SMMEs forum initiated for business unity
ALEXANDRA – SMMEs form self-help forum to guide unity in development participation
A new business structure, the Greater Alexandra SMME Development Forum has been formed to assist local entrepreneurs in benefitting financially from development funding while contributing to the township.
The forum intends to empower SMMEs on ways to access, use and benefit from public resources for the township’s development. Residents and SMMEs allege they are often excluded and exploited by major contractors who sometimes collude with government officials by subcontracting the SMMES through exploitative practices.
The forum’s interim executive committee members said the forum was set up by a declaration during a meeting of 56 entrepreneurs in various sectors in the council’s Region E and greater Alexandra area which includes suburbs such as Linbro Park and Bramley.
The forum’s executive deputy secretary, Mush Raletjena, said because of an increase in the number of infrastructural development projects in the area, government has urged for local SMMEs to be formed and appointed as main contractors and product suppliers. This, he said, hasn’t happened in the past due to a lack of coordination and unity among the SMMEs.
“The lack of unity has left the SMMEs vulnerable to abuse, has reduced them to be labour brokers resulting in some closing down their businesses for lack of funding guarantees, and also, skills and capacity in business management and networks and, procurement processes,” said Raletjena. He added that the executive was mandated to formalise the structure within 90 days and to engage key stakeholders on the status of current and future government development programmes for the area.
The interim chairperson, Thabo Hadebe said the forum would be a collective of members who would benefit from government resources in exchange for services rendered in their area. “But, the members will require business skills to help them to submit successful tenders and quotations and to work through mutually beneficial partnerships,” he said.
The forum’s interim deputy chairperson Donald Gumula said the structure would draw in other community businesses and social structures which may have similar concerns but lack proper vision. “Our aim is to be a fully representative and accountable body to all business sectors entitled to State and development resources for the area which, hitherto, have been accessed mostly by established companies with SMMEs as subcontractors which are often exploited and frustrated by their lack of skills, experience and knowledge of their broad range of contractual and labour-related rights.
“We will capacitate the SMMEs through workshops that expose them to opportunities and participation in programmes and project formulation processes of government,” Gumula said.
