Considering the challenging economic conditions they have faced over the last couple of years, this figure is a testimony to the determination of our nation’s entrepreneurs.
With the majority of South Africa’s small businesses operating in the agricultural trade-, tourism- and construction industries[ii], business owners face a substantial amount of risk, as businesses in these sectors require a hands-on approach.
It’s important to insure your small business against those rainy days where disaster strikes. In addition to insuring the business’s physical assets, however, business owners also need to remember that they themselves are their businesses’ most important assets and should be covered too. That’s where life insurance comes in, in the form of contingent liability insurance for major debts, cover for buy-and-sell agreements and key man insurance.
However, the affordability of cover could be a stumbling block for many business owners.
According to Schalk Malan, executive director at BrightRock, traditional business assurance policies are structured in the same form as personal life insurance policies.
“There tends to be a single capitalised block of cover for all needs, and this cover is priced for the maximum term. This cover structure is not necessarily in the best interest of the small business owner, because the cover increases as your needs decrease – leading to cost inefficiency in the way premiums are structured.”
This is why BrightRock decided to follow a more flexible approach, which allows an upfront premium savings of 30% on average, allowing business owners to invest more funds in their businesses, or allocate the savings to more cover in the event of underinsurance.
“By structuring business owners’ cover to meet their exact needs, BrightRock removes premium waste and saves money from the payment of their first premiums. BrightRock’s unique approach allows advisers to tailor business owners’ cover over time to match the profile of their needs.”
In addition to this, business owners have the unique ability to convert up to R10 million of their cover to personal cover at a later stage – without the requirement of medical underwriting.
“Standard BrightRock policies automatically include the ability for you to redirect your premiums to cover your personal needs if your business cover needs reduce or end. This is done free of underwriting, giving you the benefit of the underwriting you initially underwent and premiums you have paid thus far.”
But what to do in the event where the business’ growth exceeds expectations, leaving the business owner with a desire to increase his cover?
Not a problem for BrightRock policyholders, says Malan. “Standard BrightRock policies automatically have access to an extra cover account, to access later in the business lifetime, also with no medical underwriting.”
What short-term risks should be covered for your small business?
- Fire, explosion and earthquake
- Acts of nature (wind, thunder, lightning, storm, hail, flood and snow)
- Damage caused by bursting and overflowing geysers and water pipes
- Malicious damage
- Power surges
- Fire brigade charges
- Vehicles or fleets
- Employer’s liability
- Business interruption
- Stock and money
- Employee dishonesty
- Public liability.
Long term insurance for a small business: What should be covered?
|Contingent liability insurance for major debts||Long term insurance for buy and sell agreements||Key man insurance|
|Contingent liabilities are liabilities that may be incurred by an entity (like a small business) depending on the outcome of an uncertain future event – such as the inability to honour a major debt due to a serious illness, debilitating injury or death.||This will ensure that co-owners of the business can continue to operate the business with as little disruption as possible in the event of the death of the business owner. It also ensures that the estate of the deceased business owner receives fair value for his or her business interest, as well as the settlement of his credit loan account.||An insurance policy taken out by a business to compensate the particular business for financial losses that would arise from the death or extended incapacity of an important member of the business.|
[ii] “Small business in South Africa” (http://www.southafricaweb.co.za/page/small-business-south-africa)
Buy Or Invest In The Next Futuredev Properties Sandton Development
Looking to buy or invest in the next up and coming Sandton residential development? Futerdev Properties are currently developing Full-Title Free standing units, perfectly located just a few km’s away from the hustle and bustle of Sandton’s Central Business District.
Nearly half of all the office development taking place in South Africa right now is happening in Sandton. Sandton Central is the epicentre of this development, which includes many of the most cutting-edge, exciting and innovative new buildings on the continent.
Sandton Central is well established as Africa’s financial and business capital and continues to grow with developments that embody its vibrant, high-energy ‘live, work, play’ environment. It also currently holds the title of Africa’s Riches Square Mile.
With more people looking to be part of this live, work, play environment and the number of foreigners travelling to Johannesburg for business and work, the demand for residential property around Sandton Central has grown exponentially.
Live, Work And Play: Your Home Away From Home
Futuredev Properties specialises in developing Full-Title Residential Homes in the Sandton Area – Morningside and Bryanston to be specific. The most recent surveys have listed Bryanston as one of the better performing suburbs in terms of Capital Growth.
Our properties offer family living and a home-away-from-home feeling for those working in and around Sandton on longer or shorter assignments.
FutureDev Properties was founded by Akbar Hassim. “We have established ourselves not only as an independent, but also a Turnkey Developer – being able to buy Land, Finance the Real Estate Deals, Create, Control and Orchestrate the process of the Development from beginning to end.+
“Our approach to Property Development and Investment therein involves thorough financial and delivery risk analysis, thereafter followed by focused and efficient delivery.”
This approach is underpinned by many years of experience, and an impeccable entrepreneurial spirit.
Buy And Invest In The Latest Residential Developments
We have a number of Residential Developments currently underway, each at various stages. These Full-Title Free standing units, afford residents space and comfort within the security of cluster/ estate living. Perfectly located just a few km’s away from the hustle and bustle of Sandton’s Central Business District, and within close proximity to all major Malls & Shopping Centres, Schools, Hospitals, Gyms and places of worship.
