IDF SME Fund

IDF Managers is currently raising funds for, and will manage, the IDF SME Fund. The IDF SME Fund was established by Identity Partners to provide financial and non-financial support to aspiring black SMEs. The fund is raising total capital commitments of R250 million, with the first close of the Fund targeted at capital commitments of R100 million upon which time disbursements will start being made. The second and final closing will be at R250 million. The Fund is aimed, mainly, at businesses owned by black youth and women, and those based in rural and peri-urban areas.

The IDF SME Fund is a general fund and will provide debt and equity finance as well as non-financial support to its portfolio companies. The Fund targets businesses that require finance of between R250,000 and R30 million subject to the investment cluster’s conditions, and the Fund’s criteria.

The Fund comprises of three investment clusters:

The IDF SME Fund will consider businesses that meet the following criteria:

• Black ownership and operational involvement;
• Growth prospects and long-term sustainability to yield the required investment return;
• Businesses that have a considerable, positive, socio-economic impact; and
• Innovative businesses.