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Tshepanang: Alexandra Ex-Combatant Project

Released: September 2006 | Written by: Natalie Morton, Project Manager: The Business Place

 
   
 
   
 
   
 

In July 2007, at the request of the Alexandra Renewal Project (ARP) The Business Place Joburg was asked to assist the Alexandra Ex- Combatants Association in establishing its members into a formal business, 14 years after demobilization. Not being core to our daily activities of referral, this has resulted in the establishment of a pilot programme of business incubation.

The Association consists of around 30 ex-Umkhonto We Sizwe and Azanian People’s Liberation Army members. It was established within Alexandra Township with a purposed to provide financial and emotional support to fellow comrades. Even though their membership represents different political parties, they again unite for a freedom fight, of a different nature.

An initial assessment demonstrated that the group were somewhat demoralized, and grappling with the idea of advancing themselves in a society that many struggle to relate to. However, they do know that they want a sustainable income and feel that what they most need are business skills.

In addressing these needs, the first step was to establish their skill base. A very basic skill assessment of 21 members was conducted; the following poignant skills were identified:

  • 14 of the 21 had started some or other business since demobilization.
  • 3 of these businesses are in survival mode and have been operating for a number of years, bringing in around R2 000 per month. Namely construction, butchery and a clothing retailer.
  • Many of them served beyond our borders and spent time in exile. As a result, they are conversant in : Russian, Spanish, German, Swedish and Angolan Portuguese.
  • Most of the members are interested in the construction industry, having learnt these informal skills during their service, to build bridges and dwellings in rural areas.
  • 3 of the group are neither literate nor numerate.
  • 90% have poor eye sight but have never worn glasses.

It became evident that this pilot would need to cater for Technical, Business and Life Skills to ensure that each individual benefited personally from this programme. It is envisaged that the programme will take about 2 years to complete.

Step 1
Moving Forward

The first hurdle was that at the request of the group, each member was expected to contribute R20 in order to create funds to register the business. This posed a problem as only a third of the group has any form of income currently. The interesting point here is that despite this disadvantage not one member was looking for a hand out.

Step 2

To establish what form the business would take. After a couple of legal workshops conducted very generously by the Sandton based legal firm, Jowell, Glyn and Marais (JGM), the group identified that the Pty (Ltd) model best suited their individual needs. JGM continue to support the group as they prepare the Articles of Association for this business.

Standard Bank came on board early in the programme and supplied each individual with a copy of the Oxford Dictionary of Banking and Financial Terms, which allowed the group to get familiar with and to interpret the business jargon that was soon to come their way.

To boost moral and prove the “can do” theory, the men were taught how to make modern beaded jewellery. This they did with reservation, as most cannot see clearly, and most have enormous hands. They took the lesson in their stride and produced some truly beautiful glass pieces which they presented to the women in their lives as gifts in celebration of Woman’s Day on 9th August.

Step 3
From Generosity to Opportunity

On the 13th August the group returned to the “classroom” and requested another opportunity to bead. The condition of this was that the funds used to purchase supplies would be in the form of a loan and that any items produced would be sold in order to repay this loan. The group embraced the challenge and a meager R400 was invested into wooden beads and additional tools. Beading began in earnest, and before the close of business on the first day, they had produced around 15 necklaces, using different techniques and their own creativity. The zest of having a seemly insignificant skill sprung into life, and the group began requesting, to meet almost daily to bead.

Step 4
Researching the Market

They then went through a lesson on researching the designs and pricing of their products. Harassing most ARP and Business Place staff, eagerly gathering information about : a) what people thought of the product ; b) what they were prepared to pay; c) how the goods should be packaged.

Step 5
An SMME is born

The initial idea was that they would target a select number of outlets that would socially accept their product and respect the history of the people behind the product, which they soon realized was a marketable commodity in its own. They named the business Tshepanang which means

Trust Amongst Each Other. A small business card size marketing tag was designed and attached to the product, providing the customer with an overview as to why this product was produced.

Step 6
Opportunity Knocks

One and a half weeks of beading and by coincidence Gibs brought through a group of Standard Bank employees to visit Alex. The Group happened to be gathering that day to bead, and they soon saw a business opportunity. They presented their products to the visitors of Alex and their very first sales brought in R1250.00!

Three groups of Standard Bank employees visited Alex in one and a half days, and over R3 000 worth of products were sold. Each necklace is sold for R50.00; a pair of earrings R20 and bracelets R15. Interestingly men purchased more products than the ladies, and we all soon realized that the interaction with white male South African’s brought a great deal of healing from both sides.

Step 7
The Market

Next they were off to King’s School in Robin Hills on their first market day held on the 1st September. The main purpose of exhibiting was to get familiar with how to sell, identify which products sold better, and how they could improve their business. A further R700 was raised that day and more learning’s than any text book could teach!

Step 8
Getting Organized

Standard Bank were invited back to the group, this time in the form of a business banker, who conducted a workshop on banking products, and their first business bank account was opened, in to which around R3000 will be deposited. The excitement with all contributors at Tshepanang is tangible as they have repaid their loan, replenished their stock, and have more than enough capital to register the business.

The Group has identified that the beading business is not the final goal, and they continue to assess many business opportunities that would be considered core services. However, they are determined that this small business will remain so long as it serves the purpose of income, and will register the company when the time is right.

Tshepanang have a big mountain to climb, with learning’s still to be made, they remain unwavering in their ideal to be sustainable on their own. Already there are small individual businesses starting to flourish with 2010 on the horizon. Their ability to speak a variety of languages, offer security and personal recounts of their fights to freedom, bed and breakfasts, and home made meals are amongst a few of their many business ideals. They remain steadfast and unwavering in their ideal to become living proof, that no matter whom you are, and what you have done with your life, you can make it for yourself.


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