GoTyme Bank, the digital lender majority-owned by Motsepe’s African Rainbow Capital Investments, is expanding access to Shari’ah for Business, a Shari’ah-compliant funding solution designed to help qualifying South African businesses finance the purchase of eligible goods without relying on conventional interest-based lending.

The digital bank said the solution is available to all qualifying South African businesses, regardless of the owner’s faith or background, providing an alternative funding option for entrepreneurs seeking financing aligned with Islamic finance principles.

GoTyme Bank broadens business funding options

Shari’ah for Business forms part of GoTyme Bank’s efforts to give business owners greater flexibility in how they finance their operations and growth. The product is designed around the principles of Islamic finance and is structured through a Wakaalah arrangement, a recognised Islamic finance structure used to facilitate funding for Shari’ah-compliant goods.

Unlike conventional interest-bearing financing, the solution does not charge riba, or interest, and is intended to support financing tied to genuine commercial activity.

The offering therefore provides an alternative for businesses seeking funding that aligns with Islamic finance principles, while remaining open to entrepreneurs irrespective of their religious background.

Shari’ah oversight strengthens the funding structure

To maintain compliance with Shari’ah principles, GoTyme Bank said the structure is independently reviewed and overseen by a Shari’ah Advisory Committee comprising qualified Shari’ah scholars.

The committee provides guidance and oversight on the structure and arrangement, helping ensure that the funding solution continues to operate within established Shari’ah principles.

The bank’s approach comes as South Africa’s small-business sector seeks greater access to funding options suited to different commercial requirements and personal values.

Specialist support guides business owners

GoTyme Bank has also introduced dedicated Shari’ah Funding Specialists to support entrepreneurs who may be unfamiliar with Islamic finance structures.

The specialists guide prospective customers from the initial enquiry through the application process, explaining the Wakaalah arrangement, addressing questions about Shari’ah-compliant funding and assisting businesses throughout the financing journey.

The dedicated support is intended to make the product more accessible to business owners who may be considering Shari’ah-compliant financing for the first time.

Alternative financing targets diverse business market

For South African entrepreneurs, Shari’ah for Business provides another option for funding eligible commercial purchases while avoiding conventional interest-based financing.

GoTyme Bank said business owners interested in the product can engage its Shari’ah Funding Specialists to understand the structure, requirements and whether their businesses qualify.

The expansion positions Shari’ah for Business as part of the bank’s broader effort to provide South African businesses with more diverse funding choices while accommodating entrepreneurs seeking financing solutions that reflect their commercial needs and values.