SMALL BUSINESS IN THE EASTERN CAPE
Small business in the Eastern Cape is an enormous segment in the South African economy, some would say it is the foundation of our economy, and a sector where the scope for growth in number and size is higher than any other segment.
Preparing your business for growth achieves a great deal more than one initially thinks, and you might not have any intentions of selling your business, although this is one way to learn what the real value of your business is. Preparation trains us to think a little further, and prepares us for a little bit of ‘luck’ – luck happens when you are in the right place at the right time and you are prepared.
Small business is the natural starting point of entrepreneurs, and has three possible outcomes;
- The business fails.
- The business remains a small business.
- The business grows to become a medium or even large enterprise.
One of the biggest challenges facing businesses in South Africa is the obstacles to growth, and quite apart from the complex statutory requirements which must be met and maintained, there is generally the difficult job of managing cashflow.
Cashflow pressure is very likely to inhibit growth and is very tricky to manage without an overdraft or other funding instrument. Obtaining these is an equally laborious process and requires; financial statements, management accounts, tax clearance certificate etc. Funders will generally also require ongoing reporting to assess their level of risk in your business.
With every intervention made by government to remove business obstacles, it seems as if SARS introduces something new to frustrate the small business practitioner and wrap them up in delays and excuses as to why you can’t get done what you need to.
Supporting business requires a suite of solutions to assist and support the owner in dealing with the practical day to day challenges. And we believe that for small businesses based in Port Elizabeth, and the eastern cape generally, we can do so in a cost-effective manner.
Here are some of the practical services we can offer your small business, preparing it for growth from a sole proprietor to a registered small business or from a small business to a medium enterprise;
Depending on your business, meeting at the premises of your customer may be the way you conduct business. You may also be required to meet with clients and suppliers at your place of work, and if you work from home, meeting at home is not ideal. Our clients are able to make use of our meeting facilities at our premises which are centrally located in Port Elizabeth.
Invoices and statements are required if you do or are planning to do work for government, medium and large enterprises. In fact, most medium and large organisations will only pay upon receipt of a statement.
Drafting of financials are required to calculate what, if any taxes are due. You will also require management accounts in the event you wish to apply for an overdraft facility or any other funding instrument.
One of the first indicators of a micro business or sole proprietor is a Gmail account or similar and there is significant value in having your company email address.
Reference to a face book page or posting business services only on Gumtree, OLX and similar free listing sites does not do enough to inspire confidence in your small business.
Document certification, tax clearance certificates, BBBEE certificates are frequently required by small business as they go about their daily business.
Registered Accountants is located centrally in Port Elizabeth and these are just some of the services and value adds that we offer our clients. We currently service a range of businesses in many industries throughout South Africa.
Although most of what we do is handled by email, feel free to drop us a line and we can set up a brief meeting.