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Information and Requirements on NYDA Grant Programme

NYDA provides Grants from R1 000.00 to R250 000.00 depending on the developmental stage of the business. *for agriculture and technology related projects the maximum threshold is R300,000.00. There are Four (4) thresholds under which Grant is offered: Note that the following documents are not limited to, as an applicant you have responsibility to provide documents and information that would convince the funding committee that there’s Capability, Business is economically Viable and Sustainable and ALL Risks are mitigated.

Threshold 1 requirements (1 000.00 to 10 000.00):

• Recent Certified ID Copy of Applicant
• Certified copy of Marriage Certificate (if applicable)
• Proof of Residential Address
• 3 months Personal Bank Statement
• CV & Certified copies of Qualifications of applicant or EDP certificate (business skills training is compulsory)
• Employee(s) CV & Certified ID copy (if applicable)
• Motivation letter why NYDA must fund your business (explain in detail the use of funding and why you quoted the quantities of equipment/materials)
• Quotations from Supplier/s
• Verification of Suppliers Bank Details or a Cancelled Cheque (compulsory)
• Sales Records (if operational/for existing businesses)
• Orders (proof of work still to be done – if applicable)
• Entrepreneurship Development Programme or Business Skills Training must be done (enquire to NYDA staff about attending this training).

NB: Required documents may vary as per industry and you maybe required after submission of application to submit more documents.

Threshold 2 requirements (10 000.01 to 50 000.00):

• Recent Certified ID Copy of Applicant
• Certified copy of marriage certificate (if applicable)
• Proof of residential Address
• Business Registration Documents
• Valid Tax clearance certificate
• Business Profile or Summary of business operations
• Recent Sales Records (existing businesses/operational)
• Affirmed Orders / Work or Opportunities (if applicable)
• Lease Agreement or Permission to Trade on Site (if applicable)
• 6 -12 Months Business Bank Statements (Originals -existing businesses/operational)
• 3 Months Personal Bank Statement (Originals)
• CV & Certified copies of Qualifications of applicant or EDP certificate (business skills training is compulsory)
• Employee(s) CV & Certified ID copy
• Motivation letter why NYDA must fund your business (explain in detail the use of funding and why you quoted the quantities of equipment/materials)
• Quotations from Supplier/s
• Verification of Suppliers Bank Details or a cancelled cheque
• Enterprise must create additional employment for at least one young person (s)
• Must have technical skills required to operate the business (if operations are technical).
• Entrepreneurship Development Programme or Business Skills Training must be done (enquire to NYDA staff about attending this training).

NB: Required documents may vary as per industry and you may be required after submission of application to submit more documents.

Threshold 3 & 4 requirements (50 000.01 to 100 000.00) & (100 001 – 250 000)

• Recent Certified ID Copy of Applicant
• Certified copy of marriage certificate (if applicable)
• Proof of residential Address
• Company Registration & Valid Tax clearance certificate
• Provide Management Accounts (sales transactional or record keeping system)
• Viable Business Plan with 3 years Financial Planning (Projections)
• Recent Sales Records
• Affirmed Orders / Work, Opportunities or Contract (if applicable)
• Lease Agreement or Permission to Trade on site (if applicable)
• 6 - 12 Months Business Bank Statement (Original)
• 3 Months Personal Bank Statement.
• CV & Certified copies of Qualifications of applicant or EDP certificate (business skills training is compulsory)
• Employee(s) CV & Certified ID copy
• Explain Purpose/Reason why you request funding ((explain in detail the use of funding and why you quoted the quantities of equipment/materials)
• Quotations from Supplier/s
• Verification of Suppliers Bank Details or a cancelled cheque • Must create at least 2 additional Jobs for threshold 3 and 4 for threshold 4 that are permanent. • Must sustain at least 5 permanent jobs for cooperatives
• Must have technical skills required to operate the business. • Must have an off-take contract in place (where applicable)
• The business must be operational for a minimum of two years for threshold 3 and three years for threshold 4
• Entrepreneurship Development Programme or Business Management Training must be done (enquire to NYDA staff about attending this training).

NB: Required documents may vary as per industry and you may be required after submission of application to submit more documents.

NB: In all cases the enterprise’s turnover MUST not exceed R750 000.00 per annum.

Grant Process:

1. Pre-Assessment:

NYDA aspiring applicants will be requested to complete pre-assessment. The purpose of pre-assessment id to evaluate the business concept / idea and the stage of the business in terms of performance, business skills of the owner and employees. Assess the feasibility and sustainability of the concept and determine if the aspiring applicant meets NYDA’s qualifying criteria.

NB: Credit check will be conducted on all applicants.

2. EDP Training:

Entrepreneurship Development programme (EDP) is a programme designed to train and inculcate the spirit of entrepreneurship and business development in young people. After the training if the applicant still qualifies in terms of NYDA qualifying criteria, the aspiring applicant will be requested to collect documents to submit attached with Grant Application.

NB: If your business has been operational/trading for more than 2 years you may be excused on attending EDP but that will be the discretion of NYDA.

3. Grant Application:

At this stage, the aspiring Grant Applicant will submit all the required documents on erp.nyda.gov.za and upon submission.

During the application stage, site visit will be conducted by an official from the NYDA, financial statements will be created together with the applicant and Grant Memorandum will be drafted for the submission to the Branch Grant and Review Committee (BGARC). The committee will approve, decline, make recommendations or refer back the application based on the information before the committee. Should the application be approved or decline and approval or decline letter will be send to the client.

On approval, the client will be requested to sign a Grant Agreement. After signing of the Agreement, the applicant will be requested to sign disbursement request. This request will be sent to our Grant Team at head Office and as such to Finance Department for disbursement and this will be followed by monitoring.

NB: From completing application form and approval of all supporting documents, it should take 30 days for us to approve/decline and disburse (Not withstanding any unforeseen delays). We fund office equipment and furniture relative to business needs. It is critical that business idea is viable and sustainable for us to fund. If you do require additional information, please contact Grant Product Team.

How to register on the NYDA portal