Small Business Services
Small Business Services
Our Focus
• Focus on small businesses with annual turnover up to R 7.5
million.
• Market segmentation allows for a greater focus on a market that
has diverse and specific needs
• Specific segments include:
 Start-up businesses (not yet started, less that 2 years old)
 Small sized franchises (e.g. Vodashop, Captain Doregos,
Romans Pizzas)
 Small professional entities (e.g. doctors, dentists, accountants,
lawyers, engineers )
 Established small business (older than 2 years - general service,
retailing & manufacturing concerns)
Nedbank Retail
Why Do Businesses Fail?
Lack of
Management
Competence
16%
Poor
Management
of Financial
Activities 34%
Inflation &
Economic
Conditions
12%
Poor
Bookkeeping &
Records 12%
Nedbank Retail
Union
Problems 6%
Sales &
Marketing
Problems 11%
Staffing
Problems 9%
Market Challenges
• Access to markets
 Opportunities
 Capital
• Financial Acumen
• Business formalisation
• Access to Support Services/growth partners
• Lack of Collateral
Nedbank Retail
Our Offer
Through our understanding of self-employed and challenges they face we
provide ‘banking’ given their unique requirements as well as ‘value added’
offers that will assist with their success.
Banking….
• Focussed segmentation approach delivering banking given the unique
criteria and needs of a segment…focus on start-up and franchise
• Relationship Model that supports the segmentation strategy via dedicated
relationship managers and small business services staff in branches
• Specialist unit to focus on start-ups
• A credit philosophy and policies aligned to the segment focussed
approach
• Service efficiency and excellence
• Unique start-up offer
• Value adds as part of the start-up offer and available to non-start ups.
Nedbank Retail
Unique Start-up Offer
• We have a specific offer to assist start-up
businesses in their success.
Mentorship
Business Registration
Finance & Free
transactional banking
Free business seminars
Khula
Free financial
training franchisees
Nedbank Retail
Free Banking
• Targeted at Start-up businesses (under two years)
• Take out a minimum R100 000 loan size and qualify for
FREE:
 Unlimited Cash Deposits
 Unlimited Debit Orders
 Unlimited Cheques from own cheque book
 Unlimited Internet Banking
Market First !
Nedbank Retail
Added Value – Business Registration
• Business Registration via Swiftreg – a strategic partner
• Nedbank Small Business Services Representative in a
branch will facilitate the process
• Existing and new clients – Nedbank Small Business
Services current account as primary account
• Pure value add to our clients (also available to non-startups)
• Cost
 CCs - shelf and new = R360
 (Pty) Ltd shelf = R1065 (Pty) Ltd new = R950
 Cost for the service paid by the client directly to
SwiftReg.
Nedbank Retail
Added Value - Mentorship
• Delivered by Business Partners – one of our strategic
partners
• On application for finance or turnaround mentorship
• Across various disciplines e.g. finance, marketing, startup, franchising.
• Nedbank makes a financial contribution to the
mentorship cost.
Nedbank Retail
Added Value - Khula Agreement
• Nedbank first to sign revised Agreement
• Loan size

R10 000- R250 000
(90% Indemnity Cover)

R250 001-R1 000 000
(80% Indemnity Cover)

R1 000 001-R3 000 000
(70% Indemnity Cover)
• Developmental Focus

Rural Focus

Women owned businesses

Bottom-end Lending focus
Nedbank Retail
Our Products and Services
What is finance
required for
Duration of finance
requirements
Facilities available
Working capital
Short-term
Overdraft facility
Debtors
Debtor finance
Stock
Guarantees
Short term loans
Fixtures & fittings
Medium - term
Asset based finance
Plant & equipment
- Instalment sale
Vehicles
- Lease
Renovation of premises
- Rental
-Medium term loan
Property finance
Long - term
Home loan
Commercial property
finance
Nedbank Retail
Funding the start-up / growth
What does the bank need ?
• Comprehensive Business Plan
• Cash Flow Projections
• Information on the owner (s):
– CV and ID,
– personal statement of assets and liabilities
– Personal account bank statement
Nedbank Retail
Funding the start-up /
growth(cont...)
What the bank needs (cont....)
• Business financial information and bank statements
• Other relevant documents
• Own contribution
• Security offered
Nedbank Retail
What the bank considers
• The business owner’s character and personality traits
• Experience of the business owner
• The viability of the business in respect of:
• Location
• Competition
• Suppliers
• Growth potential etc, etc
• Nedbank
Quality
of business plan/projections
Retail
Our Approach
Nedbank Retail
Concluding Remarks
• We specialise in Small Business (dedicated division)
• Focus on Black owned businesses.
• Dedicated Nedbank Small Business Services
representation
• Differentiated credit lending model catering for the
diverse needs of the small business market.
• We offer “value-added” services business through
strategic partnerships namely mentorship, business
registration, free financial franchise training, risk
underwriting, business management seminars.
• Our value proposition is underpinned by service
efficiency & excellence.
Nedbank Retail
Contact details
Grant Kirkbride
(031) 2516429
Cell: 071 869 8600
GrantK@nedbank.co.za
Nedbank Retail
Nedbank Retail