The Ministers of Small Business Development and Trade, Industry and Competition recently announced a Business Recovery Package to support uninsured businesses affected by the recent unrest and disorder.
According to the South African Property Owners Association (SAPOA) and Business Leadership South Africa (BLSA), the estimated cost of the recent violent protests on the economy of KwaZulu Natal & Gauteng is as follows:
- R1.5 billion in stock has been lost.
- Damage to the tune of R15billion recorded on property and equipment.
- More than 800 retail stores were looted and 100 were completely burnt.
- This has impacted negatively on about 50000 informal traders and 40000 businesses.
To date 150000 jobs are reported to be at risk.
This necessitated the introduction of formal and informal sectors business recovery support packages to accelerate business and economic recovery with a view to curb job loses as well as business closure.
The Business Recovery Support package focuses on the following:
- Uninsured small enterprises impacted negatively by the unrest predominantly in KwaZulu Natal and Gauteng Provinces.
- Small enterprises which require funding for working capital (including stock, equipment, delivery vehicles, furniture & fittings, etc.