• Business as usual

    Business as usual

    Entrepreneurial activity in South Africa is on the decline, according to the latest Global Entrepreneurship Monitor (GEM) report. Female businesspeople in particular seem to be taking a back seat. In 2014, they were more than twice as likely to start a business and in 2015 this figure decreased to 1.6 times. What’s more is that the country’s entrepreneurial intentions have nearly halved when compared to 2010 – 3.6 times lower than the continent’s average.

    Data from the GEM study indicates that the majority of South African entrepreneurs are aged between 24 and 44, and account for 50% and 60% of all early-stage activity. While this reflects some hope, the study highlights government policy (61%), access to finance (44%), and education and training (42%) as the main factors impeding entrepreneurial growth, all of which had a role in 62% of businesses closing last year.

    However, all is not lost for the country’s enterprisers. A quarter of South African entrepreneurs gain 25% or more of their revenue from international sales, which is more than double the African average.

    07 June 2016
    Image: Gallo/GettyImages