According to the World Bank, small and medium-sized enterprises (SMEs) provide an estimated 60% of all employment opportunities in the country.
Franchising creates a fast track for ambitious young entrepreneurs and is a good vehicle for job creation and economic growth.
One such entrepreneur is Kholofelo Nengwenda who opened her second Galito’s franchise in Midrand in May this year.
Her first Galitos was a GaliPod at The Pond Shopping Centre, an innovative, all-in-one container-based store with a funky urban vibe designed to be set up quickly and close to where there is demand.
The second is a full-on Galito’s store located in the busy Boulders Shopping Centre.
Nengwenda opened her first business, a cleaning company, in 2014 at the age of 24 and was inspired to do more.
Exposure to Galito’s roadshow showed her that she could become a franchisee of a brand she knew well.
The GaliPod concept was perfect for her, as it aims to lower the barriers to entry for entrepreneurs and means that areas where there is no shopping mall can be served.
Like most entrepreneurs, Nengweda is an enthusiast, and her Galipod took off from day one.
The company’s support team helped her assess the site and took her through the process of negotiating the lease agreement.
Nengwenda said the franchise model was a great way to build a strong business with little initial capital.
The fact that Galito’s is growing and already has an international presence also multiplies the opportunities.
Figures from the Franchise Association of South Africa show that more than 90% of franchises succeed.
Galito’s has already created some 3,000 jobs and Nengwenda’s two stores employ 18 people.
Founder of Galito’s, Louis Germishuys concluded, “For a go-getter like Kholofelo, a franchise provides a tried-and-tested structure, training, and support to which she can bring her energy and vision. There’s still a lot of room for the franchisee to adapt to the local market and what it wants.”
Credit: The Midrand Reporter, and journalist Comfort Makhanya.