Determined to succeed

tabisa

Western Cape promotions company owner awarded Emerging Business Entrepreneur of the Year® award

Tabisa Nomnganga of Bravo Promotions was awarded the 2012 Emerging Business Entrepreneur of the Year® title in the annual Sanlam / Business Partners Entrepreneur of the Year® Competition.

Tabisa claimed the title over three other worthy finalists in the 2012 Emerging Business Entrepreneur of the Year® category, which celebrates entrepreneurs who have been in business for less than three years.

According to Tabisa, this award proves that through determination and hard work, small businesses can overcome the many obstacles that they face during the initial stages of starting a business.

Established in November 2009, Bravo Promotions is a vibrant and energetic marketing and communications agency that sets itself apart by specialising in the design and implementation of branded entertainment communication strategies and campaigns. Targeted campaigns focus on exposing their client’s brand to potential customers through dance and theatre performances, thereby ensuring that not only are the brand and products are acknowledged, but that they are remembered.

The company’s unique approach to marketing provides a platform for brands to interact and connect with their target audience in a manner which traditional media is unable to provide. “The key principle of the business is brand engagement and this is achieved by building exciting, relevant and meaningful dialogues between a brand and its customers,” says Tabisa.

According to Kobus Engelbrecht, a member of the 2012 Sanlam / Business Partners Entrepreneur of the Year ® judging panel, Tabisa impressed the judges with her ability to recognise an opportunity and turn that into a profitable business. “She is providing an innovative new marketing channel for major brands to reach their target market.”

For more information on Bravo Promotions, please visit their website www.bravopromotions.co.za

Making eco-friendly an award winning idea

warren

Green businessman claims small business entrepreneur of the year® award

Warren Graver, founder and director of Envirodeck, an industry leader in environmentally conscious and sustainable decking products, was awarded the 2012 Small Business Entrepreneur of the Year® title in the annual Sanlam / Business Partners Entrepreneur of the Year ® Competition.

This year’s competition saw 12 finalists qualify for the 2012 Small Business Entrepreneur of the Year® category, which celebrates entrepreneurs who, irrespective of the duration the business has been active, posted a business turnover of R20 million or less in the 2011 tax year.

Due to the increasing demand on natural resources and the growing awareness to safely dispose of or re-use non-biodegradable waste, Warren saw an opportunity in the market for a practical alternative solution to timber in the decking sector.

Fast forward eight years and today Envirodeck supplies environmentally sustainable decking and finishing products, as well as tangible solutions for customers across South Africa and Namibia. As a result of the phenomenal market growth in Southern Africa, Envirodeck is now also expanding into Angola, Botswana, Nigeria and Mozambique over the next five years.

Warren attributes his entrepreneurial success to intense research and product sourcing. He says that research continues to fuel the business as innovative technology is constantly growing and evolving within the industry. Another one of Envirodeck’s strengths is partnering with like-minded and professional business partners who share the same passion and energy for the industry.

According to Dr Kerrin Myres, a member of the 2012 Sanlam / Business Partners Entrepreneur of the Year® judging panel, Envirodeck stood out amongst the other finalists for many reasons. “Warren is riding the wave of the green movement in South Africa, something that only a handful of entrepreneurs are doing right now. Using a high quality raw material, he creates original outdoor products with flair and great design. Envirodeck is a business with a great future.”

For more information on Envirodeck, please visit their website www.envirodeck.co.za

Staying ahead of the game proves rewarding

Western Cape plumbing business owner awarded Medium Business Entrepreneur of the Year® award

Founder and owner of plumbing business, Trevor Davids of Trevor Davids Plumbing, was awarded the 2012 Medium Business Entrepreneur of the Year® title in the annual Sanlam / Business Partners Entrepreneur of the Year® Competition.

trevorJudges of the competition awarded the 2012 Medium Business Entrepreneur of the Year® to Trevor due to his vast business knowledge and his positive approach to remain at the forefront of the industry’s technological advancement which also helps him to be both more effective and efficient.

