The People’s Fund Purchase Order Funding

Dec 13, 2021


The People’s Fund is a platform that funds purchase orders by using crowdfunding. The public can donate through The People’s Stokvel, which is a stokvel membership.

The People’s Stokvel aims to invest in small black-owned business owners, who are also members of the initiative. If you apply for purchase order funding and get approved, you must apply to become a member of The People’s Stokvel because only members get the funding.

The partners of The People’s Fund include THUD, BrownSense, Tsogo Afrika, and Sirdar.

To be eligible to apply, the gross profit margin on your project must be at least 20%. Your client must also be on the lender’s preferred client list. You can get your purchase order financed within two to five days.

You can apply for purchase order funding of up to R1 million. The project must be completed within 60 days.

Main Features
  • Type of funding – Purchase order funding
  • Qualifying criteria – The project’s gross profit margin must be higher than 20%. For first-time clients, your buyer must be on The People’s Fund’s preferred client list. You must have worked with the buyer (customer) before (within the past 12 months). Your purchase order should be completed within 60 days.
  • Repayment terms –  You will be required to pay a supplier VAT cost transfer, a purchase order facilitation fee, and a stokvel membership fee (if you are not a member of The People’s Fund stokvel). Currently, the cost of the facilitation fee is 6% (plus VAT) of the purchase order – this is only if the purchase order margin is 30%; for lower margins, the fee will be adjusted accordingly. No interest is charged.
  • Application process – You can apply online. Some of the questions asked on the online form are ‘Have you done a purchase order before? Who is your client? Is your supplier VAT registered?’ Documentation that will be requested is CIPC documents; all director IDs and proof of addresses; the company’s proof of address; a valid purchase order; supplier quotes; proof of previous work (previous PO, with the delivery note and invoice to client); 12-month bank statements (if less are available, then proof of previous work needs to be within the period of the bank statements provided for); and tax clearance certificate and BEE Affidavit/ certificate.

There is a repayment calculator available online. The costs on the loan will include the following:

  • Supplier VAT cost transfer – R208.69*
  • Purchase order facilitation fee – R1391.30*
  • Stokvel membership fee – R1600*
  • Note: in a case where your supplier is not VAT registered, the VAT cost will be passed on to you in your total repayment.

*Fees at the time the review was written; fees are subject to change.

Get a Quote
Compare Our Best Picks


  • Large Funding Amounts

  • Transparent Fees

  • Small businesses with secured purchase orders from reputable clients can access funding they might not qualify for with traditional lenders


  • The minimum finance requirements are higher.

  • The repayment term is short (it’s only 60 days long).

  • Not for Startups

  • Repayment Terms


The People’s Fund typically caters to small and medium-sized enterprises (SMEs) with a good track record and a valid purchase order from a reputable client.

While membership in The People’s Stokvel can offer benefits, it might not be mandatory to apply for purchase order funding. It’s best to clarify this directly with The People’s Fund.

This can vary depending on your business and the specific purchase order. Generally, you can expect to submit documents like your business registration documents, financial statements, the purchase order itself, and any relevant information about your client.

While interest isn’t charged, The People’s Fund might have fees like a purchase order facilitation fee, a supplier VAT cost transfer fee, and potentially a Stokvel membership fee (if applicable). Be sure to understand the breakdown of all fees before applying.

The repayment terms for purchase order funding are typically linked to the expected completion date of the purchase order. This timeframe is usually within 60 days, but it’s crucial to confirm the exact repayment terms with The People’s Fund.