M.Tech. Business Administration. Business School. / Literature suggests that there are three main theories that explore the rate of entrepreneurialism amongst immigrants: the middleman minority, the ethnic market niche and the ethnic enclave economy. Immigrant entrepreneurs tend to target markets that are abandoned or neglected by local entrepreneurs and large chain stores. As a result, immigrant entrepreneurs often occupy business premises that would otherwise have been left vacant, thus providing the owners of the premises with a return on their asset and other benefits to the local community in which these businesses operate. However, there are few studies that have considered the extent to which immigrants contribute to the local economy of Brits in particular and South Africa in general. The study drew parallels between what is deemed as Foreign Direct Investment by multinational enterprises, and the actions of immigrant entrepreneurs in establishing their businesses in a host country. However, there are other characteristics that are associated with immigrant entrepreneurship that are not synonymous with multinational cooperatives, such as contribution to the informal economy and unregulated business practices. The study evaluated the impact of this form of Foreign Direct Investment on the economy of Madibeng Municipality, specifically the town of Brits. The objective of this study was to assess the impact of small businesses owned by immigrant entrepreneurs on the local community of Brits. This impact was analysed by assessing the impact of these businesses on employment creation, revenue to the municipality and investment in real estate, and called micro Foreign Direct Investment by small owned by immigrant entrepreneurs.