The Hill Trading Industry T/A Morumotsho Charcoal Production (PTY) LTD

Business Location: Rural area - Villages
Province Eastern Cape
Branch: Alfred Nzo
Business Start Date:
Busniess Type: Company

Business Dynamics and Challenges

Business Activities: The company specializes in making charcoal as they saw a demand in the community and later started to supply the retail stores.
Challenges/Needs: The challenge that was experienced by the business was to increase their target market outside the areas bordering the district. The business owner has since approached Seda for assistance on how to improve the business performance and also to build its footprint within the district and outside Matatiele. The other challenge of the company was not having enough equipment to utilize when producing the charcoal and there was no visibility since they had no branding. To improve sales within the company, there has to be increased effort to make sure that there are able to produce large quantities hence the need of efficient equipment. Sedfa assisted the company with intervention of promotional material as well as assisting them to get access for funding through Asset Assist programme.

Intervention Insights and Results

Intervention Details: The client was referred to a business advisor who, after consulting with the client, registered the client and conducted the diagnostic assessments on the business to ascertain the business needs. The assessment revealed that the business was very sensitive to sales and that it also required aggressive marketing.

A service provider was appointed to assist the business with promotional material and were also sent to PMB where they attended Agri Expo.

Application for funding was successful they ended up getting new and efficient equipment needed.
Outcome Details: The performance of the business also improved in that the turnover increased by 31% from R85 000 to R111 455 as a result of the interventions they were assisted with by Sedfa.

Employment has since increased from 10 to 15.

Client Feedback

Client Comments: We are thankful to Sedfa for their support and assistance with branding material, trade exhibition and assisting us to access to funding which application was a success.
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