SMME Toolkit

There are plenty of reasons why you’ll want to start your own business. It can start with being unhappy at the work place and deciding the best option is for you to be self-employed. It can be about the potential of making more money on your own compared to when in someone else’s employ. Perhaps you’ve spotted a gap in a market or you’ve invented something to solve a problem. Whatever the reason, the objective is to start a business and be successful at it.

It is not only about the money

Entrepreneurship is not about fast cars and a flashy lifestyle. In South Africa we have witnessed business that took off at lightning speeds only to cease to exist in a flash. We also have businesses that took long to thrive only for these businesses to shut down soon thereafter. We all want to run profitable businesses and our mindset around these profits are the defining factor. Starting a business shouldn’t be about just amassing wealth. You are using your passion, resources, expertise and talent to deliver services/solutions and get paid for it. However, it doesn’t stop there, think about creating employment opportunities and expanding your business which eats into your profits. You invest some of the profits to build and grow your business not just your lifestyle. Starting a business is not only about money. South Africa needs sustainable business irrespective of the size.

Love what you do and do what you love

As a business owner you will work harder than you ever have before. This is why it is important that you venture into something that you believe in, are passionate about and most importantly, will love doing. Starting your own business requires a lot of blood, sweat, and tears – doing what you love will make it more fulfilling and rewarding.


If you would like to receive the editable format of the attached templates, please contact:

Ms Ntombekaya Sibali
Telephone: +27 (0)44 302 6359

Starting your Business

3 Available for download

Financing your Business

Every new business needs money to cover the cost of equipment and expenses before sales can generate enough cash to make the business self-supporting. This section describes the main ways of financing your business, when you are starting up and in the early days of operation. In fact, most of these methods can be applied at any time to raise money.

The section also explains how to work out the amount of money you need. These, however, are only the basics. If you do not have an accounting background, it’s a good idea to get the advice of a business consultant or accountant to guide you through the process of borrowing finance so that you can deal better with banks and other lenders.

When thinking how to finance your business, consider all aspects, not just the money itself. For example, leasing a printer might cost you more than paying cash for it, but your savings in time and trouble may make it worthwhile. Take care too when choosing shareholders or borrowing money from family or friends. You should have good relationships with these people and everyone should be able to trust each other. Nevertheless, you should conduct your dealings with them in a reasonably formal, business-like manner.

When calculating your future funding needs, divide this figure into working capital requirements and fixed asset requirements. In other words, get a realistic idea of what it costs to run your business and the equipment you can afford.

There are several ways in which you can improve your cash flow – better control of stock, tighter credit control, negotiating more generous terms with suppliers, and so on. By adopting these, you may be able to reduce the need to borrow money.

18 Available for download

Legal Matters

4 Available for download