Five reasons entrepreneurs should enter business competitions

Posted on May 22, 2019 by Webmaster

As an entrepreneur you are often expected to fulfil many roles within your enterprise, leaving you with little to no time to focus on activities that don’t directly contribute to the bottom line or improve your business in the short term. Business competitions are usually grouped into the non-essential category because of the perceived admin of entering. But they could be just what your business needs to take it to the next level – providing important opportunities to grow your business through additional media exposure and capital, mentorship as well as serving as a benchmark for business growth.

Gugu Mjadu, spokesperson for the 2019 Entrepreneur of the Year® competition sponsored by Sanlam and BUSINESS/PARTNERS, says that apart from the cash prize money, which can be put towards funding the growth of the business, entering a business competition allows entrepreneurs to gain a different perspective of their businesses, which can prove to be more valuable than funding.

This is the aim of the Entrepreneur of the Year® competition sponsored by Sanlam and BUSINESS/PARTNERS, says Mjadu. “While the competition offers winning entrants prizes valued at over R2 million – with cash prizes of R70 000 for each main category winner, and R200 000 for the overall winner – winners will also receive valuable mentorship support including a diagnostic analysis of the business, networking opportunities and national media exposure.”

“It is easy to get caught up in the day-to-day running of a business and get distracted with the various tasks and challenges. Presenting a business to a judging panel not only forces you to reflect on your enterprise, but also exposes you to experts who can analyse it and point out aspects that you may have overlooked during the rush of running and managing your own company.”

Mjadu adds that as access to capital to grow a business is considered one of the top challenges for many entrepreneurs, taking part in a business competition is one of the most cost-effective measures to grow awareness of the business without dipping into the business’ resources for marketing.

Mjadu shares five reasons why entrepreneurs should consider entering a business competition:

1. The cash prize money

While not the most important aspect in the greater scheme for the business, a cash lump sum offers you the potential to either pay off existing business finance debt or use the capital to expand the current business or fund new avenues.

2. Expanded network of likeminded people

A business competition brings together a group of people with the same objective – to build and grow a successful business. Apart from the opportunity to learn from fellow entrepreneurial entrants, you are able to engage with credible business experts and mentors involved in the competition and have the opportunity to draw on their business knowledge and insight. Some business competitions also offer an alumni network that entrepreneurs can tap into for new ideas and wisdom.

3. Access to business experts and independent analysis of your business

As part of an entry process, the competition judging panel is required to analyse the entrant’s business to gauge worthiness of being named a winner in the competition. Through this process, you get an independent and fresh perspective on your business, as well as learn valuable lessons about your business plan and model. The in-depth judging process allows you to gain greater insight and awareness of opportunities and challenges that exist. While it can be difficult to accept constructive criticism at times, you should embrace the opportunity to have your businesses scrutinised by a group of experts.

4. Acknowledging a business’ true value and capabilities

Entrepreneurial competitions offer the necessary push for you to analyse your own business’ worth. Entrepreneurs are often so involved in the operations of the business, that they don’t realise the true success of the business and what it may be worth. This downplayed perception of success can hinder a business’s growth path and prevent it from capitalising on potential opportunities.

5. Increase the profile of your business

Building a positive reputation is often a key challenge that business owners encounter on their entrepreneurial journey as smaller businesses can’t compete with larger market players’ marketing spend and advertising campaigns. Not only are entrepreneurial competitions cost-effective to enter, but if you reach finalist stage the awareness thereafter can have a significant knock-on effect for your business’ brand and bottom line.

All South African businesses are eligible to enter the free-to-enter 2019 Entrepreneur of the Year® competition sponsored by Sanlam and BUSINESS/PARTNERS, now in its 31st year. Prizes will be awarded across six categories, namely: Overall Entrepreneur of the Year®; Emerging Business Entrepreneur of the Year®; Small Business Entrepreneur of the Year®; Medium Business Entrepreneur of the Year®; Job Creator of the Year; and Innovator of the Year.

The closing date for the competition is 31 May 2019. Entrepreneurs interested in entering the competition can download or complete entry forms online at www.eoy.co.za; the three page document will only take on average 15 minutes to complete. Entrepreneurs can also interact with fellow entrepreneurs and entrants on the competition’s social media platforms www.twitter.com/@EOY_SA and www.facebook.com/EOY.SA.

