPME had shared and requested Department of Small Business Development (DSBD) to input into the service requirements. DSBD had expanded the Terms of Reference (ToR) to cover the compliance aspect by Government Departments in this regard.

Over and above this research intervention, the Department has undertaken to also sample performance in terms of the 30 day payment, and at this stage, the evaluations team is sending letters to the respective selected Departments requested to participate in this evaluation process to provide information in terms of compliance with the 30 day payment.

Post the evaluation, findings will highlight the status of compliance and the types of challenges encountered in cases where non-compliance is found, identify gaps in the areas of part- compliance, together with lessons where full-compliance with the directive is evident. Recommendations will then be developed to inform types of interventions required.

b) The Co-operatives Amendment Bill was signed into an Act, i.e. Cooperatives Amendment Act No. 6 of 2013 on 2 August 2013 by the President and promulgated in Government Gazette No. 36729 dated 5 August 2013. Section 80 of the Act stipulates that the Act will come into operation on a date to be determined by the President by proclamation in the Gazette.

Before the Act could be proclaimed and come into effect, the regulations needed to be drafted so that when the State President proclaims, there are required processes and forms to implement the Act. The draft regulations and principles of good governance were approved by Minister on 26 June 2015 and published in Government Gazette No. 39019 and 32019 for public comment.

Comments received on the draft regulations and principles of good governance were incorporated in the final regulations and principles of good governance.

The Socio-Economic Impact Assessment (SEIAS) report on the regulations was successfully completed, and a letter granting permission for the submission of the SEIAS report and the regulations for further authorisation within the Department was issued by the Department of DPME on 31 March 2016.

The final regulations and principles of good governance supported by the DPME SEIAS and quality assurance letter was submitted to and approved by Minister in June 2016.

Due to the fact that the Companies and Intellectual Property Commission (CIPC), who is responsible for the registration and administrative matters pertaining to compliance with legislative requirements by Co-operatives, was not ready for the practical implementation of the Amendment Act, the request for the proclamation of the Amendment Act through the publication of the regulation in the Gazette was delayed.

The transition from the Department of Trade and Industry (the dti) to the DSBD in 2015 necessitated further consultation with key stakeholders in the sector.

c) The Department of Small Business Development (DSBD) undertook a study in December 2016 by reviewing, consolidating and updating research undertaken on the South African SMME Definition. The research methodology included desktop analysis and consultations.

Desktop analysis was focused on a comparative review of international case studies of countries with respect to the definition of small businesses across legal and regulatory frameworks. The outcome of this research was to generate recommendations on the updated SMME sector definition (thresholds, proxies and sectors) to be applied and communicated for public comment.

Analysis of multilateral organisations, such as the International Labour Organisation (ILO), World Bank and the Organisation for Economic Co-operation and Development (OECD) did not reveal a universal definition of small and medium enterprises. Only that the World Bank uses a simple statistical definition (i.e. maximum 250 employees) for cross-national comparative analytical investigations as well as a more complex definition for project purposes

The European Union (EU) definition was also analysed. The EU has a similar approach to the National Small Enterprise Act (NSEA) in terms of applying three proxies: employment is in terms of Annual Work Units (AWU); annual turnover and annual balance. The EU provides a guideline for member countries however it is not clear how many members comply fully with the benchmark.

Referencing a study conducted across 120 countries reveals that:

  • Most, 98% of the sample, make use of the 'number of employees' proxy;
  • Half of the sample, 51%, make use of the 'assets/turnover/capital/investment' proxy; and
  • Only 21% of the sample make use of the sector or industry classification

Of the countries that use the employment proxy as the ‘official’ or, ‘commonly accepted’ definition of an SMME: micro enterprises are typically up to 10 employees, 10 to 100 employees for small enterprises and 100 to 250 employees for medium-sized enterprises. The upper threshold depends on the country.

In summary, the evidence suggested that there does not seem to be an international universal definition of small business that can be adopted by the NSEA, although the use of the employment proxy is most common. Definitions differ by country depending on the economic development context of the country in question; its ambition for supporting small business; and the way in which the definition of small business is to be used. The main consideration is that the definition needs to be context appropriate or “fit for purpose”.

21 December 2018 - NW3402

Profile picture: Kruger, Mr HC

Kruger, Mr HC to ask the Minister of Small Business Development

(1)Whether her department is in the process of developing a National Red Tape Reduction Strategy; if not, how does her department intend to relieve the red tape burden on small enterprises; if so, (a) what is the budget allocated for the development of the strategy, (b) by what date will the strategy be implemented and (c) will she furnish Mr H C C Krüger with a copy of the draft strategy; (2) has the pilot project for the roll-out of the Red Tape Guidelines for Municipalities been completed; if not, by what date will the pilot project be finished; if so, (a) what are the details of the successes achieved in reducing red tape in each of the 12 municipalities and (b) by what date will the successful elements of the pilot project be rolled out to the rest of the municipalities in the country; (3) will she be willing to review the Red Tape Reduction Private Members Bill introduced in 2017; if not, why not?”

Reply:

1.1 The urgent need for a National Strategy on Red Tape Reduction providing guidance on the Red Tape Reduction interventions and modalities, as well as providing a clear frame of reference on Red Tape Reduction is important.

