The report presents a close-out report for the SMME Relief Scheme that was administered by the Department of Small Business Development and its Agencies (Small Enterprise Development Agency – SEDA as well as the Small Enterprise Finance Agency – sefa).
The rationale for the facility – SMME Relief Scheme
The rationale for this scheme was to ensure that SMMEs do not close down completely due to the COVID 19 pandemic lockdown that was implemented throughout South Africa on the 26th of March 2020 and that they were supported with working capital to ensure that jobs are retained in the economy. The scheme was targeted at SMMEs that were operational before the 29th of February 2020 and primarily targeted enterprises that were negatively impacted (directly or indirectly) by the Coronavirus pandemic and lockdown restrictions.
The SMME Relief Scheme covered the following working capital elements:
a. Payroll – aided employers whose employees did not qualify for UIF Relief, on condition that those employers register their employees with UIF or decided with UIF to fulfil their outstanding obligations
b. Rental assistance (facility or equipment) – assisted businesses to pay their rental obligations for either working tools and/or facilities/business premises
c. Utilities – assisted with municipal bills, this also alleviated some pressure from municipalities who were facing severe financial constraints and were expected to deliver basic services.
Download the full report: