SANZAF SKILLS TRAINING PROGRAMME

SANZAF ENTREPRENEURSHIP TRAINING CENTRE

SANZAF BURSARY PROGRAMME

SANZAF ENTREPRENEURSHIP TRAINING CENTRE

We measure our success by the ability of clients to

run their households without the support of

welfare services

• Incubation type programme

• Teaching skills necessary to run small owner-managed business

• Delivered over seven weeks

• Candidates are referred by SANZAF’s Welfare Department or walk-in off the street

Usually we are the place of last resort after exhausting family, friends and community support structures

Problems include lack of finances, unemployment, low income, as well as emotional and psychological stress

OUR PROGRAMME

Training Funding

Mentoring

• Interviewed to understand their emotional / psychological state

• Aptitude and attitude towards running own businesses assessed

• Ability to read, understand and write English

• Ability to count and perform basic arithmetic calculations,

• Credit/Criminal clearance

PHASE 1 ASSESSMENT

A negative status often prejudices a candidate’s opportunity to contract business should they succeed in accessing funding

• Generating Business Ideas

• Entrepreneurship Skills

• Legal Issues

• Site Selection

• Finances

• Project Management

• Sales and Marketing

• Strategy

PHASE 2 TRAINING

The business skills component is structured and delivered such that each session is a building block towards the business plan which candidates submit after their training, i.e. in the seventh week

Internal Assessment• Business plans first assessed by

facilitators to ensure that they are appropriately completed

• Site visits also conducted to get a sense of fit between business idea and location

External AssessmentBusiness plans are then sent to independent external assessorswho conduct a detailed feasibility assessment

PHASE 3 BUSINESS PLAN

If both internal and external assessors approve then the business is funded

If not successful, candidates are given an opportunity to fix and improve their business plans and re-submit

Capital Funding• Up to USD 5,000 start-up capital• Including costs for fixtures &

fittings, equipment and stock • Payment direct to suppliers /

service providers on invoice

Safety-Net Funding*• Assistance for three months

with all household and business running expenses, including rent, electricity, transport, etc.

PHASE 4 FUNDING

The “safety-net” allowance can exceed the Capital Funding and helps candidates further capitalise their start-ups. If utilised correctly, candidates can potentially increase the value of their business by up to 50% over a three month period

Financial Performance Reports• Submitted fortnightly• Helps track cash flow and shows

evidence of business activity• Early warning signal for

potential failure and if detected early enough, appropriate business rescue can be initiated

Site Visits by Mentors • Conducted once a month• Helps verify report/performance• Opportunity to share challenges

PHASE 5 MENTORING

Although we have limited control over the candidates after funding them, we try and provide whatever practical support and advice we can by offering a mentorship service which also acts as a Monitoring and Evaluation (M&E) mechanism. This is done through site visits and timely submission of cash flow reports

• Over 800 candidates trained

• Over 450 candidates funded

• 60% success rate

• Success is due to the right mix of Training – Funding – Mentoring

• Delivered in simple language

• Based on experiential learning

• Short / Quick turn-around time

CONCLUSION

While the majority of candidates are still at survivalist level the programme affords them an opportunity to build reputational collatarol (and financial history) so that they can access funding from financial institutions if they require same

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70

80

2006 2007 2008 2009 2010 2011 2012 2013

Male 55% vs Female 45%

PROFILE OF CANDIDATES BY GENDER

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60

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90

100

2006 2007 2008 2009 2010 2011 2012 2013

Under 25 25 to 40 Over 40

PROFILE OF CANDIDATES BY AGE

Average Age: (8%) (19%) (73%)

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90

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2006 2007 2008 2009 2010 2011 2012 2013

Submitted Business PlansFunded Business Plans

BUSINESS PLANS SUBMITTED vs BUSINESS PLANS APPROVED

75%

57% (43% of total)

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10

15

20

25

30

35

40

45

50

2006 2007 2008 2009 2010 2011 2012 2013

Successful Failed

AVERAGE SUCCESS RATE 60%

DISBURSED (2010 – 2013)

Amounts quoted in USD

Start-Up Capital Welfare Admin Total

2010 152,000 58,800 36,000 246,800

2011 154,400 128,000 42,000 324,400

2012 230,000 182,300 42,000 454,300

2013 16,300 130,000 48,000 34,100

Total 699,400 499,100 168,000 1,366,500

Tuck Shop Hair Salon Take Away Internet Café

Phone Repair Clothing Retail Bookkeeping Carpenter

Seamstress Tailor License renewals Gardening Services

Film Studio Sweet Distribution Shoe Repairs Safety Gear Supply

Quilt Manufacture Transportation Crèche Barber Shop

Laundromat Flower Decor Canteen Catering

Curtain Manufacture Upholstery Electrician Fruit and Vegetables

Photography Perfume Retail Hair-Care Products Hardware

GD. Printing Jewellery Mnf. Mechanic Car Spare Retail

Motor Trimming Bread Delivery Cleaning Service Health Care Products

Tie-Dying Appliance Repair Tool Hire Beauty Therapy

Stationery Supply Welding Panel Beating Candle Making

W/screen Repair Car Care Products 2ND Hand Car Retail Silk Screen Printing

Bakery Ozone Therapy Food Trailer African Artefacts

Stand Manufacture Acrylic Nails Art Studio Plumbing

Car Wash Buy and Braai Security Services Cement Resurfacing

Public Phones Dried Mango Prod. Diamond Evaluation Gardening Services

PROFILE OF BUSINESSES FUNDED

SANZAF BURSARY PROGRAMME

With over 92% pass rate over 95% of the candidates find

employment within a year of graduating.

BURSARY BIG PICTURE

• Average undergraduate degree costs USD 3,000

• 25% of income set aside for education (various initiatives)

• Bursary budget of USD 1,2 million (2014)

• 92% average pass rate over last 6 years

• 95% of graduates find full time employment within a year

BURSARY GENDER

42%

58%

0% 10% 20% 30% 40% 50% 60% 70%

Males

Females

• Selection based on merit – results• Percentages mirrors trends at Universities• Average Age = 22 years

BURSARY INCOME

>$1500= 5% >$1000 -<$1500 =23%

>$600 -<$1000= 30%

>$300 -<$600k= 18%

<$300 = 25%Income Bands #$000 - $100 13

$101 - R200 8

$421 - $300 16

$301 - $400 10

$401 - $500 7

$501 - $600 6

$601 - $700 7

$701 - $800 7

$800 - $900 15

$901 - $1000 12

• Priority given to lower income families with good results

BURSARY VALUE ADD

• At least 4 workshops held with students per year

• Students exposed to Islamic literature / content at workshop

• Students encouraged to attend short courses in

– Time Management

– Critical Reading and Academic Reading Skills

– Memorisation Skills

– Exam Strategies

– Listening Skills

– Stress Management

BURSARY PILOT PROGRAMME

• Mentorship programme only introduced in 2014

– Mentors drawn from past graduates and interested professionals (pro bono)

– Mentors assigned to students from same/similar field

– Mentors link with students using technology UNLESS student requests face-to-face contact

– Encourage excellence

– Provide advise and support