The National Youth Development Agency (NYDA) is a government organisation that provides business grants to South African youthful individuals between 18 and 35 years who seek funding in order to establish their small business. The NYDA previously provided loans to youthful business personnel and entrepreneurs, however due to their renowned objectives to provide funding and skills development, they provide funding in the form of a grant.
- Youth ( 18 -35 Years)
- South African citizens residing in South Africa
- Individual must be adequately involved in the day to day operation and management of the business with at least one or more of the members being a fulltime employee of the business, especially the main applicant.
- Have a business mentor and/or a coach approved by NYDA or must be allocated a business mentor by NYDA post application approval.
- Require the grant for a viable business idea
- Operate either informally or formally; generally recognized as micro enterprises (e.g. street traders, vendors, emerging enterprises)
- Individual entity must have a bank account.
- For cooperatives, they must have or be willing to form a group of minimum 5 persons
The NYDA provides funding for all business stages from the startup phase to the expansionary phase of your business. The funding ranges from R1 000 to R250 000 depending on the nature and phase of your business.
Thresholds Type of businesses Grant amount ranges
Threshold 1 Idea generation and survivalist (start-ups) R1, 000 – R10, 000
Threshold 2 Start-ups PTY and cooperatives R10, 001 – R50, 000
Threshold 3 Growth stage PTY and cooperatives R50, 001 – R100, 000
Threshold 4 Expansion stage PTY and cooperatives R100, 001 – R200, 000*
*for agriculture and technology related projects the maximum threshold is R250, 000.00
N.B: Threshold submissions requirements applies
In addition to the grant availed, prospective beneficial will be provided with training and business management skills to develop their understanding and abilities to run a business.
The NYDA is able to provide business grants to both formal and informal businesses that require funding to either start or expand their business. This means that even young individuals looking for funding to set up their spaza shop are able to access funding and skills development programs that will equip them to start and run their business from the ground up.
Non – Financial support services include
- Business Consultancy Services
- Market Linkages
- Business Management Training Programme
- Youth Co-operative Development Programme
The grant recipient shall not use NYDA funds to do the following:
- To pay a bribe
- Re-finance any existing loans
- Any material purpose not contained in the application for grant or defined during due diligence stage and detailed in the approved Terms & Conditions, unless where written approval has been granted by NYDA
- To settle overdue or outstanding South African Revenue Service liabilities, whether current on non-current.
- NYDA will not provide grant funding to a client that has benefited from another Development Finance Institution to an amount above R500, 000.00.
- NYDA will not provide a grant to an applicant who has been convicted of fraud.
- You must apply 3 months before you turn 35 years.
- Submission of all required documentation
- Proof of attending Business Management Training course.
- Business Pitch presentation of 10 minutes – in person or telephonically.
- Due Diligence assessment conducted by the NYDA official on the business.
- How to access the NYDA Grant Programme
- Contact the Call Centre on 080 052 5252.