Running a business in South Africa comes with many unpredictable turns, some incredible and some less so. One month, you’re managing just fine, and the next, you’re faced with an opportunity or a surprise expense that demands immediate capital. That’s where calculating how much funding your company needs regarding “business funding" or "business loans" becomes crucial.

And no, it’s not just about pulling a number out of a hat. Some business owners or directors turn to online “business funding” or “business loan” calculators to help them work out how much business funding they need.

It is best to get advice from certified financial professionals, such as an accountant who prepares your annual financial statements to calculate the business funding your business needs. Financial professionals are best suited to determine the best way forward for your business.

In the meantime, read on to learn more about working out how much business funding your company needs.

It’s about being prepared, making informed decisions, and ensuring your funding works for your business, not against it.

Know the purpose before the price tag

Before you rush into any funding application, ask yourself a simple question: What exactly do I need the funding for?

Are you opening a second location in another province? Upgrading outdated machinery? Stocking up for the festive season? Each of these scenarios requires a different budget and repayment plan.

For instance, if you run a printing company and one of your key machines has just broken down, you might need R200,000 to replace it quickly and avoid downtime. On the other hand, a business looking to expand its fleet of delivery vehicles may require an investment of closer to R1 million.

Start with the goal, then work backwards. Break down your costs realistically. Consider the purchase price, installation, transportation, staff training, and a small buffer for the unexpected.

Do the maths before you apply

Many small to medium-sized businesses in South Africa dive into funding without fully understanding what they can afford to repay. Don’t be one of them.

For example, you could consider getting R500 000 in funding. It might sound like a good safety net for your business. However, have you considered the below:

• Your monthly turnover is only R50,000. Then, you already have other monthly expenses that need to be taken into account.
• Now, you might not be able to afford that R500 000 in business funding you wanted. Moments like these are when proper planning is essential.
• Review your revenue, monthly costs, and potential repayments.
• VodaLend Business Funding offers flexible repayment terms of 6 or 12 months, allowing you to tailor your plan.
• You can even settle early and save. How’s that for a bonus?

Be clear on what you qualify for

VodaLend Business Funding makes the process of applying for business funding simple, with only a few boxes to tick:

• Your business must be registered and trading for at least 12 months.
• You should have a monthly turnover of R40 000 or more.
• You need a business bank account with regular activity.

Do you meet these business funding requirements? You could qualify for up to R5 million in business funding. And yes, the funds will be deposited into your account within 24 hours of a successful application.

Think long-term, not just right now

It’s tempting to see "business loan" funding as a quick fix, but the smartest businesses use it as a long-term tool. Funding should help your business grow, not just survive.

You might need cash to take on a big client order, pay staff on time, or prepare for seasonal demand. That’s all valid. Funding can also give you the push to take bold steps, like opening a second branch, upgrading your equipment, or finally launching that new product range you’ve had on the back burner.

Plan smart. Fund right. Grow strong.

Getting the right amount of business funding isn’t just about crunching numbers. It’s about knowing your business, having a plan, and choosing a provider that understands your journey.

With VodaLend Business Funding, the process is fast and tailored to meet the needs of South African businesses like yours. Apply online in 10 minutes, receive your decision quickly, and get your funds in 24 hours if your application is approved.

Ready to calculate your next business move?

Apply now with VodaLend Business Funding and take the next step with confidence. Your business deserves funding that moves at your pace. T's & C's apply.