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  • Business
    South Africa’s latest fuel price increase is placing severe pressure on small and medium enterprises

    R3 fuel levy slash fails to ease SME and farmer struggles

    Businesses in the culinary sector are set to benefit from Tshwane's hosting of Gastronomy Africa.

    SMEs set to benefit as Gastronomy Africa bid lands in Tshwane

    Limpopo leads in paying government suppliers within 30 days, easing SMEs cash flow. Photo Wise.com

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    South Africa’s latest fuel price increase is placing severe pressure on small and medium enterprises

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    China market calls – but can SA small business deliver?

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    Floodwaters bring fish and entrepreneurship in Vhembe

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    Silage helps farmers slash feed costs and save time

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    How SMEs can navigate biometric implementation challenges

    Innovative building technologies (IBTs) are set to transform South Africa’s housing sector while opening new opportunities for SMEs. Photo. Dept of  Human Settlements

    Innovative building technologies to unlock opportunities for SMEs

    A new app helps school leavers find vacancies at varsities and relevant courses. Photo. Wits University

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    Township-based tutoring businesses are emerging as an important and fast-growing support system. Photo. CPD Online College

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    Gauteng’s R36.4bn infrastructure drive opens doors for SMEs

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    Accelerated provincial spending sparks SME procurement fears

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    National budget unveils Paylinc to cut SME payment costs

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    Franchising for SMEs – aligning skills, finance and growth

    SMEs are set to benefit from a R340 million deal between Dutch entrepreneurial development bank FMO and SA fintech lender Lula.

    SMEs set to benefit from R340 million lending deal

    The 2025 festive season confirmed that cashless commerce is no longer a trend but a structural feature of the economy. Photo. Standard Bank

    Festive spending shows double digit growth in cashless payments

    Zelma Matinise is the sixth woman to become a Sorbet franchise owner through the Bidvest Bank Sorbet-Preneur iniative.

Photo: Supplied

    Sorbet-Preneur model unlocking SME ownership for women

    Cattle farmers in affected provinces are holding animals longer as foot-and-mouth disease movement controls continue to restrict market access.

    Foot-and-mouth curbs push small-scale farmers to the brink

    A student accommodation in Soshanguve Block H that assists students who are still struggling to get access to school residence

    Township property owners make good business from student rentals

  • Tourism
    Easter travel demand lifts SMEs, but industry calls for stronger year-round support. Image: Internet

    Tourism SMEs brace for Easter surge amid patchy recovery

    Climate-proofing tourism: how SMEs are leading resilience charge

    Global tensions are slowing international bookings for South Africa’s tourism small businesses. Photo: Internet

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    Festive season tourism injects about R13 billion into KwaZulu-Natal’s economy.

    KZN’s festive season boom: what’s in it for tourism SMEs?

    The anticipated return of major tourism events, including the Tourism Indaba, has renewed discussion about local procurement inclusion.

    Bad roads, broken fences threaten tourism SMEs sustainability

    South African tourism businesses connect with international travel buyers at the country’s exhibition stand at ITB Berlin.

    How international tourism show can benefit SA’s SMEs

    Rural tourism SMMEs tackle youth unemployment despite financial strain.

    Tourism sector presses for sustainable youth employment.

    Tourism industry stakeholders warn the SA-Indonesia MoU must move beyond paper to drive real results.

    Tourism SMEs call for action beyond signing of MOUs

    President Cyril Ramaphosa described tourism as the jewel in the nation’s crown.

    Tourism SMEs ponder how to capitalise on growth after SONA

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    Small business owner managing stock using a digital point-of-sale system.

    How digital tools give SMEs the edge in stock control

    Small business owners receive mentorship and training through a social enterprise programme.

    How social enterprises are driving sustainable job creation

    The Khi Solar One energy plant in Northern Cape. Photo. Franz Reinisch

    Solar and wind projects drive economic growth beyond the city

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    How SMEs can beat violation of 30 day payment policy

    A student accommodation in Soshanguve Block H that assists students who are still struggling to get access to school residence

    Township property owners make good business from student rentals

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Beauty industry continues to feel effects of Covid-19

by Tebogo Mokwena
September 30, 2020
in Business
Reading Time: 4 mins read
A A
South Africa's beauty industry will still experience the financial aftermath long after the COVID-19 pandemic has passed.  Photo by Edgar Chaparro/Unsplash

South Africa's beauty industry will still experience the financial aftermath long after the COVID-19 pandemic has passed. Photo by Edgar Chaparro/Unsplash

There will be a long lasting financial impact in the beauty industry even after the Covid-19 has left our shores.
The industry was already struggling because of the slow economic growth before Covid-19 and they were losing customers.
This is according to Frik Bekker, acting CEO of the National Bargaining Council for the Hairdressing, Cosmetology, Beauty and Skincare Industry who told Vutivi News that the lockdown added serious pressure on the beauty industry.
“With no work being able to be rendered from 27 March 2020 up to when Personal Care was allowed to return (19 June 2020) there was no income generated by these establishments and also no payments that could be made to employees
“The lockdown had the effect that many establishments went into serious debt to stay afloat while many were not able to reopen once the lockdown was lifted. In essence, all personal care establishments could return to work apart from those operating from resorts and hotels. These establishments are only now from 17 August able to return to work which meant a lockdown period for these salon owners and employees of almost 5 months with no income.”

READ MORE: Informal sector can help boost SA economy 

Bekker considered the hairdressing industry as a significant contributor to the country’s economy.
The total size of the hairdressing industry is evaluated over R1 billion (sell-in value) for the full year of 2019.
Knowing that the salons recharge products through services or retail between 50% and 60% more to clients, the market of hairdressing (including only wet hair = no hair extensions figures) is most probably over R2 Billion ZAR. Adding the beauty industry, the total should be exceeding R2.5 Billion.Vutivi News interviewed two hairdressers, both operating in zone 11 in Sebokeng in the Vaal. These men, who ply their trade transforming locals’ heads into the stuff that turned heads, have seen better days.
Lucky Nkuna, 27, who owns Thulani Salon, has been running his business since 2011. He has been doing people’s hair since he was a teenager, a trade he began playing when he was 13.
“I (opened) a hair salon because I wanted to have a business that is mine, as I was tired of working for other people,” adding that business was doing great before the pandemic.
“Even though days were not the same, we would see an average of ten people when it isn’t busy. Month-end and paydays would be different, since people had money to do more expensive hairstyles.”
Lucky closed for 21 days during the first lockdown, and then for two weeks afterwards. He was only able to operate again under level three. “I mean, business is extremely slow these days,” he said.
“I took a profit knock. Even when we were told to apply for relief funding, I couldn’t because I don’t have information regarding the relief funding,” he said.
Nkuna said that he was hoping that things would change since the country was placed under level two.
I see more people are going back to work, so maybe the number of customers will increase,” he said.
Sophania Makayi who also owns a hair salon in zone 11, Sebokeng said he had been running his salon since 2005, a trade he also learned in his youth. “Business was good, because most of my customers are school children. However, it has been increasingly difficult since this disease invaded our lives. I was even forced to lay off one employee because I simply cannot afford to pay another person.”
He said that young children and the youth were his biggest clients, but they have not been visiting the salon lately.
He said that he hoped that things would be different under level two since children would be going back to school so maybe things might go back to the way they were before.

READ MORE: Small Business Development department comes to the aid of informal traders

Tags: Beauty industryCOCOVID-19Financial impact of COVID-19Salons
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