Auto Farming Enterprise(PTY)LTD
| Business Location: | Rural area - Farms |
| Province | KwaZulu-Natal |
| Branch: | Amajuba |
| Business Start Date: | |
| Busniess Type: |
Business Dynamics and Challenges
Business Activities:
Agriculture : Crop Production (Vegetables)
Challenges/Needs:
Auto Farming was severely affected by the floods in April 2021 that decimated crops and livestock in most parts of KwaZulu-Natal due to extremely heavy rainfall. The farm owner estimates that the floods destroyed approximately 80% of the crops. Consequently, the business was significantly impacted, with all its seeds drowning in the heavy rainfall. Given the devastation of the floods, the company did not have sufficient cash flow to mitigate the challenges and thus was unable to plant at the appropriate planting cycle to meet the demand of supplying existing customers. Accordingly, the owner approached Seda for assistance and support regarding these challenges.
Intervention / Solution
- Seda conducted a GAP Analysis assessment on the company to identify appropriate
interventions suitable to the challenges facing the company and what was lost in the floods. After completing these assessments, Seda decided to assist with the application to access the Department of Small Business Development's Formal Flood Relief Programme. Auto Farming also received ongoing support and coaching from Seda to assist in repositioning their products by managing the cost of production and selling price. The company was able to utilize the funds received to increase the area under plantation.- Auto Farming also received ongoing support and coaching from Seda to assist in repositioning their products by managing the cost of production and selling price. The company was able to utilize the funds received to increase the area under plantation
Intervention Insights and Results
Intervention Details:
Flood Relief
Outcome Details:
Outcome/ Results
As a result of Seda's intervention, Auto Farming was able to acquire additional land (22 hectares) in KwaShoba Area, Vyrheid for planting and was able to plant more hectares to make up for lost planting cycles and thus was able to yield a higher harvest. The company achieved the following improvements:
• Auto Farming received a grant funding of R144 590.40 under the Flood Relief Programme, utilized for purchasing seeds and fertilizer.
• Turnover increased by over 800% from R22, 917.00 to R210, 000.00 (Improvement Assessment Period), a significant turnaround considering the impact of the floods and load shedding.
• The company increased employment from four (04) people to eight (08) people employed, an increase of 100%.
• The company secured new customers such as Spar and OK in Northern Zululand
• Due to business improvements, Mr. Sibiya was accepted to the South African Breweries
Foundation (Tholoana Enterprise Development Programme) for young South Africans, to enable them to become resilient business owners and empower them with extensive entrepreneurial skills.
• Mr Sibiya was also accepted as Seda’s agriculture/ technical service provider.
Outcome/ Results
As a result of Seda's intervention, Auto Farming was able to acquire additional land (22 hectares) in KwaShoba Area, Vyrheid for planting and was able to plant more hectares to make up for lost planting cycles and thus was able to yield a higher harvest. The company achieved the following improvements:
• Auto Farming received a grant funding of R144 590.40 under the Flood Relief Programme, utilized for purchasing seeds and fertilizer.
• Turnover increased by over 800% from R22, 917.00 to R210, 000.00 (Improvement Assessment Period), a significant turnaround considering the impact of the floods and load shedding.
• The company increased employment from four (04) people to eight (08) people employed, an increase of 100%.
• The company secured new customers such as Spar and OK in Northern Zululand
• Due to business improvements, Mr. Sibiya was accepted to the South African Breweries
Foundation (Tholoana Enterprise Development Programme) for young South Africans, to enable them to become resilient business owners and empower them with extensive entrepreneurial skills.
• Mr Sibiya was also accepted as Seda’s agriculture/ technical service provider.
Client Feedback
Client Comments:
“ Auto Farming Enterprise (PTY)LTD is extremely grateful for the funding assistance, guidance and support received from Seda”
