sefa provides the following loan products:

  • Start-up loans;
  • Business Loans; and
  • Business loans.

1.1.1 Start-loans: Loans offered through Direct-Lending to survivalist non-financial co-operatives for working capital e.g. for small orders from government departments, municipalities and private sector.

1.1.2 Business Loans: Loans offered through Direct Lending to all types of co-operatives for funding enterprise projects e.g. purchasing production machinery etc. and working capital.

1.1.3 On-lending loans: Loans offered through Wholesale Lending to Financial Co-operatives and Co-operative Banks to on-lend to their members.

1.2 Institutional Strengthening :

sefa provides the following institutional strengthening support :

  • R500, 000 grant for Financial Co-operatives start-ups aimed at subsiding operational costs. The following expenditure items are excluded:
    • Furniture;
    • Rental; and
    • Stipends.
  • Mentorship is provided to non-Financial Co-operatives. This is an indirect expenditure as it is paid directly to the Mentor.


sefa charges interest rate and other fees based on its pricing model and risk profile of the co-operative.No fees are charged to start-up co-operatives.


  • Financial Co-operatives: 15% of the total assets (R5 million in case where the Financial Co-operative has obtained an exemption from the Supervisor: Co-operative Banks Development Agency (CBDA) or Reserve Bank in case of a Co-operative Bank.
  • Non-Financial Co-operatives: R5 million.


Maximum period: 5 years.


  • Potential applicants can approach sefa’s nearest regional office in their Province for further information and application forms. Alternatively, potential clients can download the application forms from sefa website and qualifying criteria;
  • Upon completion of the application form, a potential clients will submit same to sefa Regional Office for assessment and if the applicant :
    • Does not meet the requirements, the applicant is accordingly informed and the application is closed;
    • Meet all the requirements, the application will be submitted to the relevant sefa Credit Committee for decision after certain activities have been performed as part of assessing the application;