SMMEs urged to stay positive as small businesses feel impact of coronavirus lockdown
Small business spaza shops in Gugulethu still operating through lockdown. Picture: Tracey Adams/African News Agency (ANA) Small business spaza shops in Gugulethu still operating through lockdown. Picture: Tracey Adams/African News Agency (ANA)
CAPE TOWN - A Debt Relief Fund is set to assist small businesses impacted by the coronavirus, the Department of Small Business Development announced earlier this week.
The value of the fund was not disclosed.
Marketing expert and business owner Andrew Watson, from Brandright said that start-ups and small businesses should stay positive during lockdown.
“We’re dealing with a lot of unknowns which lead to anxiety and fear. Your fledgling business is still right for all the reasons you’ve validated over the set-up and launch phases. Don’t give up on what you risked everything to start. South Africa will need determined entrepreneurs now more than ever,” said Watson.
Watson highlighted that this could look at your new business in a new light. “When your day-to-day trading is interrupted, you are given some breathing room to take a more strategic view on how your business will surface,” he said.
During the lockdown small, medium and micro-sized enterprises (SMME’s) could build a website through Wix or GoDaddy. Small businesses could design social media content through email campaigns through MailChimp, explained Watson.
“These tools have made many marketing activities accessible and cost effective to SMME’s. But the trap most owners fall into is leaping into action and doing things at the expense of planning and strategy.”
He stressed that without defining your brand fundamentals, target market, messaging, and correctly using these channels, the chances of success is relatively low.
In terms of marketing for businesses currently under lockdown, housebound customers are looking to Facebook, Google and Youtube for information and entertainment. “They may not be necessarily buying, due to delivery fulfillment limitations, but they are researching, browsing and planning. Make sure your brand is there to be seen,” said Watson.
During this time no-one knows how long this disruption will be or what the country or your industry will look like once everything returns to normal. “It usually takes a new business a few years to find its rhythm and this pandemic will cause you to slip and falter,” he added.
The Philippi business container walk offers job opportunities for residents within the area saving on travel time and money. Picture: Tracey Adams/African News Agency (ANA)
Deputy National and Western Cape Director Somali Association of South Africa (SASA),Abdikadir Mohamed said that he is not aware of any funds that are channeled to foreign-owned SMMEs at the moment.
Mohamed told Weekend Argus that the lockdown will affect Somalian owned SMMEs. “It will affect them just the same way it affects all other kinds of small businesses unless they get government support.”
Somalian businesses proceed to follow the precautions as per government guidelines, he said.
“We are partially closed now and work remotely from home.”
Mpumelelo Street. Businesses feel the strain of lockdown, but would rather be safe than sorry during the coronavirus outbreak in South Africa. Picture: Tracey Adams/African News Agency (ANA
Spaza shopworker Abdullah al Mamun of the Al Amin Cafe in Strandfontein, said: “My customers are scared of the coronavirus. I wont be able to make money.”
He told Weekend Argus that he has been there for a year and can't grow the business during lockdown. “I think it is a good thing that there is a lockdown. I don't want people to get sick.”
He prefers people to stay home even if his business loses out on profit.