A Fin24 user is frustrated with the unnecessary procedures of starting a small business. He writes:
Trying to get a business started in this country takes months due to unnecessary procedures a small business has to undergo.
It's almost a year now and still I have not managed to get the necessary documents I need to apply for a vendor number.
Our experts answer:
In South Africa it is extremely difficult to start a business in comparison to other countries, says Tienie le Roux
of Business Consult.
"All the requirements to prevent fraud and other crimes are taking more time than necessary. For example some banks will require a tax reference number before they will open a bank account. SARS will ask for a bank account number! So it will be difficult.
"To apply to become a vendor to supply a local government department or the government is even more cumbersome. One of their requirements is to get from SARS a tax clearance certificate. This will only be issued after all the tax affairs of the entrepreneur are in order.
"I would suggest that you focus on other business opportunities and get the documentation in order in the meantime. I wish you all the best!"
Adds business development consultant Anton Ressel
: "In situations like this, it sometimes pays to enlist the services of a specialist business registration company to speed up the process.
"It costs a few bucks extra, but can save a lot of time and stress.
for more info."
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