El Clasico Imbizo Trading Enterprise (Pty) Ltd
| Business Location: | Township |
| Province | North West |
| Branch: | Dr Ruth Mompati |
| Business Start Date: | 2012-10-08 |
| Busniess Type: | Company |
Business Dynamics and Challenges
Business Activities:
El Clasico Fuels supply and distribute quality regulated wholesale petroleum and related products to.
- Farmers
- Mining sector
- Local, district and provincial municipalities
- Fleet business, including construction and logistic companies.
El Clasico Fuels intends to achieve its objectives by partaking in the development and reconstruction of the Lekwa-Teemane Municipality.
Challenges/Needs:
The major challenge in the company is unavailability of resources. Current company operations have been funded by the owner, either through personal means or through loans from the private sector. The machinery and equipment in the petroleum industry is expensive and necessary to maintain, which is another expense. Therefore, it has become necessary for the company to access financial support in a form of grants or sponsorships. In addition to funding challenges the two issues have been highlighted during consultations.
Market Confidence - Lose of potential clients to competitors
Weak Identification - Low Client awareness; the company has not yet attained the desired recognition in the market. The company does not have the capacity to compete fully with established contractors.
Intervention Insights and Results
Intervention Details:
Seda’s diagnostic assessment revealed that there is a need to assist by facilitating access to finance with ecosystem partners. These interventions have brought an improvement in the company.
Outcome Details:
The company managed to acquire sales of R1 080 000 through construction contracts and subcontracts. They managed to employ two general workers during that period. Their previous recorded revenue was zero and the recorded employees was two. The company currently has four employees and have managed to submit their annual returns and filed their tax obligations with SARS.
Client Feedback
Client Comments:
“It's difficult to run a company without cash flow and the necessary funding from government.” Said Mr. Horniet
