Author: Lungile Msomi

When it comes to growth for small to medium-sized enterprises (SMEs), a robust business strategy can be the difference between success and failure. Business strategies are critical for SMEs that want to survive the ups and downs of the business world. Most SMEs will develop their own strategies. However, there is a platform purposefully built to ensure SMEs create comprehensive business strategies, Flowcode.

At the 2025 SME Funding Summit, Flowcode spoke on the importance of providing SMEs with a platform that enables them to build their companies from the ground up while leveraging digital platforms.
“We are here to help SMEs and entrepreneurs alike develop their business strategies. We give them a business coach and software that they can use to actually build their strategy, develop their strategy and help scale their business,” said Johnathan Ducie, Sales Lead at Flowcode.

What is a Business Strategy?

A business strategy is a roadmap that guides an organisation’s decisions, actions, and resource allocation to achieve its vision and mission. Key elements of a business strategy are:

• Mission: A concise statement that defines the company’s purpose and core values.
• Vision: A forward-looking statement outlining the company’s aspirations and desired future state.
• Values: Principles that define how the company operates and interacts with its stakeholders and form the foundation of the company’s culture.
• Goals: Specific, measurable, achievable, relevant, and time-bound (SMART) objectives that the company aims to achieve within a certain time period.
• Competitive Advantage: Unique qualities or capabilities that distinguish your company from competitors.

What is Flowcode?

The Flowcode platform enables SMEs to create comprehensive business strategies. The platform uses a combination of advanced strategy tools with effective execution management to enable scaling with ease.

Some key features of the platform include:

• Develop Business Strategies: Flowcode’s modular platform empowers SMEs to create business strategies effortlessly.
• Team Collaboration: Flowcode enables a connected workforce by integrating external calendars, file sharing, and engagement tracking.
• Real-time Insights: Monitor progress with analytics and reports for better decision-making.
• Tailored Support: Flowcode offers each customer a trained business coach/consultant to help SMEs build and execute their business strategy.

How Flowcode Helps SMEs Unlock Funding

For many SMEs in South Africa, access to funding is a challenge. Some SMEs do not have the ‘data’ to highlight business growth and financial status, which can make demonstrating business viability an issue for them and their potential funders.

By leveraging Flowcode, SMEs have the opportunity to show growth through a digital platform. Because Flowcode monitors business growth and performance, funders can use this data to monitor how the business is performing and develop more tailored funding vehicles for SMEs.

“Where Flowcode can step in is to actually show you how to build a business, to actually grow your business, to make your business scalable. Then you can take that whole model and show somebody who’s a funder to go look at what you’ve built and look at what I’m doing from one source,” Ducie said.
For SMEs, a platform like Flowcode is not only there as an ‘ideas machine’, but also a comprehensive business development platform aimed at helping founders become more strategic thinkers, scale their businesses and navigate the tricky parts of owning a business.

“SMEs need to know that Flowcode is there to calm the chaos. We calm all the chaos for entrepreneurship, and we are for the entrepreneur,” Ducie explained.

Businesses Suited for Flowcode

The types of businesses that need a platform like Flowcode include:

1. Ready to Scale
Flowcode is ideal for businesses on the verge of growth that are looking for a platform that provides a clear roadmap to effectively and sustainably scale.

2. High-growth Companies
The platform is ideal for SMEs that are navigating a period of rapid growth. Flowcode ensures that strategic alignment and efficiency in execution are managed to maintain momentum.

3. Businesses in Turbulence
Flowcode not only helps businesses experiencing growth and success, but also those facing challenges. The platform provides proven strategies to help organisations break free from the ‘growth-collapse’ cycle and ensure they stabilise and thrive.

“We are looking to help the businesses that have an idea, and they’ve been running their business, but still need structure. Also, we want to help those struggling with operational challenges. We provide a business coach who can help them navigate any tough times,” Ducie concluded.

As small to medium-sized enterprises (SMEs) navigate digital transformation, the biggest hurdle can be the cost and finding the right digital business tools. Digital business tools are important because they enable SMEs to focus on running their business and increase profits, while technology takes care of the mundane tasks.

