Organisation : Industrial Development Corporation
Type of Facility : Gro-E Youth Scheme
Head Office : Sandton
Website : https://www.idc.co.za/
IDC Gro-E Youth Scheme
Fund Size : R950 Million (On-balance sheet)
Related : Discovery Health Medical Scheme : www.southafricain.com/1052.html
Objective :
** Encourage youth entrepreneurship and employment creation, thereby expanding South African production capacity.
Qualifying Criteria
** Available to South Africans and permanent residents up to and inclusive of the age of 35 years at the time of final approval;
** Youth shareholding should be at least 26%;
** Youth operational involvement in the business;
** Applicant can be a start-up or expansion within South Africa;
** Cost per job of up to R500 000 for the duration of funding – calculated using total project cost;
** Applicant to meet the BBBEE requirements of the IDC – level 4 or have a plan to achieve this within 24 months; and
** Own contribution will be determined by the financial capacity of the entrepreneur and the cash flow profile of the business.
Instruments and Pricing :
** Equity, quasi equity and loans;
** Minimum of R1 million and Maximum of R50 million per transaction;
Pricing to apply as follows :
** More than 26% Youth Owned – Prime less 2%; Equity – 6% RATIRR; and
** More than 50% Youth Owned – Prime less 3%; Equity – 5% RATIRR.
** Discounted equity pricing only applicable for the youth equity portion.
** First draw must occur within 1 year from approval of funding by the IDC or pricing reverts to normal IDC pricing.
Contact Us
Call Centre: 086 069 3888
Email: callcentre AT idc.co.za
Contact Address :
P.O. Box 784055,
Sandton, 2146,
South Africa
About Us
Established in 1940, we are a national development finance institution set up to promote economic growth and industrial development. We are owned by the South African government under the supervision of the Economic Development Department.