Sourcefin joins forces with IDFC to empower KZN SMMEs with R150 million

Durban, KZN 2024

On Thursday, 1 August 2024, Sourcefin and The Ithala Development Finance Corporation (IDFC) officially signed and launched their partnership to empower KZN SMMEs (KwaZulu-Natal Small, Medium and Micro Enterprises). As Sourcefin’s CEO, Joshua Kadish, mentioned, this is a first-of-its-kind partnership in KZN.

As a start, this collaboration is set to inject R150 million into KZN’s economy.

This will provide SMMEs with much-needed financial support through purchase order funding and invoice discounting.

Empowering KZN SMMEs is the main focus

This partnership’s primary objective is to drive economic growth, create sustainable business opportunities, and contribute to KwaZulu-Natal’s overall prosperity by empowering KZN SMMEs. This will all be done through access to finance (in the form of purchase order funding and invoice discounting) and a range of non-financial support:

· End-to-end sourcing and logistical support to ensure delivery of all orders

· Free access to Sourcefin’s extensive, international database of pre-vetted suppliers

· PO and invoice validation and verification

· Specialist business processes, legal, financial and seamless operations support

The partnership is more than just a financial agreement

The IDFC Group chief executive Pearl Bengu said “At Ithala, our mission is to foster economic development and create opportunities for all, especially those in rural and township areas. We believe that partners like Sourcefin enhance our efforts of driving innovative solutions to enable SMMEs to focus on creating jobs and contributing to the overall economic prosperity of KwaZulu-Natal,”

Joshua Kadish is hopeful that this partnership will not only address the significant financial gap when it comes to SMMEs’ access to finance but also empower SMMEs to grow and thrive through providing KZN SMMEs with free strategic training.

This partnership is more than just a financial agreement; it’s a commitment to fostering a more inclusive and empowering financial landscape for KZN SMMEs. By integrating Sourcefin’s innovative digital platforms and financing solutions into the IDFC ecosystem, SMMEs will gain support and elevate to new heights of business success.

“We are taking the first step towards creating a more inclusive and empowering financial landscape for SMMEs in KZN. This partnership marks the beginning of a journey to elevate the SMMEs of KZN to new heights of growth and business success,” added Kadish.

This partnership aligns with the KwaZulu-Natal Economic Recovery Plan, a comprehensive strategy to stimulate economic growth and development in the region. By collaborating, IDFC and Sourcefin aim to make a meaningful contribution to the province’s economic revival.

The launch event was a success and featured key discussions on how this partnership will enhance service delivery, drive innovation, and foster sustainable growth for SMMEs. Attendees had the opportunity to engage with both Sourcefin and IDFC
representatives, gaining insights into the extensive support available for SMMEs.

About Sourcefin

Sourcefin is a financial specialist with a mission to empower SMMEs by delivering a full suite of services, including financing orders, sourcing goods, negotiating cost savings, and providing strategic guidance. Their commitment extends beyond financial support to encompass technology, innovation, and additional networks.

About IDFC

The Ithala Development Finance Corporation (IDFC) manages fully integrated business activities that provide a range of financial and property services throughout KwaZulu Natal. Their mandate is to promote development in the province of KZN. Their vision is to be the catalyst for growth, socio-economic development, and empowerment in the KwaZulu-Natal Province. And their purpose is to achieve the intended impact of sustainable and competitive SMME’s and co-operatives contributing meaningfully to radical socio-economic transformation and job creation in the KwaZulu-Natal Province.