One of the more critical aspects of digital transformation is cybersecurity. Cybersecurity is important for all businesses to ensure that the business and its customers are protected. At the 2025 SME SA Funding Summit, Sean Twala of the Innovation Hub Group highlighted that cybersecurity is a growing risk for SMEs in South Africa.

“Businesses that have low turnovers or smaller businesses don’t usually take cybersecurity as something seriously. We are here to take care of SMEs and ensure their compliance with regulations and keep their businesses safe,” Twala said.

What is Cybersecurity for SMEs?

Cybersecurity is a foundational element of digital transformation for SMEs. It is the practice of protecting digital systems, networks, data and software from cyber threats like attacks, damage, data theft or unauthorised access.

Integrating cybersecurity measures from the start is crucial and involves more than just tools. SMEs need to train their employees, leverage multi-factor authentication and practice regular security updates.

SME founders might not always be aware of the best cybersecurity practices, and that’s where the Innovation Hub Group is helping.

What is the Innovation Hub Group?

The Innovation Hub Group is an end-to-end ICT solutions provider. The company’s services vary from ICT infrastructure deployment to enterprise internet and telephony solutions. Under its services, the company includes:

IT Solutions

End-to-end IT solutions that are tailored to match the needs of your business, whether through flexible monthly SLAs or on-demand support. IT solutions include desktop maintenance, firewall maintenance and IT hardware and installation. The Innovation Hub Group’s IT solutions begin at R189 per month for desktop maintenance up to R650 per month for server maintenance.

Server Hosting

The company’s server hosting solution enables users to access resources from anywhere, on any device. This helps reduce the need for SMEs to run expensive hardware infrastructure on their local network. Server hosting solutions are from R699 per month.

Web Hosting

Web hosting allows SMEs to post a website or web page on the Internet. The Innovation Hub Group’s web hosting services are secure and affordable, with a focus on hosted e-mail. Through hosted e-mail, SMEs can use Office 365, Microsoft Exchange, IMAP and POP. E-mail hosting is from R69 per month.

Internet Solutions

The Innovation Hub Group provides a range of Internet services, including fibre, microwave, wireless and LTE. The Internet solutions range from R299 per month for LTE and from R899 per month for business fibre.

Software Services

Software is important for digital businesses because it performs automated tasks, responds to hardware and responds to data requests from other software. The Innovation Hub Group’s software solutions are tailored based on your workflow and business needs. Software suites cost from R69 per month and vary, including customer relationship management (CRM) to remote management.

Power Back Up

With loadshedding causing so many operational disruptions for SMEs, backup power solutions are important. The Innovation Hub Group offers 3KVA 24V and 5KVA 48V backup power solutions, ensuring company PCs, servers and equipment with stable power during loadshedding. Backup power solutions are from R1599 per month for 24V and from R2219 per month for 48V.

Security Solutions

The security of your SME is very important to its operations. The Innovation Hub Group’s extensive cybersecurity solutions are suited for SMEs looking to secure their systems and data. The company’s security solutions leverage machine learning and automatic threat response technology to ensure data is secure. In terms of cost, its antivirus solutions are from R250 per annum.

Financial Services

Access to different types of funding is not always easy for SMEs, and with so many elements of the business needing capital, a simple loan won’t do the trick. The Innovation Hub Group offers flexible financing solutions to SMEs looking to procure hardware, software, maintenance and other services. The company’s financing solutions are tailored to each business, and the repayment period is flexible.
“We know that SMEs are looking for funding, but we want to make sure digital transformation and cybersecurity are affordable for them. Once they get their funding, we want them to see us as an affordable and trustworthy partner to streamline their businesses,” Twala concluded.

As South Africa’s small to medium-sized enterprise (SME) ecosystem continues to grow, the need for more funding and financing solutions is also growing. Currently, SMEs are still mostly turning to traditional banks for funding; however, there are various alternative funding platforms that are gaining popularity with SMEs, one of which is Sourcefin.

What is Sourcefin?

Sourcefin is a South African fintech company that specialises in providing purchase order funding and invoice discounting to SMEs. The company has a full-service solution that includes helping businesses secure funding, source goods, manage logistics, and provide expert guidance to fulfil purchase orders.

