Johannesburg: Spaza shop owners aiming to expand their operations can now avail themselves of financial assistance through the Spaza Shop Support Fund. This initiative, launched by the Department of Small Business Development (DSBD) in 2025, targets eligible spaza shops and other food-handling outlets throughout South Africa, with a focus on enhancing business operations, boosting competitiveness, job creation, and fostering local economic development.
According to South African Government News Agency, the fund provides up to R100,000 in financial support for qualifying businesses. For amounts exceeding R50,000, the support is structured as a mix of 50% grant and 50% loan. The funding can be utilized for shop renovations, business training, and stocking inventory.
To access this support, business owners must follow these steps:
Step 1 involves verifying eligibility by reviewing the requirements on the fund's website. To qualify, the spaza shop owner must be a South African citizen or have been naturalized before 1994, operate in a township or rural area, and serve the local community. The business must comply with local municipal registration, relevant legislation on food safety, and be registered with the South African Revenue Service (SARS), or qualify for a six-month transitional period. The owner should also manage the business actively.
Step 2 requires gathering necessary documents, including a certified copy of a South African identity document, business registration documents, proof of business address, evidence of operation, bank account confirmation, and a business permit from the municipality. Applicants seeking over R80,000 must register with the Companies and Intellectual Property Commission (CIPC) within six months of receiving funding.
Step 3 is the submission of the application through the online portal at https://systemsnew.sefa.org.za/SMMEPortal/. Applicants must ensure the accuracy of information and the correct upload of supporting documents.
Step 4 involves awaiting assessment, during which applicants may be contacted for additional information if needed.
The fund places priority on young entrepreneurs aged 18 to 35, women-owned businesses, and those owned by individuals with disabilities. For further details, visit www.spazashopfund.co.za.
*This article first appeared in Vukuzenzele*