Free State Development Corporation

Bridging Finance (Once-Off Order/Non-Construction Related)

Objectives Of The Fund

  • To bridge the cash flow needs of SMME's who have to meet specific contracts or orders.
  • Finance is targeted to SMME's in the service, manufacturing and retail industries.

Financing Policy

Loan size
Based on the capital needs the loan shall be limited to 80% of the contract amount or R1 000 000; whichever is lesser.


  • Property financing
  • Franchise;
  • Financing of Vehicles/Automobiles for private use and/or commuter services is explicitly excluded
  • Debt financing

Loan Repayment term

  • Linked to the project cycle

Interest Rate (Fluctuating)

  • The interest rate charged will be based on the prevailing prime rate plus 1%.


  • Registration of cession of payments in respect of contract
  • The cedent must make payments of money directly into FDC's bank account

The following fees and costs shall be payable by all applicants:

  • Initiation fees equal to 2% or R2 500 plus VAT(whichever is lesser) of the approved loan amounts exceeding R50, 000.00, is payable before implementation and disbursement of the loan (to be capitalised if requested by client).

FDC Head Office

33 Kellner Street

Tel: 051 4000 800
Email: \

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Fast Facts

  • Capital: Bloemfontein
  • Languages: 64.4% Sesotho
    Languages: 11.9% Afrikaans, 9.1% isiXhosa
  • Population density: 23 people per km²
  • Area 129, 480 km²
  • Share of total SA area 10.6%

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