Monday, December 20, 2010

bureaucracy!

After 10 amazing tournamenst with thousands of spectators in the townships Vuyisile took to the streets of Cape Town for a small promo exhibition of Stick Fighting. Within seconds a security guard walked up to them and told them to stop. He needed a permit. In the townships we could do as we wished. We created an amazing spectacle watched by thousands...of black spectators. They phoned me. What type of permit do we need, I asked? He said he didnt know but they needed a permit. Ok where do i get one? At the civic center. Which department i asked? He didnt know. I told Vuyisile to pack up. The country is screaming for entreprenurs. For people to take their destiny into their own hands and start enterprises. Well thats excatly what were doing. However there are different rules for the township entrepreneur to that of the city entrepreneur. Not sure why though? Methinks the bureaucarcy for young entreprenurs in South Africa is just pathetic. Rules, rules and more rules. Little wonder there is so little innovation and creativity. Rules to open a business, rules to what you cant do and where you cant do it. Rules about employment. Rules about rules about rules. Here are my rules for young black entreprenurs.

1. There are no rules to what type of business you want to start
2. There are less rules and more fredoom to experiment in the townships so start there
3. Dont register a business unless you have to. First see if your products/services sell before you choose compliance. Compliance should come thereafter as it is time consuming and costly and CIPRO is not exactly the most dynamic of organisations.
4. Dont employ people with contracts to start. Rather get people who want to be involved with you. By offering people jobs you become and employer and this can be the cause of some serious heartbreak the first time someone takes you to the CCMA.
5. Get paid upfront for goods or on the first of the month rather than the end of the month. People are such bad payers in this country.
6. Dont register for any VAT or other taxes when you start. Keep it simple and only do this if you start to grow.
7. Dont borrow from banks or try to from other financial institutions. They have too many rules and you are wasting your time. Try and borrow from family and friends.
8. An entrepreneur will try and break as many rules as possible but they need to be legal.

So we'll get the permits (however long that takes) and we'll' "hit" the streets of Cape Town and hope they let some young entrepreneurs be dynamic. Wonder what would happen if Helen Zille got on the streets to promote a new product or service wether she would need a permit. She probably wouldnt even know what type of permit we'd be talking about.