If you’re a young entrepreneur in need of funding, then the National Youth Development Agency (NYDA) could offer the ideal opportunity.
NYDA business funding helps thousands of small businesses across South Africa. If you match the relevant criteria, you can access business grants, as well as valuable business skills training and development support. This guide will break down what you need to know about NYDA business funding for South African SMEs.
What is the NYDA Programme?
The NYDA grant programme offers business funding to young entrepreneurs who are at an early stage of business development and show potential. The NYDA programme offers business support in two main areas – financial and non-financial. In both areas, entrepreneurs need to make a two-year commitment to the programme.
NYDA Non-Financial Support
The NYDA offers a wide range of non-financial support services to help entrepreneurs develop important skills. This includes business support services like:
- Mentorship programmes
- Market linkages
- Business consultancy services
- Youth cooperative development programmes
- Business management training
NYDA Financial Support
The NYDA grant programme assists 500 South African youth-owned businesses with financing. Grants start at R1000 and go up to R100,000. Businesses can use these grants for financing business assets, working capital, or purchasing stock.
NYDA grants cover three different levels. These are:
- Formal and informal business grants: These grants are issued to young entrepreneurs who are in the early development or startup stage of their businesses.
- Co-operatives: Grants are provided to individuals who come together and form co-operatives with a minimum of five people. These co-operatives need to meet specific economic and social needs.
- Community development: The grants programme is focused on facilitating a community development process with NYDA grants.
Who Can Qualify For NYDA Business Funding?
NYDA business funding is focused on youth entrepreneurs who show potential in their industry. Applicable entrepreneurs must be involved in the active operation and management of the business. Their business must also be active for at least one year. All applicants need to display the relevant skills and knowledge for their business and industry.
You can apply for NYDA business funding if you can show the potential of your business, but are still in need of funding for developing and growing the business.
Survivalist businesses can access grants of R1000 to R10,000, Startups can receive R10,000 to R50,000, and growing businesses can receive grants of R50,000 to R100,000. Applicants will need to be under the age of 35, and be able to produce all relevant documents to the NYDA.
Young entrepreneurs looking for business funding should certainly consider NYDA grants, as these can be incredibly useful for launching and growing your business. It’s also a good idea to look towards other private youth business funding solutions. For example, various large organizations (like MTN) offer their own business development and funding opportunities. This could help all kinds of businesses access the capital they need to grow and develop sustainably.
Read Also: SA Government Funding Initiatives for SMEs
