The value of the license is US$3 million over four years and the total projected value of the transaction is approximately US$8 million, which will be realised by IBSGI's British subsidiary IBSG UK.
Dr. Myles John Hopkins, CEO of Umuzi, launched the company to close the gap that exists for South African SMMEs in linking up with large business, government, SMME support agencies, qualified support services and each other. It has been so successful that it has recently become the newest satellite of the South Africa Department of Trade and Industry.
Dr. Hopkins said, “We strongly believe that the SMME sector is the answer to South Africa's unemployment and, as such, we will be offering a fully integrated platform that will assist SMMEs to grow their businesses sustainably as well as having seamless interaction with Government Departments and large business. The key component of our offering will be BizWorld Pro.
“This strategic relationship with IBSGI has enabled Umuzi to roll out our strategy much more aggressively and offer a greater service to the SMME market with immediate access to the various ministries of the South African government that are and will be utilizing the platform for SMME services as well as procurement needs.”
Ingrid Ovenstone, Director of IBSGI SA, said, “Our platform offers their SMME's a truly comprehensive range of interactive business tools, and this, together with their overall offering, will provide a service that will ensure growth and development of the SMME's that is much needed in this country and the rest of Africa.”
Kevin Gollop, COO of IBSGI – UK, said, “Umuzi currently has in excess of 50,000 active SMME businesses in their database and are intending to bring a wide range of products and solutions to their vendors using BizWorld Pro as the core platform, in addition to offering their vendors all the benefits and functions of the platform itself.”
Dr. Michael Rivers, CEO of IBSG International, said, “This latest contract demonstrates how we are achieving expansion through existing relationships, in this case with the South African Ministry of Trade and Industry. Other existing relationships and contracts continue to show similar growth…”
Umuzi was established to create a growth environment and business opportunities for the South African SMME markets. Dr. Hopkins and his 11 partners have over 80 years of experience working with SMME development and the designing a range of support services for SMMEs. They have successfully increased the “life span” of SA SMMEs from 90% close rate in an average of six months to nearly 15 months. Umuzi currently serves a little over 50,000 SMMEs with an annual growth of nearly 20% client base per year projected.
IBSG International, Inc. is a holding company for four technology and software subsidiaries. These are: Intelligent Business Systems Group, Inc. (IBSG), a provider of turnkey digital service center software; Secure Blue, Inc., a Sarbanes-Oxley and security software solution provider; Intelligent Business Systems Development (IBSD), a software development, maintenance and data storage company; and IBSGI - UK, a consultant company focused on development of IT projects for governmental bodies and multinational corporations.