In the business jungle, standing out is a matter of survival

Posted on May 21, 2019 by Business Partners Limited

The occasional description of the business world as a jungle is apt in many ways, not least because the frantic competition between plants to reach the sunlight above the jungle canopy is very similar to the struggle of businesses to stand out from the mass of their competitors.

Nowadays the competition is more intense than before, says Anton Roelofse, regional general manager of Business Partners Limited (BUSINESS/PARTNERS), because the internet and globalisation makes it possible for the public to compare local businesses with their competitors throughout the world. More than ever, standing out from crowd is a matter of survival.

Here are seven ways in which businesses can differentiate themselves in an overcrowded global market place:

Remain hungry:
Only business owners who remain hungry for improvement and maintain a desire for more efficiency, productivity and new and better ways of doing things are able to make their businesses stand out. Business owners who become satisfied with their business’s performance and stop improving will soon find their enterprises disappear among a mass of competitors. Only those who can remain ambitious and optimistic – attitudes that can be adopted by choice – can grow their businesses to reach above the jungle canopy.
Live your business:
A business cannot stand out if it does not do marketing, and the core of the marketing of any owner-managed business is the business owner him- or herself. You must be your business’s best advertisement. Business owners who take a personal interest in their business’s marketing efforts are able to build the highest profile for their businesses. Even outside of business hours, at social gatherings, don’t miss the opportunity to let people know about what you do and why you are proud of your business. You don’t have to be a single-minded bore about it, but don’t hide it either. If you pitch it correctly, your passion for your business will be infectious.
Learn to manage money well:
The business world is so full of bad financial management that simply by becoming good at it, you will immediately stand out from the crowd. There are many good plumbers in the market, for example, but very few of them are good plumbers and good money managers. By being economical, building up reserves, refraining from spending on luxuries, and paying timeously, you can build up a formidable reputation as a reliable and healthy business.
Break from the pack:
If you simply do what all your competitors in your industry do, your business will never stand out, even if you do it fairly well. But when you do something that no other business in your industry does – when you offer unique value – then your business will stand out as a leader in your industry. You do not have to be the biggest business to lead your industry. Rather, the industry leader is the business that sets a new standard of quality and service, even if it remains one of the smaller players. There are plenty of ways in which you can enhance your offering to become the industry leader: introduce new technology, cut out a middle man, provide a unique guarantee, develop the best after-sales service, go out to the client when the rest of the industry expects the client to come to them. Resist trying to be the cheapest, or at least consider such a strategy very carefully. Usually, competing on price is the preserve of the industry giants who have the economy of scale to keep their prices low.
Sell solutions and experiences, not just products:
A business that can train its staff to sell more than just the product on offer will undoubtedly stand out from the crowd. For example, a nursery that offers free gardening advice will certainly draw customers away from competitors whose sales staff know little about gardening. Deep industry knowledge allows the sales staff to offer solutions to the customer over and above the product, which provides ample opportunity for up-selling – convincing the client to choose a better and often a more profitable purchase. And by adding services that turn a trip to your business into an experience – a nursery, for example, can host a good coffee shop, gardening demonstrations or a play area for the kids – you will be able to leave your competitors far behind.
Communicate constantly:
It’s no use offering a ground-breaking service in your industry, but your lesser competitors beat you in the communications race. Even if you offer the best service, you cannot stand out if you don’t have a substantial presence on social media and the internet, and if you do not constantly communicate with your market.
Keep on learning:
Even if you stand out today, you can easily disappear tomorrow if you do not constantly keep up with the latest knowledge and best practice. Business owners who listen, read, explore and investigate new and better ways of doing things are always able to rise above the rest of the jungle.

Work on your business and not in it

Posted on May 21, 2019 by Webmaster

Work on your business and not in it

How continuous self-growth is at the core of this Tzaneen-based lodge’s success

Adri Kruger, winner of the 2014 Entrepreneur of the Year® competition sponsored by Sanlam and BUSINESS/PARTNERS, is the owner of Tzaneen Country Lodge, a beautifully-appointed, four-star country-style hotel located near Tzaneen in Limpopo – a mere 95kms from the Phalaborwa Gate of the Kruger National Park.

Situated on 170ha of farmland and indigenous forest, the lodge was established in 2000 when Adri, together with her husband, turned a dilapidated farmhouse into what has now become a roaring success. What had been originally planned as a 4-bedroom guest house, quickly became a 22-bed hotel, which now boasts 67 luxury en-suite rooms.

Adri holds a BA (Hons) in theological studies. With no qualification in hospitality or management, she was determined to make a success of the lodge. In order to expand her knowledge, Adri enrolled in courses that focused on management studies, finance for non-financial managers and many more.

