Yoco CEO: We saw 80% drop-off in trade in KZN, 25% across SA
Small- and medium-sized enterprises are the growth engine of our economy, says Bruce Whitfield.
And these are the businesses that will find it hardest to recover from the damage done during last week's unrest in KwaZulu-Natal and Gauteng.
Whitfield interviews Yoco co-founder and CEO Katlego Maphai to find out what their data says about the situation on the ground.
It's a very difficult time for small businesses across South Africa... Last week we saw a 25% drop-off in trade across the country.Katlego Maphai, CEO - Yoco
There was definitely a shifting mood not only in KwaZulu-Natal and the Johannesburg hotspots...Pieter Boone, CEO - Pick n Pay
In KZN we saw an 80% drop-off in trade across the province. That was really disheartening to see.Katlego Maphai, CEO - Yoco
Yoco reached out to its clients in KZN to find out what help they needed says Maphai and also got feedback at an event it hosted for affected businesses.
Key issues that were raised included getting access to capital and getting support to restart.
This is what we need to enable and something, as an organisation, that we're really trying to push for.Katlego Maphai, CEO - Yoco
Maphai says they've been surprised by "a fairly decent recovery" seen this week.
They think this could be attributed to the fact that a lot of Yoco customers don't operate in shopping centres, which were the main targets of looting and burning.
We don't think the recovery we've seen this week is a reflection of what's happening across the board, but we do say the drop-off we saw last week is.Katlego Maphai, CEO - Yoco
How best then to address the needs of these small and medium enterprises, many of which are not properly insured?
Getting capital and grants out to these businesses quickly is vital, Maphai says.
We do have a Yoco capital product that's been live since 2018 and we sent a reminder to our base that they can access this... We continue to host events and gather data to really understand what's going on...Katlego Maphai, CEO - Yoco
For more info on the help being offered to Yoco clients, listen below:
This article first appeared on CapeTalk : Yoco CEO: We saw 80% drop-off in trade in KZN, 25% across SA