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  • THE TAX MAN ALREADY KNOWS

    SARS hasn’t raised your taxes. It has done something more consequential – it now sees almost everything, almost instantly. Here is what that means for how you run your books. There is a particular kind of letter landing in inboxes across the province lately. It goes to business owners who have filed on time, paid what they owed, and never exchanged a cross word with SARS. The subject line is an audit notification – “based on risk(s) detected”. For the historically compliant, it is a bewildering thing to receive. It is also a sign of how completely the game has changed. The shift in South African tax is not a new levy or a higher rate. It is speed and sight. SARS now cross-references your bank accounts, your suppliers, your customers, your payroll and your medical aid – and increasingly does so in something close to real time. Discrepancies that once took months to surface can now trigger a query within days. For business owners, that reframes the whole exercise: the question is no longer simply whether you pay, but whether your numbers can be defended on any given morning. Nearly half of the R316.4bn from compliance work was caught before it left. Source: SARS preliminary results 2025/26. The numbers tell the story The approach is working, and at scale. SARS collected R2.01 trillion in net revenue in 2025/26 – the first time it has crossed the R2-trillion mark, growth of 8.4% that outpaced the economy itself. Of that, R316.4 billion came specifically from compliance activity, and close to half of it was “leakage protection”: money stopped before it ever left, flagged by data science rather than chased afterwards. The most telling figure, though, is smaller and more human. Using data-matching, SARS identified roughly 100 000 people earning more than R1 million a year who were not registered for tax at all and more than 30 000 have already been brought into the net. If you believed you were invisible, the data says otherwise. Behind this sits a programme SARS calls Modernisation 3.0: a plan to give every taxpayer a single digital identity, to assess VAT returns automatically, and to apply what the agency openly describes as “agentic AI” to flag risk and, in its own words, make “tax just happen”. The enforcement teeth are real too. The undisputed tax debt book stands at over R518 billion, and SARS has hired around 1 500 extra collectors under a drive nicknamed Project AmaBillions. Where a demand goes unanswered, the agency can instruct your bank or even your customer to pay it directly. The catch for honest businesses Here is the part that should concern compliant owners most. The same risk engine that catches the guilty also flags the innocent. Tax professionals report a wave of audits and verification requests landing on businesses that have done nothing wrong, sometimes requesting information unrelated to the taxpayer’s actual circumstances, and warn that disputes can take months, occasionally years, to resolve. Where a refund is involved, it is usually withheld until the matter is settled. Being right is no longer enough. You must be able to prove it, quickly, with clean records. Where it bites in KwaZulu-Natal For KZN, the stakes are sharpened by the shape of the provincial economy. Durban’s port is the front line of the customs and illicit trade crackdown that SARS estimates costs the country more than R100 billion a year, which means the import-export and logistics firms clustered around it face scrutiny most have never experienced. Across the province’s retail, trade and services sectors, many smaller businesses still run with a cash component and patchy record keeping: precisely the profile the algorithm is built to notice. And for a small Durban or Pietermaritzburg firm, a six-month dispute over a wrongly flagged return is not an inconvenience, it is a cash-flow emergency, with a refund frozen and professional fees mounting while the business waits for SARS to work through its queue. The cost of getting it wrong, or simply of being misread by the system, has rarely been higher. The new normal Filing season opens within weeks, and around six million auto-assessments will go out before most taxpayers have lifted a finger. The temptation is to read all of this as a threat. The more useful reading is as a permanent change of conditions. The era when you could file roughly and tidy it up later is over; the era of always being audit-ready has arrived. The businesses that thrive under SARS 3.0 will not be the ones clever enough to stay off its radar, there is no off-radar anymore. They will be the ones whose books already answer the question before it is asked. T: +27 (0)31 207 1572 M: +27 (0)76 555 7529 E: heather@flairaccounting.co.za W: www.flairaccounting.co.za

  • THE BEST TECHNOLOGY IS BUILT AROUND THE PROBLEM, NOT THE PLATFORM

    Despite billions invested in digital transformation, many organisations still fail to achieve the outcomes they expect. According to McKinsey, around 70% of transformation programmes fall short of their objectives. For Grant Phillips, Group CEO of e4, the reason is straightforward: too many organisations start with the technology instead of the problem. “Technology on its own doesn’t solve business challenges,” says Phillips. “If it doesn’t fit the way people actually work, it won’t deliver its full value.” He believes many digital projects succeed technically but fail operationally because they overlook the realities of day-to-day business. This is particularly evident in highly regulated sectors such as financial services and property, where multiple stakeholders, compliance requirements and established processes shape how work gets done. Gartner reinforces this view, predicting that 60% of supply chain digital initiatives will fail to realise their expected value by 2028 due to inadequate investment in user adoption and skills. For more than two decades, e4 has built its solutions by working alongside the industries it serves. Rather than designing technology in isolation, the company develops and refines products within real operating environments to ensure they solve practical business challenges. A recent example is Deceased Estates, e4’s estate administration platform. With more than 100,000 deceased estates reported annually in South Africa, the process remains heavily reliant on paperwork and coordination between attorneys, banks, insurers, SARS and the Master’s Office. “The opportunity wasn’t simply to digitise the process,” Phillips explains. “It was to understand where delays occur, where information gets stuck and where unnecessary administration creates friction. Once you understand the problem, you can build technology that genuinely improves the experience.” As organisations become increasingly focused on measurable business outcomes rather than technology for its own sake, Phillips believes the most successful solutions will be those developed closest to the problem. “There will always be new technologies and new trends,” he says. “The organisations that create lasting value are the ones that stay focused on solving real business challenges.” www.e4.co.za

  • YOUR SECURITY COMPANY COULD BE BREAKING THE LAW

    South Africa is facing a challenging economic climate, businesses are under consistent pressure to reduce operating costs, and security services often become one of the first expenses to be scrutinised. Resulting in procurement departments, property managers and business owners often choosing providers based purely on price. But when it comes to security, the cheapest quote can sometimes conceal the biggest risk. Across Durban and the broader South African security industry, there’s a proliferation of guarding companies operating outside legal and regulatory requirements. Some entirely unregistered with the Private Security Industry Regulatory Authority (PSIRA), while others, even large companies seem legitimate on paper, but are non-compliant in critical operational and labour related areas. It’s concerning that clients don’t realise that they may also be exposed to operational, legal and financial risks and consequences by appointing non-compliant service providers. Labour Exploitation One of the biggest compliance issues in the guarding sector is labour exploitation. Security companies driving their security officers to work excessive hours, often beyond legally permitted limits. In many cases, guards work 12 hour shifts continuously, seven days a week, with little or no proper rest periods. Overtime is often unpaid or purposely wrongly calculated, despite overtime pay being a legal requirement under applicable labour regulations and bargaining council agreements. This creates more than a labour problem. It creates a serious security risk. Fatigue greatly reduces operational performance. Overworked security personnel are less capable of maintaining vigilance, recognising potential threats, and responding appropriately to incidents. In high-risk environments, reduced alertness can significantly increase vulnerability and exposure to loss. Another major issue involves statutory employee benefits. Non-compliant security companies often fail to register employees for mandatory industry related benefits such as provident fund contributions, medical insurance benefits, unemployment insurance, compensation cover for workplace injuries, and other required employee protections. In most cases, these so-called savings come directly at the expense of the guards, and in so doing, exposing both the security company and its clients to significant legal and financial risk. When security companies cut corners on compliance, those savings do not come from nowhere, they come from underpaying guards, avoiding statutory contributions, neglecting training, reducing supervision, or bypassing operational controls. This creates a dangerous cycle where underpaid and overworked officers become more vulnerable to corruption, coercion, absenteeism, poor morale, and criminal infiltration. In practical terms, the weakest point in your security strategy may not be your fences, alarms, or CCTV systems, it may be the person standing at your gate. Illegal Outsourcing Another concerning trend is the illegal outsourcing of guarding contracts. Many clients appoint a security company believing they are contracting with a properly established provider, only to later discover the guarding services are being subcontracted to labour brokers, agents, co-operatives, or informal third parties. In the private security industry, this practice presents serious legal and compliance concerns and is contrary to regulatory requirements. This arrangement creates a dangerous lack of accountability. Who is vetting the guards? Who ensures PSIRA compliance? Who carries liability if an incident occurs? Who ensures wages and statutory contributions are paid correctly? When multiple layers of subcontracting are introduced, accountability becomes diluted, oversight weakens, and risk increases dramatically. Appointing a security provider is not simple appointment decision, it’s a risk management decision. Compliance Declaration Before appointing any guarding company, businesses should go beyond simply asking questions during the sales process. Instruct the security provider to complete and sign a formal compliance declaration, signed by a director, owner, or duly authorised senior representative of the company. This declaration should confirm, in writing, that the security company is fully compliant in key operational and regulatory areas, including: ■ The company is fully PSIRA registered and in good standing. ■ All deployed security officers are individually PSIRA registered. ■ The company is fully compliant with bargaining council requirements and applicable labour legislation. ■ All overtime, wages, statutory contributions, and employee benefits are paid correctly and timeously. ■ Security officers are employed directly and legally, and not unlawfully outsourced through labour brokers, agents, co-operatives, or other third parties. ■ The company maintains adequate public liability insurance and all other required cover. ■ Supervisors and operational managers are appropriately trained, competent, and properly certified where required. The declaration should also include a signed undertaking that any false, misleading, or omitted information may constitute a material breach of contract and could result in immediate termination of services. This declaration creates accountability and places responsibility squarely on the security provider to stand behind their compliance claims, rather than relying on just their word. Ask Why If a security quote seems significantly cheaper than the market average, businesses should ask why. Security is a labour-intensive service with real fixed costs: salaries, overtime, statutory benefits, uniforms, vehicles, supervision, training, compliance, and insurance all form part of legitimate operational expenses. If a quote appears unrealistically low, there is a strong possibility that compliance is being compromised and ultimately service to the client too. Businesses must also remember an important legal principle, outsourcing a service does not outsource responsibility. If your contracted security provider is operating unlawfully or non-compliantly, regulators and authorities may not only scrutinise the service provider, but also the client who appointed them. Security Partner Don’t treat security as a commodity based solely on price. The true value of a security partner lies in compliance, professionalism, accountability, and operational capability. In a country facing persistent crime challenges, businesses cannot afford to gamble with security. If you appoint a non-compliant guarding company, do not be surprised when a regulator comes knocking on your door. All it takes is one disgruntled employee reporting their employer, triggering a chain reaction that could ultimately land on your doorstep. There is no fixed fine for appointing a non-compliant security provider, penalties depend on the nature of the contravention. However, businesses may face regulatory penalties, labour claims, civil liability, and potentially losses running into millions of rand. The regulator’s fine may hurt, but the civil claim after a serious incident on site is what can cripple a business. Because in the world of security, what looks cheap today may become extremely expensive tomorrow. T: +27 (0)31 109 1888 E: care@mobiventures.co.za W: www.mobiventures.co.za

  • ENGAGING SOUTH AFRICAN TALENT THROUGH AN EMPLOYER OF RECORD

    South Africa (SA) is a country full of diverse and highly skilled professionals, known for their work ethic, adaptability, and global perspective. These qualities make SA talent immensely valuable to businesses across the globe. SA talent is becoming increasingly sought after in the international job market. In the context of today’s remote-first world, where borders are less relevant and skills are what matter, South African professionals offer a powerful combination of education, work ethic, language proficiency, and global acumen. Whether a company pursues SA talent and or expands into SA, there are three main routes to engage employees. These are setting up a local entity, engaging an Employer of Record (EOR) or contracting independently. Each approach offers a different balance of control, cost, and compliance responsibilities. The right choice is subject to the demand in the country, company’s hiring goals, and infrastructure. Local Entity Setup Setting up a local legal entity provides a company with full and direct control over operations, payroll, and employment terms. This option is feasible where the company is planning to hire a larger team or establish a long-term presence in SA, however it also comes with a high level of responsibility for compliant administrative filing and a thorough knowledge of employment laws. The company would need to register with the Companies and Intellectual Property Commission (CIPC) and the South African Revenue Service (SARS) for Pay As You Earn (PAYE), transfer contributions to the Unemployment Insurance Fund (UIF), and the Skills Development Levy (SDL). The company would need a local bank account and payroll system that aligns with taxes in South Africa and conditions that comply with the Basic Conditions of Employment Act, 75 of 1997 (BCEA), a SA law that defines minimum employment standards and protects workers’ rights. As employment laws in SA is highly regulated, the company would need to resource a highly skilled team to ensure that risk associated with employment is managed and mitigated. Employer of Record The EOR solution accelerates market entry, enabling companies to onboard, remunerate and direct employees across the globe quickly and efficiently. EOR’s enhance workforce flexibility, making it easier to scale teams up or down in response to changing business needs. Partnering with an EOR supports faster expansion, improved compliance confidence, and operational efficiency making it a strategic enabler for companies looking to grow across borders, avoid upfront cost and administration incorporation. An EOR and the employer have different roles and responsibilities. The employer is not outsourcing the employer responsibility but rather outsourcing compliance. By understanding the roles played by each party in this relationship will help to avoid labour disputes, compliance penalties and any unexpected liability. ■ Fees and change control, which includes a transparent fee structure, notice for changes and currency handling An EOR operates as a compliance provider on behalf of the employer and is registered with the SA compliance authorities i.e. SARS for the payment of PAYE, UIF and SDL. The EOR manages compliant onboarding, benefits, plus payroll processing with all statutory requirements accounted for. This includes PAYE deductions, contributions to the UIF, and Skills Development Levy (SDL) filings with the South African Revenue Services (SARS). An EOR structure protects the employer from local compliance breaches by submitting accurate and timeous reporting to authorities. An EOR galvanizes the employer-employee relationship by facilitating an engaging onboarding process, aligning the employer obligations and the employees’ rights. It is best practice to have the employer initiate the terms and conditions of the employment agreement with the employee; in this way both parties understand what is expected from the onset of the employment relationship. A key role of the company is to direct the employee’s day-to day activities from the date of engagement, managing their performance during and after the successful completion of the probation period and managing ongoing behaviour through consistently applying fair policies and processes and cultivating an engaging work culture. An invested employer retains an employee where the employee feels valued and engaged in a distributed workforce. Independent Contractors The foreign entity when seeking SA talent may opt to work directly with the individual and not work through an EOR. This arrangement would require a service level agreement between the parties. The individual in this instance would be a juristic entity where the engaging company would pay the individual in line with the terms agreed by the parties. The individual would in this instance be responsible for their own statutory compliance and filing to SARS in order to remain a legitimate entity. The individual would thus be a service provider to the company. The main distinction between an employee and an independent contractor lies in the nature of their working relationship. An employee works directly for the organization on the agreed terms of the employment contract, follows its directives, and is usually hired for an indefinite period. An international contractor operates independently, follows a contractual agreement, and is engaged for a specific project or timeframe. Companies have limited or less control over an independent contractor service provider when compared with an employee. Independent contractors may not have the same level of loyalty or commitment to the company’s long-term objectives, as their primary focus is on completing the contracted assignment. This may affect their dedication and alignment with the company’s values and culture. How Does an EOR Work In South Africa The company engagers with local talent in SA and partners with the local EOR to onboard the employee. The EOR is a thirdparty service provider to the employer. The company and the EOR agree to terms that govern their relationship by way of a commercial services agreement which sets out the following: ■ Scope and service standards: onboarding, payroll accuracy, statutory filings, reporting cadence and response times ■ Confidentiality: watertight assignment provisions and ongoing confidentiality obligations ■ POPIA and data protection: roles of the parties, security standards, breach notification and audit rights ■ Liability and indemnities: where errors cause tax underpayments, visa issues or misapplied benefits ■ Right to work and background checks: clarifying the roles of each party in the process, third party appointments and specialisation requirements, pre-employment verification standards ■ Due diligence protocols: handles grievances, performance processes and terminations An EOR offers organisations a streamlined, low-risk pathway to resourcing talent globally and significantly reduces administrative burden and mitigates legal risks. This allows businesses to focus on core operations and growth rather than navigating unfamiliar regulatory environments. Speak to us at DRG, we are a professional EOR service provider with a passion for the work we have been doing for international companies and their employees for over 30 years. Contact us at: T: +27 (0)31 767 0625 E : info@drg.co.za W: www.drg.co.za

  • SPACE, STYLE AND SUBSTANCE

    For some time, Mitsubishi has maintained a relatively low profile in the South African market. Yet the brand still enjoys strong recognition among motorists who remember icons such as the Lancer sedan and the rugged Triton bakkie, particularly popular in the commercial sector. Mitsubishi has also built an enviable reputation for producing capable SUVs, from the Dakar Rally-conquering Pajero to the versatile Outlander family SUV. With that heritage in mind, expectations were high when I first encountered the all-new Destinator. Our test vehicle was the flagship Exceed model, and from the outset it appeared ready to reaffirm Mitsubishi’s reputation for building practical, adventure-ready SUVs. Engineering and Performance My first impression of the Destinator was simple: it’s big. Its generous proportions, combined with Mitsubishi’s bold Dynamic Shield front-end design, give the SUV an imposing road presence. With 214mm of ground clearance, it looks every bit as capable as its specifications suggest. Power comes from a 1.5-litre intercooled turbocharged petrol engine producing 120kW and 250Nm of torque, paired with a continuously variable transmission (CVT). The combination delivers smooth, refined performance whether navigating city traffic or cruising on the open road. According to CAR Magazine, the Destinator has a claimed fuel consumption figure of 7.3 litres per 100km. Combined with its 45-litre fuel tank, this represents respectable efficiency for a seven seat SUV of this size. On the road, the Destinator is composed and comfortable. The engine responds willingly, the CVT operates smoothly without excessive droning, and the suspension absorbs broken road surfaces with ease, making longer journeys particularly pleasant. Technology and Capability The Exceed model is generously equipped, featuring a large touchscreen infotainment system, keyless entry, a panoramic sunroof, multiple USB charging ports, a rear-view camera, front and rear parking sensors, and an excellent Yamaha-tuned premium audio system that adds a welcome touch of sophistication. For those venturing beyond the tar, the Destinator offers selectable drive modes for gravel and wet conditions, providing additional confidence when road conditions deteriorate. While few owners are likely to attempt serious off-roading, the SUV certainly possesses the credentials to venture well beyond suburban streets. Mitsubishi’s renowned Active Yaw Control (AYC) system further enhances stability by intelligently distributing braking and drive forces between the wheels, improving grip and driver confidence on winding roads and loose surfaces. Bright LED daytime running lights and stylish 18-inch alloy wheels complete the exterior package, while the bold styling remains unmistakably Mitsubishi, blending ruggedness with contemporary design. Interior and Practicality Inside, the Destinator balances practicality with comfort. The dashboard layout is clean and modern, while the synthetic leather upholstery in the Exceed creates a premium ambience. Buyers opting for the GLS receive durable fabric seating instead. As a true seven-seater, the Destinator features two fold-flat seats in the third row, offering welcome flexibility for growing families. With all seven seats occupied, luggage space measures 152 litres. Folding the third row increases boot capacity to a generous 496 litres, providing ample room for luggage, shopping or holiday gear. Passenger accommodation is generous, with excellent headroom and legroom in both the first and second rows. Subtle ambient lighting and quality finishes create an interior that feels both comfortable and well considered. Pricing and Verdict According to Car.co.za, pricing starts at R489,990 for the GLS, while the flagship Exceed is priced from R569,990. The Destinator delivers an impressive blend of practicality, comfort and modern technology. Spacious enough for growing families, refined enough for everyday commuting and capable enough for weekend adventures, it successfully combines versatility with Mitsubishi’s proven SUV heritage. For buyers seeking a well-equipped seven-seat SUV that offers genuine value without unnecessary complexity, the Destinator deserves serious consideration.

  • FESTIVALS NEED GREAT INFRASTRUCTURE

    Behind every successful festival is an enormous amount of planning. While audiences remember the music, entertainment, food and atmosphere, event organisers know that a memorable festival depends on something far less glamorous: reliable infrastructure. From music festivals and food markets to cultural celebrations, sporting events and community gatherings, outdoor events present unique logistical challenges. Large crowds, changing weather conditions, long operating hours and multiple activity zones all require structures that are safe, practical and visually appealing. That’s where quality tent solutions become an integral part of the event experience. At Sky Tents, we understand that no two festivals are the same. Every event has its own layout, audience and operational requirements. Our adaptable tent solutions are designed to provide flexible spaces that meet the demands of organisers, event management companies and tent hire businesses alike. Whether creating performance areas, exhibition spaces, hospitality lounges, food vendor villages, VIP sections or registration points, our tents offer dependable shelter while maintaining a professional appearance. They provide comfortable spaces where artists can prepare, exhibitors can engage with visitors and guests can enjoy the event regardless of the weather. But providing tents is only part of the solution. Sky Tents offers a complete range of event infrastructure, including tables, chairs, flooring and accessories, allowing organisers and tent hire companies to source everything they need from a single supplier. Instead of coordinating multiple deliveries and managing numerous service providers, clients benefit from a streamlined process that saves valuable time and reduces unnecessary stress. This integrated approach allows event professionals to focus on what matters most: delivering an exceptional festival experience for performers, exhibitors, vendors and visitors. As South Africa’s festival calendar continues to grow, expectations for professional event infrastructure continue to rise. Organisers require suppliers who understand the pressures of outdoor events and can deliver solutions that are practical, adaptable and built to perform. When the crowds arrive and every detail matters, the right infrastructure makes all the difference. Let Sky Tents help you build an event that is remembered for all the right reasons. WhatsApp enquiries: +27 (0)68 640 9094 W: www.skytentsa.co.za

  • THE CIRCULAR REVOLUTIONIS SA BUSINESS READY FOR THE PLASTIC PIVOT?

