The Tourism Equity Fund (TEF) from SEFA is open!

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Author

Funding Connection
July 11, 2024

Dear Successful Entrepreneur!

The TEF offers blended finance support through a loan from sefa and any other strategic financiers; and grant funding from DT.

Objectives

  • To promote growth and transformation in line with the Tourism B-BBEE Sector Codes.

  • To address the funding challenges faced by enterprises in the tourism sector.

  • To stimulate job creation in the sector.

Funding Focus Areas

  • Accommodation: This encompasses establishments like hotels; resort properties, bed and breakfast (B&B), guest houses, game lodges, resorts, and backpackers facilities.

  • Hospitality and Related Services: This category includes conference and convention venues significantly tied to accommodation facilities, restaurants, and professional catering. Privately owned attractions within well-established tourism hubs are also eligible for consideration.

  • Travel and Related Services: This comprises tour wholesalers, tour operators, travel agents, tourist guides, car rental companies, and coach operators.

  • Other Tourism-Related Initiatives: The Tourism Equity Fund is open to enterprises within the Tourism Sector and all parts of the value chain as prescribed in the Tourism B-BBEE Sector Code.

Qualifying Criteria

To be eligible for support from the Tourism Equity Fund, tourism enterprises must meet the following criteria:

Ownership

  • The targeted entity must be wholly owned by South African citizens, indicating that 100% of its ownership is vested in individuals who are South Africans.

  • The targeted entity must have a minimum of 30% (thirty per cent) black ownership; or If

  • the black ownership in the targeted is less than 30% (thirty per cent), the TEF funding should result in a minimum of 30% (thirty per cent) black ownership.

Compliance

  • Be fully compliant with the applicable laws of the country.

  • Be compliant with the loan requirements of applicable debt provider (this will vary from financer to financier, sefa’s loan requirements are available at sefa website.

Operational Focus

  • The enterprise must operate within the qualifying sectors specified by the Tourism Sector B-BBEE Sector Codes and align its activities with the fund's objectives and priorities.

Legal Registration

  • The enterprise must be a registered legal entity in South Africa by the relevant legislation, including the Companies Act of 1973 (as amended), the Close Corporations Act of 1984 (as amended), or the Cooperatives Act of 2005 (as amended).

Contact us if you require support to develop the business plan, financial forecast and application. Just reply to this email and Anne will guide you!

To Your Success

To Your Success

Your Funding Connection Team

Landline: +27 (0)31 761 8677 or Cellphone +27 (0)64 550 7052

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