Time flies when you are having fun. January for many of the readers was a time to regroup and focus, with many staff returning on the 17th which effectively made January a 10-day month.
Not much strategy went into the month and with many working from home it may have been watered down even further.
President Ramaphosa dropped a bombshell when he said that that the government will look at how black-owned businesses can participate in the recovery of the country’s economy in 2021.
Speaking at the ANC’s Progressive Business Forum on Tuesday (19 January), the President said this will include a focus on the key economic sectors which drive the economy and the role that black people have in these areas. We need to be able to say in a few years’ time that the empowerment of our people is now becoming a reality.
He also reaffirmed the governments commitment to B-B BEE and their efforts. It’s here to stay!
Whether or not we agree with these sentiments is not the issue, what is the issue is that B-BBEE is now going to be even more important in your company. 100% white owned companies or non-compliant companies will continue to feel the pinch.
Personal and company debt is spiraling out of control now and we hope the Government follows international best practices and imposes a freeze on legal action against home and vehicle owners until the COVID-19 disaster has passed. We need to allow borrowers time to get back on their feet and resume payments. The crisis was not of our making, we should not be held to account for the pandemic’s inevitable consequences.
Ownership is a very emotive issue in companies but without ownership you are fighting an uphill battle in your company. Trusts are still a very viable offering regarding ownership and to sacrifice a small ownership percentage to open the market should negate these emotions. Survival and growth should be your sole motivation when making these decisions. The minister of trade (Patel) has re-confirmed that TRUSTS are -no matter what the BEE commissioner says legitimate ownership schemes.
Need an ownership strategy for your company that is practical and not disruptive, please let us have a Teams / Zoom/ Skype meeting to investigate your options.
Be aware of expenses, costs, and the value you are adding. Stay in contact with your customers to ensure they know that you are still in business and there for them.
I hope to hear from you.
CEO – Compliance Hub