    The traditional economic playbook, “take – make – waste”, is facing eminent operational and regulatory pressure in South Africa. Driven by tightening government mandates and global market shifts, local businesses are navigating a massive structural pivot toward a true circular economy. For South African business owners, this transition is no longer a distant corporate social responsibility goal; it is an immediate bottom line reality that will define market competitiveness over the next decade. Globally vs Locally: How Far Off is South Africa? Globally, the packaging sector is moving rapidly toward strict enforcement. The European Union’s Packaging and Packaging Waste Regulation (PPWR) enforces rigid recyclability grades and minimum recycled content thresholds. How far off is South Africa? Surprisingly, not as far as many think. South Africa’s mechanical plastics recycling rate sits at roughly 28%, placing the country well ahead of the global average. However, adoption varies wildly across sectors. The Food and Beverage (F&B) industry is leading the charge, aggressively absorbing food-grade recycled PET (rPET) into beverage bottles. Conversely, the pharmaceutical and medical industries are lagging. Due to strict South African Health Products Regulatory Authority (SAHPRA) laws regarding sterility and cross contamination, incorporating post-consumer waste into primary medicine packaging remains highly restricted. A major operational barrier for both the F&B and medical sectors is the aesthetic and functional expectation of flawless transparency. Pure virgin plastic is perfectly clear. However, mechanically recycled plastic locally sourced in South Africa often carries a subtle grey, yellow, or smoky tint due to historic batch contamination. For F&B brands, tinting can alter the perceived colour of a juice or water product on the shelf. Navigating this requires companies to either re-brand the tint as a badge of eco authenticity (as you may have already seen on shelves at Woolworths and other companies). For some industries shrink sleeve labels are being utilised and advertised as being eco-friendly using recyclable materials to mask the discoloration. However, for pharmaceuticals and paediatric medicines, clear plastic is a critical health and safety requirement. Doctors and consumers must be able to visually inspect liquid medications for cloudiness before administration. The Manufacturer’s Dilemma: Stuck in a Regulatory Catch-22 This polarisation creates a dangerous deadlock for plastic converters and manufacturers who want to shift to sustainable production but are blocked by hesitant clients. Under Section 18 Extended Producer Responsibility (EPR) regulations, the Department of Forestry, Fisheries and the Environment (DFFE) legally penalises manufacturers who fail to meet annual recycling and collection targets. When F&B or medical clients refuse to adopt recycled materials due to aesthetic preferences or contamination fears, the plastic manufacturer is squeezed from both sides. To survive, progressive manufacturers are deploying two survival strategies: 1. Parallel Tooling: Maintaining dual production capabilities, virgin lines for highly sensitive medical clients, and separate, specialised PCR lines for sustainability-driven retail brands. 2. Upstream Advocacy: Working directly with Producer Responsibility Organisations like Petco and Polyco to co-fund molecular recycling tech. This technology strips away tints and contaminants at a molecular level, allowing manufacturers to pitch flawlessly clear, SAHPRA compliant recycled packaging to their most hesitant medical buyers. The Bottom Line: Pros and Cons For business owners weighing the numbers, adopting recycled plastics presents a complex financial equation: The Pros: ■ Insulation Against Volatility: Utilising local recycled plastics protects packaging margins against a volatile Rand-Dollar exchange rate and international petrochemical price shocks. ■ Regulatory Immunity: Compliance shields businesses from crippling DFFE financial penalties and ensures products are not delisted by major local retail groups. The Cons: ■ The Energy Crunch: Operating recycling and extrusion machinery on diesel generators during local electrical infrastructure outages severely inflates production costs. ■ Feedstock Scarcity and Cost: High-purity, ultra-clear food grade recycled plastic remains exceptionally scarce in South Africa, causing it to command a steep pricing premium over virgin polymers. The circular economy is a severe disruption, but it is an unavoidable market evolution. South African business owners who pro-actively re-engineer their packaging pipelines today will lock in long-term supply chain resilience; those who treat it as a minor box-ticking exercise risk being permanently priced out of the market. T: +27 (0)31 577 7407 E: mr@plastimed.co.za W: www.plastimed.co.za

