More than 120 spaza shop owners across iLembe are getting a significant leg up from government in a bid to improve the district’s informal economy.

The group form the initial beneficiaries of the new Spaza Shop Support Fund, a shared programme between Enterprise iLembe and the district’s four local municipalities.

Enterprise iLembe chairperson Nkosenhle Mngadi said each approved business will receive support worth R100 000.
“The funding is divided into three components. R10 000 is allocated for training, R40 000 for stock and
R50 000 for infrastructure improvements to help businesses become compliant,” said Mngadi.
The group have already received training on business management, hygiene standards, operational efficiency and compliance requirements. Further mentorship and business support will be offered over the next five years.
Mngadi said the initial 120 beneficiaries had already been through an approval process, but encouraged other qualifying business owners to apply as the programme is ongoing.
“The first step is to approach Enterprise iLembe or the local economic development office for assistance with business registration,” he said.
“Thereafter, they need to obtain the necessary compliance certificates through their local municipalities before they can access funding.”
Busiswa Zungu, a programme beneficiary from Maphumulo, said it will make a huge difference to everyone involved.
“Thank you to Enterprise iLembe and our local municipalities for holding our hand, from filling in the application forms to providing training,” said Zungu.
Mngadi said spaza shops play a crucial role in rural economies and urged communities to support traders.