National enterprise development NPC proves entrepreneurship is effective in overcoming poverty
Author: info@klassikdigital.co.za
Leading local non-profit and social enterprise organization Taking Care of Business (TCB) has shared the results of a four-year social impact survey demonstrating the power of entrepreneurship in tackling poverty and uplifting families.
TCB, formerly known as The Clothing Bank, released the results of its’ new Greenlight Survey earlier this month, which measured and recorded the feedback from 84 previously unemployed female graduates who had started and completed one of TCB’s three poverty relief and enterprise development Programmes, Resell, between 2017 and 2022.
Says TCB Co-Founder and Chief Operations Officer, Tracey Gilmour, “The Greenlight Survey proves that our Programme is effective in eradicating poverty and leading families to financial and social independence. The best part is that our impact is sustained and in many cases continues to improve long after leaving our Programme. South Africa is critically in need of entrepreneurship and small-business development to address the problems of poverty and inequality, and TCB is actively empowering people who are raising the next generation through its three core enterprise development programmes, Resell, Repair and Remake.”
The national Resell Programme supports over 1000 unemployed mothers annually by equipping them to become successful clothing traders. Selected TCB recruits who match the Programme’s selection criteria are enrolled in the holistic two-year enterprise development training programme and taught to establish and run their small businesses by trading in the excess/waste clothing TCB sources from its 13 retail partners.
“Resell empowers unemployed mothers with the skills and resources needed to start small businesses. We aim to make self-employment aspirational, which creates a pathway out of poverty. Last year our approximately 1570 Resell beneficiaries and graduates made over R70,8million in profits for themselves through buying and selling of the excess clothing stock donated by our generous retail partners,” adds Gilmore.
In order to qualify for the Resell Programme applicants must be female, unemployed South African citizens taking care of children younger than 18 years. They must also have a Grade 10 or higher qualification, be able to commit full-time and have basic selling experience or business aptitude and drive.
The Greenlight Survey uses 50 poverty indicators and required Resell respondents to complete four assessments ~ starting at the beginning of the Programme and culminating in a final assessment 12-months post-graduation.
10 key Insights from the Greenlight Survey:
- The Resell programme helps to eradicate poverty within the first year, and that impact is sustained over time.
- The Resell programme’s most significant impact is in Year 1, which is embedded in Year 2.
- 77% of TBC’s Resell participants earn R5000 per month by the end of year 1.
- The Resell model supports participants up by helping them develop their own stable, income sources.
- Family savings in South Africa is very poor and takes longer to improve.
- The Resell programme significantly improves participants’ knowledge and skills to generate an income.
- When people learn how to plan and budget it supports their long-term money management skills.
- Being digitally and socially connected and confident is crucial to entrepreneurial success.
- TCB’s focus on setting and personal sharing goals help to turn dreams into realities
- Entrepreneurial spirit and motivation is a skill that can be learnt.
Gilmore believes that the Greenlight Survey demonstrates the power of entrepreneurship as a catalyst to create a lifeline for marginalised and disenfranchised individuals to access the informal economy and achieve independence and dignity.
“TCB and our partners are committed to equipping aspiring entrepreneurs with the skills and resources they need to unlock their full potential and access the economy, but we can only increase our capacity and extend our reach with more financial support and access to quality waste stock sourced from the retail supply chain. Our two most ambitious goals in the new financial year are to raise R5M to help us sustain our programmes and recruit up to 900 new beneficiaries, and to simultaneously expand our retail supply chain partnerships to ensure the sustainability of the trading businesses that our Resell participants start,” she concludes.
The Resell Programme operates in Cape Town, Johannesburg, Durban, East London, and Paarl and receives over 2 million items annually, valued at over R100m, from its retail partners, which are essential to the long-term success of Resell micro-enterprise owners and which also serves to reduce fashion waste.