FundingHub and ProfitShare Partners combine to help Rifumo Empowerment Holdings make ICT history.
Often the awarding of a tender and / or the winning of any new, sizeable piece of business is both exciting and daunting for the successful bidding company.
Often they have the expertise, track record and capabilities to deliver on the new contract – and certainly the desire – but the capital needed to fund new machinery, human and other resources may be in short supply.
“Cash flow problems prohibit aggressive business growth,” says Marilynn Leonard, co-founder of FundingHub. “Often traditional business loan providers are not a viable option and that is where our services (connecting alternative lenders to businesses) help play such a key role in creating opportunities for growth.”
A recent example of how the FundingHub network makes expansion possible is the Rifumo Empowerment Holdings’ case study.
In short, the company was awarded a tender to deliver 25 000 Microsoft licenses to the Gauteng Government. As a Microsoft Gold-Certified partner the company already offered proven record and ability to maintain the standards required – however it needed assistance to secure funding for the purchase of 25 000 licenses.
“We needed funding to get the project running and our cash flow was limited,” says Zwelakhe Masango, Finance Manager of Rifumo. “We applied for financing through the FundingHub online portal and that, in turn, connected us with ProfitShare Partners.
From there the process was swift. We met with ProfitShare Partners’ CEO who was very understanding, upfront and professional. After our deal was confirmed, ProfitShare Partners paid on time and in line with our agreement.”
A first for ICT SMEs
ProfitShare Partners assessed the deal and was able to fund Rifumo within seven days after accepting the Term Sheet. The funding provided the SME with the confidence and support to deliver their contract and demonstrate their key competencies.
“This is another sterling example of how SMEs can grow and become sustainable businesses,” says Andrew Maren, CEO of ProfitShare Partners. “Rifumo had the capability and we were able to support them in funding the equipment they needed to deliver. It’s also a first for such a small black-owned company to execute on such a mammoth task – we’re proud to have played a role in that.”
FundingHub connects businesses to a network of approved lenders with the specific goal of helping accelerate company growth. A quick, simple and free online application is all that is needed to potentially access the finance you need to move your business forward. A wide variety of products are available to best match the loan-type and business requirement.
If you have been trading for more than 6 months and have annual turnover exceeding R1m, we want to speak with you.