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Enterprise Finance

What we offer

The Enterprise Finance sub-unit manages ECDC’s loan finance product offerings and assists micro, small and Medium Enterprises (MSMEs) gain access to affordable finance and related business development support to enable long term growth and sustainability.

Through provision of short-term and long-term product offerings, ECDC has set itself apart as the financial service provider of choice for initiatives that bring a meaningful development impact to the Eastern Cape economy.

The credit products offered by the ECDC are structured with the view that the MSME target market is high risk in nature and is one that typically struggles to access funding from private commercial lenders. The approach is therefore one that incorporates business development support services with every credit product offered to ensure enterprises are adequately supported throughout the growth phases to ensure recovery of credit provided​


Key requirements for accessing funding include adequate management capacity and commitment, as well as commercial viability of the business venture.


Our Products

1. Contract based bridging Loans as follows:

1.1 Government contracts or Purchase Orders of duration 1 – 6 months (R10 000 – R2.5million)

  • Supply & Delivery once off

  • Revolving services (provision of cleaning, security, groceries, etc.)

  • Small Construction (renovations, maintenance, etc.)

1.2 Construction projects or contracts of duration 3 – 36 months (R350 000 – R5mllion)

  • Purchase of construction materials

  • Payment of salaries and wages

  • General working capital requirements

2. Term Loans as follows:

2.1 Small Term Loans of up to R500 000:

  • Purchase of small assets and working capital

  • Repayment term of up to 48 months

  • Prime linked interest rate

2.2 Medium Term Loans of between R500 000 - R5million:

  • Purchase of assets and equipment

  • Business expansions

  • Commercial property development

  • Repayment term of up to 84 months and 120 months for commercial property

  • Prime linked interest rate

Eligibility for finance

ECDC’s enterprise finance products are best suited to finance applications that demonstrate commercial viability, facilitate job creation and/or retention, promote broad-based black economic empowerment, value addition to the economy of the province, rural/township development, and increased export income to the province.

Any product that is a new greenfield initiative where expansion and rehabilitation will be the resultant benefit will be eligible for application to ECDC for finance.

Applicants will only be considered for loan finance if they have a clean credit record or provide ECDC with written proof of arrangements made to clear any bad debt attributable to them and show clear financial viability.

Active involvement in the business enterprise, in the form of full-time participation in the activities of the business by all or some of the applicants at any given point in time, is also a requirement.

ECDC’s “aftercare” service philosophy

ECDC’s aftercare philosophy aims to provide efficient client service for the entire duration of the loan repayment term. Monthly account management and quarterly report-back visits will gauge the health of the business. In the event that the enterprise finance consultant (client relationship consultant) raises concern about the viability of the business and the applicant’s ability to sustain repayments on the loan, business support is provided to assist as far as possible to turn the operation around favourably.

ECDC’s unique collateral policy

ECDC, as a development financial institution, operates under different collateral policies compared to other private lenders. Loan applications do not require 100% security cover, however ECDC will take collateral where available. All applicants or promoters of business ventures must demonstrate 100% commitment, expertise in the area of business, and full time involvement in the activities of the business.

To apply for finance, click on this here

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Opening Hours

Mon - Fri: 08h00 -  16h30

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Contact Us

Ocean Terrace Park
Moore Street, Quigney, East London, South Africa


Tel: +27 (0) 43 704 5601/46

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