National Empowerment Fund (NEF) - uMnotho Fund - Capital Markets

This Fund invests in BEE enterprises, particularly those owned by black women, that wish to list on the JSE (Johannesburg Stock Exchange) or its junior AltX market (specifically set up for smaller and medium-sized companies to raise capital by allowing investors to buy shares).  

The uMnotho Fund will also help listed BEE companies to raise additional capital for expansion. The funding ranges between R2m and R50m and can take the form of a loan or an equity investment with a typical duration of between four to seven years.

Eligibility criteria

• Your business is a profitable and high growth business.
• Businesses must focus on investing in medium to large companies.
  
• Businesses must focus on partnerships with existing management teams and other equity investors.
  
• A minimum BEE ownership of 25.1% post NEF investment is required.
  
• BEE applicants should be actively involved in management.
  
• There must be active BEE involvement in investee companies.
  
• The NEF reserves the right to oblige applicants to participate in the NEF mentorship programme.
  
• Security to include a personal guarantee.

Application process

The NEF website has an outline on how to apply for funding. 

Please ensure that you download the Application Form as well as the personal statement of assets and liabilities form. The link can be found on the left-hand side of the How to Apply page.

The application form contains details of what they expect to see in your business plan.  Once you have all the documents prepared, you can submit your application at the nearest NEF office.