Entrepreneurs revolutionise township supply chains
South Africans have long had strong entrepreneurial spirits. This is especially true for those facing daily hardships – and nowhere is this more evident than in the country’s informal township settlements. However, passionate individuals can make a massive difference within the field of transport and logistics, as shown by two entrepreneurs transforming local supply chains to empower township businesses.
Logistical challenges galore
Many townships designated during apartheid remain underdeveloped and underserved three decades after the advent of democracy. Today, informal business owners in particular face major challenges when it comes to logistics and supply networks. But two social innovators are looking to alter the narrative. As a result, their businesses are thriving.
Loyiso Vatsha is a qualified actuary who graduated from the University of Pretoria and started out in investment banking. His true passion, however, is entrepreneurship. “When I identified an opportunity that could solve a social challenge in many vulnerable communities, I decided to leave the corporate world behind and start my own business,” he says.
Supply chains being revolutionised
Vatsha used his savings to start Mapha Logistics, a technology company whose comprehensive platform empowers local businesses and revolutionises supply chains in these areas. Mapha Logistics helps businesses to establish an online presence, access high-quality merchandise, connect with customers, and streamline operations.
“Through hard work and support from my family and friends I have realised my vision of transforming legacy supply chains in townships, peri-urban, and rural areas, which constitute over 80% of our country’s population," Vatsha elaborates. Through technology, innovation, and community development, he hopes to build a legacy that has a lasting effect on the national economy, and he envisions listing the company on the stock exchange.
Substantial growth experienced
Mapha Logistics has experienced substantial growth over the last two years – even more remarkable considering the economic downturn during the Covid-19 pandemic. The company’s upward momentum was kickstarted in 2021, when Vatsha won one of the SAB Foundation’s Social Innovation Awards. The funding and mentorship that came with the award allowed Vatsha to expand from a team of nine to over 50 employees, increasing the company’s year-on-year turnover ninefold.
“As we continue this exciting journey, we remain focused on becoming the largest township distribution network in Southern Africa within the next three years. I am committed to driving change in township ecosystems, creating employment opportunities, and making a positive social impact on South African youth,” Vatsha emphasises.
Entrepreneurship stemming back to childhood
Gomolemo Motshwane is another inspiring example of the entrepreneurial spirit. The founder of Urban Mobility grew up in the North-West village of Makapanstad, where his grandmother ran a kiosk from home. Motshwane credits this for fostering his passion for entrepreneurship. “Watching and learning from her, I was inspired to start creating my own opportunities and positively impacting my own community in the process,” he says.
Urban Mobility is filling an important niche in underdeveloped communities, by providing customers with motorbikes and licenced motorbike drivers. At the same time, the company offers free training opportunities to unemployed youth.
Capitalising on the surge in online shopping
“I saw the pandemic lockdown period as an opportunity to shift my existing business to meet changing consumer habits. We created a solution – to provide training and licensing for people interested in becoming drivers for delivery services – that catered for the surge in online shopping and home deliveries during this period,” he explains.
Motshwane also received a Social Innovation Award, securing a R750,000 grant that helped him to increase annual turnover by 25%. “We have also created 12 jobs and helped 27 individuals secure employment as delivery drivers through our business,” he adds. “We have expanded our fleet by purchasing three vehicles and three motorbikes, enabling us to reach more customers and increase our operational capacity.”
Focus is on creating catalysts for job creation
"Uncovering and unleashing the entrepreneurial energy of individuals helps to build a culture of entrepreneurship," says Itumeleng Dhlamini, SAB Foundation head of programmes. “By empowering entrepreneurs, we enable them to become catalysts for job creation.”
Embodying the Proudly South African entrepreneurial spirit, these companies certainly lend weight to this assertion, uplifting their communities through hard work and innovation. We wish them well!