1.2 To give immediate effect to and address this need, the Department of Small Business Development (DSBD) has sought assistance and partnership with the Government Technical Advisory Centre (GTAC), a National Treasury Agency, to develop a National Red Tape Reduction Strategy. It is envisaged that this National Red Tape Reduction Strategy will provide clarity on the Red Tape Reduction interventions and methodologies prioritised by the country, and a clear Programme of Action (PoA) for the next Medium Term Strategic Framework (MTSF) Cycle (2020-2024).

1.3 The Department has already hosted a National Red Tape Strategy Indaba (26-27 November 2018) to work with key stakeholders, to undertake a Diagnostic Assessment and an Environment Scan of key Red Tape Reduction initiatives in the country. The diagnosis also looked at what is already being done by various Government structures on the red tape.

(a) The cost of the project is estimated at R2 million.

(b) Given the complexity of this project, this assignment will span two financial years (2018/19 to 2019/20) and the draft National Red Tape Reduction Strategy will be completed by end of 2019 for consultation. The Strategy and Programme of Action will be implemented in the new MSTF Cycle (2020 – 2024).

(c) Yes. When the draft is concluded, it will be provided to all key stakeholders for insight and contribution.

(2)(a) Yes, the pilot project on Red Tape Reduction has long been completed, it was conducted between 2011 and 2012. The National Red Tape Reduction pilot involved 12 municipalities and the pilot was funded by the Department of Trade and Industry (the dti) and the Department of Cooperative Governance and Traditional Affairs (CoGTA) and with support from the South African Local Government Association (SALGA). The report on the pilot provided some lessons including the need to have a strategy that will provide guidance across Government.

(2)(b) DSBD has already redesigned our Awareness and Assessment instruments in line with these findings from the pilot study.

(3) The Department’s perspective on the Red Tape Reduction Private Members Bill, is that it provides valuable input to the development of the strategy as a guide for the Reduction of Red Tape across the country. The Department’s take on the Bill is that it is premature since a strategic approach or framework needs to be developed first as a guiding document across all spheres of Government.

14 December 2018 - NW3809

Profile picture: Chance, Mr R

Chance, Mr R to ask the Minister of Small Business Development

Whether the forensic investigation into allegations of corruption and mismanagement in her department that was commissioned by the Auditor-General has been completed; if not, by what date is the investigation envisaged to be completed; if so, (a) on what date was the investigation completed and (b) what are the main findings of the investigation?”

Reply:

The investigation has not been completed. The Auditor-General has informed the Department of Small Business Development (DSBD) that the envisaged completion timeline for the investigation is early 2019.

a)  The investigation was envisaged to be completed by 10 September 2018.

b) Findings will be known once the investigation report is issued.

12 December 2018 - NW3289

Profile picture: Mulaudzi, Adv TE

Mulaudzi, Adv TE to ask the Minister of Small Business Development

Whether (a) her department and/or (b) entities reporting to her awarded any contracts and/or tenders to certain companies (names and details furnished) from 1 January 2009 up to the latest specified date for which information is available; if so, in each case, (i) what service was provided, (ii) what was the (aa) value and (bb) length of the tender and/or contract, (iii) who approved the tender and/or contract and (iv) was the tender and/or contract in line with all National Treasury and departmental procurement guidelines?”

Reply:

1. The question above refers to the following companies as stipulated in the attached letter (Annexure A) from the Economic Freedom Fighters (EFF):

  • DCD Group
  • Afrit
  • Elgin Brown and Hamer
  • Hulisani Consortium (RF)
  • Elgin Dock
  • Diesel and Turbo Service Centre
  • Vox Telecommunications
  • Afrit Propco
  • Vox Holdings
  • Interpair Services
  • Simiglo (RF)
  • Cancerian Investments
  • Phuma Finance(a) The Department of Small Business Development (DSBD)

The DSBD did not award any contacts and/or tenders to any of the companies listed in paragraph 1 from 1 January 2009 up to the latest specified date for which information is available.

(a)(i) Not applicable.

(a)(ii)(aa)-(bb) Not applicable.

(a)(iii) Not applicable.

(a)(iv) Not applicable.

(b) Entities:

The Small Enterprise Finance Agency (sefa)

None of the service providers listed in paragraph 1 above has been appointed to render services to sefa.

(b)(i) Not applicable.

(b)(ii)(aa)-(bb) Not applicable.

(b)(iii) Not applicable.

(b)(iv) Not applicable.

The Small Enterprise Development Agency (Seda)

Seda did not award contracts to the service providers in paragraph 1, except for Vox Telecommunications with the company registration 2011/000797/07. The following information is applicable to the contract with Vox Telecommunications:

(b)(i) Mimecast unified e-mail management enterprise solution services.

(b)(ii)(aa) The value of the contract is R1 997 088.

(b)(ii)(bb) The length of the contract is three (3) years (17 May 2017 to 16 May 2020).

(b)(iii) The contract was approved by the Chief Financial Officer of Seda.

(b)(iv) Yes, the companies were invited through SITA Transversal Contract RFB 1183 in line with all National Treasury and Seda’s Procurement guidelines.

_______________________________________________________________________________

DSBD PORTION OF THE RESPONSE SUPPORTED BY:

________________________

SEMPHETE OOSTERWYK

CHIEF FINANCIAL OFFICER

DATE: