Support for existing businesses essential during pandemic By Ted Keenan - 31 May 2021 David Morobe, spokesperson for The Sukuma Fund. Image: SUPPLIED
Creating jobs is a major South African government focus, according to the 2018 Jobs Summit, but saving jobs in the pandemic is a more immediate and doable task, provided there are funds to prop up businesses that would be going concerns, were it not for Covid-19.
David Morobe, spokesperson for the R1bn Sukuma Fund and executive general manager of Impact Investing at Business Partners Limited, said that the average restaurant employs between 10 and 15 people, with indirect supplier jobs perhaps as high as 10 times this amount.
The fund formed to distribute money donated by Rupert Family and Remgro in 2020 will loan R100 million to struggling restaurants.
The fund formed to distribute money donated by the Rupert Family and Remgro in 2020 will loan R100 million to struggling restaurants.
The Sukuma Fund, which was formed to distribute R1 billion donated by the Rupert Family and Remgro Limited to support small businesses last year, announced a partnership with the Federated Hospitality Association of Southern Africa (FEDHASA) to try to preserve jobs in the sector.
Now it has decided to direct some of the money left towards struggling restaurants. In order to make the maximum impact with the remaining funds, we adapted our approach to partner with industry bodies who understand the specific challenges that their members face. We felt this was the most effective way to make a meaningful impact in helping businesses overcome Covid-19 related challenges, said Sukuma Fund s spokesperson,