DSBD launches digital platform to empower small businesses

The Department of Small Business Development (DSBD) has introduced a new digital platform aimed at formalizing spaza shops and food-handling businesses while addressing concerns over illegal trade in South Africa.

The initiative seeks to enhance regulatory compliance, provide financial support, and create growth opportunities for small enterprises.

DSBD’s step towards business formalisation

The newly launched DSBD Connect platform went live last Friday, following an announcement by Small Business Development Minister, Stella Ndabeni. Designed as a comprehensive tool, DSBD Connect will geo-map and verify spaza shops and food-handling facilities, creating a structured database that distinguishes registered businesses from unregulated entities.

The platform’s primary functions include:

• Establishing a verified database of spaza shops and food-handling facilities.
• Implementing authentication measures for businesses and products.
• Facilitating partnerships with Original Equipment Manufacturers (OEMs) to improve supply chain access.
• Providing small enterprises with funding and credit opportunities.

Boosting local business sustainability

The DSBD has positioned this initiative as a crucial step in supporting small businesses while reinforcing regulatory compliance. By offering structured business support and financial access, DSBD Connect aims to enhance the sustainability of small enterprises and protect local entrepreneurs from unfair competition posed by illegal businesses.

“This initiative is in line with President Cyril Ramaphosa’s commitment to combating illegal business operations that compromise consumer safety and undermine the local economy. Through DSBD Connect, the Department of Small Business Development is fostering sustainable business growth, regulatory compliance, and community empowerment,” the department said in a statement.

DSBD strengthening the local economy

The launch of DSBD Connect aligns with the government’s broader economic recovery strategy, ensuring that small businesses are integrated into the formal economy. With increased business authentication and structured support, local entrepreneurs stand to benefit from improved consumer trust and access to critical resources.

As South Africa continues to grapple with challenges in the small business sector, initiatives like DSBD Connect offer a digital-driven solution to longstanding regulatory and economic concerns. The success of the platform could pave the way for further digital innovations aimed at empowering local businesses and fostering inclusive economic growth.