Increasingly, mines are looking to alternative and innovative forms of finance to meet their short-term funding needs.
At Business Loans, we can assist in finding the best possible funding offers for mines in South Africa, facilitating loans up to R6 million.
To do this, we find the best loan offers from an extensive network of trusted lenders.
This includes big banks, niche banks, business development agencies, private lenders and overseas loan assistance programmes.
How our funding process works
Business Loans sources suitable funding solutions based on the mining company’s capital requirements, balance sheet, financial history and scale of operations.
The funding application is completed and submitted online. It is followed up by the personalised services of a dedicated loan consultant.
Once an offer has been accepted and the loan agreement signed, the funding is immediately available.
Our free-to-client service ensures miners, junior miners in particular, have access to short-term capital provided by legitimate, accredited lenders.
Please refer to our Unsecured Business Loans page for more information.
The need for innovative funding
The mining sector in South Africa is facing considerable headwinds.
Besides plummeting commodity prices and rising input costs, local miners have to contend with unique challenges, such as critical skills shortages, illegal mining, unreliable electricity supply and logistical constraints.
Despite the setbacks, the industry is still a key driver of the South African economy. According to PWC’s 2023 SA Mine report, the sector generated R575 billion, or 58% of the country’s total exports in the first half of 2023.
Large mining houses with healthy balance sheets are able to “dig deep into their pockets” to fund new capital investments.
Junior miners and entrepreneurial mining operations are finding it more difficult to secure financing from traditional capital sources such as banks.
In order to compete, SA miners must lower carbon emissions, adopt new technologies and invest in state-of-the-art extraction equipment – all of which require funding.
How short-term funding can help mines
Alternative short-term funding can:
- sustain investments into exploration
- improve operational efficiency
- streamline production capabilities
- enable the exploitation of potential market opportunities.
Financing can help small mining operations avoid the inevitable “boom-and-bust” cycle. It can cover the cost of repairing or investing in the equipment, infrastructure and technology required to remain agile and competitive.
Turnaround time for our business loans
When the requested documents are submitted timeously, our business loans are typically approved and processed within 48 hours.
Qualifying for mine finance
Only mining companies in operation for more than one year and with an annual turnover of more than R1 million qualify for short-term funding through Business Loans.
Start-ups, or companies facing foreclosure or bankruptcy, are not considered.
Drop us an email or apply for funding for mines in South Africa online now. We facilitate short-term access to capital, at no extra cost to the mining company.