Inclusive economy needed to avoid strife

‘SA faces Tunisa-type revolution if people can’t participate’

SOUTH Africa could find itself in a similar situation to Tunisia if it fails to address the issue of access, diversify its economy and provide small businesses with opportunities to grow, according to Dr Fred Robertson, the chairperson of Brimstone Investments, who was a keynote speaker at the fifth University of the Western Cape (UWC) Entrepreneurship Conference in Milnerton yesterday.

The conference was hosted by UWC’s School of Business and Finance.

“If we don’t sort out this issue of access, of diversifying our economy, of giving our people opportunities, we will have a situation in South Africa which is no different to what happened to Tunisia a number of years ago, when a young person who wanted to earn a living by selling fruit and vegetables was prevented by the police and set himself alight. He burnt himself, he killed himself, and he set the whole Middle East and all those nations alight. There was a revolution in Tunisia, in Egypt, in Libya ... He wanted to sell fruit and vegetables and was not allowed to do that.

“I know we have a lot of other problems in our country. I know we are distracted by the Guptas, and all of those kind of things, but we must focus on what we need to do. Let’s work with one another, let’s hold one another’s hand, and let’s rebuild our society together.”

Drawing on his own experience, Robertson said knocking on people’s doors to sell insurance was one of the hardest things he had done. However, he said it was a good learning experience.

“In 1990, I started out as an insurance broker. I worked from home. I built my office in my garage. I still have an insurance brokerage, but that brokerage has evolved into an investment holding company.

“My life insurance company I bought a few years ago was a 100-year-old burial society, which was never allowed to grow beyond selling insurance of about R2 000 and only had R600 000 in premiums at that stage. It was started by African and coloured intellectuals.”

He said he bought the business in 2002 and converted into a life insurance company. At that stage, it had only three people working from a small office in Athlone. It now has 16 offices across the country and employs 350 people.

“So out of my garage I started, I had no loan from the bank. I started out knocking on doors selling insurance, and my insurance business is now stretched across South Africa. So it is possible to start as a one-man operation.”

Robertson said entrepreneurs must have a passion for their business.

“You must have big dreams; no success comes easily. You’ve got to do some things on you own that almost seem impossible, but you have to have that vision in mind. Don’t give up. If you fall, you have to pick yourself up.

“It’s a team effort; you can’t do everything on your own. Expand your knowledge. Do the right thing. You must have a vision for your society which is to create employment. Pay your taxes.”