It’s tough out there and many South Africans are struggling. It’s also set to get worse before it gets better.
The official sector forecast issued by the South African Reserve Bank in April expects the economy measured as GDP in 2020 to contract by 6.1% and across the globe there is talk of an extended recession well into 2021.
South Africans are resilient and resourceful though, and times like this are ideal for sparking new initiatives and fast-tracking rapid changes. Ideas and intentions that were sitting idle on the wish list have almost overnight become activated leading to new opportunities. We are seeing this with queries on Mentor Hotline where almost 25% of entrepreneurs are asking for help with a new startup.
So, for some this disruption is good for business. It’s exciting and stimulating to run a business in such rapidly changing times. For others though, this means crippling anxiety and heavy pressure on resources both mental, emotional and financial. There are many businesses owners facing the dreadful prospect of closing their business and laying off workers. This decision can have lifelong consequences and the support of a mentor as you go through the decision-making process could make all the difference to the outcomes.
As entrepreneurs we have a choice – to get up and fight, or to give up and fold. Workers, the unemployed, children, the elderly and those in poverty have few choices and we are already seeing how the COVID-19 lockdown has affected them. What we are learning in this transformative time is that poverty is a societal responsibility and many of the wealthy are reaching out to support those less fortunate. They are doing this across the country as individuals helping those around them, through local Community Action Networks (CANs) and by supporting feeding schemes and charities.
This month as Mandela Month we are reminded that it’s the right thing to do to help others. This can be through sharing of skills such as the volunteer Mentor Hotline, through support of feeding schemes such as Delft Action Network (DAN) or Grow Food Farms ZA. As entrepreneurs, though, I would like to inspire you towards bold success. Business is the cornerstone of the economy and South Africa needs us now more than ever.
Have a great week!
Share this article:
