Entrepreneurship: The key to financial stability for youth | By: Lethabo Tloubata

IMG_0565 2In 2017, unemployment rates in South Africa are reported at an all-time high, which, coupled with the start of a recession, makes the prospects for young people making a successful living seem impossible. Although corporate South Africa is doing its best to retain its talent at this stage, we need to consider a sustainable way to further develop the economy of the country. The best way thought possible is through the participation of more young people in entrepreneurial activities, however, one may not know what opportunities are there for them in the entrepreneurship space.

With the findings in the GEDI report earlier this year, South Africa was placed second in the continent in Entrepreneurship activity. What this alludes to is that the future is not so bleak.

Let’s take a closer look some of the opportunities that are available for the entrepreneurial at heart.

  1. Skills training for youth in entrepreneurship

Having a natural knack for business is one thing, however, running a successful business requires one to have some knowledge of their customer base, how to recruit and retain the best Talent as well as how to manage financial resources that they may have, amongst other skills. South Africa (and the continent) has seen an increase in programmes that offer basic skills that one may need to run a successful business. These skills-based programmes all have a strong focus on mentorship while running structured programmes that help entrepreneurs take their ideas from one phase to the next.

  1. Funding sources

Banks, angel investors & venture capitalists have been, for a long time, the natural source of funding for ventures. Though these sources are widely and readily available to people who wish to push their ideas to the next stage, it is not easy to get access to them as they often either have hectic requirements to qualify for funding or they may have a specific focus on who they fund, such as tech-based businesses.

Although the above-mentioned are still a great source of funding for entrepreneurs, we have, in the last couple of years seen a growth in crowdfunding sources which enable the entrepreneur to not only get funding from a bigger pool of sources, but to also promote their businesses and share a bit of their story and what influenced their decision to begin their venture. Crowdfunding allows one to request funding from friends, family and anonymous individuals who would identify with the inefficiency that the entrepreneur is hoping to find a solution for.

  1. Further Education & Training

Following the successes that have been seen since the inception of a National Diploma in Small Business Management at some Universities of Technology, more and more universities have included entrepreneurship studies in some form or another in their faculty offerings. These offerings range from either a National Diploma in Entrepreneurship, (which not only gives one the theoretical knowledge behind entrepreneurship but also includes a practical component which enables the student to experience the everyday life of entrepreneurship), to postgraduate diplomas in Entrepreneurship with a similar focus to the National Diploma.

While these are some resources one could use to run a successful entrepreneurial venture, it is important to know that this is not all that is out there. Innovation labs, hubs & other communities are also great resources to help grow your business.

As an entrepreneur, it is very important to explore your environment and see what and who else is there to support the growth of your business. Social network platforms, like Instagram, are being widely used to run online shops. While this does not take away from the traditional eCommerce platforms, it is there to enhance your business.

Here are some links for you to look at when exploring these opportunities that are available to you. You are also encouraged to explore further than this and make the most of the opportunities available to you.