IT IS a sad fact that many small businesses collapse within two years of starting.
So SunMoney chatted to small business owners who passed the two-year mark and they shared their advice with us.
Tshibvumo Sikhwivhilu, the CEO of Lamo Solar company, a business that specialises in installing solar panels at houses and industries, said all businesses, big or small, experience challenges that can make them fail.
Businesses struggle with market identification, proper market research and pricing as common business problems.
People need to understand the advantages of each type of business before they start one.
Tshivumo said that education was not the only way to determine whether your business would succeed or not. An excellent work ethic was the one factor which entrepreneurs need to achieve their goals.
Your business also needs to comply with Mzansi’s formal rules and regulations. You must register your staff, have a business plan and a budget. Most people who start businesses have already failed at this stage.
Register your business with the Small Enterprise Development Agency and National Youth Development Agency, which are free of charge.
Tebogo Langa, managing director of Qakantswe Construction, who installs electricity and does maintenance, said small businesses struggle because they no longer have the passion they had when they first started.
Not keeping your staff happy by failing to pay them on time is another top reason businesses fail.