  • UNCERTAINTY YIELDS OPPORTUNITY

    Uncertainty is nothing new for businesses in KwaZulu-Natal. Our companies have navigated floods, civil unrest, global pandemics, supply chain disruptions, energy shortages and economic headwinds. They have adapted, innovated and endured. Our business community is not fragile; it is resilient. The real danger is not uncertainty itself, but responding to it with the wrong priorities. Too often, the first casualty is marketing. That is not simply a cost saving measure, it is a missed opportunity to strengthen market presence, build customer confidence, and position a business for growth when conditions improve. Markets do not reward the businesses that shy away. When competitors go silent, that silence is market share available, on sale. THE DIRE DECISION THAT QUIETLY KILLS GROWTH Sales tighten, cash becomes sacred, and marketing suddenly looks like the easy line to slash. Pause the campaign. Stop the content. “Let’s wait and see.” But “wait and see” is not a strategy. It is a surrender of momentum. The evidence has stacked up for a century. In the Great Depression, Kellogg’s doubled its advertising while rival Post went dark, and took lasting command of the cereal aisle. McKinsey’s through-cycle research says the same in modern numbers: the firms that kept investing through the slump delivered 5.3% excess shareholder returns, roughly five times the average company. They did not just survive the storm. They used it to lap the field. The logic is simple. When competitors go quiet, ad space gets cheaper, attention is less contested, and your voice carries further for every rand. Warren Buffett built a fortune on being strategic when others are fearful. Jeff Bezos built an empire on a single line: “Your margin is my opportunity.” In a downturn, your competitor’s caution is your opportunity. Peter Drucker reminded us a business has only two functions that create a customer, marketing and innovation. The rest are costs. Cut the wrong one and you are not saving your money. You are surrendering your recovery. THAT DOES MORE FOR LESS Here is what makes 2026 different. You no longer need a bigger budget to do more. You need a smarter engine. The hyper-accelerated adoption of AI means a lean KZN business can now reach more people, respond quicker and spend less. Uncertainty should not be a signal to shrink. It should be a signal to sharpen. Sharpen your ideal customer profile. Sharpen your offer. Sharpen your response time. Sharpen your product innovation. Sharpen your market expansion. Sharpen the path from enquiry to quote to sale. Every weak link in the customer journey becomes more expensive when the economy is under pressure. At Cannect Digital, we are seeing this shift clearly. The businesses that are holding up best are not necessarily the biggest. They are the most commercially connected, accurately matching their product (or service) offering with a clearly defined, hyper targeted market. SEO or Search Engine Optimisation (optimising for traditional search predominantly in Google) is not just designed to rank on Google, it is designed to attract high-intent buyers. GEO, or Generative Engine Optimisation (featuring in AI when your customer is deeply researching), is helping clients become visible inside AI search results and answer engines. Google Ads are not vanity traffic, they are a demand capture channel. LinkedIn is not there as corporate wallpaper, it is a targeted relationship-building enabler to reach the correct decision makers. Email marketing is not spam or a redundant monthly newsletter, it is structured as a deep nurturing tool to encourage and enable growth within your existing client base. The WhatsApp API is not a gimmick, it is an always on first responder enabling swift, effective and automated responses within one of our most trusted and highly utilised apps. Reputation management is not a nice-to-have, it is trust building infrastructure, starting with your Google Reviews. 1. Be found, by humans and machines. Classic SEO still matters, but GEO, Generative Engine Optimisation, is the new front line. With 73% of B2B buyers now using tools like ChatGPT, Gemini and Claude (my big three AI engines) to research suppliers, the question is whether the AI recommends you or your competitor. 2. Sell where the decision- makers are. Targeted LinkedIn outreach and disciplined Google marketing (the powerhouse of Google Ads, SEO, GEO and Reviews) keeps your pipeline full while rivals gear down their marketing budgets. 3. Respond before the lead cools. With 96% of South African internet users on WhatsApp, a WhatsApp Business API responder paired with automated email nurture can acknowledge, qualify and book a lead in seconds. Harvard Business Review found replying within five minutes makes you up to 100 times more likely to land the deal. 4. Guard the trust you have earned. Active reputation management, reviews and social proof protect the one asset that matters most when buyers are nervous. Trust is the most important currency in business. AI must not be used to serve up more bland content. This does little for your business’s visibility in the AI engines. The real power of AI is movement. McKinsey reports agentic workflows (those AI processes or agents that autonomously reason, plan, and take action to achieve a specific goal) can lift revenue 10–30% and run campaigns 10–15 times faster, and they cost less than the bloated software stack they replace, where Gartner found only 49% of marketing tools are ever actively used. Speed is the new normal. It is not the big that eat the small; it is the fast that eat the slow. Les Binet, one of the world’s leading marketing effectiveness thinkers, recently warned that marketers are “optimising themselves to death” by focusing too narrowly on efficiency instead of effectiveness. Truth. The goal is not to spend the least. The goal is to spend wisely to enable (and once the storm passes, accelerate) profitable growth. SHOW ME THE MONEY: THE ULTIMATE SCOREBOARD None of these tools matter, however, if your business is flying blind. To survive macro volatility, there is a desperate need for better data utilisation – correct data tracking, deep data analysis and quick, effective pivoting to ensure profitable customer acquisition and continued market share expansion. You can no longer manage your growth on gut feel or defend marketing through vanity metrics like “impressions” or “likes”. The gap between the businesses that win and the businesses that wonder is no longer creativity; it is clarity. The chief marketing officer (CMO) and the chief financial officer (CFO) must share the exact same scoreboard. Every digital touchpoint must feed into a live marketing dashboard that tracks the six metrics that define whether you win or wonder: Customer Acquisition Cost (CAC), Customer Lifetime Value (LTV), Cost Per Qualified Lead (CPQL), Conversion Rates, Response Time, and Return on Marketing Investment (ROMI). McKinsey’s data proves that companies with strong CFO-CMO alignment unlock 20% to 40% more financial growth. Speak the language of cash, not clicks. THE KZN BOTTOM LINE You cannot defend a marketing budget in a tense boardroom with likes and impressions. You defend it with data, yet only about 36% of marketers can accurately measure their ROMI. A live dashboard tying every rand to its CAC, lead, response time and closed revenue turns marketing from the first cost cut into the last one any sensible owner would touch. The CMO and CFO must share one scoreboard, one vision – perpetuate growth, especially in the bad times. As Andy Grove put it, “Bad companies are destroyed by crisis; good companies survive them; great companies are improved by them.” Do not freeze your growth engine. Optimise your marketing toolbox, replace bloated software stacks with intelligent AI automation, measure every single Rand, and deepen your market penetration while your competition goes silent. Uncertainty doesn’t just provide a window for opportunity, it enables the market leaders of the next decade. When the storm clears, be the one standing in the sun. W: www.cannectdigital.com

