Small, medium and micro enterprises (SMMEs) are a significant component of Local Economic Development. By incorporating science, technology and innovation (STI) in the study of SMMEs, this article seeks to improve our understanding of their performance and their contribution to Local Economic Development. Typically, the objective in this article is to analyse the challenges of SMME development with specific regard to science, technology and innovation. On the basis of insights drawn from the analysis, the article then highlights implications for STI policy development pertaining to the growth of SMMEs in South Africa.