We afford buyers and investors an opportunity to buy or invest in Prim Residential Real Estate, that provide the perfect balance of Excellent Capital Growth and Steady Income Yields.
Our Offering For Investors & Buyers
- Full-Title Free-Hold Residential Cluster Developments
- Prime locations, close to all essential amenities
- Perfect balance of high Capital Appreciation and Steady Income Yields
- Investor buyers can purchase with Rental Guarantees
*Limited number of investor units available
Smoothie Franchise Opportunity: Puré Frooty Is A One-Of-A-Kind Smoothie Franchise Business
Looking for the next greatest franchise opportunity? Puré Frooty Smoothie is a highly perfected Australian business model launching in the South African market that doesn’t require extensive shop fitting or a large workforce.
- Brand: Puré Frooty
- Established: 2017
- Website: www.purefrooty.co.za
Puré Frooty Smoothie is a unique business model to the South African market. A delicious, fruit filled smoothie will be created at the touch of a few buttons.
An Innovative Franchising Concept
This innovation in the healthy smoothie industry is ground breaking for South Africa. The machine is manufactured in Australia by a highly skilled team. It took six years to perfect this business model for the consumer market.
The vision of Puré Frooty Smoothie is to offer convenient on-the-go smoothies for anyone. The experience and quality will always be of the highest standard. We aim to be a staple convenience in malls, schools, office parks and hospitals. This is a platform that will allow for self-growth for passionate entrepreneurs.
Our mission is to create a unique customer experience. We want to satisfy the nutritional needs of customers by providing quality smoothies. Puré Frooty Smoothie will be packed with all the goodness a smoothie should offer.
The four values we pride ourselves in are:
- Customer Satisfaction.
Why Consider This Franchising Opportunity
Extensive research into the business model and market
Puré Frooty Smoothie was an idea, researched widely, by people looking to simplify the business process for the consumer and business owner. There was a gap in the market for simplified customer service and a demand for a quicker turnaround time.
Simplified process for setting up a business
For an entrepreneur it can be very overwhelming to start or buy a new or existing business. There are so many crucial decisions that need to be made from the beginning and new concepts to adapt to.
Puré Frooty Smoothie simplifies that drastically:
- Free-standing machines: The business model revolves around a free-standing vending machine which needs to be visited to refill and maintenance.
- No shop-fitting required: There is no need for shop fittings or a large work force. All that is required is an inside space for the machine with a power supply.
- Minimal human resources needed: In terms of a work force, you could either do it yourself or have one person to assist you. There is also a part time involvement where refill station teams can refill and maintain the machine.
- Cashless business: The business is completely cashless so there are no worries of a note jam, full cash canister or insufficient denomination rand values. More importantly the machines would do a higher turnover than an ordinary vending machine so safety of no cash is important.
- Easy tracking of stock and performance: A cloud-based system is linked to the point of sale which allows you to monitor your performance and stock from the back-office platform at any given time.
- Efficient handling of maintenance: With a live point of sale system, the business is linked to a software which monitors the operations of the machine. Should anything malfunction an immediate notification will be sent with a diagnostics report.
- Human error is eliminated: Everything is done with a computer which leaves little to no room for errors. It is self-order and very user friendly.
Related: SA Fast Food Franchising On The Rise
Why Will Customers Love It
Puré Frooty Smoothie offers a vending machine that can produce a delicious smoothie in forty seconds. An informative touch screen ordering panel which displays all the nutritional information of the smoothie ordered and has the current news and weather.
No time wasted for the consumer. In fact, it’s a learning session disguised as a waiting period. The machine has two wash cycles after every smoothie is made to be freshly prepared for the next smoothie, business hygiene is important.
Consumers live in the fast lane. We are looking for something quick and most times we would like to be healthier. With the hustle and bustle of today’s life every little bit helps. Puré Frooty Smoothie fills that gap in the market.
Interested in Becoming A Franchisee?
Visit our Franchise Info Page for everything you need to know about how to become information a Puré Frooty Smoothie Franchisee owner.
You can also call or write to us:
Phone / 012-942 6360
Email / firstname.lastname@example.org
Want to know more about this franchise? Watch the video below for more.
Enter The Total Startupper Of The Year Challenge
Are you a young entrepreneur? Do you have a project you believe in? Is it innovative and does it address a social or community challenge in your country or for your fellow citizens? Register and apply now. You could be the Startupper of the Year!
After the success of the first Challenge in 34 African countries, this year’s has been extended to a total of 55 countries around the world.
3 winners from each country will receive financial support, extensive publicity and coaching. From among these 3 winners per country, we will select grand winners by region, who will be provided with exposure.
This year, a Top Female Entrepreneur category has been introduced. During the first Challenge, women accounted for almost 25% of the winners, even though they only made up 13% of the applicants.
Related: Business Plan Format Guide
With this special award this year, we hope to give the women entrepreneurs an extra push to take part. It is also aligned with other Total initiatives for women.
The 2018/19 Challenge
We aim to support good ideas and projects that help address a widespread problem affecting communities in your country. It could be about providing educational opportunities, reducing child mortality, improving public health, developing access to electricity in rural areas, improving road safety on the roads or building houses with eco-friendly materials — in fact, anything that could make life better in your country.
Tell us how your project will help more and more people over time, at home or even abroad. Tell us how it empowers people, improves living conditions, and contributes to overall economic well-being.
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