Get small businesses back in the game with the New Venture Creation

Transcend is launching a New Venture Creation Learnership Programme in an effort to help rebuild the nation through an integrated BEE Skills Development and Entrepreneurial Development approach. This will help provide opportunities to the youth and equip them with the tools to rebuild their communities and generate employment opportunities.

Entrepreneurship: A solution to the unemployment scourge

While many analysts and experts have presented various insights and solutions to the socio-economic ills that South Africa continues to face, what most agree on is that the country’s unemployment rate is untenable for economic growth and stability.

What most also agree on – and studies support this – is that entrepreneurship has proven to be impactful in alleviating poverty. It enables individuals to earn income while simultaneously facilitating the creation of job opportunities for others, and transforming communities. 

Is South Africa equipped to develop successful entrepreneurs? 

South Africa fares poorly on most entrepreneurship and related development indicators.  

• Challenging entrepreneurship ecosystem: In 2019 South Africa ranked 49th out of 54 economies on the Global National Entrepreneurship Context Index
• Start-ups Fail: While the country records a high number of start-ups, only 15% succeed 
• Fear of failure – is high among South Africa’s at 50%, a proven deterrent for individuals to start a business venture 
• Innovation Gaps – Innovation has been directly linked to development. South Africa ranks 60th out of 131 economies on the Innovation Index scale.  

Innovation, in particular, is an interesting indicator on its own. It has been directly linked to a country’s wealth and development. Case in point: in 2019 South Africa had 1,514 Intellectual property filings to China’s 1,327, 847 and the USA’s 521,145. Our GDP is but a fraction of the two countries. 

While some of these challenges can be addressed at an entrepreneurial level through financial support, most require a more targeted and intentional approach to skills development.  

Entrepreneurial educational pathway: A skills development solution

The current framework of skills development mostly prepares young people for a labour market that has neither the capacity nor the will to absorb them. The high youth unemployment rate is evidence that our current skills development focus is likely not adequate.   

A possible solution to this might be to proactively develop and pursue an entrepreneurial educational pathway. If we are to make any kind of impact in the youth and in the communities they live in, we should perhaps be thinking about how to facilitate successful entrepreneurial pathways that will result in employment creation and meaningful transformation in communities.  

The Transcend Solution: The New Venture Creation Learnership 

In the last few weeks, following the unrest, Transcend has engaged a number of social activists both in Gauteng and Kwa-Zulu Natal to better understand the needs of the communities. If you missed our webinar where we had a panel including some of these activists, hear the discussion here.

In addition to food and other consumable, the biggest ask has been support for:  

• established SMEs whose businesses were either destroyed or disrupted by the riots 
• youth in under-developed areas to start business ventures and earn a decent living. 

As Transcend would like to invite you to join us in our efforts to help rebuild the nation through an integrated BEE Skills Development and Entrepreneurial Development approach that will not only provide impactful opportunities to the youth of this beautiful country, but also equip them with the tools to rebuild their communities and eventually create employment opportunities.  

Please look out for a New Venture Creation Learnership Programme that we will be launching soon in an ongoing effort to mobilise the private sector to support and assist the unemployed youth of this nation.

We consolidated our insights events such as the recent protest, and learnings from 10 years of successfully running learnerships, partnering with trusted service providers who have experience in facilitating entrepreneurial career pathways and designed a multi-year programme that: 

• addresses most of the challenges of establishing a business venture 
• offers disillusioned youth an opportunity to earn an income whilst re-building their communities 

What is it? The New Venture Creation Learnership is a SETA accredited learnership programme that is designed to:  

• develop appropriate skills and knowledge required for the establishment or development of an enterprise. 
• address the economic/administrative and behavioural (psycho-social) barriers that contribute to failures in starting and sustaining the enterprise. 

How will it work? The multi-phase programme will include  

• Phase 1: Learnership Qualification (Skills Development) 
• Phase 2: Incubation, with start-up coaching and mentoring (Skills Development and Enterprise Development) 
• Phase 3: Enterprise management with supplier coaching and mentoring (Enterprise and/or Supplier Development) 

How can you help? Corporates will be able to support the beneficiaries through one or more phases. Support can be both financial or non-financial e.g. mentoring and coaching 

What are the benefits for corporates? Support in each phase will be accounted for through your BEE transformation strategy, hence, 

• You can earn points on your BEE scorecard 
• Improve the lives and communities of the beneficiaries of this programme 
• Support Black-owned SMEs and potentially diversify/increase your supply chain  
• Ultimately, contribute to transformation in the country 

Do not miss out on this opportunity to lend your support and assist unemployed youth. Please contact us to speak to a BEE consultant about the New Venture Creation Learnership Programme and the impact it will have on BEE skills development and your BEE scorecard.