Purchase Order Funding

Standard Bank - Purchase Order Funding Solution

Need Funding for a Government Contract? Standard Bank Got You Covered!

If you have a valid government purchase order, they’ll provide the working capital you need to fulfill your contract, along with access to business development support services.

Funding Details:

  • Maximum funding: R1.5 million per valid purchase order
  • Interest rate: Prime + 2%
  • Once-off management fee: 2%
  • Repayment: Due upon receipt of payment from the government department

Who Qualifies?

Your business must meet the following criteria:

  • 51% or more black-owned with an annual turnover not exceeding R50 million
  • Directors must be South African citizens and actively involved in daily operations
  • Must hold a valid purchase order from one of the three designated provincial governments
  • Purchase order must be for goods supply only

Required Documents:

  • Valid purchase order
  • Supplier quotations (including delivery costs)
  • Company registration documents
  • Original IDs of directors
  • CSD report (not older than 3 months) – for public sector applications
  • B-BBEE affidavit or certificate
  • Tax clearance certificate & tax compliance PIN
  • Company profile & directors’ CVs
  • Proof of address for company directors
  • Bank confirmation letter
  • Implementation plan/milestones (for purchase orders above R500,000)

All documents must be less than 3 months old.

What’s Not Covered?

This funding cannot be used for:
❌ Sub-contracts, mergers, or acquisitions
❌ Equity-related transactions
❌ Purchase orders for services or PPE
❌ Debt repayment (including bank loans & SARS debt)
❌ High-risk transactions (e.g., cannabis industry)
❌ Sponsorships, municipal projects, or property purchases
❌ Construction contracts (covered by other Standard Bank solutions)

How to Apply

Email your valid purchase order and signed POPIA consent form to enterprisedevelopment@standardbank.co.za or visit your nearest Standard Bank branch to speak with a Business Manager.

Once your documents are received, they’ll validate the purchase order and process your application. If approved, funds will be paid directly to your suppliers.

Get the funding you need to deliver with confidence!