start, run and grow your business with Bongi Nxumalo(Bongithespeaker)

1. Presented by :
Bonginkosi Nxumalo

2. Reasons To Start a
Business
 You are your own boss and do not
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have to answer to any “dictator”.
Increased flexibility in working hours
and work tasks. You can choose when
and how to do things.
You benefit from all your good work.
All profits are for your pocket, not
someone else.
The sky is the limit. If successful your
earnings could make your current
salary look insignificant
You get to do something you enjoy.
You get the chance to employ others
and improve their lives.

3. Reasons Not To
Start a Business
 Nine out of ten new businesses do not last five
years.
 The first year of business can result in no or very
little income as you build up your customer base.
No secure salary at the end of each month.
 Finding finance to setup your business is
extremely challenging.
 Your business becomes your life.
 If things go wrong you may lose everything.
 If you start off on your own you have to do
everything, sales, accounts, buying, production,
admin etc. Chances are that some of this will be a
pain in the neck – are you ready for that?
 Do you have all the skills that are required? Are
you able to sell, do your accounting books each
month, meet government requirements on red
tape, make your product?

4. getting Started
 Is business ownership right for you?
 Do you have a choice?
 Will People buy what you want to sell?
 Does the idea suit your personality
and interests?
 Self‐assessment questions:
 Are you a self‐starter?
 Can you work long hours?
 How will the business affect your
family?

5. An “entrepreneur” is a person who
starts his or her own business

6.  Willing to take calculated risks (not a
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gambler).
Prepared to move out of any comfort
zones.
Able to problem solve using logic,
intuition and experience.
In most cases will need to be a
“people” person.
Have plenty of self discipline – there is
no boss to make you work.
Have a general understanding as to
how the business world works.
Be able to self motivate – there will be
many tough times

7. Business Options?
 A startup:
 Follow your own dream
 Buying an existing business:
 You will have current customers and a
known track record of performance
 Franchising:
 Brand recognition reduces marketing
costs

8. Some Questions to
also Ask
 Will it be financially viable?
 Do you have startup money to invest?
 What will your monthly expenses be?
 Is there a current need in the
marketplace?
 Who are you competing with?

9. Choosing a Business
Structure
 Different legal structures protect you
in different ways and offer varying tax
advantages:
 Sole Proprietorships
 General Partnerships and Joint
Ventures
 Private Company(pty)
 Close Corporation(cc)

10. Sole Proprietorship
 A “sole proprietorship” is the
establishment of a business by an
individual; there is no legal entity that
owns ands operates the business
 The owner is personally responsible
for all debts ands contracts
 Profits are disclosed on the owner’s
personal income tax return and he or
she can deduct business losses

11. General
Partnerships
 A “general partnership” is an
agreement by two or more persons or
entities to establish and operate a
business
 A written agreement should be
prepared between the partners
 Each partner discloses business profits
in his or her personal tax return and
deducts proportionate losses
 A “joint venture” is a general
partnership set up to make a profit on
a one‐time basis

12. Private
Company((pty)ltd)
 This business entity is treated by law
as a separate legal entity
 The owners of a private company are
shareholders
 Owners of an interest in the
corporation are called shareholders or
stockholders
 The Act restricts the number of
shareholders in a private company to a
maximum number of 50

13. Close
Corporation(cc)
 A close corporation (CC) is similar to a
private company as it is a legal entity
with its own legal personality
 The owners of a close corporation are
called members
 The minimum number of members is 1
and the maximum number of
members allowed is 10

14. Business Plan
 A “business plan” is a roadmap that
describes where you’re going and how
you’re going to get there
 A guide to achieving your goals
 A tool to spark investor interest
 A document that helps employees
understand the company mission

15. Key Elements of a
Business Plan
 Description of your products and
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services
Market and industry analysis that
demonstrates the need for your
business
List of competitors, including their
strengths and weaknesses
Marketing strategy (sales approach)
Management team and operations
plan
Financial analysis: the investment
needed

16. Running A Business
Introducing the Beachhead strategy
The term comes from a military strategy,
Meaning as you invade an enemy’s
territory you need to focus on your strength
and concentrate on winning a small border
area( the Beachhead), which becomes your
strong hold from which you advance to the
rest of the territory.

17. 10 top tips for running
a small business
 Don’t put your eggs in one basket: Do not focus
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your whole attention to one main client
Know your enemy! : Get to know your
competitors. Find out who they are and what
they’re doing. There is an old saying: “keep your
friends close and your enemies even closer!”.
Donʹt be afraid to sack clients or associates: If
you have a client that pays late, always cuts you
down on price, takes to much of your time and
never appreciates what you do for them, then it’s
probably worth telling them that your working
relationship isn’t working for you
Immerse yourself in your market sector: To be
successful in your chosen market sector you need
gain as much knowledge about it as possible
Watch your cash flow: Always invoice quickly
once a job is finished, don’t wait till the end of the
month.

18.  Get your personality across in your marketing
materials: Personality builds emotional engagement
with your clients
 Do what you do best!: Find your niche market and
become the best at it. If you try and be the best at
everything you’ll dilute your offering and your clients
will suffer because of it.
 Collaborate: Collaborate with other businesses that
offer something that compliments your products or
services. This will make you much more desirable to
your clients.
 Learn to say sorry!: We are all human and humans
make mistakes. So when you do make a mistake and it
effects your client, apologize and rectify what you did
wrong, by putting it right, with no fuss and as quickly
as possible. Go that extra mile to make it right. If you do
you are likely to have a client forever.
 Enjoy what you do: Most of us will work for 8+
hours a day, 5+ days a week. That is a huge chunk of
your life. So why not enjoy it!? A good and happy
working environment is likely to be more productive
and proactive

19. Growing a Small
Business
 Get Organized: To be successful in business you need
to be organized. Organization will help you complete
tasks and stay on top of things to be done.Follow up
with larger group?
 Keep Records : All successful businesses keep detailed
records. By keeping detailed records, youʹll know where
the business stands financially and what potential
challenges you could be facing.
 Analyze Your Competition: Competition breeds the
best results. To be successful, you canʹt be afraid to
study and learn from your competitors
 Understand the Risks and Rewards: The key to
being successful is taking calculated risks to help your
business grow. A good question to ask is ʺWhatʹs the
downside?ʺ If you can answer this question, then you
know what the worst‐case scenario is.
 Be Creative: Always be looking for ways to improve
your business and to make it stand out from the
competition. Recognize that you donʹt know everything
and be open to new ideas and new approaches to your
business.

20.  Stay Focused: The old saying that ʺRome was not
built in a dayʺ applies here. Just because you open a
business doesnʹt mean that youʹre going to immediately
start making money
 Provide Great Service: There are many successful
businesses that forget that providing great customer
service is important
 Promote Your Business: If you do not talk about
your business nobody will
 Be Consistent: Consistency is key component to
making money in business. You have to consistently
keep doing the things necessary to be successful day in
and day out.

21. Conclusion
 Conclusion
Starting and running a successful
business can be rewarding and
challenging. Success requires focus,
discipline and perseverance. However,
success will not come over night ‐ it
requires a long‐term focus and that
you remain consistent in challenging
environments.

22. Email:
Info@mkhatshwabd.co.za
Web:
www.mkhatshwabd.co.za
Tel: 012 771 2941
Cell: 083 872 9767 or
071 607 7815
Add: 16 Gardens Square
467 Hanny Street
Pretoria Gardens
0082