At the 2025 SME South Africa Funding Summit, Sourcefin’s Chief Strategy Officer, Jedd Harris, said, “Alternative funding is still new but gaining popularity. The normal entrepreneur on the street looks for funding or a loan from traditional banks; you hardly hear them say, “I need merchant advance or invoice discounting, but those solutions are slowly gaining popularity.”

Access to Funding Still a Challenge

With an estimated 3,5 million SMEs in South Africa, the challenge of access to funding is still a barrier for many small businesses. Traditional banks often have long waiting periods, excessive paperwork and strict lending criteria, making it difficult for small businesses to access the capital they need.

The growth of tailored financing options means SMEs can now access financing solutions that can better meet the needs of their businesses. This financing is specifically designed to meet the unique challenges of SMEs and is more flexible and accessible than traditional financing options.

“Most SMEs don’t realise that there are fit-for-purpose funding solutions that suit their business and its needs. It’s not about taking loans anymore, it’s about what the specific need of the business is and which instrument fits better for your business,” Harris explained.

How Sourcefin is Bridging the Funding Gap

Harris elaborated that Sourcefin uses a collaborative approach with SMEs when it comes to their funding needs, including:

• Education: Sourcefin prioritises educating SMEs about alternative funding solutions, making it easier for them to access the right type of funding.
• Building trust and partnership: Sourcefin positions itself as a strategic partner to SMEs and works closely with them to understand their funding needs and help them find the most suitable funding solutions.
• Diverse funding solutions: Sourcefin offers SMEs a range of alternative funding options that are developed to suit their unique needs.

“At Sourcefin, we offer open-minded funding; we call it fit-for-purpose funding. While most traditional lenders are still looking at collateral but in most early-stage businesses, they don’t have it. At Sourcefin, we look at your future, the opportunity and back you according to your potential,” said Harris.

What Sourcefin Offers SMEs

Sourcefin has two funding solutions on offer for SMEs: purchase order funding and invoice discounting.

Purchase Order Funding

The purchase order funding option from Sourcefin has the following features for SMEs:

• Can help SMEs fulfil large purchase orders such as tenders.
• Specialist sourcing support to help SMEs meet client expectations on every purchase order.
• Provides strategic support to help the SME grow as it receives large purchase orders.
• Provides logistics support to help SMEs fulfil orders
• Project management support to help SMEs fulfil orders on time and to the correct requirements.

Apply for Sourcefin Purchase Order Funding

Applying to Sourcefin is easy and can be done online. You will need the following:

• First name
• Phone number
• E-mail address
• The total amount of funding you need
• What do you need the funding for

Once you have sent in your application, Sourcefin will get back to you within 48 hours.

Invoice Discounting

Invoice discounting is a type of funding that allows SMEs to gain instant access to capital that is tied up in invoices they have submitted. Invoice funding from Sourcefin can be approved in as fast as 24 hours from application.

Apply for Sourcefin Invoice Discounting

To apply for invoice discounting from Sourcefin, you need to do the following:

Step 1: Application

Answer a few simple questions that will help you determine if Sourcefin is the right platform for you. Following that, you will need to provide basic business and personal information. The final step is to provide details on the invoices you have outstanding.

Step 2: Approval

Once your application has been approved, a Sourcefin consultant will contact you to help you understand all the details of the financing deal and what costs come with it.

Step 3: Post-approval Support

Once your invoice finance is approved and you understand all details of the deal, Sourcefin will pay you a portion of the invoice value. The company will also keep track of the expected payments and follow up with your clients if necessary. Lastly, Sourcefin will let you know once the invoice has been paid, deduct its original advance plus any interest and pay the remaining balance into your account.

“We see the SME landscape as a positive sum-game, and we know that if we can’t provide the funding you need, we have partners who can. It’s going to take a village to close the funding gap, but we can see that there are platforms and banks willing to bring funding to SMEs and enable their growth,” Harris concluded.

At the 2025 SME South Africa Funding Summit, leading financial institutions and funders asserted their commitment to supporting the growth and sustainability of South Africa’s small to medium-sized enterprises (SMEs). Among the key contributors was silver sponsor FNB, which highlighted the role of digitalisation in addressing the funding gap and driving SME resilience.

