Two young people are creating jobs for the youth, thanks to a loan from the Industrial Development Corporation (IDC).
The owners of the Maloka Machaba Surfacing, Kate Machaba and Matshela Maloka, have hired 28 people, most of whom are young, at their Polokwane-based asphalt business. Five of these are women.
Both civil engineers and both 32 years of age, they are passionate about being drivers of the economy.
Their business offers three main services: the manufacturing, surfacing and transporting of both hot and cold mix asphalt.
Hot mix asphalt is mainly used in the construction of tar roads while cold mix asphalt is mainly used to fix potholes. Both hot and cold mix asphalt are mixed at the company’s plant and come with a certificate of approval from civil engineering testing laboratory Mocha Labs.
Maloka, who is the chief executive officer of Maloka Machaba Surfacing, said a loan from the IDC helped them buy the specialised machinery needed to operate in the asphalt space, including trucks, pavers, rollers and distributors.
Applying for an IDC loan
The company’s loan application went through several processes at the business funding entity. Machaba, who is the chief operations officer, said they had to present a well-researched business plan when applying for the loan.
“Make sure that you have done your research thoroughly of the industry you want to get in to,” she said, adding that entrepreneurs should also remember that as a loan, the money has to be repaid.
Maloka Machaba Surfacing is on the road to success because of the leg-up it received from the IDC and after conquering South Africa, plans to expand north into other African countries.
Funding applications can be done on the IDC website or offices. Applicants are advised by the organisation to ensure the application has all the relevant documentation. When the IDC receives an application, it acknowledges receipt and may ask an applicant to supply extra information or documents.
The IDC then gives feedback on the outcome of an application in writing. If the IDC is satisfied with the business’ bona fides, an applicant is asked to sign a loan contract.