To improve the readiness of potential applicants and thereby increase their probability for IDC consideration.
Available to youth-owned businesses (irrespective of whether it qualifies for Gro-E Youth or not);
Application must meet IDC sector and funding limits;
Applicant can be start-up or expansion;
Proposal must pass a readiness assessment and in-principle go-ahead from sector SBU Head;
To bring an application to bankable stage, including detailed marketing studies, mentoring, technical assessments, sourcing and negotiating with suitable suppliers, costing of products, QS costings, EIAs etc.); and
Up to 6% of potential investment amount up to a maximum of R350 000.
Post approval assistance:
Pre implementation – for assistance required in meeting/ clearing of CPs (must be specific and be supported by cost estimates, with clear milestones with regards to objectives and skills transfer);
Implementation – for in depth mentoring and coaching as well as any other business support required for up to 2 years; and
Up to 40% of the investment amount or a maximum of R1.5 million.
Interventions provided during pre-BA and pre-implementation stages must not take more than 6 months to be completed.
Instruments and Pricing
Loans and grants (50:50); and
Prime; repayable after IDC’s normal debt, subordinated in terms of cash-flow and security.
GRO-E YOUTH SCHEME
Aim: To encourage youth entrepreneurship and employment creation, thereby expanding South African production capacity.