Trevor Davids Plumbing has been trading since 1993 and primarily provides a broad range plumbing services to the construction industry in the Western Cape. Over the years the business has established itself as one of the largest Level 1 BEE plumbing contractors and is a preferred service provider for many large construction companies due to its capacity, proficiency with large projects and constant high quality workmanship.

Since obtaining finance from Business Partners in 2002, Trevor has more than doubled sales and increased profits considerably and currently provides work for 140 employees.

Due to its small, cost effective infrastructure the business has managed to service both large construction companies and individual homeowners at the same time. The business has lent its services to larger organisations such as Murray & Roberts, Stefanutti Stocks, Granbuild, New Age Property Developers and many more.

According to Trevor, his success has developed as a result of building and maintaining long-term relationships with new and existing clients and due to the fact that the company strives to deliver value to clients by continuously reinvesting in the business, not only investing in the best modern equipment available, but by also ensuring that they remain at the forefront of the market.

According to Stefan Beyers, a member of the 2012 Sanlam / Business Partners Entrepreneur of the Year® judging panel, Trevor is a tradesman who built his business through hard work, dedication, tireless effort and continuous learning. “His sound business management skills as well as his knowledge of the industry have enabled him to develop the successful business he has today.”

International acclaim for innovative animation

stuart

Western Cape animation studio owner awarded Innovator of the Year

Business owner, Stuart Forrest of Triggerfish Animation Studios, has been recognised for his entrepreneurial excellence and innovative business skills by being awarded the 2012 Innovator of the Year award in the Sanlam / Business Partners Entrepreneur of the Year® Competition.

According to Dr Kerrin Myres, a judge of the 2012 Sanlam / Business Partners Entrepreneur of the Year® awards, Triggerfish is the obvious choice for the Innovator of the Year® award. “Stuart has created a world-class animation business at the leading edge of digital arts, and we anticipate that this business will inspire a host of spin-offs in gaming and related areas. This is an entrepreneur who has seized an opportunity to create an industry.”

Triggerfish was started in 1996, and spent the first 10 years producing animation for commercials and Sesame Street. The animation studio has recently completed its first feature film, Adventures in Zambezia, which is being screened across approximately 70 countries and has also received international acclaim by being screened at the Annecy International Animated Film Festival and Market. Triggerfish are already working on their second feature film titled Khumba, which is scheduled to be completed in 2013, and is expected to surpass the success of Adventures in Zambezia.

According to Stuart, bringing on the right partners and staying committed to the business’s vision despite all the setbacks and challenges is what has made Triggerfish the success that it is today. He says that although the business’s core hasn’t changed at all, it has stayed flexible and kept looking forward at future trends throughout the years, which has ensured that they are still a key player in the vibrant South African animation industry.

He believes that the business’s animation skills are world class and envisions Triggerfish being a major global player in the media and entertainment industry in the next decade by producing original material that has a unique African voice and touch.

For more information on Triggerfish, please visit their website www.triggerfish.co.za

From new ground springs new growth

madele

Eastern Cape female farmer named as Job Creator of the Year 2012

Madelé Ferreira of Mooihoek Boerdery has been named the 2012 Sanlam / Business Partners Entrepreneur of the Year® Job Creator of the Year. Awarded for her incredible ability to adapt and effectively thrive in a previously unfamiliar industry, Madelé’s business has grown from a few hundred plants in 1998 to a multi-million rand farming enterprise today.

The business was started on a small scale when Madelé initially began farming on land that she leased from her husband. Today, the business produces spinach, leeks and strawberries on a 40 ha farm in the Gamtoos Valley in the Eastern Cape and supplies the distribution centres of three of South Africa’s leading chain store groups, namely Spar, Pick ‘n Pay and Shoprite / Checkers / Freshmark. Madelé currently employs 90 employees at Mooihoek Boerdery.

The farm also currently delivers strawberries to chain stores and markets in Johannesburg, Bloemfontein, Durban, Pietermaritzburg and Port Elizabeth.

