King V, governance risk and access to capital for SMEs

King V is no longer just a governance code for listed giants, it is fast becoming a credibility test for every board that claims to apply it. As capital tightens and lenders scrutinise risk more closely, “apply and explain” is shifting from a compliance exercise to a legal and financial accountability standard. For South Africa’s mid-market firms, the real risk is not failing to adopt King V, but adopting it superficially, because governance theatre will not withstand pressure from courts, investors or credit committees when decisions are challenged. Danie Dörfling-Kruger, Head of Business Development at Moore Infinity helps us understand how King V works.