1: What is Shanduka Black Umbrellas?
A: Shanduka Black Umbrellas is an incubation, mentorship and development programme to facilitate the development and growth of the SMME market.
2: Who can enter?
A: Shanduka Black Umbrellas is an incubation, mentorship and development programme to facilitate the development and growth of the SMME market.
3: How does Shanduka Black Umbrella's assist?
A: It provides members with a working environment and the support services that will enable them to thrive. Benefits include office space with a professional receptionist, computers, communications (internet and telephone), vehicles with drivers, a compulsory reliable bookkeeping service and a structured mentorship programme. All this is made available for a nominal monthly fee, allowing entrepreneurs the space to focus on their core business, with the assurance that support is on hand and the overheads are covered. An added benefit is that members participate in a growing network of businesses in which they are able to share resources and be motivated by one another's success.
4: How long has the programme been running?

A: Black Umbrellas was established in January 2005 to pilot a new design model for the support of Small, Medium and Micro Enterprises (SMMEs) facing the traditional challenges of small business operation. The rebranding to Shanduka Black Umbrellas took place in September 2009.

5: Why only100% black-owned SMMEs?

A: According to the Global Entrepreneurship Monitor (GEM) Report 2009, “relative to population size, Indians/Asians are more than three times, and whites more than twice as likely, compared to Africans, to be involved in early stage entrepreneurial activity. This can, to a large extent, be attributed to the legacy of SA’s apartheid policies and their impact on:

  • Poor levels of education and skills development;
  • Inadequate business infrastructure development and limited markets
  • Restrictions on owning property which reduced assets available for loans;
  • Fewer entrepreneurial role models

Stage of entrepreneurial activity, by population group
  Start Up New Firm Established Business
Black African 57% 24% 19%
Coloured 58% 26% 16%
Indian/ Asian 27% 40% 33%
White 32% 25% 43%
       

 

From the above table it can be seen that businesses started by black people, as defined in the B-BBEE Codes of Good Conduct are least likely to mature into new and established firms.  Businesses in the SMME sector tend to have primarily a local effect.  As long as African and coloured entrepreneurial activity remains concentrated in the startup phase, they are unlikely to have much effect in revitalising local communities and proving employment.  Given the unemployment statistics below, this is a matter for concern.”

 

Unemployment rate by population group, 1st quarter 2011
Black African Coloured Indian/ Asian White South Africa
29.60% 21.90% 9.40% 6.00% 25%
6: How do corporates get involved?

A: Black-owned SMMEs (Small, Medium or Micro Enterprises) based in any of the cities where Shanduka Black Umbrellas has a presence-provided that they meet the required selection criteria which largely focuses on the ability of the owner, the feasibility of the venture and the intention to grow a sustainable business and create jobs.

 
Corporates can get involved by funding Shanduka Black Umbrellas through their enterprise development spend or in kind; utilising the services of the SMMEs as suppliers to their businesses; mentoring SMMEs and referring potential SMMEs to Shanduka Black Umbrellas.

Aside from helping to set up businesses and alleviate unemployment, there are significant tax benefits and B-BBEE scorecard points that may be earned by companies investing in the programme.

Per the Broad Based Black Economic Empowerment Act, companies are required to contribute three percent of Net Profit after Tax (NPAT) towards enterprise development in order to qualify for the 15 points available in terms of the scorecard. According to clause 3.2.5.12 of Statement 600 of the B-BBEE Codes of Good Practice, payments made by the Measured Entity to a third party (Shanduka Black Umbrellas) to perform enterprise development on the Measured Entity’s behalf qualifies as an Enterprise Development Contribution.

Opportunities also exist for contributions other than cash e.g. mentoring which will count towards the B-BBEE scorecard. There are also opportunities to procure from 100 percent black owned SMMEs and obtain points in terms of the procurement requirements on the B-BBEE scorecard.

Empowerdex certifies that Shanduka Black Umbrellas is fully compliant with requirements of the Broad-Based Black Economic Empowerment (B-BBEE) Act and its accompanying Codes of Good Practice Codes and all relevant criteria therein for the recognition of Enterprise Development Contributions at a factor of 1.25.
7: Who has supported Shanduka Black Umbrellas?

A:

a b c  d e f g h i j k l m n o p q r s t u v w x y Z

A

Above and Beyond

Adreach Group

Advanced Vehicle Engineering

African Cork Suppliers

African Food Industries

Air Select Air Conditioning

All Elect PE

Apollo Air

 

B

BCL Medical Waste

Berco Investment

Blastrite

Bridging Technologies SA

BVI Consulting Engineers

C

Cattells Ind Footwear

Chair Crazy

Chemimpo

Clearcopy Laserfix (SEESA)

Concrete 4U Logistics

Community Chest

Concrete 4 U

 

D

Dacmac Logistics

D Financial Services Africa

Dell Computers

Dlamini Weil Communications

Donville Meat Corporation

Dupisani Rivier

DRA Mineral Projects

 

E

Eastern Switchgear

Eden Landscaping

Elan Polo SA

 

F

Geberit

F S Smit Manufacturing

Fast Lane Solutions

FC Holma Argitekte

Fugro Maps

 

G

Geberit Southern Africa

Global Payment Technologies

Graham Clarke Electrical Trust

Grosskopff Lombart Huyberechts & Associates

GUIA ENG CC

Greater Good SA

 

H

Haslop & Mason Engineering Empower

Heron Foundation

Heydenrychs Butchery

HSE Supplies, ImageTEK

 

I

IMP Scientific & Precision

Incon Health

Industri-Bag

Industrial Development Corporation

ITCBA

Intaba Construction

Integral Safety Products

Interger Marketing Communications

 

J

JCR Artisan

 

L

Laser Chemicals

Limpopo Tyres

Lipco

Lubritene

 

M

Manlimeli

Maritime Motors

Medicus Shoes

Merlin Project Services

Merrill Lynch SA

Metacom

Metate Construction

Midas Capital

Mining Mechanical & Offshore Engineering

MMO Contro

Moodie & Robertson

Motor Rewinds

MTN

 

N

NETGroup Solutions Holdings

Nel Tank CC

Nussbaum Foundation Nexor

 

O

Optimum Production Direction

Open Society Foundation

Orley Foods

Osmosis Experiential Marketing

 

P

Pepic & Kraus Print (Pty) Ltd

Perfect Tooling

Pex Hydraulics

Pioneer Mechanical

Provincial Government of the Western Cape

 

Q

Quick Tech

 

R

Raimondo Foundation

Redfield

Remtec

Rentworks Africa

 

S

S & T Consulting Engineers
SBK Rewinds
Shanduka
SLDesigns
Surplan
Sotiralis Consulting
Space Age Technologies
SSC Infrasek
Styler Products
Swift Micro Laboratories

 

T

Tactile
Terry Moss Racing
Tembuland Gas
Tilespace TransUnion ITC
Tshikululu Social Investments

 

U

Union Calico Bunkers

 

W

W Martin Interiors
W Voigt (Cape)
Waterloo Plumbing

 

Y

Yokogawa.
8: Who has supported Shanduka Black Umbrellas with over R1 million?

A: