Simply put, the Tourism Incentive Programme (TIP) is a division of the National Department of Tourism that is mandated to introduce support measures to increase competitiveness and drive sustained tourism growth within the industry.
One of the ways that TIP does this is through offering funding for tourism businesses. TIP currently offers four main funding programmes namely the Market Access Support Programme, Tourism Grading Support Programme, Green Tourism Incentive Programme and the Tourism Transformation Fund.
- MARKET ACCESS SUPPORT PROGRAMME
Best Suited To: qualifying small tourism enterprises that wish to participate and exhibit at selected tourism marketing platforms.
How Much Funding: partial reimbursement for certain costs incurred during participation in predetermined international exhibitions and roadshows. Capped amounts to be determined by the department include airfares, accommodation and participation fees.
Applications Open: ‘Calls for Application’ for support under the Market Access Support Programme are issued from time to time and published on the department’s main web page (www.tourism.gov.za) and distributed through industry associations, provincial tourism authorities and also though the department’s social media accounts.
- TOURISM GRADING SUPPORT PROGRAMME
Best Suited To: accommodation or meeting venues that apply for star grading by the Tourism Grading Council of South Africa.
How Much Funding: offers discounts of between 80% and 90% on grading assessment fees.
Applications Open: the application process is integrated into, and forms part of the online grading application process of the Tourism Grading Council of South Africa. More information on tourism grading process and the application process is available on the web site of the Tourism Grading Council of South Africa at www.tourismgrading.co.za
- GREEN TOURISM INCENTIVE PROGRAMME
Best Suited To: qualifying small and micro tourism enterprises that retrofit tourism facilities with energy and water efficiency equipment and systems.
How Much Funding:
- partial grant funding support (30% to 90% up to R1 million) on the cost of retrofitting tourism facilities with energy and water efficiency equipment and systems, based on the outcome of a resource efficiency audit by the National Cleaner Production Centre of South Africa
- grant also covers up to 90% of the cost of the resource efficiency audit.
What Else Do I Need To Know: the programme is administered through the Industrial Development Corporation (IDC) and all applications need to be submitted to the IDC.
Applications Open: application windows are typically open for three months from April to June and again from September to November.
Application Form: Click here
Programme Brochure: Click here
- TOURISM TRANSFORMATION FUND
Best Suited To: black investors and communities investing in projects in the tourism sector.
How Much Funding: offers partial grant funding support (up to R5 million) for tourism projects that qualify for a loan from the National Empowerment Fund (NEF), with the intention to reduce the funding gap that may exist between the total project cost and the approved loan amount.
Applications Open: application windows are typically open for three months from April to June and again from September to November. The programme is administered through the NEF and all loan applications need to be submitted to the NEF.
What Else Do I Need To Know: Further information on the Tourism Transformation Fund, the programme guidelines and NEF loan application form is available on the NEF website.