UNISA | Define Tomorrow

WHAT IS S12J FUND?

The Section 12J Fund is a SARS-approved Venture Capital Company (VCC) that offers South African tax-paying individuals, companies, and project developers an attractive structure to incentivize investors to invest in their investment opportunity (like Evaton Diggz) and to potentially enhance their returns through a Section 12J tax incentive.

 

This initiative aims to incentivising South African taxpayers to invest in the local economy, via a tax deduction on the investment amount, provided the investment is made into an approved Section 12J Venture Capital Company (Section 12J VCC).

The benefit to the investor for making the investment in a Section 12J VCC is a return on the investor’s full investment and a tax deduction on the amount invested. The Section 12J Fund will thus invest in Sectional title Purpose Built Student Accommodation (PBSA) Units in Evaton Diggz, Evaton West. The developer and the Financial guarantor is Synergy Property Development. For more information, please refer to https://www.synergydevelopments.co.za/

HOW THE S12J FUND WORKS.

INVESTOR

Invests into The Section 12J Fund into a unique share class linked to the Evaton Diggz Student Development.

 

Tax benefits obtained on the subscription of new Shares in a SARS-approved S12J venture capital Company.

VCC

The Section 12J Fund (VCC) invests in the qualifying company which will purchase PBSA units in the Evaton Diggz Development.

TARGET COMPANY

The Section 12J Fund will hold ownership of the PBSA units in Evaton Diggz through the Qualifying Company (Synergy property Developments).

EXIT STRATEGY

The investor (if investing R1 000,000 or more) takes transfer of the property after 5 year or a Share buyback by Synergy Developments.

  • The entrepreneur or project developer will present their opportunity to the directors of the Section 12J Fund.
  • Once approved, the entrepreneur or project developer will reach out to their network and identify investors interested in investing in their opportunity.
  •  Once investors have been identified, they will invest into the Section 12J Fund.
  • The Section 12J Fund will then issue the investors with a specific class of ring-fenced shares.
  • This specific class of ring-fenced shares will entitle the investors to receive all the economic benefits associated with their investment. In other words, all dividends and capital growth flowing from the investment will flow only to the shareholders of that class of share.
  • The shares issued to the investors will entitle/enable them to reduce their taxable income by the full amount invested in accordance with Section 12J.
  • The Section 12J Fund will then invest the funds in the entrepreneur’s or project developer’s specific investment opportunity
  • The Section 12J Fund’s directors assist the entrepreneur and the investors through every step of the process.

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Terms & Conditions

Terms & Conditions

By clicking "Accept" or "Agree" you agree to all the terms and conditions stated in this Agreement. If you do not agree to these terms, do not click "Accept" or "Agree". If you are clicking "Accept" or "Agree" on behalf of your employer or as a consultant or agent of a third party (collectively, Customer), you hereby represent and warrant that you have been given the power of attorney by your employer or such third party (Customer) to carry out this transaction and conclude the respective contracts with SAP on behalf of Customer. If you do not have the appropriate power of attorney, we kindly ask you to not continue with this transaction.

Once completed, this agreement (defined below) is a legally binding agreement for SAP Cloud Services between Customer and the SAP affiliate or subsidiary company ("SAP") in the country in which Customer is located and from which Customer is subscribing to the SAP Cloud Services displayed in the Order Summary and Order Confirmation (both defined below).

Please note that the transaction will only be completed, and the contract formed, when SAP accepts Company's offer by either SAP sending an order confirmation e-mail to Customer, or the Software or the Cloud Services being made available to Customer by SAP. Until then, if any issue arises regarding the processing of the order, SAP reserves the right to cancel the transaction and Customer will be notified accordingly.

This order document (Order Document) is governed by and incorporates the following documents in effect as of the effective date. All documents are listed in order of precedence and are collectively referred to as the "Agreement":

Agreement Location
Supplemental Terms and Conditions https://www.sap.com/about/trust-center/agreements/cloud/cloud-services.html?sort=latest_desc&search=Supplement&tag=language:english
Support Schedule for Cloud Services https://www.sap.com/docs/download/agreements/product-use-and-support-terms/cls/en/support-schedule-for-cloud-services-english-v10-2022.pdf
Service Level Agreement for Cloud Services https://www.sap.com/docs/download/agreements/product-use-and-support-terms/cls/en/service-level-agreement-for-sap-cloud-services-english-v8-2023.pdf
Data Processing Agreement for Cloud Services https://www.sap.com/docs/download/agreements/product-use-and-support-terms/dpa/data-processing-agreement-for-sap-cloud-services-english-v8-2021.pdf
General Terms and Conditions for Cloud Services (Direct) https://www.sap.com/docs/download/agreements/general-terms-and-conditions/cls/general-terms-and-conditions-for-cloud-services-direct-south-africa-english-v5-2021.pdf

Customer has had the opportunity to review the Agreement, including without limitation the Terms and Conditions, Schedules and Supplements mentioned above, prior to accepting this Agreement. SAP recommends Customer prints copies of the applicable Terms and Conditions, Schedules and Supplements for Customer's own records.

1. Cloud Service and Fees: The Cloud Service fees pursuant to this Agreement consist of the component(s) identified in the order summary displayed on the SAP Store ("Order Summary") as well as in the corresponding order confirmation email Customer receives from the SAP Store ("Order Confirmation").

Payment is not dependent upon completion of any implementation services. Fees for Non-recurring services shall be invoiced by SAP on a one-time basis and paid by Customer in accordance with the GTCs. Fees for renewal terms will be equal to the fees for the immediately preceding subscription term (including any additional Usage Metrics or Cloud Services added to this Order Form during the Subscription Term), provided SAP may apply an increase to such fees (over the preceding term of the Order Form) to account for changes in consumer prices generally over the preceding term of the Order Form. Non-recurring fees (if any) shall be invoiced by SAP and paid by Customer upon commencement of the Term.

2. Cloud Service Access and Taxes: Customer acknowledges that the "Ship-To" address entered by Customer in the SAP Store site is the primary location from which Customer will access the Cloud Service ("Primary Access Location"). If Customer does not provide a Primary Access Location, SAP will incorporate a default Primary Access Location to Customer's sold-to address. It is the obligation of the Customer to consider if withholding tax is applicable. In case of any applicable local taxes, these are to be borne by Customer. Applicable taxes must be declared and paid to the respective tax authority by Customer. Customer's failure to provide SAP with its VAT and/or GST number may have sales tax implications. Cloud Services Fees do not include Taxes.

3. Notification: Unless the Supplement states otherwise, the initial Subscription Term and any renewal Subscription Term will automatically renew for the time intervals selected in the ordering pages of SAP Store by the Customer. Auto-renewal will not occur if Customer notifies SAP at least 1 month or SAP notifies Customer at least 6 months prior to the end of any Subscription Term of its intent to not renew the Order Form.

The Customer may prevent auto-renewal to occur by notifying SAP using this link or via SAP for Me.

4. Payments:

(a) The fees for the initial term of the Cloud Service are included in the ordering page(s) of the SAP Store.

(b) In the ordering pages, the Customer may select between payment options applicable for this transaction, which will be applied for the initial and all subsequent terms of the agreement. SAP will invoice customer or charge the provided credit card in accordance with the GTC.

(c) The customer will be billed in advance for each billing period during the term of this Agreement for use of the Cloud Service unless stated otherwise in the schedules in this document.

(d) For customers registering with SAP for the first time, SAP may require Credit Card information as additional means of identification. No effective charge will be made to the Credit Card for registration purposes, but customers may see a zero value transaction subject to the country and type of card being used.

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