In the same spirit of self-growth and development, Adri’s staff compliment has grown. Starting with just four staff members in 2000, Tzaneen Country Lodge now employs a workforce of 69, excluding the maintenance, gardens and farm employees who bring the total to 215.

Like Adri, most of the lodge’s staff started with little or no hospitality experience. She believes that the quality and dedication of her employees is at the core of the hotel’s success, and her passion for training and upskilling staff also bares multiple rewards for the surrounding community. The lodge’s current business model suggests that one employee supports approximately eight people, so an average of 1 720 lives are positively impacted.

In addition to running a socially responsible business, Adri is committed to eco conservation and sustainable practices. Back in 2013, the lodge was recognised by industry association SATOA as being the best responsible-tourism business in Africa. Adri adds that they continue to be eco conscious not because it is “fashionable”, but because the lodge’s ethos and founding statement is imbedded within their environmental commitment.

In 2017 and 2018, Tzaneen Country Lodge went on to win three PMR Diamond Awards, namely Best Spa, Best Wedding Venue and Best Country Lodge in Limpopo. In addition to conference facilities, a restaurant, wedding chapel, the Mhangela Animal Touch Farm and luxury Earth Spa Wellness Centre, the Tzaneen Country Lodge offers a range of activities including mountain biking, canoeing, nature walks and bird watching. There are also picnic spots, three swimming pools, and four dams with catch-and-release bass fishing.

Since being named the Entrepreneur of the Year®, Adri has had to take over the reins of the business as a result of the passing of her husband and business partner. This has challenged her to continuously expand her skill set and become more financially prudent. Adri says she is “riding the wave again”, by finding new and innovative ways to work ON her business and not IN it.

She concludes by saying she will continue to improve her own skills and invest in those of her staff. From podcasts, to videos on business and entrepreneurship – Adri believes that constantly learning and keeping up with new trends is key to staying ahead in the industry and a sure recipe for continued success.

For more information on the business, please visit http://www.tznlodge.co.za/ and follow on @TzaneenLodge, Twitter and Facebook.
Follow Adri: @
https://www.facebook.com/appelliefie
https://twitter.com/Appelliefie

Know your niche

Posted on May 21, 2019 by Webmaster

By Gugu Mjadu

Spokesperson for the 2019 Entrepreneur of the Year® competition sponsored by Sanlam and BUSINESS/PARTNERS

Starting out, many entrepreneurs try to cater to all markets because they’re afraid of limiting their potential for sales. Although entrepreneurs are usually encouraged to think big, when it comes to defining the nature of your business, thinking too big can be detrimental to your growth.

Trying to reach too many markets simultaneously could result in reaching none at all. The 2018 Real State of Entrepreneurship Survey states that 47% of the entrepreneurs surveyed said that they are engaged with Business to Business (B2B), Business to Consumer (B2C), and Business to Government (B2G) sales all at the same time. While a small portion of these entrepreneurs may be warranted in their all-encompassing market engagement, many are likely doing their business a disservice.

This just goes to show how important it is for up-and-coming business owners to realise that a bigger market doesn’t necessarily mean bigger sales. In reality, business owners who initially cast their customer net too wide can actually end up diluting business success.

This is because a small business needs to differentiate themselves from their competition – especially when first starting out. By defining your niche, you’re also forced to really understand every detail about your business offering (product or service), which includes its benefits and unique features, who can benefit from the product offering and what sets you apart from your competitors.

Once you know this, you should have a far better idea of who it is you are trying to sell to, which will allow you to be far more selective in your approach.

Here is a breakdown of the four core components involved in defining a business niche – the four Ps:

1. People

Once you know what differentiates your product or service offering, break down the type of person you think would be most likely to make use of your business in terms of age, lifestyle and interests. This is essentially the act of defining your target market.

2. Place

Based on the defined target market, narrow down the area that you are going to sell or operate in by identifying specific locations you think will increase your chances of reaching these people. Will it be an online-only business, or will it require physical stores?

3. Price

Another important thing to define is your price-point. This guides your marketing approach and overall business branding. You need to highlight whether you are offering a budget friendly alternative to something that already exists, or a luxury good that appeals to status.

4. Promotion

This refers to the way you are going to go about selling your product or service. It is also important to consider whether there will be some kind of subscription option or rewards programme, as this can be a useful sales tactic, depending on the type of business model.