Madelé says that Mooihoek Boerdery started as a little girl’s dream of one day marrying a farmer and later evolved into a dream of empowering the working women on the farm. She says that building and maintaining relationships is one of the most important elements of her business as her suppliers, employees and clients are the lifeblood of the business.

She attributes her faith and determination to continually better her business brought her into contact with role players that enhanced, empowered and provided her with the necessary knowledge she needed in the fields of production methods, irrigation and good business practices.

According to Kobus Engelbrecht, a member of the 2012 Sanlam / Business Partners Entrepreneur of the Year ® judging panel, Madelé stood out amongst her competition because of the number of jobs she created in a rural area where unemployment is rife. “Not only did she create a sustainable business, but she also provides employment to people who otherwise would only have contributed towards the unemployment number.”

The state of entrepreneurship in South Africa

South Africa’s entrepreneurial activity, over the past eight years, has shown vast improvement, however the economy lags behind comparable economies and has not fully utilised the economic potential that is available in entrepreneurial opportunities.

According to Nimo Naidoo, project manager of the Sanlam / Business Partners Entrepreneur of the Year® competition, South Africa has the ability and the resources available to support entrepreneurs, but believes that the country has yet to develop a strong entrepreneurial culture to drive it.

 

 

 

Entrepreneurship challenges

The failure rate of start-ups is exceptionally high – why do these businesses fail?

It is a known fact that the main reason for business failures is management related. It is often intelligent, honest, hard working people that fail. They either do not have the typical entrepreneurial traits required to make a success, or they lack the relevant experience.

I believe that inadequate exposure to that particular business offers the explanation. A successful professional that has been exposed to a corporate environment may find it difficult to understand the typical “tricks of the trade”. The HOW of the business. Without the exposure it can be unfair on the entrepreneur to make a success. After all you need time to learn.

What in your opinion are the dangers in running a business?

There are many dangers that one can list, but I want to address five most prominent:

  1. The first danger is the entrepreneur themselves. Because they have been successful, they start relaxing and complacency replaces that initial enthusiasm, self-drive and sharpness. They do not focus on the important issues as they did years ago and they accept many things as a given, rather than investigating first.
  2. The entrepreneur spends less and less time at the business and allows others to run the business. Can anyone else be as passionate about the business and the success of the business as the entrepreneur? They may prefer to while away time elsewhere, whether it is overseas visits, excessive hours on the golf course and spend business time on, albeit well deserved, community projects.
  3. Poor cash flow management. Many profitable businesses fail because of a lack of sufficient cash flow. It is a vicious circle. As soon as the business is cash strapped, the focus of the entrepreneur changes. Instead of spending time making money, they spend time collecting debts, making arrangements with the creditors and negotiating extended facilities. It becomes survival mode which is not good for business success.
  4. Marketing. The market and behaviour patterns change continuously. It is for the entrepreneur to stay in touch with the latest trends and tendencies. What worked some time ago does not necessarily apply today. Marketing techniques are also dynamic and not to market is to die a slow death. Marketing obviously involves much more than just advertising.
  5. Costing. This applies in particular to manufacturing concerns. The entrepreneur (or someone else) will perform a costing exercise and use these values for a long period of time. If it is not reviewed and re-evaluated as and when the price of material or labour changes, then costing becomes ineffective and irrelevant, and makes the setting of selling prices an impossible task.

The female perspective on entrepreneurship in South Africa

Female entrepreneurial activity has been proven to be a major catalyst in triggering economic growth in developing countries, such as South Africa. The increased number and quality of female finalists in the 2012 Sanlam / Business Partners Entrepreneur of the Year® competition is thus an encouraging sign.

In light of August being Women’s Month, we chatted to seven female finalists from this year’s competition about their thoughts on entrepreneurship:

Tabisa Nomnganga, owner of Bravo Promotions, on her advice to fellow female entrepreneurs operating in South Africa:

“Female entrepreneurs need to believe in the beauty of their dreams. As female entrepreneurs we have an extra challenge of having to prove that gender has nothing to do with running a successful business. It’s all about hard work and dedication.”

