2 years ago

North West Business 2020-21 Edition

  • Text
  • Invest
  • Manufacturing
  • Parks
  • Zones
  • Business
  • Investment
  • Industrial
  • Africa
  • Africa
  • Province
  • Programme
  • Banking
  • Provincial
  • Platinum
  • Sector
  • Mining
  • Municipality
  • Tourism
  • Province
  • Rustenburg
The guide to business and investment in the North West Province, South Africa. The 2020/21 edition of North West Business marks the 10th publication of this highly successful journal that, since its launch in 2009, has established itself as the premier business and investment guide for the North West Province. North West Business includes news and analysis of the most important sectors, with a regional overview covering the strategic thinking behind plans to attract investment into the province. Best known for its platinum mines, grain and livestock farming and tourism, the province is making a concerted effort to bolster its manufacturing capacity. Corridor development, agri-parks and the creation of a Special Economic Zone are among the economic stimulus plans covered in this edition.

OVERVIEW Banking and

OVERVIEW Banking and financial services All of the major banks have agricultural divisions. All of the country’s major banks and financial institutions are represented in the North West. Financial services are available in small towns, although the bigger cities like Potchefstroom, Rustenburg and Klerksdorp have a greater concentration and diversity. Financial services extend beyond advising rich people on how to invest their assets or balance their portfolio. In a province where there has been some real financial distress, programmes are in place to assist people. Long strikes, volatile global markets and layoffs have created tough conditions for some workers in the platinum sector. Anglo American Platinum has teamed up with Summit Financial Partners to help miners manage their debt and plan their finances better through a scheme called Nkululeko. Garnishee orders went down among the Nkululeko group by 80% in a five-year period. In 2016, Summit won a Constitutional Court judgement to the effect that the judiciary must keep an eye on emolument attachment orders (garnishees) to make sure they are fair. It had earlier been found by a High Court that some orders were grossly Financial literacy workshops. unfair and exploitative. Summit Image: ASISA has an office in Hartbeespoort. The Association for Savings and Investment South Africa is behind another initiative called Project Qaphela, a financial literacy programme aimed at workers in the mining sector (pictured). The curriculum covers budgeting, saving, borrowing, understanding documents such as payslips and benefit statements and preparations for retirement. Partners in the programme include the National Union of Mineworkers, Sanlam and Coronation. Ubank is owned by a trust that is managed by the Minerals Council South Africa and the National Union of Mineworkers (NUM). It has several branches in the North West. With agriculture being such an important part of the North West economy, all of the big banks have dedicated units such as Nedbank Online Resources Association for Savings and Investment South Africa: Auditor-General of South Africa: Chartered Institute for Government Finance, Audit and Risk Officers: Financial Sector Conduct Authority: Sector Insight Debt management and financial planning are available to mine workers. Agribusiness. Focus areas for this unit are agronomy (grain, oil seeds, sugar and cotton), livestock (including game farming), horticulture and secondary agriculture which covers agricultural processing and storage. The large agricultural companies have finance divisions. CertiSure is a joint venture between NWK and Senwes that offers short-term insurance, crop insurance, financial planning, medical funds and funeral policies. Senwes Credit is a registered credit provider which offers asset financing in collaboration with Wesbank. Brits-based Temo Agri and Noordwes Korporasie (Lichtenburg) has received the backing of the Industrial Development Corporation (IDC) to enable it to roll out agricultural credits to emerging farmers. The Royal Bafokeng Nation, a community of about 150 000 people living on platinumrich land north-west of Rustenburg, is a shareholder in a large banking group and several of South Africa’s insurance companies through its investment company, Royal Bafokeng Holdings (RBH). ■ NORTH WEST BUSINESS 2020/21 36

Development finance and SMME support Banks are running training courses for business owners. Monakaladi Gardens Wedding and Conference Venue expanded its turnover by more than 700% and created two new jobs, with a little help from a programme designed to support entrepreneurs and increase employment. The SAB Foundation Tholoana Programme has provided more than R1.6-million in grant funding and business support in the North West. The programme invests in entrepreneurs, particularly women, youth, people in rural areas and persons with disabilities. The 18-month programme provides mentorship, business development tools and workshops, access to peer networks finance, and support throughout the time spent on the programme. Monakaladi Gardens was a provincial winner in the Lilizela Tourism Awards 2019. In November 2019 Nedbank and the Department of Economic Development, Environment, Conservation and Tourism ran a five-day training course for 25 women-led enterprises with the focus on financial management, marketing and business planning. Wendy Atahwo, the owner of events management company Cherry Homes, said that the networking was valuable, as was learning new skills and about new marketing trends. Standard Bank and Black Cherrie Management offered a series of seminars for small business in 2019, the first of which was related to financial solutions for SMMEs. The theme was “Up your entrepreneurial skills and increase your bottom line”. The Provincial Government has announced that in the 2020/21 financial year it will roll out two digital incubators jointly valued at R16- million, at the Mafikeng Innovation Hub and in Mogwase, at the Leema Township Incubator. Most of the Cooke’s Lake Information Centre in Mahikeng (excluding the existing office block) is to become a permanent flea Online Resources North West Development Corporation: Small Enterprise Development Agency: Tholoana Enterprise Programme: OVERVIEW Sector Insight Cooke’s Lake Information Centre is to become a flea market. market. A budget of R8-million has been approved by the National Department of Small Business Development (DSBD). The DSBD has several programmes to assist SMMEs and co-operatives. These include the Black Business Supplier Development Programme and the Co-operative Incentive Scheme, a 100% grant. The Small Enterprise Development Agency (Seda) is an agency of the DSBD and gives non-financial support to entrepreneurs through training, assistance with filling in forms, marketing and creating business plans. A provincial policy framework is to be adopted to ensure that the maintenance of certain rural roads is set aside for job creation, small contractor development and local participation. The South African National Roads Agency Limited (SANRAL) currently has nine contracts covering more than 2 300km in the province. A set of subcontracts is being negotiated for routine maintenance such as the patching of potholes, fencing and the cutting of grass verges. The Seda Technology Programme helps potential businesses become trading entities. The Industrial Development Corporation (IDC) is a strategic lender and plays a strong role in supporting small and emerging enterprises. ■ 37 NORTH WEST BUSINESS 2020/21

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