At the summit, Louise Naidoo, SME Lending Product Head at FNB Commercial, emphasised the importance of building a deeper relationship between banks and SMEs with the goal of creating better access to funding and sustainable SMEs.

“Banks are often the first choice for SMEs, but they experience negative outcomes due to declined funding requests. Successful and sustainable funding relationships require a partnership between banks and SMEs,” Naidoo said.

Bridging the SME Funding Gap

There are an estimated 2,6 million to 3,5 million SMEs in South Africa. These businesses play a vital role in job creation and economic growth. However, despite their growing importance, many SMEs still struggle to access financial support.

According to the 2025 South African MSME Access to Finance Report, 85,6% of all funding applications came from micro-enterprises, which are businesses with a turnover of less than R1 million per year. As much as these businesses are creating jobs (over 80% of jobs created in South Africa), they are still underfunded.

FNB believes that improving access to finance for SMEs is dependent on digital enablement and funding readiness. The bank’s commercial offering aims to streamline access to credit, provide funding solutions, offer various business tools and provide access to markets.

“We really want to demonstrate that, from an FNB perspective, we genuinely are here to help and listen. We want to help businesses with those complicated things and streamline funding opportunities for them,” explained Naidoo.

Digitalisation vs Digitisation: What SMEs Need to Know

With so many new technologies such as cloud computing, artificial intelligence (AI) and machine learning, SMEs are in a race to catch up to the rest of the world. These new technologies have the potential to unlock growth and sustainability for SMEs, however, there is a need to clarify the difference between digitalisation and digitisation.

Digitisation is the process of changing from analogue to digital form. Also known as digital enablement, digitisation takes an analogue process and changes it into digital form, with any changes to the process itself.

On the other hand, digitalisation is the use of digital technologies to change a business model and provide new revenue and value-producing opportunities, such as alternative funding instruments.

In simple terms, SMEs need digitalisation to enable them to become digital businesses in a digital economy, and that’s where FNB’s commercial banking solutions can help.

“Digitalisation is not just a trend; it’s a huge shift. And the sooner SMEs make use of the tools available and all of the digital solutions, the more these tools can help them with access to funding,” Naidoo explained.

Betting on Digital Tools for SME Growth

In South Africa, the SME sector is largely cash-driven despite an increase in the adoption of digital financial services and tools. This limits the ability of the SMEs to build a digital financial footprint, crucial for securing financing.

Naidoo noted that although some SMEs are leveraging digital financial tools, many remain on the sidelines. To address this, FNB has tailored its app to enable SMEs to apply for funding directly, a process that not only streamlines applications but also allows the bank to gain a clear picture of the SMEs financial footprint. This digital footprint is key to improving credit assessments.

Another tool by FNB is the app’s payment feature, which allows SMEs to generate QR codes for customer payments. Every payment processed on the app strengthens the SME’s financial history, and that data can be used to tailor financing solutions such as merchant cash advances.

“By focusing on the right tool(s) and using them effectively, SMEs build up a good credit record. When it comes time to apply for funding, banks can understand the transaction patterns and growth, making it easier to approve funding,” says Naidoo.

Funding Readiness and Banking Relationships

Another element of FNB’s presentation was funding readiness. Funding readiness is how prepared a business is to secure funding or investments. Many SMEs struggle with not only accessing funding but also getting their businesses in a position to qualify for funding.

Naidoo explained that FNB is committed to not only providing access to funding but also education and awareness on digital tools. The bank aims to equip SMEs with knowledge on how to use accounting tools, payment features and build a good credit score that builds trust with banks and other financial institutions.

“The funding journey is not just a once-off transaction. There are various funding solutions designed to help SMEs throughout their life cycle. It’s important that SMEs are ready for this journey and leverage the available tools,” she explained.

Role of Education in SME Digitalisation

During her presentation, Naidoo highlighted that a lack of awareness or understanding around digital financial tools was a growing concern. The current skills gap, along with limited digital infrastructure in South Africa, means many SMEs are not able to fully use the available technology.

Digitalisation not only helps entrepreneurs, but in South Africa, it is also a catalyst for skills development and broader economic inclusion.
To help SMEs become familiar with technology, FNB is committed to driving awareness and education. This includes efforts in training on payment platforms and guidance on how to build a strong credit profile, all of which contribute to funding readiness.

