Serongwa le Tshekweng trading is a 100% black owned business which was started and registered in 2007. The owner Mr Joel Papalagae has the background and experience in the engineering field, which gives him a competitive edge in the target market.
The following challenges were identified:
- Obsolete equipment and machinery
- Low working capital
- Delivery Vehicle
- Limited skilled staff.
Solution by Seda
Total Capital investment of R110 000 was injected in the business to improve on the capitalization structure of the enterprise in terms of
- Functional plants and machinery
- Positive working capital
- Acquisition of a delivery van.
The following aspects of the Business were improved:
- Acquired appropriate machinery.
- Delivery vehicle
- Staff compliment has increased from 2 to 6
- Client base increased by 60%(from 5 - 12 contracted clients).
- The business was Projected to generate a Turn-over of R600 000 in the first year. Actual first year turn-over was recorded as R1,100,000.
From the desk of Joel Papalagae
Seda’s assistance has enabled the business to set up long-term goals. The business plan has assisted with access to finance.