eskomenterprisedevelopment

Enterprise Development

Enterprise development is defined as the act of investing time and capital in helping people establish, expand or improve businesses. Enterprise development helps people to earn a living; it helps them out of poverty; and it leads to long-term economic growth for themselves, their families and their communities.

eskom infographic

 [Read more in Enterprise Development (Trialogue Business in Society 2017)]


What constitutes Enterprise Development?

Enterprise development involves investing time, knowledge and capital to help Small and Medium Enterprises (SMEs) establish, expand or improve businessincluding empowering modest income-generating informal activities to grow and contribute to the local economy. [Enterprise Development Made Easy, Raizcorp].

It can also involve:

  • Support: preferential credit terms, preferential pricing structures, mentorship and business skills training by large companies to emerging black-owned business
  • Grants and loans, investment in beneficiary entities, guarantees/ security, providing seed capital

 

A discussion on Enterprise Development at the 2017 Trialogue Business in Society Conference.


Benefits of Enterprise Development to the contributor

  • BBBEE score card. Enterprise development, were big companies offer operational assistance to small, black-owned enterprises, is a core component of the South African government's BBBEE strategy and globally recognised as an effective way to reduce poverty. [Source: DBSA working paper series]
  • Accountability for sustainable SME development, job creationn and poverty alleviation
  • Return on investment 
    [Source: Neda services: How do organisations benefit from Enterprise Development]

Apart from the benefits to the contributor, enterprise development is an integral tool for alleviating poverty and unemployment.  

Read more about the benefits of Enterprise Development



 

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