2016 seems to be a year of new beginnings and self actualization. You’re starting a new job, working on a new side business with a friend, or, simply going it alone on your dream business venture.
Still, many are a little intimidated by how fragile the South African economy is beginning to appear: a weakening Rand, growing rate of unemployment and more. If anything one only needs to be still for a moment and expand their view of reality. Things may not be as bad they seem at face value.
Solve a Problem. Meet a Need: Here’s the deal, economic downturns create problems, problems that require solutions! And you could be the guy, or, girl to bring innovative solutions to the market.
Create Opportunities To Continue Indulging On A Budget: Second, purse-strings are pulled tighter and people search for cheaper alternatives for goods and services. Take the “Lipstick Effect” as an example. During a bust, demand for “affordable luxury” rises as people seek cheaper ways to indulge in guilty pleasures. If I can’t purchase the Balmain dress, I’ll opt for weekly ice-cream, or, nail polish, or, lipstick purchases instead. What will be your stamp on the “Lipstick Effect” this year?
You Have Negotiating Power Over Suppliers: Remember, as spending declines, this also gives you negotiating power over suppliers who are trying to move their goods faster when spending is on the low.
Buy a Struggling, or, Fixer-Upper Business: Some ailing businesses may decide to sell off assets, therefore, you have an opportunity to acquire these assets, or, the businesses themselves at a far lower price than you would during a boom.
Less Competition: Lastly, most people have the same belief that one cannot start a business during economic uncertainty. So, less startups enter the market and this means competition is at an all time low by this point! Meaning more share of market, less competition for funding and so forth.
Here are employment and funding opportunities you could look into:
Samsung Launching People has partnered with METIME to bring you the Ideas Bank – away to turn your entrepreneurial ideas into a reality, and help address the issue of youth unemployment in South Africa.
The NYDA Grant Programme provides young entrepreneurs with an opportunity to access both the financial and non-financial business development support to establish their businesses. The programme focuses on youth entrepreneurs and offers grants from R1 000 to R100 000.