Suretha Barnard, owner of the Junior academy, on whether she faces any unique challenges being a female entrepreneur:

“I do not really face any unique challenges. I get the same treatment and respect from our parents as the male principals do from neighbouring primary schools. In fact, I feel that I am very fortunate to be a female in my position as principal of the nursery school as I feel that “motherly instincts” play a huge role in the job. I think parents feel more comfortable discussing their child’s problems with a woman, who can relate to their situation and they certainly know that we offer a home away from home experience.”

Kamille Padayachee, owner of Thoughtfire Conferences & PR, on what being a female entrepreneur means to her:

“I’m proud to be a strong, independent woman who can survive and keep her head above water. I think it takes a special type of person to be an entrepreneur and as a woman I enjoy the fact that I can contribute in a small way by perhaps inspiring other young women, my daughters (when I have children one day) or even my employees.

Carol Weaving, business owner of Thebe Exhibitions & Projects Group, on her advice to fellow female entrepreneurs in South Africa:

“My daily mantra is “Carpe Diem” – seize the day! You must never give up, you have to think out of the box, never be scared to take risks (calculated of course) and work hard with your team to see it happen. Enjoy every minute.”

Anthea Ambursley, owner of AnanziBiz, on whether she faces any particular challenges being a female entrepreneur:

“Yes, but this has not stopped me from pursuing my dreams. Male dominance in the South African corporate world is still a challenge for business women. However, I believe that if you love what you are doing and you know what you want to achieve, you will be able to overcome such challenges. In the early days when I was looking for finance, I would make a pitch to male executives and it would be clear from their body language that they did not think that I could make it. Such experiences have provided me with an extra motivation to succeed.”

Madele’ Ferreira, owner of Mooihoek Boerdery, on which South African female entrepreneur inspires her most:

“Fellow female entrepreneur Janice Giddy, owner of food safety and business support company Entecom, is a huge inspiration because of her dedication and passion. Seeing all the hard work and effort pay off for her has been very fulfilling and inspiring. Because we started our businesses at roughly the same time, seeing her business grow at such a rapid rate gives me faith as to what my business can develop into.”

Michélle Booysen, owner of Pétanque Consultancy, on what being a female entrepreneur means to her:

“It is an honour. Being an entrepreneur makes one part of 25% of the population. Being a female entrepreneur makes one part of probably, all things being equal, 12% of the population. This group characterises vision, drive, the will to succeed, innovation, ingenuity and a deep understanding of the responsibility to maintain business as a key driver of economic growth, people empowerment and community support. I am part of a minority industry with incredibly accomplished women as my role models, peers and support. I am proudly an entrepreneur and therefore it is an honour for me to be an entrepreneur, locally and internationally.”

SA’s top entrepreneurial competition finalists revealed

The 22 finalists of South Africa’s premier entrepreneurial platform, the 2012 Sanlam / Business Partners Entrepreneur of the Year® competition, have been announced.

According to Nimo Naidoo, project manager of the 2012 Sanlam / Business Partners Entrepreneur of the Year® competition, this year has set a benchmark in terms of celebrating entrepreneurial excellence in the country, resulting in encouraging entries from very talented South African entrepreneurs. “The calibre of entrants and quality of preparation packs received in 2012, which is a combination of all necessary details required in order to assess the entrepreneurs, has improved tremendously in comparison to the 2011 entries.”

The 22 finalists going through to the judging phase are:

Emerging category:
  • Imran Khan, Attitution: a national education company that offers extra lessons to school children, as well as university learners in their first three years of studies.
  • Tabisa Nomnganga, Bravo Promotions: a full spectrum below the line marketing and communications agency.
  • Kamille Padayachee, ThoughtFire Events: an events management company that also offers clients a wide range of public relations services.
  • Quinten Dickerson, True Water: a company specialising in the distribution and installation of high quality water filtration, disinfection and sanitation equipment.
Small category:
  • Fritz Strydom, Blomo Plastics: a company specialising in technical blow moulding.
  • Martin Brown, Radical Mobility: a company that designs, manufactures and markets power wheelchairs, which maximise mobility and comfort for disabled people.
  • Stuart Forrest, Triggerfish Animation Studios: a Cape Town-based media and entertainment company.
  • Mike Eilertsen, LIVEOUTLOUD: an all-encompassing luxury lifestyle brand, comprising of a magazine, events company and travel agency.
  • George Ferreira, TJ’S Lekka Braai: a braai-focused business that supplies wood, charcoal, briquettes, firelighters, paraffin and related products.
  • Madelé Ferreira, Mooihoek Boerdery: a producer of spinach, leeks and strawberries on a 40 ha farm in the Gamtoos Valley in the Eastern Cape.
  • Suretha Barnard, The Junior Academy: a pre-school operating in the East of Johannesburg.
  • Hennie Burger, MSEC Security: provider of security to individual clients, as well as corporates in the Mossel Bay, Oudtshoorn, George and the entire Garden Route area.
  • Gianmarco Lorenzi, Cleardata: a provider of secure on- and off-site document destruction services for the corporate market.
  • Michélle Booysen, Pétanque Consultancy: a management consultancy offering strategy formulation, strategy delivery and project management services.
  • Warren Graver, Enviro Deck: a company that sells and services environmentally friendly decking and finishing products in the real estate industry segment.
  • Anthea Ambursley, AnanziBiz: a company satisfying the needs of the discerning corporate traveller, namely guest house and self-catering accommodation, tours and transfer services, corporate catering and events management.
Medium category:
  • Bengy and Shereen Premrajh, UKD Marketing: a manufacturer of custom made kitchen and bedroom furniture for private homes and free standing kitchen units for retail stores.
  • William Duk, The Plantation Shutter: specialist in the design, manufacturing and installation of superior quality, custom-designed adjustable louvre window and door shutters.
  • Justin Hawes, Scan Display Solutions: a leader in the Southern African exhibition and display market.
  • Trevor Davids, Trevor Davids Plumbing: a company providing a broad range of services to the construction industry in the Western Cape.
  • Carol Wearing, Thebe Exhibitions and Projects Group: one of Southern Africa’s most forward thinking and successful exhibition, special project, event and conferencing companies.
  • Leon Mienie, Ebenhaeser Engineering: a full-service engineering and machine shop.

The Sanlam / Business Partners Entrepreneur of the Year® winners will be announced on 6 September 2012 at the official awards breakfast in Johannesburg. “We are very excited to venture into the final stages of the 2012 competition and wish all of the finalists the best of luck,” says Naidoo.

More cash flow questions answered

Why are many businesses’ cash flow issues aggravated as a result of tax contributions?

If you are liable to make your second provisional tax payment at year end then it means that you made a taxable profit and should also have the cash available to pay the income tax on that profit, but often businesses do not seem to have the cash available, mainly because their profit is not realised in cash out of stock and debtors. That is why cash flow management is very important as you need to also convert your profits into cash.

It also often happens that in the quiet months the overhead costs such as rent, salaries and wages, insurance and utility bills remain the same and need to be paid, but the monies that flow through from trading activities are not adequate to cover these fixed overhead costs and then businesses eat into their cash reserves set aside for provisional tax payments.

This is a dangerous situation as the tax is due and payable as you made the paper profits. Cash flow planning to meet your commitments with SARS is essential and boils again down to the advice given above on how to handle stock levels, debtors, creditors and your bank account.

Why are many entrepreneurs often not close enough to the cash flow position of their business?

A daily update of your cash book is essential to know what your cash reserves are and how much room you have on the lines of short term credit you have on your bank account. Your bank balance at your bank is normally not your cash book balance, because some of your payments to creditors might not reflect on your bank statement yet.

You need to regularly reconcile between your bank balance and your cash book balance and follow up on the reconciling items. You cannot leave the most important number in your books solely in the hands of your people.

Cash is king and you hence need to keep tabs on what your manoeuvrability is when commitments to SARS and other creditors and employees need to be met. With no cash flow a business can go under even though it is making profits.