Challenges faced by Small, Micro and Medium-sized tourism enterprises in Greater Letaba Local Municipality, Limpopo Province, South Africa

Small, Micro, and Medium-sized Tourism Enterprises (SMMTEs) are widely recognised as catalysts for inclusive economic growth, employment creation, and rural development. However, their sustainability remains fragile in rural South African municipalities, including Greater Letaba Local Municipality (GLM), Limpopo Province. Guided by Finance Gap Theory and Resource Dependence Theory, this study examined the internal and external challenges affecting SMMTEs in the municipality. An explanatory sequential mixed-methods design was employed: quantitative data were collected through a structured survey of 100 purposively selected SMMTEs, followed by qualitative insights from 10 semi-structured interviews. The findings reveal persistent internal and external constraints, with respondents identifying finance as a significant survival challenge. Limited funding information, insufficient collateral and high loan costs restricted access to finance, while financial and skills limitations constrained digital-technology adoption. Although financial vulnerability occurred across enterprise-maturity categories, the primary chi-square test found no statistically significant association between enterprise maturity and perceived financial constraint. By examining the interrelationship between internal capabilities and external resource conditions in a rural municipality, the study provides an integrated explanation of SMMTE sustainability that may not be fully understood when financial, technological and market constraints are considered separately. The findings support coordinated capacity-building, accessible financing, digital support and collaborative local tourism networks in GLM and comparable rural municipalities.