SMEs in the tourism sector are to get a major boost from the soon-to-be-launched fund by the Tourism Enterprise Partnership (TEP), a public-private partnership and nongovernmental organisation providing SMEs in the tourism sector with training, skills development and funding.
Business Day reports that the new fund will be based on the new enterprise and supplier development element of the BEE scorecard codes which will be effective from next year. The fund will allow large companies to earn bonus points in exchange for providing funding for SMEs in the tourism sector.
“We want to use this as an opportunity to develop a database of SMEs that the tourism sector’s large companies can procure from in terms of supplier development and SMEs that they can invest enterprise development into,” said TEP CEO Salifou Siddo to Business Day.
TEP is looking to raise an average of R10m to R30m a year through the new funding tool, Business Day reports. Larger companies that invest in enterprise supplier development solutions (ESDS), will receive upfront certification.
There are 4,000 SMEs on TEP ’s database in sectors including accommodation, tour guides, tour operators and crafts. Mr Siddo said.