JSE-listed Blue Label Telecoms and Blue Pencil Management Architects have jointly launched a business accelerator programme that will provide high potential South African businesses with access to the funding, market opportunities, channels and skills.<\/p>\n
Blue Pencil provides channel development, investment and business acceleration services for small and medium-sized businesses that have strong growth prospects.<\/p>\n
The combination of its business development expertise and Blue Label\u2019s access to funding, infrastructure and skills will help the chosen businesses fast-track their growth.<\/p>\n
The new business acceleration programme will focus on scale-ups that are maturing from their incubation phase and that are ready to develop into more mature businesses.<\/p>\n
The initiative will provide them with access to skills and infrastructure cutting across finance, IT, HR, marketing, product development and other business functions.<\/p>\n
In addition, where the businesses need capital to grow, Blue Label said it may provide funding in exchange for an equity stake or help them to secure external funders.<\/p>\n
Blue Label and Blue Pencil are currently evaluating companies suitable for the programme, with the aim of bringing 10 on board during Q1 2017, the companies said.<\/p>\n
\u201cSouth Africa as a nation is crying out for initiatives that can create jobs and stimulate economic growth,\u201d said Tallies Taljaard, owner of Blue Pencil. \u201cMany small businesses struggle to take off and thrive after the incubation phase \u2013 by increasing their chances of success and through the right interventions we can help them to have a positive impact in the SMME economy.\u201d<\/p>\n
Adds Mark Levy, CEO of Blue Label Telecoms: \u201cWhile there is a strong focus on incubation, there are not enough structures in place to accelerate the growth of high potential organisations. We will seek out businesses that are built on innovation and disruption and support them with Blue Label Telecoms\u2019 frameworks, experience, and infrastructure.\u201d<\/p>\n
\u201cWe want to enable them to upscale rapidly and, ultimately, penetrate new markets across Africa, and the rest of the world. We will work with them in terms of commercialisation and market opportunities, assist them to refine their value proposition and see where we can leverage synergies with Blue Label.\u201d<\/p>\n
It is anticipated that the first phase of the accelerator programme will last for approximately three years.<\/p>\n
Levy said that in the initial stages, the aim will be to test the depth of intervention that will be required to accelerate the chosen companies, and to consolidate best practices. \u201cAlthough there is a social responsibility aspect to this project, our aims are largely commercial,\u201d he said. \u201cWe help to establish a foundation for these businesses, assist with the acceleration of their initial growth and ultimately, invest in them, either directly or via a third party.\u201d<\/p>\n