The 2025 SME SA Funding Summit was not only a way to tackle challenges in funding but also to open a dialogue between SMEs and funders. With stakeholders such as FNB investing in financial education and access to funding, the funding gap can be smaller for SMEs.

At this year’s Funding Summit, we’re proud to unveil the SME South Africa Growth Pod, a space designed to drive your business forward. Drawing inspiration from the trusted SME Advice platform, the Growth Pod brings expert business advice directly to you in a dynamic face-to-face setting.

At the Growth Pod, attendees will have exclusive access to one-on-one consultations with seasoned industry professionals who are eager to help our small to medium-sized enterprise (SME) founders with any business challenges.

Whether you are a start-up founder refining your business plan, a growing business exploring funding opportunities, or an established owner seeking innovative strategies, our experts are ready to provide tailored insights that meet your unique needs.

Here’s what to expect from the SME South Africa Growth Pod:

• Expert consultations: Engage with our experts who specialise in key areas such as funding strategies, marketing innovation, legal compliance and operational efficiencies. Gain practical advice that is immediately applicable to your business challenges.
• Tailored guidance: Receive tailored advice that addresses the specifics of your industry, stage of business and immediate concerns – ensuring that every piece of guidance is relevant, actionable and impactful.
• Real-time problem solving: Attendees can bring any pressing business questions and walk away with clear, strategic solutions designed to unlock their next level of success.

The Growth Pod is more than just an advice booth; it’s a comprehensive business ‘accelerator’ that bridges the gap between theory and practice. By merging the digital expertise of SME Advice with the immediacy of face-to-face interactions, we are equipping our SMEs with the tools, insights, and confidence to navigate the ever-evolving business landscape.

Elvis Sekhaolelo is heading up the Growth Pod. Skhaolelo is an impact investor and enterprise supplier development (ESD) practitioner with over eleven years of experience in developing impact ecosystems within South Africa’s township and rural economies.

These ecosystems contribute to sustainable models and processes that support local industries and value chains. He is the founding CEO of eKasi Entrepreneurs Movement, a national public benefit organisation dedicated to empowering, developing, and supporting SMMEs in townships and rural villages.

Additionally, he serves as the impact investor and business development manager at Township IMPACT Investments, an investment company focused on building infrastructure that enables SMMEs to thrive within their communities. Through these ventures, Sekhaolelo leverages his academic background and expertise to create positive social and economic outcomes for underserved populations.

The Growth Pod is an opportunity to connect, learn and innovate- making it a must-visit destination at the SME South Africa’s Funding Summit. Embrace the chance to harness expert knowledge spark new ideas and ignite your business growth.

This is your chance to speak to a business growth expert in person – Grab your ticket to the Funding Summit before they are sold out.

The 2025 SME South Africa’s Funding Summit stands as a pivotal event for small to medium-sized enterprises (SMEs) across South Africa. The event offers a platform for entrepreneurs, investors and industry experts to come together and catalyse the growth of SMEs and drive innovation.

This summit is not only designed to create an environment for knowledge exchange and networking but also plays a critical role in unlocking financial opportunities that are vital for the sustainability and scalability of our SMEs.

A Hub for Innovation and Opportunity

In South Africa, SMEs face many unique challenges beyond competing with bigger businesses for clients. The most pressing challenge our SMEs face is access to proper funding solutions. At its core, the SME South Africa Funding Summit is designed to address these unique challenges faced by SMEs in today’s competitive landscape.

The event aims to create a space where emerging business leaders can learn from seasoned professionals, gain insights into modern financial strategies and discover innovative funding solutions that can help their ventures.

Through keynote sessions, panel discussions and interactions with our funders, attendees will be equipped with the tools and knowledge needed to navigate the complexities of modern entrepreneurship.

“The SME South Africa Funding Summit is of vital importance to SMEs. It facilitates access to capital, professional guidance, and relationship-building prospects. The summit shall present SMEs with a variety of financing alternatives extending beyond conventional lending options. Furthermore, this occasion will provide analyses of policy and market trends to assist businesses in overcoming economic challenges. It distinguishes itself from any other financing event,” says Gcina Madonsela, Business Development Executive at SME South Africa.

