Department confident it can reverse small business failure

The Department of Small Business Development is working towards reversing the high failure rate of new small businesses.

“We are determined to create a conducive environment for the development and growth of small businesses and cooperatives through the provision of enhanced financial and non-financial support services, competitiveness, market access, promotion of entrepreneurship, advancing localisation and leveraging on public and private procurement,” Minister of Small Business Development Lindiwe Zulu said.

Speaking at the 2014 Consumer Goods Council Summit in Midrand on Tuesday, she said her department was concerned that small businesses had a high failure rate.

“Researchers tell us that the failure rate for new businesses is almost 80 percent in the first year, and only about half of those who survive remain in business for the next five years.

“We are confident that together, we will be able to help reverse this trend,” Minister Zulu said. READ MORE