How To Get A Business Development Centre

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RICHARDS BAY MINERALS BUSINESS DEVELOPMENT CENTRE

WHAT IS THE BUSINESS DEVELOPMENT CENTRE? The development of local suppliers and host community enterprises is one of the most effective ways of facilitating the sustainable development of host communities and ensuring that these communities benefit directly from the mining activities of Richards Bay Minerals (RBM). RBM has established a Business Development Centre (BDC) which will focus on creating and developing sustainable small, medium and micro enterprises (SMMEs) from its four host communities: Mbonambi Mkhwanazi Sokhulu Dube One of the main reasons that host community enterprises cannot take advantage of the procurement opportunities offered by the company is a lack of technical skills and a gap between the minimum standards required by RBM, especially in the areas of health, safety and quality, as well as stringent environmental standards. The BDC manages four key programmes which are intended to assist, nurture, incubate, build capacity and fast-track the development of host community enterprises so that they are better placed to apply for these opportunities.

HOW TO REGISTER ON THE LOCALWISE PORTAL PROGRAMMES MANAGED BY BDC FIVE STEPS TO REGISTER NAME OF PROGRAMME WHAT IT IS WHO IS ELIGIBLE SUPPORT GIVEN Sakhisizwe Supplier Development Programme This programme focuses on developing existing businesses to raise their standards, quality and practices to meet the minimum requirements at RBM. Host community enterprises that are already trading outside RBM but who could potentially become vendors at RBM. The two-year programme is already underway with 30 participants. Participants assessed, trained according to their developmental needs, mentored and ultimately matched to supply chain opportunities within RBM. STEP 1 Host community enterprise representative/s to contact the BDC via telephone, email or walk-in at the main Business Development Centre at RBM to discuss minimum requirements for registration. STEP 2 Gather documents for registration on LocalWise. Minimum requirements are: CIPC Registration (CK/CC/ Pty) Copy of identity documents for all directors Proof of residence from Traditional Authority Business profile Tax clearance certificate BBBEE certificate CIDB grading (if in construction) or any other industry grading certificate Proof of bank account STEP 3 Contact the BDC to make an appointment with a Client Service Agent to verify documents and information presented by the host community enterprise. STEP 5 STEP 4 All information is input by the BDC on the LocalWise portal for validation. Once the validation process has been concluded, a confirmation email is sent to business owners/directors confirming registration on the LocalWise portal, together with a client pin to access their information. Where the owners/directors does not have an email address, the BDC will assist to register a new email address. Sakhisizwe Enterprise Development Programme Zulti South Capacity Building Programme Income Generating LED Programme This programme focuses on creating and formalising sustainable host community enterprises. This programme focuses on managing access of host community enterprises to opportunities that have been ringfenced or set aside within the Zulti South Project, a new mining project which will extend the life of the company s mining operations. A key consideration of the Zulti South Project is to ensure that there is direct benefit to the host communities. This programme focuses on income generation projects that will support the economic development of local communities. Companies or individuals who are just starting out with a business idea. They do not necessarily have to provide a service to RBM but will be expected to operate in the host communities. The two-year programme is already underway with 30 participants. Host community enterprises that have the potential to be matched to opportunities related to this project. Currently 44 enterprises have been identified but this number will grow as more operating host community enterprises become capacitated to the point where they are able to be matched with opportunities. Projects requested either by host community groups or host community enterprises, or identified by RBM. A key consideration for the selection of LED projects is that they have to provide shared value for all parties involved. The participants undergo formal business training in partnership with recognised training partners, Monash University and the University of Zululand. Thereafter they will develop a formal business plan and be assisted with implementation. This will be done through training, mentoring and identifying the relevant opportunities. The BDC will assess the projects for viability, capacity, capability and sustainability and will assist in developing the requisite business skills, while RBM will grant start-up funding. WHAT DOES A BUSINESS PLAN NEED TO INCLUDE? TELL US ABOUT YOUR BUSINESS What is your business about? What industry or sector is it part of? What product or service will it offer? Who are the shareholders? TELL US ABOUT YOUR MARKET (The customers who will be interested in buying your products or services.) What is your target market, what are their needs and wants? What is the size of the market? Is there a demand for your products/ services? Are there other businesses already successfully supplying this market? Marketing and communication: How you will let your market know about your business? TELL US ABOUT THE OPPORTUNITIES THAT EXIST FOR YOUR BUSINESS Are there any signs that show that your market could grow in the future? Where would you like to see your business in five to 10 years? How will you achieve this? What are the strengths and weaknesses of your business? What are the threats that could lead to your business failing? THERE ARE ALSO SOME PRACTICAL THINGS THAT WE NEED TO KNOW ABOUT YOUR BUSINESS Where will you run your business from? What raw materials do you need? How will you produce your product and deliver it to your customer? How will you make sure your equipment is kept in a good condition? How much stock will you need to meet your customers needs and where will you keep it? The quality and price of your product/service? TELL US ABOUT THE PEOPLE WHO WILL WORK IN YOUR BUSINESS What people and skills will be needed and what tasks will people perform? Provide a diagram (called an organogram ) to show the different positions in your business and how they will work together. What is your remuneration (payment) policy for your employees? What training will be needed to develop your employees? TELL US AS MUCH AS YOU CAN ABOUT YOUR BUSINESS FINANCES Provide relevant documents about the finances of your business from the past three years (if your business already exists). How do you expect your financial statements to look for the next three years and why? What are the financial requirements of your business? What are the accounting policies for your business?

WHAT SERVICES ARE OFFERED BY THE BUSINESS DEVELOPMENT CENTRE? Registration and validation of host community enterprises on the LocalWise portal. Enterprise grading and profiling. Analysis of development needs of host community enterprises. Assessment of competencies and capabilities of host community enterprises. Facilitate capacity building for host community enterprises through tailored development programmes and training. Engaging a range of stakeholders who provide value added services, such as banks and other financial institutions, as well as the relevant government departments. Business support services, such as: Internet access Creation of email addresses Business advice Assistance with the completion of documents Use of meeting rooms for business purposes **The BDC, its services and programmes are managed and implemented by the Centre for Supplier Development, a 100% black-owned and managed enterprise.

CONTACT INFORMATION HOW DO YOU CONTACT THE BDC? ADDRESS: RTBS Building, The Farm RBM No 16317 Richards Bay, 3901 TELEPHONE: 035 901 3456 CONTACTS: Thuto Mkhize, BDC Manager Thuto.mkhize@riotinto.com Nomasonto Buthelezi, Programme Administrator Nomasonto.buthelezi@riotinto.com Velemseni Mtshali, LED Projects Manager Velemseni.mtshali@riotinto.com Plans are underway to establish satellite offices closer to the Sokhulu community in the north, and the Dube and Mkhwanazi host communities in the south.