Good News for Eastern Cape SMMEs Looking for Funding

Updated on 6 August 2025 • Reading Time: 3 minutes

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Good News for Eastern Cape SMMEs Looking for Funding

SMMEs seem to always be looking for funding opportunities. Entrepreneurs are always asking where to find funding, what the criteria are and when the deadline will be. One set of SMEs that are fortunate to have support is those in the Eastern Cape district of Ingquza Hill. The local municipality has opened an application for funding for small businesses and cooperatives.

The latest call for funding in this district once again aims to develop the local economy and improve community upliftment. For that reason, the funding aims to assist businesses – SMMEs and cooperatives – that are ideally positioned to achieve these goals. These enterprises are characterised by labour-intensive business operations that have the potential to stimulate job creation and growth within the community’s economy.

However, before you get too excited, it’s important to note: If your business has previously been funded through this programme, your application will be discontent. Previous funding recipients, therefore, need not apply.

So, without further ado, here’s everything you need to know.

Funding Details for Ingquza Hill SMEs

The opportunity available to SMEs and cooperatives aims to foster growth and job creation for the 2025/26 financial year. The aim is to support the entrepreneurs and their businesses that contribute to job creation and economic growth. Therefore, any applicant must demonstrate that their SMME or cooperative has the potential for job creation, commercial viability, and that it is BBBEE aligned.

Requirements for applicants state that businesses must be operating in Lusikisiki, Flagstaff, and nearby areas. It is vital that you ensure your business still falls within the local municipality of Ingquza Hill. Additionally, these businesses need to show proof that they have been in operation; no new businesses or start-ups will be considered.

If these businesses operate in one of the priority sectors such as agriculture, tourism, arts, Information and Communication Technology (ICT), automotive repairs, carpentry, mining for sand and quarrying, and small-scale manufacturing, they are welcome to apply for support. Other sectors open for applications include environmental enterprise solutions, retail services and general trading, as well as forestry and aquaculture.

Support is limited to financing equipment. No groceries, feed, perishables or non-equipment items will be covered. Furthermore, the funding is capped at R150 000.

Applicants who fall into the categories of women, youth, or persons with disabilities are encouraged to apply in particular, as there is a big focus on empowering individuals from these categories.

Prepare Your Submission

Applicants must be South African citizens over 18, provide proof of business activity. This means compiling comprehensive documentation of your business activities, your business registration and applicable supporting documents like tax certificates, business plans, and proof of address. Additionally, you will also need to show your yearly statements to prove that your business is in operation. You can also include what equipment you intend to purchase with the funding, should you be approved.

The complete list of documents are:

  1. Company / Cooperative Registration Certificate (CK / CIPC Document)
  2. Valid SARS Tax Clearance Certificate
  3. Bank Confirmation Letter
  4. Certified ID Copies of All Applicants, such as business partners/cooperative members
  5. Bankable Business Plan
  6. Company or Cooperative Profile
  7. Latest 3-month Business Bank Statement
  8. Proof of Business Address
  9. Motivational Letter: Why your business should be funded
  10. Letter from Ward Councillor (stamped) confirming business exists in their ward
  11. 3 Quotations for required items or equipment (Not exceeding R150,000)
  12. Proof of Land Ownership or Lease Agreement
  13. Fully Completed SMME and Cooperative Support Application Form

All documents must not be older than three months from the date of submission.

All applications need to be hand-delivered submissions before Friday, 29 August 2025. Applicants can submit these at any of the Local Economic Development offices in Flagstaff or Lusikisiki. The addresses are 135 Main Street, Flagstaff and 66 Main Street, Lusikisiki, respectively.

Further enquiries can be directed to Mr. M. Zweni or Mr. D. Mjokovana. Their contact details are as follows:

Mr. M. Zweni, LED Officer: Agriculture. Phone him on 039 252 0131 or send an e-mail to mzweni@ihlm.gov.za.

Mr. D. Mjokovana, Manager: Local Economic Development. You can reach him on 039 252 0131 or by e-mail at dmjokovana@ihlm.gov.za.

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Important – Please Read Before Applying:

  • This funding is strictly for registered businesses with a valid CIPC registration number.
  • Your business must have an active business bank account (applications using personal accounts will not be accepted).
  • Minimum monthly turnover: R50,000 for the past 6 months.
  • This is not personal funding or a grant.

Applications that do not meet these requirements will, unfortunately, not be processed.