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    Statistics South Africa (Stats SA) reports that 1 534 businesses entered liquidation in 2025, with about 100 closures recorded in December alone. Photo. burgerhuyserattorneys.co.za

    Over 1 500 businesses folded in 2025 as economic pressures peak

    FASA CEO Freddy Makgato has highlighted how franchising systems, structured support, and partnerships are making entrepreneurship more accessible to first-time business owners. Photo. FASA\Facebook

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    SMEs assess reopened asset assist plan as funding gap persists

    Livestock stokvels are taking off as people seek to escape the cost of rising food prices. Photo. Lucas Ledwaba\Mukurukuru Media

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    Profit and not size is key for red meat producers

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  • Agriculture
    President Cyril Ramaphosa engages with US President Donald Trump during a working visit to the US last year. South Africa has the US's decision to extend the AGOA trade deal that will benefit SA businesses including SMEs. Photo. GCIS

    AGOA extension buys time for SMEs but structural risks remain

    Small-scale poultry farmers are set to benefit from a Rainbow Chicken initiative that includes the handing out of 100 chicks to boost their businesses. Photo. Wikipedia

    New initiative hatches growth for small-scale poultry farmers

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    Milk and meat prices soar and farmers count costs as FMD spreads

    Livestock stokvels are taking off as people seek to escape the cost of rising food prices. Photo. Lucas Ledwaba\Mukurukuru Media

    Livestock stokvels emerge amidst rising food prices

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    Kenya is leading the charge in promoting biogas technology as a renewable energy source. Photo. Go Green East Africa

    Biogas emerges as opportunity for small scale farmers

    Farmers in Vhembe district of Limpopo are pleading for help after floods destroyed their crops. Facebook

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    Innovative building technologies to unlock opportunities for SMEs

    Funeral parlours now offer extra packages that include after-tears-parties to attract clients. Photo. Twitter/X

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    ORT airport digital centre gives SMEs exposure

  • Finance
    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

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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

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    Small businesses say access to equipment funding remains one of the biggest barriers to growth.

    SMEs assess reopened asset assist plan as funding gap persists

    Funeral parlours now offer extra packages that include after-tears-parties to attract clients. Photo. Twitter/X

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    Township property owners make good business from student rentals

    Quiet trading floors in January are forcing many small businesses to delay new hires until cash flow improves.

    Hiring on hold as slow January trading squeezes cash flow

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Dirty water crisis undermines small businesses

by Excel Likhonithemba Fongoma
April 17, 2025
in Business, Top story
Reading Time: 4 mins read
A A
Small business owners in Hammanskraal say poor quality of water supply is impacting their businesses. Picture: Lucas Ledwaba

Small business owners in Hammanskraal say poor quality of water supply is impacting their businesses. Picture: Lucas Ledwaba

Small business owners in Hammanskraal, north of Pretoria, are sounding the alarm over the ongoing dirty water crisis. They say it continues to undercut livelihoods, inflate operational costs and poses a growing threat to their customer base and community well-being.

Despite promises of intervention following national attention on the state of water in Hammanskraal, informal traders and small water suppliers say very little has changed and they have been left to carry the burden of water safety themselves.

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Sibongile Mofokeng, owner of Crystal Blue Waters, a water purification and bottling business operating from the outskirts of Temba, said demand for clean water has soared, but so have her costs.

“We’ve seen a sharp increase in walk-in customers who no longer trust tap water, but sourcing and purifying water has become more expensive,” Mofokeng explained.

“We buy bulk untreated water and purify it ourselves, but with power cuts and increased filter costs, our margins are shrinking. The crisis is helping us grow, but it’s also draining us financially,” she said.

For many informal food vendors, the lack of safe water has turned into a daily struggle.

Nkele Ndlovu, who sells cooked meals at a busy taxi rank near Jubilee Mall, said she now spent a significant portion of her earnings buying bottled water just to prepare meals.

“I used to cook using municipal water without thinking twice, but since the reports about contamination, customers are more cautious and so am I,” said Ndlovu.

“I now buy 10 to 20 litres of bottled water daily. It’s expensive, but I don’t want to lose my customers or make anyone sick.”

In 2023, the Water and Sanitation Department confirmed that water supplied in Hammanskraal did not meet minimum safety standards, sparking concern across the region.

While emergency water tanks and boreholes were introduced in some areas, small businesses say they are unreliable and insufficient.

“It’s difficult to run a car wash when water is rationed and dirty,” said Thabiso Molefe, who operates a small car wash near Ramotse.

“Some customers don’t come anymore because they know the water leaves dirt or even smells bad. I’ve had to truck in clean water at least once a week, which eats into my profits.”

The businessowners expressed frustration at the slow pace of the government’s response, calling for more targeted support for SMMEs, including subsidies for water purification equipment and reliable delivery of clean water.

The South African economy leans heavily on SMMEs, especially in townships and informal areas. Yet, in communities like Hammanskraal, businesses are left to navigate basic service failures on their own.

“The water crisis is more than a health issue, it’s an economic one,” Mofokeng said.

“We’re expected to create jobs and grow the economy, but we can’t do that while worrying if our next litre of water will be safe to use.”

While the department declared water in Hammanskraal fit for human consumption in February, the experiences of residents tell a different story.

The government has appointed Magalies Water Board to construct a 50 megalitre package plant (water treatment works), which is being built in four phases. The first phase was launched in November last year.

The last phase is expected to be completed in June.

Tags: Crystal Blue WatersSMMEs and informal tradersSMMEs and water
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Excel Likhonithemba Fongoma

Excel Likhonithemba Fongoma

Excel Likhonithemba Fongoma studied journalism at TUT, and has worked in radio and online for eight years, covering a wide variety of stories for Tshwane FM, Rekord Noweto and more.

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