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    SMEs buckle under illicit trade pressure as economy hits R1.2tn

    Thabang Tlakafu rises as early as 3 am to start his daily shift as a waste picker in the streets of Johannesburg

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    About 6,043 workers are participating in the strike, according to Food and Allied Workers’ Union (FAWU). Photo. FAWU\Facebook

    Sugar strike squeezes SMEs as imports displace local production

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    Ma Flo Farm owner Karabo Ngobeni says the R150 000 prize will help the Emalahleni-based agricultural business invest in irrigation, fencing and shade-net infrastructure to expand production.

    Green economy opens new market opportunities for Mpumalanga SMMEs

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    A long wait for care at a hospital gave Sibongile Mongadi an idea for her business. Photo. Supplied

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Photo: Reuters

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    New Stats SA data shows more than 750 business insolvencies were recorded in South Africa during the first half of 2026. 

Photo: OLIVIER LE MOAL

    More than 750 firms go insolvent as SA companies feel the pinch

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Photo: DSBD

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  • Tourism
    Rising living costs are prompting domestic holidaymakers to pack their own provisions, shifting visitor expenditure away from local destination businesses.

    Coastal and rural SMMEs feel pinch of changing traveller habits

    Driving economic growth through business tourism and conferences

    The newly unveiled Mthontsi Lodge and Conference Centre in KwaMaqoma, Eastern Cape, is expected to create tourism and economic opportunities for local businesses and communities.

    Tourism boom opens South Africa to more business

    Improved air connectivity through the Emirates-SAA
partnership is expected to strengthen tourism, trade and
regional travel across Southern Africa. Photo: simpleflying

    Tourism SMEs set to benefit from Emirates-SAA partnership

    Turkish Airlines will increase its South African services to 20 weekly flights from October 2026.  Photo. Turkish Airlines

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  • Advertise
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    Nkomazi traders and SMMEs received assistance with government procurement processes, including CSD registration, during the Premier’s Imbizo.

    Nkomazi SMMEs seek clearer path to government procurement

    Reliable municipal services such as water are essential to businesses, particularly small enterprises that may not have the resources to absorb prolonged disruptions.

    Municipal financial pressure puts Mpumalanga SMMEs under strain

    Western Cape launches digital funding service for businesses

    The cash-loan business has become one of the fastest-growing enterprises in South Africa’s township and informal economies.

    How a new R150m fund seeks to help SMEs hire youth

    Under a new R5.4 billion AfDB and Standard Bank facility, rolling out digital payment devices aims to give informal women entrepreneurs the transaction records needed to access commercial credit.

    R5.4bn facility targets women SMEs

    Leane Hendricks is proving that South Africans can also run successful spaza shop businesses by starting small and serving their communities. Phone: supplied

    Woman entrepreneur proves locals can crack it in spaza sector

    A spaza owner sits outside his supermarket in Kliptown, Soweto. Photo: Nhlanhla Phillips

    Step-by-step guide on how to apply for Spaza Shop Support Fund

    Entrepreneurs are proving that growth no longer depends on having a physical store. Photo SME SA

    Top tips to grow your small business through e-commerce

    Moovy Delivery founder Nhlanhla Nkosi turned a gap in township logistics into a growing courier business. Photo Supplied

    Top tips to grow a successful business in SA’s township economy

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SMEs advised to reset to beat downturn blues

by Zanele Songo
August 15, 2025
in Business
Reading Time: 3 mins read
A A
Murendeni Mafumo, founder of Kusini Water seen processing water

Murendeni Mafumo, founder of Kusini Water seen processing water

The year 2025 started on a high note for Murendeni Mafumo, founder of Kusini Water, a South African social enterprise that provides access to clean water for government organisations.

“I had set clear objectives for my company. The main goal for this year was to employ 100 people, and we achieved that,” Mafumo told Vutivi News.

“Unfortunately, halfway through the year, we had to retrench half of them, and now we’re facing CCMA cases for the first time in my company,” Mafumo reflected.

Mafumo said the retrenchments were never part of the plan. The business had secured several contracts, creating optimism for sustainable growth, but the momentum slowed as the year progressed.

He added that the experience has compelled him to reassess how the business operates, rather than focusing solely on growth targets.

Experts are advising small businesses to adapt quickly or risk falling behind, as economic pressures and shifting market realities take their toll.

They further warn that even enterprises that started the year strong are feeling the pinch, with some forced to cut jobs and rethink their strategies.

“Running a business can also feel like a sprint in a marathon. It’s very tough, but all the objectives and plans I had allowed us to revisit our business model and decide where we’re going as a company,” said Mafumo.

According to Tag Mofokeng, CEO and founder of Meet Showbiz Africa, a mid-year reset is not just about planning but about re-evaluating your brand’s purpose, relevance, and connection with your target audience.

“Take some time to reboot and ask yourself, when did you last audit your brand? Are you solving a real-world problem? Does your tone, look, and service reflect today’s audiences?” said Mofokeng during the Proudly SA Mid-year reset for South African entrepreneurs’ webinar.

“These questions will help you identify gaps in your business and ensure your brand resonates with current target markets. Compare your business performance from January until now and review your promotional material,” Mofokeng said.

Mofokeng urged small business owners to rethink their strategies.

“Customers change, but branding often doesn’t. Your 2019 strategy won’t win in 2025 and certainly won’t solve today’s market realities,” he said.

As the second half of the year begins, Thabiso Magodielo, CEO of Vision Unlimited Holding, a company that supports businesses through investments and strategic planning, highlighted that mindset and planning are key to success.

“Going into business, you need to be very careful. You need to do your homework very carefully. Make sure you go into a business that works. Without a clear mindset and flexible plans, even the best business ideas can falter,” he said.

He also added that a business plan is a living document that you regularly reflect on changes in the market, your customers, and your goals.

“With a solid business plan and better understanding of the market demand, there’s no reason why your business will not succeed in 2025,” Magodielo said.

zanele@vutivibusiness.co.za

Tags: Kusini WaterSMMEs and waterSocial enterprise
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Zanele Songo

Zanele Songo

Zanele Songo is a journalist at Vutivi Business News who began her reporting journey in 2022. With a versatile writing style, she has covered a wide range of beats including sports, news, and feature stories. Recently, her focus has shifted toward spotlighting young entrepreneurs, small businesses, and innovation in South Africa’s townships.

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