NEWS RELEASE                                                                                                   11 July 2001 

CAPE TOWN TAKES ON BLACK ECONOMIC EMPOWERMENT CHALLENGE

The City of Cape Town is taking a significant step towards the cause for meaningful black empowerment by staging its first ever Small Business Week this month.  

Despite numerous calls in the media and on other platforms for national government to play a more active role in generating interest and growth in this area, it has become quite apparent that it’s local government that must grab the initiative and run with it, says Executive Committee Member for Economic Development, Tourism and Property Management, Councillor Morkel.  

“The obvious avenue is to open the doors for the further development of our burgeoning small business sector,” he said.

Citing recently released indicators featured in a council-sponsored study, an estimated 60 000 local SMMEs constitute at least 50% of all the business in the city and produce at least 95% of all business activity undertaken in Cape Town at present. 

“I believe that real strides can be made by helping economic empowerment grow from the ground up,” said Councillor Morkel. “Big business has tried and made a fairly dismal attempt at the public listing of black empowerment companies that have turned out to be poor performers.  

‘We don’t necessarily need further regulation of the small business sector, but what we do need is a substantial infusion of basic business skills training and venture capital financing and trading opportunity. 

“Nobody can deny that there’s a huge economic powerhouse now emerging from the small business sector and it’s showing dividends in terms of substantial job creation and real economic empowerment where it counts – in the communities that need it most,” said Councillor Morkel

To add impetus to the trend and make this more viable in a sustainable context, the City of Cape Town will stage its Small Business Week at the Peninsula Technikon from 17^th July to 20^th July.  

Titled ‘Making Small Business Big Business’, the aim is to expose would-be entrepreneurs to an intense schedule of exhibitions, workshops and certificated basic business training modules as well as provide a platform for meaningful public input into the future economic transformation of the city. 

“There has also been considerable interest shown by the private sector,” said Councillor Morkel. “A number of concerns in the venture financing, franchise, business training, marketing, business management and similar sectors have come to the fore and joined us in partnership in this valuable initiative.” 

Clem Sunter has endorsed Small Business Week saying, “For Cape Town to retain its status as a world class city, it is going to have to improve the job prospects in the surrounding communities.  This can only be done through small business development and therefore Small Business Week is crucial in creating a positive future for the Western Cape.”