Through the difficult labour market in South Africa, social enterprises are emerging as a new source of job creation that can empower individuals to build their lives and unlock their entrepreneurial potential.
With unemployment rates remaining stubbornly high and few formal jobs being created, mission-driven ventures are showing that new ways can make a big difference, particularly in the informal and micro-enterprise sectors.
Tracey Chambers and Tracey Gilmore founded and designed an initiative called Taking Care of Business (TCB). It was originally launched as The Clothing Bank in Cape Town in 2010. Chambers and Gilmore designed this initiative to give unemployed people, especially women, the practical tools to start their own small businesses by trading discounted clothing and goods.
“Self‑employment is a solution to our current unemployment crisis,” said Gilmore. She said the programme pairs training with real‑world earning from day one. “The focus on building sustainable micro‑enterprises encourages individual agency and creates financial security,” she said.
She explained that TCB’s model incorporates enterprise training, mentorship, and access to discounted stocks through retail partners, allowing traders to sell products in their communities and providing them with enterprise knowledge. Today, TCB supports hundreds of traders in Cape Town, Johannesburg, Durban, East London, and Paarl.
Whereas for entrepreneurs like Thandi Nkuna, who used to sell casually in Soweto, the strategy is one of combining survival strategies with opportunities.
“Every sale is a win,” said Nkuna.
In the Western Cape, another social enterprise with a broader focus on economic inclusion is the official site of The Hope Factory. This organisation assists young people and small business owners to grow financially sustainable businesses that can create jobs and stimulate economic development.
An entrepreneur supported by The Hope Factory’s programmes, Karla Molefe said the coaching sessions were a huge plus, driving them to be more productive and increase sales. She also reflected on how tailored support can translate into real economic agency.
Entrepreneurs who want to get into the social enterprise sector may seek funding support, training support, and mentorship support from the Department of Trade, Industry and Competition (DTIC) and the Small Enterprise Development Agency (SEDA).
Coaching support, stock support at a discounted rate, and business support may also be accessed from social enterprises like The Clothing Bank The Hope Factory.
Workshop support, mentorship support, and networking support can also be obtained from social enterprises Social Enterprise Academy South Africa and Enablis South Africa for entrepreneurs who are eager venture into the social enterprise sector.
