South Africa: New $4m Fund to Support Women Entrepreneurs in South Africa

10 December 2025

South Africa's Business Partners has introduced the ZAR90 million ($4 million) Basadi-Women Growth Fund to expand access to finance for women-owned small and medium businesses that struggle to qualify for traditional lending.

The fund offers tailored financing between ZAR250,000 ($11,000) and ZAR5 million ($221,000), which can be used for property purchases, working capital, equipment, acquisitions, or franchise investments.

A key feature of the fund is its flexible repayment structure. Women entrepreneurs can opt for an interest-capitalisation period or a repayment moratorium of up to six months, easing early cash-flow pressure. Business Partners said the facility is designed to support sustainable growth, with pricing and terms set to fit the realities of small businesses.

Beyond capital, the programme will offer technical support, mentorship, and access to entrepreneurial networks. Business Partners' René Botha said the fund aims to reduce barriers that prevent women from scaling businesses and participating more fully in South Africa's economy.

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Key Takeaways

The Basadi-Women Growth Fund reflects a broader effort in South Africa to expand financial inclusion and increase women's participation in entrepreneurship. Women-owned businesses often face structural challenges, including limited collateral, smaller professional networks, and restricted access to bank financing. Development finance institutions and SME-focused lenders are increasingly designing gender-inclusive financial products to bridge these gaps. Business Partners' approach aligns with global research showing that women entrepreneurs reinvest a higher share of earnings back into their businesses and communities, creating broader social and economic impact. By combining flexible capital with mentorship and business-support services, the fund is taking a holistic approach rather than offering debt alone. The initiative also fits into South Africa's push to grow the SME sector as a key engine of job creation. If widely adopted, similar gender-focused funds could help unlock new economic activity and strengthen entrepreneurship ecosystems across the country.

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