The 2019 election results are in! They may have left you encouraged or disheartened, but as a nation we now need to look forward to the future together and hold the government to their promises of bringing about the economic growth and stability we need.
Most economists agree the 2019 election outcome will have significant impact on our long term economic prospects as South Africa continues to walk a tightrope around it’s credit rating status. In the short term though, Senior Economist at the Bureau for Economic Research at the University of Stellenbosch, Hugo Pienaar, believes things are looking up for our economy. Financial institutions are becoming more willing to extend credit and we are seeing a greater focus on building the confidence of foreign investors.
As we settle into the reality of the 2019 election results it’s also important for South Africans to try and build their own confidence in the economy to increase our chances of achieving increased growth and prosperity for all. Much of this confidence can come from the growth and stability of our SME’s, and the fostering of a strong entrepreneurial spirit. Our country is made up of more than just a ruling party. It is made up of millions of individuals that are innovators, forward thinkers and inclusionists, seeking to be the solution and not the problem.
At Lulalend we believe that offering fast and easy access to funding for smaller businesses is a critical factor in helping SMEs maximise their contribution to our economic growth. And according to a recent article in the Business Report, we are not alone. Here are the most common initiatives businesses believe would help instil confidence in the economy and what the elected government should focus on:
Support for the development of small businesses
While there has been some recent progress on this front through the introduction of the Department of Small Business Development 5 years ago, it is widely believed there is still much more to be done in developing support structures that include financial support, mentorship and access to markets.
People want to see tertiary education providing a platform for the development of future skills that can meet the demands of the job market.
Tax incentives and prompt invoice payments
One of the biggest struggles for business owners is cash flow. There is a continued desire for the government to offer small business tax relief that is tangible, as well as more stringent policies and accountability around the 30-day payment rule.
Across the board there is a hope that transformation will positively infiltrate all corners of South Africa. This can only come from an inclusive mindset that allows, and provides for, opportunities of fairer education, skills development, entrepreneurship and job creation for all.
Being part of the solution isn’t easy. It is a tireless and continued effort to help everyone move forward. But, it is brave and admirable and what we need above all else.
How are you going to be part of the solution in 2019 and beyond?