Thaba Goats Business Plan — The Funding Ladder
R250,000 founder capital, R1.37m of targeted grants and R2.47m of staged loans: the funding structure stage by stage and what secures each tranche.
The Funding Ladder
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- Overview & contents
- i. Important Notice
- 1. Executive Summary
- 2. The South African Goat Market
- 3. Why the Informal Market Matters More Than the Abattoir
- 4. Seasonality
- 5. SWOT and Competitive Position
- 6. The Five-Stage Roadmap and Gates
- 7. The Funding Ladder
- 8. Herd and Reproduction
- 9. Kid Mortality: The Industry's Named Constraint
- 10. Grazing, Land and Water
- 11. Animal Health
- 12. Route to Market
- 13. People and Operations
- 14. Regulation and Compliance
- 15. Unit Economics
- 16. Capital Expenditure
- 17. Financial Projections
- 18. Break-Even and Sensitivity
- 19. Risk Management
- 20. Implementation Timeline
- 21. Returns and Net Asset Value
- 22. Key Performance Indicators
- 23. Key Assumptions
- 24. Conclusion
- A. Appendix A: Consolidated Financial Summary
- B. Appendix B: Stage Capital Schedules
- C. Appendix C: Debt Schedules
- D. Appendix D: Risk Register
- E. Appendix E: Funding Application Checklist
- F. Appendix F: Glossary
- 7.1 Sources and applications
- 7.2 The instruments
7.1 Sources and applications
|
Source |
R’000 |
Share |
Character |
|---|---|---|---|
|
Founder capital |
250 |
6.1% |
Contributed at Stage 1; the credibility test for every subsequent application |
|
Grant funding, targeted |
1 370 |
33.5% |
Non-repayable and non-dilutive; competitive and not committed |
|
Staged loans |
2 470 |
60.4% |
Drawn stage by stage against demonstrated performance |
|
Total funding |
4 090 |
100.0% |
Against R2 449k of capital; the balance funds the operating deficit |
|
Stage |
Founder |
Grants |
Loans |
Total raised |
Capital deployed |
|---|---|---|---|---|---|
|
Stage 1 |
250 |
250 |
150 |
650 |
427 |
|
Stage 2 |
— |
— |
630 |
630 |
227 |
|
Stage 3 |
— |
560 |
400 |
960 |
576 |
|
Stage 4 |
— |
560 |
430 |
990 |
564 |
|
Stage 5 |
— |
— |
860 |
860 |
655 |
|
Total |
250 |
1 370 |
2 470 |
4 090 |
2 449 |
Total funding of R4.09 million exceeds capital deployed of R2.45 million by R1.64 million. That difference is not a surplus: it funds the operating deficit across Years 1 to 4, during which cash EBITDA is negative in every year while the herd is built. A funder reading only the capital schedule would size the facilities R1.64 million short.
7.2 The instruments
|
Instrument |
Stage |
Character |
What it requires |
|---|---|---|---|
|
Founder savings |
1 |
Own capital |
R250 000; the credibility test for every subsequent application |
|
NYDA grant |
1 |
Non-repayable |
Youth eligibility, a business plan, training completion and an own contribution |
|
SEDFA micro-finance |
1 |
Loan at approximately 11% |
A registered entity, tax compliance and a bank account |
|
SEDFA small enterprise loan |
2 |
Loan at approximately 11% |
Twelve months of trading, production records and a clean Stage 1 repayment record |
|
Blended Finance Scheme via Land Bank |
3 and 4 |
Grant plus concessional loan at approximately 7% |
A scorecard assessment, two years of financial statements and confirmed grazing capacity |
|
Land Bank expansion facility |
5 |
Loan at approximately 9% |
Full commercial assessment on an enterprise with a four-year track record |
Each facility carries a capital moratorium of one to two years from drawdown, reflecting the biological reality that a doe bought today does not produce a saleable kid for roughly eighteen months. Debt outstanding peaks at R2.27 million at Year 5 against a net asset value of R1.40 million and a breeding herd worth R860 000.