opportunities for smmes in the tourism sector introducing ......2014/11/20 · o corporate...
TRANSCRIPT
Opportunities for SMMEs
in the Tourism Sector
Introducing the
Tourism Enterprise
Partnership
Dr. Salifou Siddo
SUCCESSFULLY
DEVELOPING
ENTREPRENEURS
FOR OVER A DECADE
The Faces of Job Creation
Ntwanano Tours Sertorio Mshthola
Employing 5
Cresco Tours Lucille Cremen
Employing 5
Roots Restaurant Reggie Makhetha
Employing 6
Supporting tourism entrepreneurs to develop product, improve quality, access markets, increase turnover and create new jobs
Aahaah Shuttles Zandile Dhlamini
Employing 2
Usisi Designs Stella Pretorius Employing 65
Mutariko Arts Godfrey Dupwa Employing 10
Zulu-lulu Stuart Tompkins
Employing 8
Reatswelela Nkele Motsoaledi
Employing 10
Robert and Sons Rob Chimungwa
Employing 5
Vuwa Safaris Stan Mufamadi
Employing 5
Nutting House Ethel Shongwe Employing 20
The Orchards Salome Tshungu
Employing 13
Ingwenya Wires Enock Ngwenya
Employing 2
Villa Anne Thandie Sibande
Employing 6
Linga Longa Nelly Mashinini
Employing 6
Boi Travelling Mich Boikanyou
Employing 5
African Link Bunny Bhoola Employing 16
Matopos Lodge Amos Mdluli Employing 10
Kay 2ze Gee Kagiso Legobe Employing 8
Kuhle Tours Sindi Mshengu Employing 16
Matsamo Park Dudu Ngomane Employing 35
Bo Kaap Kombuis Yusuf Larney Employing 10
Linsy Paradise Linsy Maseme Employing 2
Mpu Performing Art Sifiso Hlatshwayo
Employing 5
Ilios Travel Mohamed Baba
Employing 73
NK Charters Esa Yacoob
Employing 23
Mankwe Safaris Bernard Marobe
Employing 18
The Faces of Job Creation
Accelerating growth and transforming the economy to create decent work and sustainable livelihoods
Rita Moyo Age: 50
Office Cleaner 2 Years
Rampai Age: 39 Guide
3 Years
Gladys Age: 58
Office Admin 1 Year
Eva Tourism Trainee
Age: 19 Oct & Nov 2013
Dumi Driver
Age: 41 2,5 Years
Ngale Rehlapane Age: 29
Kitchen Manager 4 Years
Hlulani Siweya Age: 25
Manager 1 Year
Tinny Mbara Age: 28
Receptionist 1 Year
Mpho Maphelela Age: 30
Receptionist 1 Year
Portia Thole Age: 30
Ceramasist 2 Years
Mashudu Age: 29 Director 5 Years
Fortune Mokgehl Age: 29
Manager 5 Years
Nelsy Mnisi Age: 28
Ops Manager 1 Year
Johannah Mvalo Age: 49 Cleaner Jul 2009
Tauriq Ederies Age: 29
Kiosk Operator Aug 2011
Kendall Wilson Age: 25
Ops Manager Jan 2009
Janine Wilson Age: 36
Supervisor 1 Year
Mariette Apollis Age 25
Waitress 2 Years
Nurahn Galant Age: 25
Reservations 3 Years
Bukiwe Mangqan Age: 29
Reservations 3 Years
Abdurach Galant Age: 21
Operations 2 Years
Alistair St. Clair Age: 30
Ops Manager 1,5 Year
Eunice Lugalo, Manager Age: 53 3 Years
Julia Solms Assist. Manager
Age: 34 1 Year
Sylvia Ruiters, Manager Age: 47 6 Years
Angie Muchekeni Housekeeper
Age: 26 2 Years
Sewela Kgatla Age: 24
Consultant 1 Year
Overview
o Non Profit Company
o Flagship public private partnership
o One of the longest standing and most successful
enterprise development partners for small tourism
businesses in South Africa
o Our mandate is to facilitate the growth, development
and sustainability of small tourism businesses
o We offer a number of interventions that provide
hands-on, step-by-step support and guidance to small
tourism businesses
Track Record Since Inception in 2000
o More than R550m invested in tourism SMME development
o Contributed to the generation of over R6,4 billion
o Supported the creation of over 75,000 jobs
o Trained 24,000 SMME operators and employees
o Mentored 422 small tourism businesses
o Client base of over 3,500 SMMEs spread across all sectors of the tourism
industry
o Corporate fundraising programme - EDP and now ESDS that is becoming
increasing successful
o Well establish practice of cost sharing partnerships with provinces
o Third party project management that contributes to TEP
mandate – Cathsseta Learnership Programme
Board of Directors
The Faces of Job Creation
National Team
Service Offering
Business registration and DNAs
179 DNAs completed
920 registered clients
Business Registration and Support
Development Needs Assessment (DNA)
Skills Development
Mentorship Programmes
Training Workshops
Learnerships
• Assessment and matching
• 6 months mentorship
• Growth Plan
• 268 learnerships implemented
for CATHSSETA
• 218 completed the programme
(85%)
Marketing and Access to Markets
• Rennies Red Stamp
• Advertising and PR
• ETEYA
• Power of One
• Events and Exhibitions
• Indaba
• Getaway
• Vakantiebeurs – Netherlands
• SIPPO European Trade Mission
Access to Finance - BDF
Business Development Fund (BDF)
469 enterprises received BDF grants
126 of these enterprises were rural
339 of these enterprises were HDEs
A total of 78% for market access and marketing related support
Access to Finance – ikwezi Tourism Facility
Rationale for ikwezi Tourism Facility
o Access to finance has been the missing link in TEP’s work
o TEP has been looking for ways to address this challenge
o sefa (Small Enterprise Finance Agency) on the other hand has been looking
for ways of mitigating the inherent risk in providing financing to small
businesses
o The idea of a mutually beneficial partnership between sefa and TEP was
thus born and conceptualised into the ikwezi Tourism Facility which was
launched at the Tourism Indaba in Durban in May this year
ikwezi Tourism Facility - cont.
o The ikwezi Tourism Facility – ikwezi or ITF for short - is a R50m revolving
financing facility available exclusively to TEP registered clients
o ikwezi provides financing ranging from R10 000 to R5m
o Repayment terms range from 3 months to 5 years
o Interest rates charged range from prime plus 1.60% to 3.60%, substantially
lower than commercial banks
o TEP clients may approach ikwezi for Bridging Finance, Capital equipment
finance, and business expansion finance
o TEP will perform the technical due diligence of applications
o sefa will perform the credit vetting component of applications
www.ikwezifacility.co.za
Access to Information
• An information portal for the tourism sector
• Based on Wikipedia concept – collaborative content/information generation
www.wikitourism.co.za
• 45 000 unique visitors
• Over 110 000 pages read
Impact - Turnover
R850 million increase in turnover
Impact - Jobs
4 040 jobs created by TEP supported enterprises
Comparative Assessment
The Small Business Project (SBP) 3-Year Longitudinal Study
Comparative Assessment
Barriers to employment according to survey participants
• Labour legislation
• Lack of skills
• Seasonal nature of work
• Staff turnover
A substantial minority put forward concerns about taking on new employees due to
inflexible employment legislation.
Comparative Assessment
Impact of TEP services – Most impactful services according to survey participants
Comparative Assessment
Fundraising and Partnerships
Vision for SMME Development Going Forward
TEP Business Model
Over the past 14
years TEP has
developed a
database of
quality
empowered
tourism small
businesses
Business analysis
have been
conducted to
identify needs
Ready for funders
to invests and
receive up to 15
B-BBEE Points
Enterprise
Development
Supplier
Development Supplier Diversity = 1 Bonus Point
Job Creation = 1 Bonus Point
ESD
40 Points
• TEP can audit
exciting suppliers,
calculate current
spend and
potential points
earned
• Introduce new
Black Owned
suppliers to
replace non-
complying
suppliers
• Develop existing
Black Owned
suppliers for
increased
procurement
ESDS MODEL – Enhanced Opportunities for SMMEs
With TEP’s
Enterprise &
Supplier
Development
Solutions you
can earn your full
40 Points for ESD
Preferential Procurement
25 points
In Summary…
- Ikwezi for competitive business finance
(in partnership with sefa)
- Wikitourism for information relating to
the tourism industry
- ESDS for procurement opportunities for
direct and indirect tourism SMMEs
TEP Contacts:
[email protected] – Head Office
[email protected] – EC Office or
(043) 748 2345
www.tep.co.za - Website
THANK YOU