develoPPP Ventures is a new investment initiative created by the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) on behalf of the German Federal Ministry for Economic Cooperation and Development (BMZ).
This scheme is offered to South African companies. In addition to providing financial returns, the develoPPP Ventures program assists South African small and growing businesses (SGBs) that are creative and have the potential to produce a demonstrable and positive impact on the environment or society in addition to financial rewards.
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What is the Process for Allocating Funds in develoPPP Ventures?
Multiple rounds of competition are used to determine how the money that is allocated for this program is distributed. Startups who meet the requirements can participate in a grant program of up to 100,000 Euros, about 110,000 US Dollars.
This grant aims to provide funding for expanding their business models that make an excellent contribution to development.
The purpose of the funding from develoPPP Ventures is to help these businesses grow to the point where they are attractive enough to attract the interest of commercial investors or financial institutions for additional funding.
To qualify for this funding, a South African SGB must fulfil specific criteria: it must be officially registered in South Africa, have a market-ready product or service, and demonstrate initial market traction by presenting at least one annual financial statement that shows some sales.
The selected companies will receive bespoke technical assistance tailored to their specific requirements and the monetary grant, thereby increasing their chances of success. GIZ collaborates with Jozi Angels, a community-based group of angel investors, and VC4A, a global organisation dedicated to creating startup ecosystems, to effectively implement the develoPPP Ventures program in South Africa.
Applications for the first develoPPP Ventures competition for South Africa are now open until June 30th.
More info on develoPPP Ventures
develoPPP Ventures helps new businesses make a more significant difference, do jobs, and boost the economy. The co-financing approach ensures that businesses that get help are committed and have a stake in the outcome. The program emphasises health, education, agriculture, and energy, essential for long-term growth.
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The program provides financial support to innovative businesses with a high potential for impact but faces significant barriers to scaling. It explicitly targets start-ups and small to medium-sized enterprises (SMEs) in Africa, helping them to grow and contribute to economic development.
By partnering with local and international investors, develoPPP Ventures aims to create a conducive environment for African entrepreneurship. It also provides businesses with access to networks, expertise, and markets. This holistic approach accelerates individual companies' growth and fosters a broader entrepreneurial ecosystem, driving innovation and job creation across the continent.
Ultimately, develoPPP Ventures represents a strategic effort to leverage the private sector's dynamism to tackle development challenges in Africa, promoting inclusive economic growth and sustainable development.
