South Africa has a rich history of resilience and innovation, making our land of diverse opportunities the ideal breeding ground for successful South African entrepreneurs.
For many South Africans, the dream of becoming an entrepreneur is both an aspiration and a challenge.
This article aims to inspire aspiring South African entrepreneurs by sharing the stories of successful South African business owners, offering practical tips and advice on how to make money in South Africa, and highlighting the essential steps needed when figuring out how to start a business in South Africa.
From Idea to Reality: The Journey of Three South African Entrepreneurs
1.) Don’t Give Up - Bathu Sneakers
Theo Baloyi is the Founder and CEO of Bathu Shoes, one of the hottest African shoe brands around. Township slang for ‘shoe’, Bathu shoes are known for their unique upper meshing (breathable fabric), as well as combining striking African colourways in their design.
Theo’s ideas of an original African sneaker were initially not well received by established shoe factories and he was rejected by over 13 different shoe factories before finding someone who would help him create his vision in 2015.
Undeterred by initial rejections and convinced that there were ways to make money in South Africa as an entrepreneur, Theo conducted his own feasibility studies to prove that there was a market for something different.
Now, eight years later, Bathu Shoes employs over 300 people and is sold in over 32 stores nationwide, selling over 250,000 pairs annually.
A brightly-coloured example of successful entrepreneurship in South Africa, Theo returns to the Alexandra Township where he grew up, and realizes that there is still work to be done to “Walk your Journey” (Bathu’s tagline) and inspire others to follow his lead.
“We are a footwear brand and a shoe business with a soul”, says Baloyi. “We believe in walking the journey not only with our current consumers but with our future consumers as well.” Theo’s impressive business journey speaks to his ability as a leader to blaze a trail where others thought there was none.
Entrepreneurship in South Africa: Entrepreneurial Takeaways
- Tenacity to keep going when those around you doubt your vision. Theo didn’t give up when shoe factories rejected his proposal.
- The importance of leadership as you inspire those around you, including your future customers. “When I went back to the people - those who have given me opportunities and have paved the way for me – to express my gratitude, it was met by one big ask (from them); “we don’t want anything from you, just pave the way for others.”
2.) Ask For Support - The Skin Creamery
Hannah Rubin grew up along South Africa’s verdant Garden Route, where she appreciated the importance of being kind to the earth and being kind to your skin. Her passion and curiosity for skincare led to her developing the Everyday Cream – a product for the face and body, that could be placed next to the bath and shower, containing only the finest organic ingredients.
This in turn led to her embarking on a personal journey to figure out how to start a business in South Africa by launching her own business, The Skin Creamery.
Hannah started her business with R20000 for her first order of cream, which included development costs such as working with a chemist.
“I also worked with a designer on the packaging and branding because I saw a gap in the market for a quality product and something that looked high end, but was still affordable. I had a very clear vision of what I wanted.”
She then bootstrapped her business on her own, growing her list of retailers as she would spend her days repping her skincare products. Operating for over a decade in a highly competitive beauty care market, Hannah has continued to share a vision for The Skin Creamery that is about instilling a daily ritual of simple self-care, which translates into a loving appreciation for who you are, just as you are.
“There’s a lot of learning and a lot of failing when learning how to start a business in South Africa. So entrepreneurship has taught me resilience.”
A mother of two children, Hannah graciously juggles her career alongside her family commitments. Her family and business were born at the same time, and there were many a late night that Hannah would spend fulfilling orders, developing new product ranges, and seeing that her young kids were getting the care and attention they needed.
“Entrepreneurship in South Africa has been wound up in my personal development and self-growth, and it’s pushed me to look at areas of my life that I’d never have known about had I not embarked on this journey. Changing my long standing beliefs around money and developing my leadership skills are just two examples.”
The Skin Creamery range can now be found nationwide in independent apothecaries and chains such as Woolworths, as well as overseas.
Entrepreneurship in South Africa: Entrepreneurial Takeaways
- Owning your own time. “Entrepreneurship gives me the flexibility of time, and being able to do things in my own time, creating a life around how I thrive best.”
