2008 2008

AFRICA SMME AFRICA SMME

CONFERENCE CONFERENCE 23 October 200823 October 2008

Cape TownCape Town

Thandile GubevuThandile GubevuExecutive Manager: Products and ServicesExecutive Manager: Products and Services

Table of Contents

Case Studies

• Limpopo• Eastern Cape• KZN • Northern Cape• Free State • Mpumalanga• Western Cape

Technology Interventions

PDI Support Black owned SME’s established Total SME’s created SME in the pipeline

Conclusion

KAYA RABO CC Seda LIMPOPO

Agribusiness Support

• Seda established that not all the running costs at the farm were being covered.

• The Seda Business Assessment Tool was applied; exposing the weaknesses in chosen market and in the company’s marketing strategy.

• In the last financial year, Kaya Rabo’s turnover was increased and losses were reduced.

THE BUSHBUCKRIDGE COOPERATIVE Seda MPUMALANGA

Export Support and Development

• Seda assisted in compiling a business plan, which saw them acquire start-up funding of R85 000 from the

Department of Social Services.

• Offered an opportunity to exhibit in London through an opportunity provided by Seda and managed to obtain orders from various companies.

• Got a standing order to supply honey twice a year to a company in Bienehof, Vienna and other overseas markets.

CROSS POINT TRADING 23 Seda FREE STATE

Manufacturing

• Cross Point Trading 23 (Pty) Ltd, manufactures and supplies overlay car and rubber boot mats and operates in Bethlehem.

• The company has consequently managed to save about R105 000.00 since the purchase of its own software in late 2007, and this has resulted in a significant increase in turnover.

SPECSAVER ZIYABUYA Seda EASTERN CAPE

Access to Finance

• Raising the necessary capital posed a challenge as the company needed to present to financiers a business plan which would demonstrate the viability of the franchise.

• Seda conducted an Assessment and Analysis of the Company Operations (ACO) and assisted the business with the development of a bankable business

plan.

• The business plan that was developed by Seda secured funding to the tune of R500, 000 to purchase the Franchise and now the franchise is operating and has created three new jobs.

ZIYAVUYA LAUNDRYSeda NORTHERN CAPETender Advice

• Seda furnished this SME with a comprehensive company profile that could help to access these identified opportunities.

• With all the necessary documentation in place they tendered to provide laundry services for Marcus Mbeta Secure Centre as well as register on the data base of the Lohatla Army Base.

• As a result of Seda’s intervention they were awarded a tender by Marcus Mbeta Secure Centre for a period

of two years to provide laundry services to the value of R 114 395 .00.

CUSTOM MARINE Seda WESTERN CAPE

Export Support and Development

• The SME started off with repair work on yachts and doing modification to custom yachts.

• Seda identified that in order to grow their business to grow and proper it needed

promotional material and international Exposure.

• The SME attended international boat shows in Miami, Düsseldorf and Dubai and used the Seda

marketing material to showcase what they were capable

• They got an order to build a 50 foot power charter for a client in Australia.

SIBHAKELANA TOURS Seda KZN

Tourism

• Situated at Willowfontein, PMB, the company employs 4 people.

• In line with recommendations of the Assessment of Company Operations (ACO) Seda has assisted the company by developing marketing materials

• Seda’s intervention has resulted in the following benefits for the company:

Customer base has increased by 10%Turnover has increased by 5% and the trend is upwards

PDI Support: % Companies in Centre Portfolio

PDI Support: % Companies in Centre Portfolio

31

93 99

7361

31

78

100

15 14

48

2813 20

53 52

0

20

40

60

80

100

120

Bio

tech

nolo

gyan

d Li

feS

cien

ces

ICT

& E

Agr

icul

ture

and

Agr

i-P

roce

ssin

g

Min

eral

s &

Met

als

Ben

efic

iatio

n

Man

ufac

turin

g

Sm

all S

cale

Min

ing

Che

mic

als

Con

stru

ctio

n(b

uild

ing

and

Civ

il)

Blacks

Women

Number of New SMME s Established (YTD 126)

Number of new SMMEs Established (YTD 126)

36

38

3034

3

12

05

10152025303540

Bio

technolo

gy

and L

ife

Scie

nces

ICT

& E

Agricultu

re

and A

gri-

Pro

cessin

g

Min

era

ls &

Meta

ls

Benefic

iatio

n

Manufa

ctu

ring

Sm

all

Scale

Min

ing

Chem

icals

462 New Prospects Entering the Pipeline

462 New Prospects entering the Pipeline

22

63

102

157

18

30

10

60

Biotechnology and LifeSciencesICT & E

Agriculture and Agri-ProcessingMinerals & MetalsBeneficiationManufacturing

Small Scale Mining

Chemicals

Construction (buildingand Civil)

% Black Owned SMMEs Established (YTD Total=82%)

% Black owned SMMEs Established (YTD Total = 82%)

92 98

6884

67

92

020406080

100120

ICT

& E

Agriculture

and A

gri-

Pro

cessin

g

Min

era

ls &

Meta

ls

Beneficia

tion

Manufa

ctu

ring

Sm

all S

cale

Min

ing

Chem

icals

Delivering Seven Services in Each Branch

Service Target Actual

Business Registration with CIPRO 2,256 10,635

Business Planning 1,500 3,661

Tender Advice and Training 18,000 (revised to 4,445) 4,642

Access to Finance 1,500 1,761

Cooperative Support 90 Number of Cooperatives 479

Number of members 5,137

Small Enterprise Training and Mentoring

- Business Start Up6,000 8,271

- Various Business Skills750 10,196

- Productivity Improvement3,085 4,145

- Business Awareness Seminars30 227

Access to Technology See STP report See STP REPORT

Conclusion

Seda has:

• Established infrastructure to support SME’S

• Developed clear set of products and services

Seda Business Talk

Seda Business Start

Seda Business Build

Seda Business Grow

• Now strategic partnerships needed to increase the reach

Thank you