Pretoria business Incubator' officially launched The official launch of the Shanduka Black Umbrellas (SBU) Pretoria incubator has added substance to an innovative SMME (small, medium and micro enterprise) development model that is already enjoying success in Cape Town and Johannesburg. SBU is a non-profit incubation enterprise development service provider which seeks to deliver real and meaningful transformation through empowered business growth.

It affords collaboration opportunities between 100 % black-owned businesses, government, the private sector and civil society by providing a critical foundation for sustainable futures. "The new incubator is part of the vision to establish SBU nationally," says Shanduka Group Chairman Cyril Ramaphosa. "It is reassuring in these tough times to witness many participating SMMEs adding value to the South African economy." Like its predecessors in Cape Town and Johannesburg, SBU Pretoria offers qualifying members a comprehensive range of business support services and training.

The Black Umbrellas model was originally conceived by social entrepreneurs Charles Maisel and Mark Frankel as a Cape Town project to redress the poor conversion rate of early stage start-up businesses to successful established businesses.

It proved so effective in supporting SMMEs that the concept was adopted by the Shanduka Foundation in October 2009 to grow and replicate it nationwide. The rationale to kick-start the project was based on South Africa's low level of entrepreneurship and high failure rate of start-up businesses - which sits at over 80 % in the first three years. This is despite the fact that SMMEs comprise 97,50 % of businesses in South Africa and are among the largest providers of formal and informal employment in the country.

The newest branch is headed by Matthew Rice, formerly Operations Manager of Sekunjalo Healthcare. "SBU is unique in Pretoria as it is the first and only all-inclusive business incubation programme aimed at SMMEs," says Rice, "Other incubators focus only on specific areas of interest." Members pay a subsidised monthly fee which entitles them to a range of support services that enables them to concentrate on their core business with the assurance that support is on hand and overheads are met.

A mentorship programme - already successfully on track in the Cape Town and Johannesburg incubators - is expected to be introduced by August. Recognition of SBU's contribution to enterprise development in the Pretoria area has resulted in corporate financial support for the incubator, with the DRA Group as the largest funder of the incubator to date.

A privately Cyril Ramaphosa of Shanduka and Angus FynesClinton, MD of DRA, at the launch of the SBU Pretoria incubator (photo: MA). owned South African professional engineering company and one of the largest project management enterprises in the African minerals industry, the DRA Group has pledged R3,8 million in support of the Pretoria SBU over two years. Another valuable injection of funds was received from the Industrial Development Corporation (IDC), which recently contributed R100 000 to the incubator.