Economic Opportunities

1. What is the total value of the funding made available for the Western Cape COVID-19 Business Relief Fund?

The total funding for the Western Cape COVID-19 Business Relief Fund amounted to R38 930 000.

2. What is the total value of the planned or anticipated future funding to be granted to businesses from the Western Cape COVID-19 Business Relief Fund?

The allocated funds listed above is the only funding currently earmarked for businesses linked to the COVID-19 Business Relief Fund.

3. How many businesses have received or have been approved to receive funding from the Western Cape COVID-19 Business Relief Fund?

To date, a total of 249 businesses have been approved to receive funding linked to the Covid-19 Business Relief Fund.

4. How many businesses applied for the Western Cape COVID-19 Business Relief Fund grant?

The Department received 1720 applications for the Covid-19 Business Relief Fund.

5. How many businesses’ applications were declined?

A total amount of 1471 applications did not meet the minimum funding criteria and could not be considered for funding as part of the pre-evaluation, evaluation and adjudication process.

6. How many businesses’ applications are anticipated to receive future funding from the Western Cape COVID-19 Business Relief Fund?

To date, a total of 249 businesses have been approved to receive funding.

7. What is the geographical distribution, according to the Western Cape municipalities (number of businesses per municipality), of the businesses that have received or have been approved for grant funding?

8. What were the qualifying criteria for businesses to access the Western Cape COVID-19 Business Relief Fund grants?

Qualifying criteria for the Covid-19 Business Relief Fund for formal businesses:

1. tax compliant at the time the application is submitted;
2. formally registered or incorporated e.g. with the Companies and Intellectual Property Commission (CIPC);
3. classified as a micro or small enterprise in terms of the National Small Enterprises Act (Act 102 of 1996 as amended) - https://www.gov.za/sites/default/files/gcis_document/201903/423041gon399.pdf;
4. in formal existence for more than 2 years;
5. in good financial standing pre-COVID -19 (as at 29 Feb 2020);
6. operating in the Western Cape;
7. 100% South African owned; and
8. able to demonstrate how the business was negatively affected by the C-19 pandemic.

Qualifying criteria for the Covid-19 Business Relief Fund for informal businesses:

1. 100% South African owned;
2. operating in the Western Cape;
3. in possession of a valid municipal trade permit to trade;
4. operational at the time of applying for assistance;
5. in possession of an active bank account in the applicant’s name;
6. able to demonstrate how the business was negatively affected by the C-19 pandemic;
7. employ at least one person in addition to the owner (the Department reserves the right to request supporting documents to substantiate employment figures submitted); and
8. Although tax registration is not a qualifying criterion when applying, applicants (business owners) are encouraged to register with SARS. No funds will be disbursed to business owners that are not registered with SARS.

1. What were the disqualifying criteria for businesses to be refused or declined access to the grants?

Reasons for unsuccessful applications

1. Did not submit the required supporting documentation
2. Did not meet the requirements
3. Late submission of supporting documents
4. Received funding from other government Covid-19 initiatives
5. Duplicate applications

10. If there were more applicants than the Western Cape COVID-19 Business Relief Fund was able to support, how were applicant businesses scored against each other in order to identify which businesses would receive Western Cape COVID-19 Business Relief Fund grants and which businesses would not?

The Department was able to secure additional funding from the Provincial Treasury (R12 million) which enabled all compliant applicants to be funded. Should the number of applications exceed the available funding, a threshold would have been utilised that will enable businesses scoring above the threshold to receive assistance.

11. Under what terms and conditions did businesses accept the grant funding.

The following terms and conditions formed part of the grant award letter signed and accepted by the recipients of the COVID-19 Business Relief Fund:

1. The Department may, in its sole discretion, request written proof relating to the operational expenses that the grant is being or has been used for;

2. The Department shall be entitled to request any other information from your organisation related to the impact of the Fund on jobs and/or sustainability, as it relates to your business;

3. The Department shall be entitled, without your further permission, to use the information you provide pursuant to (a) and (b) above, as well as your organisation’s name, logo, imaging and description, in any marketing or communications opportunities that the Department may undertake to highlight the impact of the Fund and the benefits that it has generated; and

4. The Department shall be entitled to withhold payment of the grant to your organisation pending verification of your organisation’s particulars.

50. How many (i) black-owned and (ii) women-owned businesses received or were approved to receive this grant?

1. 104 businesses
2. 102 businesses