Industrial Development Financial Assistance (Incentives)
Seda Technology Programme (STP)
seda Technology Programme (Stp) is a division of seda (Small Enterprise Development Agency) focusing on technology business incubation, quality & standards and technology transfer services & support to small enterprises.
stp seeks to stimulate economic growth and development through facilitating technological innovation increasing the accessibility to, and utilisation of technology and technical support for small enterprises, whilst at the same time improving the sustainability and international competitiveness of small enterprises supported through the programme. stp, as a programme of the Department of Trade and Industry (the dti), is therefore responsible for the provision of both financial and non-financial technology transfer, business incubation and quality support services for small enterprise.
Technology Transfer Unit
stp provides a range of services that assist small enterprises, particularly
enterprises in the 2nd economy, to access and acquire technology. "2nd economy’’,
as defined by stp, broadly refers to small enterprises (registered or not registered) that are marginalised with respect to all or most of the following:
§ Access to funds;
§ Access to markets;
§ Limited business skills;
§ Limited technical know-how; and
§ Access to appropriate technology.
The Technology Transfer Unit (TTU) of stp has two main objectives, namely:
1. To provide technology transfer services to small enterprises; and
2. To provide specific technology support to women-owned enterprises.
The latter objective focuses on the provision of technology transfer services and support to women-owned enterprises (>50% woman ownership), while both objectives are aimed at providing funding for small enterprises to acquire the necessary technology and technical support for effective technology transfer transactions. stp offers financial assistance in the form of a non-repayable grant up to a maximum of R600 000 per project.
The following are the categories that are eligible to qualify for Technology Transfer Fund (TTF):
- Design, formulation, materials and methods transfer, including design improvement and optimisation;
- Know-how, knowledge, skills and expertise transfer, including training and mentoring related to the technology being transferred;
- Designs, equipment, systems, machinery and tooling directly related to the product and process technology being transferred;
- The know-how, knowledge, skills and expertise required to operate and maintain the equipment, systems and machinery, including training and mentoring related to the technology being transferred;
- Expert labour costs regarding the technology, where such costs do not exceed 20% of the total approved TTF funding provided by stp;
- Intellectual Property payments (e.g. Licensing Agreements) and expertise transfer payments to enable the TTF transaction.
- Travelling and subsistence claims relating to the technology transfer transactions, subject to Adjudication Panel’s prior approval;
- Legal and expert resource expenses regarding the negotiations, agreement and transfer of the technology;
- Business training, development and mentoring; and
- General business services, e.g. equipment, machines, facilities or processes that are utilised to provide repairs, examinations, overhauls, support or assistance in some form or other, as well as specialised equipment, machines or processes are utilised to provide support for manufacturing, mining, agro-processing or service enterprises.
Technology transfer items that will not be funded by the TTF:
- Research and development of technology;
- Franchise agreements;
- Cost pertaining to the other party – licensee or licensor;
- Annual patent renewal;
- Ongoing license fees;
- Business systems unrelated to the manufacturing technology;
- Marketing and market feasibility studies;
- Buildings, roads, vehicles or major civil works;
- High-voltage supply, main water supply or major supplies;
- Business services such as retailing, sales, personal care, cleaning, legal, financial and all types of consulting activities; and
- All costs not directly related to the acquisition of technology.
stp contact information
Technology Transfer Unit (TTU)
Tel: (012) 441 1375
Fax: (012) 441 2375
Technology Business Incubation
Incubation aims to help grow sustainable small, medium and micro-sized enterprises in the country. It is designed to strengthen technology commercialisation and harness the entrepreneurship of the technology community in South Africa. This support directly helps inventors and new enterprises to use technology optimally in improving the competitiveness of their products and services. Furthermore it facilitates access to business infrastructure, strategic guidance, and financial and legal advice, and creates an environment of learning and sharing in which information, experience and ideas are freely exchanged.
Incubation also assists enterprises to develop skills, knowledge and markets. These improvements are intended to lead to increased profitability and growth. Enterprises will be able to employ more people and enter new markets with cutting-edge products and services.
Process of recruiting Incubatees:
Each incubator has its own incubatee recruitment/selection process that is unique to its business.
A list of the stp Incubators
Elizabeth Mokgaetjie Matshega
Tel: (012) 441 1104
Fax: (012) 441 2104
Tel: (012) 441 1116
Fax: (012) 441 2166
Quality and Standards Unit
Ensures that small businesses have access to quality control and assessment processes, and provides training and access to accreditation and certifications.
Objectives Quality Unit:
1. To promote the importance of quality and standards as key drivers of South Africa’s competitiveness;
2. To enhance the quality and standard of products and services produced by South African entrepreneurs for national and export markets through providing advice and technical support;
3. To develop technical skills needed to create a broader understanding of national and international compliance standards;
4. To provide systems support to South African firms to upgrade their industrial capabilities through standards and quality assurance with a key focus on small, medium and micro-sized enterprises; and
5. To provide conformity assessment support to small businesses in South Africa, helping them to overcome technical barriers to trade.
Enterprise Development Sub-Unit:
• Quality awareness coaching sessions
• Quality health checks - Electronic business maturity tool
• Quality booklets – Micro-enterprise support
• Training, and training of trainers on:
• ISO 9001:2008;
• ISO 18001;
• Food safety - HACCP – ISO 22000;
• Good manufacturing practices;
• Strategic business process management;
• Measurement standards – New;
• Lean manufacturing – New;
• ISO 14001 – New; and
• ISO 14001 – New.
Conformity Assessment Sub-Unit:
The Unit facilitates the development and implementation of the following management systems through the provision of R90 000-00 in grant/incentive support:
• ISO 9001:2008 (Quality management system)
• ISO 14001 (Environmental management system)
• ISO 22000 (Food handling and processing management system)
• OHSAS 18001 (Occupational health and safety management system)
• ISO 17024 (Laboratory accreditation) – New
• Auditor training
• Facilitation of third-party certification
• Conformity assessment training
• National product specification portal that contains 6776 standards
The Unit facilitates the certification process through SABS and other certification bodies. The organisation has a choice between going for full certification at once, or being certified through three-step phases.
• Product certification – R60 000.00 grant /incentive
Quality and Standards Unit
Quality and Standards Unit – Enterprise Development Sub-Unit
Tel: (012) 441 1245
Fax: (012) 441 2245
Quality and Standards Unit – Conformity Assessment Sub-Unit
Tel: (012) 441 1178
For more information visit www.seda.org.za