# The Banking Association of South Africa says Small, Medium and Micro Enterprises make up 91-percent of formal businesses. According to the association, SMMEs contribute 34-percent to gross domestic product, employing 60-percent of the workforce, Yet, most struggle to secure funding. Vantage Advisory’s Luncedo Mtwentwe told the Daily Investor that only 25-percent of SMMEs raise enough capital to scale. He stresses that capital isn’t scarce however, poor investor readiness, weak governance, and limited networks keep many businesses locked out.
Banking Association says SMMEs vital to economy but struggle with funding