  • COMPLIANCE KEY TO UNLOCKING SMME GROWTH

    In KwaZulu Natal, we speak often about economic recovery, inclusive growth and job creation. We speak about township enterprises, rural development, tourism, manufacturing, logistics, agriculture and the urgent need to unlock opportunities for small, micro and medium enterprises. Yet, in my experience as a governance and compliance practitioner, we do not speak enough about the one foundation that determines whether many SMMEs can move from survival to scale: compliance. Too often, compliance is presented to entrepreneurs as a burden, a checklist or a punishment waiting to happen. I see it differently. Compliance is economic infrastructure. It is the operating system that allows a business to be trusted by banks, funders, municipalities, corporate clients and government procurement platforms. Without it, even the most promising enterprise can be locked out of growth. For SMMEs in KZN, this matters deeply. Our province needs small businesses that can create jobs, absorb young people into the economy, strengthen local supply chains and participate meaningfully in infrastructure, tourism and industrial development. But no funder will back a business whose company records are outdated, whose tax and financial affairs are uncertain, whose contracts are informal, or whose employment practices expose it to avoidable disputes. The basics must therefore be taken seriously. A company registered with the Companies and Intellectual Property Commission must keep its annual returns, director information, beneficial ownership details and statutory records up to date. These are not technical luxuries. They are proof that the business has a legal identity and can account for how it is owned and managed. Tax compliance is equally non-negotiable. Entrepreneurs must understand their SARS obligations, including income tax, provisional tax, VAT, PAYE, UIF and Skills Development Levy requirements. A tax compliant business is better positioned to access tenders, funding and supplier development opportunities. A non-compliant business may find that opportunity exists, but not for it. KZN entrepreneurs must also pay attention to municipal and sector-specific requirements. A food business may require health approvals. A tourism or accommodation business may need zoning or municipal permissions. A construction business may require industry registrations. Informal and township-based traders are increasingly operating in a policy environment where registration, licensing and verification are becoming more important, particularly as government seeks to formalise and support these enterprises. Employment compliance cannot be ignored. Once a business hires people, it carries legal responsibilities under labour legislation, including written terms of employment, leave records, payslips, minimum wage compliance, UIF registration, workplace safety and fair disciplinary processes. Good employment governance protects workers, but it also protects the business from costly disputes and reputational harm. In the digital economy, data protection is also part of good governance. A small business that stores customer details, employee records, WhatsApp orders, supplier information or payment data is processing personal information. Compliance with the Protection of Personal Information Act should therefore not be treated as something only large companies worry about. Simple habits, clear consent, secure records, limited access and staff awareness, reduce risk. B-BBEE compliance is another gateway issue. Many exempted micro enterprises qualify for simplified affidavits or certificates, yet fail to use this advantage. For SMMEs seeking corporate contracts, public procurement or enterprise supplier development opportunities, credible B-BBEE status can be the difference between being considered and being excluded. My view is that we must stop teaching SMMEs to fear compliance and start teaching them to use it strategically. Governance for a small business does not require a boardroom full of directors. It requires discipline: separating personal and business finances, documenting decisions, keeping proper records, managing conflicts of interest, understanding risks and building systems that do not collapse when the founder is absent. If KZN is serious about inclusive economic development, then compliance support must be treated as business development. Incubators, municipalities, chambers of commerce, professional advisers and funders should help entrepreneurs become investment-ready, tender-ready and growth-ready. Compliance should be the bridge that brings SMMEs into the formal economy. In a province with enormous entrepreneurial energy, governance is not bureaucracy. It is the foundation on which sustainable enterprises, decent jobs and long-term provincial growth will be built. E: anastasia@mashobane.com W: www.mashobane.com

  • BAD PARTNERSHIPS CAN BREAK GOOD BUSINESSES

    South African businesses do not need to look far for a cautionary tale. The fallout from the Steinhoff scandal continues to reveal how weak governance, inadequate scrutiny of business relationships, and unchecked transactions can destroy billions in shareholder value. What began as aggressive growth ultimately became one of the country’s most expensive lessons in the cost of insufficient oversight. Whether it is a merger, acquisition, investment, supplier agreement, or joint venture, businesses are under increasing pressure to move quickly on strategic deals. But speed without proper risk intelligence can expose organisations to significant financial, regulatory, and reputational fallout. We have seen this play out repeatedly both locally and globally. In South Africa, regulatory scrutiny around financial crime compliance continues to intensify, with multi-million Rand penalties being issued against organisations that failed to identify suspicious activity, beneficial ownership risks, or conduct adequate ongoing due diligence. These incidents are not just compliance failures. They are warnings about what happens when businesses enter relationships without fully understanding who they are dealing with and how those risks evolve over time. One of the biggest misconceptions in corporate due diligence is that risk checks are a once-off exercise completed before signing a deal. In reality, risk is dynamic. A company that appears compliant today can become a liability tomorrow through changes in directorships, sanctions exposure, politically exposed person (PEP) links, adverse media, or hidden ownership structures. This is particularly concerning in an environment where shell companies, shadow directors, and unclear ownership arrangements are increasingly being used to conceal financial crime, corruption, and illicit activity. Businesses that fail to detect these warning signs early enough can find themselves entangled in investigations, facing regulatory penalties, reputational damage, or significant financial losses. The true cost of a bad partnership goes far beyond the immediate transaction value. It can disrupt operations, erode investor confidence, damage customer trust, and place entire organisations under scrutiny. In some cases, businesses spend years trying to recover from the reputational consequences of a single poorly vetted relationship. Businesses need access to continuous, real-time risk intelligence that allows them to monitor counterparties long after the initial onboarding phase. We believe the future of compliance and corporate risk management lies in intelligent ongoing monitoring. Like ours, there is a need for solutions that use real-time, rule-based risk rating technology to help businesses identify and respond to changes in risk profiles as they happen, not months later when the consequences have already escalated. Importantly, this is not only relevant for accountable institutions under FICA. Any organisation engaging in corporate transactions, supplier onboarding, procurement processes, or investment activities should be asking tougher questions about who they are partnering with and whether those risks are being continuously monitored. The reality is that corporate ecosystems are becoming more interconnected and more vulnerable to hidden risk. A single compromised supplier, investment partner, or acquisition target can expose businesses to fraud, corruption, regulatory breaches, and operational instability. As regulatory expectations continue to evolve, businesses can no longer afford a reactive approach to due diligence. Ongoing risk intelligence must become part of everyday corporate governance and decision-making. Strong partnerships remain one of the most valuable drivers of growth. But in today’s business environment, trust without verification is no longer a strategy. The organisations that will be best positioned for sustainable growth are those that understand that due diligence is not a checkpoint. It is a continuous process of protecting corporate value, reputation, and resilience. For more information contact: T: + 27 (0)86 034 0000 E: info@searchworks.co.za Website: www.searchworks.co.za | www.voca.co.za

