The Department of Small Business Development recently unveiled its budget for the 2024/25 financial year, allocating R2.16 billion to facilitate 130,006 jobs and support black-owned, women-owned and youth-owned businesses, along with businesses owned by persons with disabilities and businesses based in townships, rural towns and villages. This move was met with approval by David Morobe, Executive General Manager for Impact Investing at Business Partners Limited.

Praising Minister Stella Ndabeni-Abrahams’ emphasis on the importance of small enterprises as engines of inclusive economic growth and job creation, he says that the new Government of National Unity must create a conducive environment for these businesses.

“The National Small Enterprise Amendment Bill currently awaiting the President’s signature is a critical step,” notes Morobe. “The proposed regulatory changes and measures, such as the establishment of a dedicated ombudsman for small businesses and the merging of relevant agencies, will streamline support for small businesses, facilitating quicker issue resolution and funding access.”

He adds that, as predictable cash flow can mean the difference between whether these businesses fail or flourish, timely payment for the goods and services they render must be prioritised by both the public and private sectors. “Their financial stability translates into a stronger business ecosystem overall, enabling them to hire new employees, develop innovative products, and contribute to the economy. In short, prompt payment is the fuel that keeps the small enterprise sector running smoothly.”

Morobe argues that steady public and private sector support can help cultivate a healthy entrepreneurial culture, ultimately reducing unemployment and boosting economic participation. Citing initiatives like the Business Partners Limited Entrepreneur of the Year® competition as an example, he shares that by celebrating entrepreneurs as one of South Africa’s greatest assets, these events inspire potential founders who might not have previously considered this path. “Even a modest annual increase of 5-10% in the number of entrepreneurs could trigger a multiplier effect, paving the way for a prosperous future.”

Should you wish to set up an interview, David Morobe is available to comment on:

• The challenges faced by entrepreneurs and small businesses in the South African landscape;
• The opportunities available to these businessowners;
• How the 2024/25 budget could impact them;
• How the public sector could help create a more conducive environment; and
• What increasing the number of entrepreneurs could mean for the future of South Africa and how this could be achieved.

“I am optimistic about the future of entrepreneurship in South Africa under the new Government. I believe that overcoming past political divides will be key to tackling existing challenges and forging a unified path towards a shared national destiny. This vision hinges on fostering a thriving entrepreneurial ecosystem that propels the economy forward,” concludes Morobe.