About the business
After working at his father’s saw mill, Azizul Angamia established ESA Timbers on a 33 ha plot of land just outside Amsterdam in southern Mpumalanga in 1997. The business employed 41 workers to supply Gauteng-based manufacturing and hardware store clients with cut timber. Wood is sourced from Safcol’s Komatiland Forests.
The business experienced challenges with expensive subcontracted transport for delivering its timber and the need for additional machinery (Bell loggers) to handle raw material between yard-receipt and milling.
Seda interventions and support
Seda conducted a CPE assessment to evaluate business viability, which demonstrated a positive cash flow over a twelve-month period. Seda assisted the company to development of a comprehensive, bankable business plan to secure the funding required for business growth.
As a result of Seda’s intervention and support, the business:
secured financing of R1.2m for a truck and Bell logger, which increased productivity and business efficiency
increased annual turnover by R700k (from R6.3 million to R7 million)
increased net profit by R120k
sustained 41 jobs and appointed four additional workers.