  • SUCCESSFUL 1 000 PAWS WALK

    There was no shortage of wagging tails, happy faces and community spirit when the 2026 Hill’s 1 000 Paws Walk took place at Highgate Wine Estate near Piggly Wiggly on 7 June. The popular annual fundraiser attracted 194 dogs, 339 adults and 71 children, all coming together to support the Mooi River & District, uMngeni and Pietermaritzburg SPCAs. With clear blue skies and warm winter sunshine, the event offered the perfect opportunity for families and their four legged companions to enjoy a day outdoors while helping local animals in need Participants chose between a gentle 2km “Puppies and Pensioners” walk through the vineyards or a more energetic 4km “Adults and Athletes” route, both showcasing the beautiful Midlands countryside. The fun continued throughout the day with arena competitions, including a crowd-pleasing dog and-owner look-alike contest, an agility Fun Zone, and lively performances by the Clifton Prep School marimba band. Visitors also enjoyed browsing a variety of stalls, taking part in raffles and winning exciting prizes. Natalie Marcovich won a two night stay at Cathedral Peak Hotel, Lee Pope-Ellis received a getaway to The Cavern Drakensberg Resort & Spa, while Tracey Marshall won a stay at Champagne Sports Resort. Pippa Rafferty took top honours in the Paper Plate Sniffer Dog Challenge and walked away with a getaway to Cleopatra’s Mountain Farmhouse. The annual walk has become a much-loved fixture on the Midlands calendar, celebrating the special bond between people and their pets while helping provide care, shelter and second chances for animals in need.

  • Sell the Sizzle: Why You Must Be in the Room on 10th September 10th

    In the early days of my career, when I was knocking on doors to sell advertising, my manager gave me a piece of advice that felt like a riddle at the time: "Grant, sell the sizzle, not the sausage." I did not fully grasp the weight of those words until I was standing on a doorstep, mid-pitch, and realised that people do not buy commodities. They buy the promise, the emotion, and the transformation behind the product. We overcomplicate business every day, but success always circles back to the same fundamental truth: if you cannot connect, you cannot convert. The Sizzle Is Coming Back On July 10th, we are bringing a powerhouse lineup to the AHA hotel for a sales intensive that strips away the fluff. We are gathering three practitioners who do not just teach sales, they live it. The Power of Purpose: Sarah Swanson Joining us is the incredible Sarah Swanson, a motivational force who embodies the "nothing is impossible" mindset. Her story is one of relentless pursuit. Just as she set her sights on seeing the gorillas in the wild, she reminds us that a clearly defined goal, backed by a powerful why, is the difference between surviving and thriving. Sarah brings a dimension of raw, 100% human authenticity to the room. She helps you find your purpose against all odds, ensuring that when you walk out of that door, you are not just a salesperson, you are a leader with a mission. Three Experts, One Unstoppable Day This session is designed to bridge the gap between high-level motivation and hard-hitting tactical execution: Vinesh Maharaj: An absolute master of the craft. Vinesh knows every variation of the sale, from high-volume, call-centre-driven industry precision to complex lead conversion. He does not just talk theory; he shows you how to encourage the right questions, navigate the close, and convert live, in real-time. He is the ultimate closer. Sarah Swanson: The architect of intent. She ensures your mindset is calibrated to handle the friction of the modern market, providing the "why" to Vinesh's "how." Myself: I am there to pull it all together. I have spent my entire career applying these exact principles to build the KZN Top Business network. I will be sharing how, when things go pear-shaped, the only way out is to go back to the basics. I will show you how Sarah’s motivational frameworks and Vinesh’s tactical rigor are not just theory; they are the 100% factual foundation of my own success. Why You Cannot Afford to Miss This The conversation from our last event has not stopped, and I have been asked repeatedly to do more. While I usually focus on my core business, I believe in giving back to the community that drives our regional success. This event is that "give back." When you get in that room, you are not just learning how to sell. You are learning how to sell the sizzle by aligning your purpose with your practice. Secure your place now. We have an Early Bird offer available, but spaces are limited to keep the group focused and the energy high. [Insert Link to Quicket/Registration Page] Do not let another month pass without sharpening your edge. I will see you on the 10th. Sell the Sizzle: Why You Must Be in the Room on 10th September 10th

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