“The summit also aims to emphasise the importance of actionable guidance from experts on securing funding. In a time where access to funding can make or break an SME, the SME South Africa Funding Summit brings together financial experts and successful entrepreneurs who will share first-hand experience and strategies for overcoming funding hurdles.

“The focus on education and mentorship is critical to ensure our SMEs not only survive but thrive in an ever-changing economic environment.”

The Role of Our Sponsors and Ecosystem Partners

A key factor in the summit’s success is the invaluable support of our sponsors, whose commitment to fostering SME growth is evident in every aspect of the event.

Old Mutual SMEgo

As a forward-thinking brand, Old Mutual SMEgo brings a wealth of financial expertise and innovative funding solutions to the table. Old Mutual’s initiatives are designed to empower SMEs with the financial tools and tech solutions necessary to secure sustainable growth.

At the summit, Old Mutual SMEgo will showcase its latest products and services tailored for SMEs, ensuring that attendees have access to cutting-edge technology and tailored funding solutions.

Raizcorp

Known for its dedication to nurturing entrepreneurial talent, Raizcorp plays a crucial role in the SME sector by providing mentorship, incubation and acceleration programmes. The support of Raizcorp helps transform promising ideas into successful businesses, offering expert advice and facilitating a culture of innovation.

Raizcorp’s presence is a testament to its commitment to guiding entrepreneurs through the often-challenging journey of business growth and development.

Sourcefin

With a strong focus on financial solutions that meet the unique needs of our SMEs, Sourcefin is instrumental in bridging the gap between traditional financing and the dynamic demands of modern businesses.

Sourcefin’s expertise in alternative financing models and innovative funding options empowers entrepreneurs to secure the capital necessary for expansion. By participating in the SME South Africa Funding Summit, Sourcefin offers practical insights and strategies which enable our SMEs to navigate the financial landscape with confidence.

Businesswomen’s Association of South Africa

As a leading voice of women in business, the Businesswomen’s Association of South Africa (BWASA), plays a crucial role in advocating for gender equity in entrepreneurship. The involvement of BWASA in the summit ensures that women in businesses have access to the right networks, knowledge, and funding opportunities.

The BWASA’s commitment to fostering leadership, mentorship and business development perfectly aligns with our goal of empowering SMEs. Their presence at the event not only highlights the importance of women-led enterprises but also provides women entrepreneurs with the confidence to succeed in a competitive market.

Brewsters Academy

Brewsters Academy (formerly Brewsters Craft) is a leading institution dedicated to education and training in the brewing and beverage industry and plays a unique role in the summit. The organisation provides specialised training and mentorship for SMEs within the food and beverage sector, Brewsters Academy helps SMEs refine their craft (beers) and establish sustainable businesses.

The participation of the Brewsters Academy in the summit, highlights the importance of industry-specific education and skill-building as a crucial component for SME success.

Startup Grind

A globally recognised platform that connects entrepreneurs, Startup Grind brings its vast network and expertise to the SME South Africa Funding Summit. With its mission to educate, inspire and connect entrepreneurs, Startup Grind plays a vital role in bridging the gap between startups and investors.

Startup Grind’s presence at the summit will provide attendees with access to mentorship solutions, insights from successful founders and exposure to potential funding opportunities. The contribution of Startup Grind to the summit will ensure that our SMEs are financially empowered and equipped with the knowledge and strategies needed to scale their business.

Impact on the Future of SMEs

The SME South Africa Funding Summit is more than just an event. It is a movement aimed at transforming the SME sector. We want to foster collaboration among financial institutions, mentorship organisations, and innovative funding providers.

We aim to create a sustainable ecosystem and community where SMEs can flourish. This integrated approach ensures that entrepreneurs are well-equipped to tackle challenges, leverage opportunities and continue to contribute to the economy of South Africa.

The SME South Africa Funding Summit is not only a celebration of entrepreneurial spirit but also a testament to the power of strategic partnerships in building a brighter, more sustainable future for our SMEs.

If you would like to become a sponsor or exhibitor at the Funding Summit, send an e-mail to events@smesouthafrica.co.za. Don’t miss the opportunity to be a part of this transformative event.