Cape Town – The government will roll out a R500 million spaza shop support fund within the next two weeks to assist small businesses in need of financial and non-financial support.
Announced by Small Business Development Minister Stella Ndabeni-Abrahams on Sunday, the initiative aims to help spaza shops comply with food safety standards following the February 28 registration deadline.
“We will now take this initiative to scale with the R500 million spaza shop support fund that will soon be launched to support township convenience shops, including spaza stores. The fund will be launched in the next two weeks and a date will be communicated,” the minister said during a press briefing.
[WATCH] Small Business Minister, Stella Ndabeni has announced that R150 million will be provided by the Department of Small Businesses and Enterprise, and R350 million by the Department of Trade, to assist small businesses and spaza shops. The initiative – set to launch in the… pic.twitter.com/lk4xHSPU5f
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The fund will provide R10,000 for start-ups, R40,000 for bulk-buying, and R50,000 for infrastructure upgrades, with a total financial package of R100,000 per business, she said.
Additionally, non-financial support will be extended over the next six months to assist shops in becoming compliant.
The fund seeks to improve market competitiveness by linking spaza shops to bulk purchasing groups and enhancing business capacity through training.
WATCH | Stella Ndabeni-Abrahams Minister of small business development at Tshemedisong house in Hatfield, Pretoria.
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