Tag: SMEs

Running a business means managing risk every day. Whether it's protecting assets, managing cash flow or ensuring regulatory compliance, business leaders understand the importance of planning for the unexpected. However, one risk often receives far less attention. It is the possibility of a tax audit.

There is a moment in most disputes when emotion overtakes economics. Pride digs in. Letters become sharper. Threats of court proceedings follow. Yet, by the time a matter reaches trial, the real question often lingers in the background: was the game worth the candle?

In a tough economic environment where capital is scarce, we continue to back responsible entrepreneurs who build sustainable, high-impact businesses that create opportunity and resilience in South Africa. We have released our 2025 Impact Report. The report outlines the organisation's work in backing responsible entrepreneurs, supporting portfolio resilience and contributing to economic inclusion through a long-term investment model.

The enterprise Goliath is worried about its suppliers. These Small and Medium-sized Enterprises (SMEs) are underprepared. They are also disproportionately targeted. In fact, 43% of cyber-attacks target their digital front door. In addition, the Protection of Personal Information Act (POPIA) holds large organisations legally responsible when a supplier is breached.

Across South Africa, a quiet entrepreneurial shift is underway. From spare rooms and garages to small home studios and converted garden offices, thousands of businesses are launching from home. They are also selling to customers nationwide. While the rise of e-commerce has accelerated this trend, another factor also plays a crucial role.

I have spent my career watching South African Small and Medium Enterprise (SME) owners achieve extraordinary results with limited resources. Their resilience is well known. However, this does not remove the difficult path that entrepreneurship often entails. According to our recent Emotional Tax Return report, 95% of South African SME owners make personal sacrifices to sustain their businesses.

Small retailers are not under-digitised. They are over-apped. POS, stock, payments, loyalty and marketing all sit on different systems, each with its own login, cost and learning curve.

The 2026 national budget did not introduce significant headline tax increases. However, the 2026 national budget implemented structural threshold adjustments that materially affect succession planning. These adjustments also affect retirement modelling, estate liquidity analysis and business exit calculations for Small and Medium Enterprise (SME) owners.

As South Africa prepares for the National Budget Speech later this month, attention is turning to whether government commitments to small and medium-sized enterprises (SMEs) will receive fiscal support and implementation details. These elements are required to unlock real economic impact.

South Africa heads into 2026 on a firmer economic footing than in recent years. A steadier macro backdrop and modest growth prospects are beginning to take shape. This shift should support the country’s Small and Medium Enterprise (SME) sector. The sector picked up some momentum in the second half of last year, albeit from a low base. At the same time, sentiment has improved and confidence has returned.