- Asking for help. “I’d say that asking for emotional support is needed on this journey - and that it’s okay to ask for help.” Apart from asking for emotional support from friends and loved one, Hannah has also gained support from WesGro and the Department of Trade and Industry. “The DTI really helped me as a South African entrepreneur to export my products, and secure Malaysian distributors. There’s a lot of support – you just have to know where to find it.”
3.) Invest in People - Fix Forward
Josh Cox is the founder of Fix Forward, a website that connects skilled small-scale contractors to new online customers. If you’re looking for a qualified electrician, plumber, welder, carpenter, or builder – who can issue certificates of compliance for the work they do – then Fix Forward is the ZA solution you probably didn’t know you needed!
Josh spotted the opportunity to legitimize the tradesmen industry after a friend who’d done some paving and tiling for him used Josh’s reference letter to gain credibility and win more contracts.
Josh says: “In an industry where many don’t know who to trust when it comes to hiring a contractor, all of Fix Forward building contractors are vetted service providers – which gives them an edge.”
It is Fix Forward’s investment in people that truly sets them apart. They offer workshops on everything from “how to balance your books” to “how to quote accurately for a job”, as well as leadership training with a business mentor. All of this is part of Fix Forward’s development programme for the contractors they onboard.
Fix Forward’s mission is “To help build an equal and just society by creating opportunities for people from low-income communities to develop and thrive”.
And with that mission in mind, Josh and his team have expanded their vision to include household cleaning, with The Cleaning Fix, a website offering you the chance to book a vetted, experienced cleaner in your area.
Entrepreneurship in South Africa: Entrepreneurial Takeaways
- Investing in people. “We are interested in the person – not just in growing the turnover of the business,” says Josh. “We want to support and celebrate them as success stories in their communities.”
- Potential Scalability. Small business ideas in South Africa can be applied and then scaled in other industries too, as is happening with The Cleaning Fix!
How To Start a Business in South Africa
While there’s no set formula for businesses to start in South Africa that are guaranteed to make money, we hope that some of the entrepreneurial lessons imparted by the South African entrepreneurs featured above will stand you in good stead as you figure out how to make money in South Africa on your own terms.
If you’re looking for financial assistance to back up your self-belief and big idea, then the following funding institutions in South Africa might be what you need to turn your small business ideas in South Africa into big, money-making ones.
SEFA - The Small Enterprise Finance Agency (sefa) offers development funding to SMEs and Co-operatives that cannot secure commercial loans.
The agency extends credit directly to small and medium-sized enterprises (SMEs) and cooperatives across various economic sectors. The financing options span from a minimum of R50,000 to a maximum of R15 million.
TIA - Technology Innovation Agency is a national public entity that serves as the key institutional intervention to bridge the innovation chasm between research and development from higher education institutions, science councils, public entities, the private sector, and commercialization.
NEF - The National Empowerment Fund is a driver and thought leader in promoting and facilitating black economic participation by providing financial and non-financial support to black-empowered businesses, and by promoting a culture of savings and investment among black people.
How To Register a Business in South Africa
The cost to register a business in South Africa can be as little as R500. The Companies and Intellectual Property Commission (CIPC) is the place to start.
The process involves selecting a business name, completing the registration forms, and paying the registration fees (depending on the type of business you plan on starting).
Finding Ways To Make Money in South Africa
As you contemplate embarking on your entrepreneurial journey, remember the inspiring stories of Josh Cox, Theo Baloyi, and Hannah Rubin. Each of these remarkable individuals faced unique challenges and seized opportunities to create thriving businesses.
Whether it’s investing in people like Josh with Fix Forward, showing tenacity in the face of rejection like Theo with Bathu Sneakers, or seeking support like Hannah with The Skin Creamery, their journeys highlight the diverse paths to success in South Africa.
Taking that first step can be daunting, but consider the practical steps laid out in this article. Start by registering your business with the Companies and Intellectual Property Commission (CIPC), and seek out financial assistance from agencies like DTI, SEFA, TIA, and NEF – and tap into the wealth of resources available for aspiring entrepreneurs.
Your journey will be unique, but the essential elements remain: a clear vision, resilience, the ability to seek and accept help, and a passion for making a difference. Let these stories fuel your ambition and drive you to take the next step.
The road to entrepreneurship is filled with learning, growth, and the potential to make a lasting impact. Embrace it with confidence and determination, knowing that you too can join the ranks of successful South African business owners.
