Issue Date: 
Friday, May 16, 2014

Ease of doing business in South Africa

By Werner van Rooyen

www.how2tender.com

16 May 2014

Sometimes it feels that it is really impossible to start a business in South Africa. It also feels that it is very difficult to do business in South Africa. But how difficult is it really?

There are various indicators that show us how difficult it really is based on certain factors. One place where one can see how difficult it is to do business in South Africa is the survey that is done annually by the International Finance Corporation and the World Bank. In this survey, 189 economies are measured on 10 topics. This is shown in the table underneath. The full survey as well as all the rankings can be found at www.doingbusiness.org/rankings.

In the table underneath South Africa is compared to other Southern Africa (Namibia and Mozambique) countries, Brazil which is a BRICKS partner, as well as Singapore which is ranked number one and New Zealand which is ranked number three.

Doing Business RSA MOZ NAM BRA SING NZ
Ease of doing business 41 139 98 116 1 3
Starting a Business 64 95 132 123 3 1
Dealing with Construction Permits 26 77 31 130 3 12
Getting Electricity 150 171 72 14 6 45
Registering Property 99 152 178 107 28 2
Getting Credit 28 130 55 109 3 3
Protecting Investors 10 52 80 80 2 1
Paying Taxes 24 129 114 159 5 23
Trading Across Borders 106 131 141 124 1 21
Enforcing Contracts 80 145 69 121 12 18

It is clear from this survey that South Africa is not the worst place to do business in. That title belongs to Chad which is number 189 on the list! If you examine the list it is clear that the Africa Continent Countries or Economies are of the lowest ranked on the list where as South Africa are number 41 on the list.

Mauritius is the highest rank African Economy at number 20. Interesting enough is that an economy such as Rwanda is ranked above South Africa at number 32. South Africa is then third in Africa at number 41.

Interesting assumptions from this list can be:

  • It is fairly easy to deal with construction permits in South Africa, although it can take up to seven months to get your CIBD grading;
  • If you need electricity, you are going to struggle in South Africa;
  • Registering property in South Africa can be a challenge;
  • Getting credit is also not too difficult in South Africa;
  • We are good at protecting our investors;
  • And paying taxes are South Africans strength.

In all fairness South Africa is not such a difficult place to do business in. One must just have patience and eventually you will pull through in doing business in South Africa.

One way to do business in South Africa is to tender. Visit our website at www.how2tender.com to find out more about our Tender Workshops or purchase our Tender Manual: A practical guide on how to tender.

Until the next time - happy tendering.

Title Closing Date Tender No.
Request for sector development and implementation plan to support sustainable veterinary pharmaceutical industry development in South Africa 2019-03-11 12:00 T02/02/19
Department of Science and Technology: Appointment of a service provider to pilot Bio-cultural Community Protocol in Mpumalanga Province 2019-03-04 13:00 RFQ-0000063
Invitation for project tenders (Phase 1): The Uniting Reformed Church Atteridgeville - Alterations and additions to existing church buildings on Erf 1088 no. 19 Matseke Street 2019-03-12 12:00 No reference supplied
Insurance for Msukaligwa Local Municipality for a period of three (3) years. 2019-03-18 11:00 8/3 27/2018
Maintenance of highmast lights: as and when required for the period ending 30 June 2019. 2019-03-18 11:00 8/3 26/2018
Repairing of open kiosk/mini-sub/ pole mounted transformers: as and when required for the period ending 30 June 2019. 2019-03-18 11:00 8/3 25/2018
Service provider that specializes on 11kv substation protection scheme for the following substations: 11kv main substation_13 panels Wesselton main substation_7 panels Kwazanele main substation_4 panels Breyten main_3 panels 2019-03-18 11:00 8/3 24/2018
Repairs and servicing of emergency vehicles in the municipal fire and rescue fleet for a period of three (3) years commencing 1 February 2019 to 28 February 2022. 2019-03-18 11:00 8/3 23/2018
Replacement of copper overhead lines: as and when required for the period ending 30 June 2019. 2019-03-13 11:00 8/3 22/2018
Provision of an electronic document management system at GMM for 36 months 2019-03-15 12:00 8/3/1-05/2019
Upgrading of the Rooikoppen Sewer 2019-03-08 12:00 DTS 11/2018/2019
Supply, delivery of material to site, installation and commissioning of energy efficient lighting for high masts within Lekwa Local Municipality 2019-03-08 12:00 DTS 10/2018/2019
Construction of Workshop at Jouberton Campus 2019-03-01 11:00 No reference number
Department of Science and Technology Illumination Assessment 2018-2019 2019-03-04 13:00 RFQ-0000062
Provision of security services 2019-02-28 12:30 08/2/16/57
Panel of two (2) Service providers for Supply and delivery of protective clothing for a period of 36 months(as and when required) 2019-03-01 11:00 LNM071/2018/19
Printing and folding of municipal monthly statements for a period of 36 months 2019-03-01 11:00 LNM067/2018/19
Supply and delivery of ICT equipment 2019-02-26 11:00 LNM050/2018/19
Professional Service provider for licensing of municipal borrow Pits 2019-02-26 11:00 LNM056/2018/19
Professional Service provider for review of environment management plan 2019-02-26 11:00 LNM055/2018/19

Pages

10 things to remember when you tender

By Werner van Rooyen

31 January 2019

There are many things that you as a small business owner must remember when you respond to a tender and sometimes responding to a tender can be overwhelming. Experience has taught me that there are some important things to remember when responding to a Tender and there are some less important things to remember when responding to a Tender.

Here are ten of the important things to remember when responding to a Tender. Please remember that all ten of these items mention here are equal... Read More

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