Gaudrains

Business Location:	Urban
Province	Gauteng
Branch:	Fezile Dabi
Business Start Date:	2012-09-03
Busniess Type:	Company

Business Dynamics and Challenges

Business Activities: Gaudrains (Pty) Ltd, a thriving 100% black owned company based in Vanderbijlpark, Gauteng, was founded by Molifi Tsotetsi. The Business was originally established and registered as a general building company in 2012 until the owner saw opportunity to address issue of sewage spillages in Vanderbijlpark and neighbouring villages in 2022. The business focuses on a comprehensive range of drainage services such as Drain Cleaning, including Drainage Repair, Drain mapping and CCTV Inspection installation. When Gaudrains (Pty) Ltd transitioned from a general building company to focusing on drainage services, one of the business's key advantages was its established network and relationships within the construction industry. Having already been active in the building sector, the company didn’t face the typical challenges of finding clients from scratch. Gaudrains had built strong relationships with subcontractors and other industry professionals during its time as a general building company. When they shifted focus to drainage services, these subcontractors became natural partners. They were already familiar with the company’s work ethic, reliability, and quality of service. As a result, many of these subcontractors became their first clients for the new drainage services. The strong trust and professional bonds formed in the building sector were easily transferred to the drainage industry, as these subcontractors and partners recognized Gaudrains’ capability to handle drainage needs, such as drain cleaning, repair, and installation. This seamless transition allowed Gaudrains to hit the ground running without the typical struggle of finding new clients or building a new customer base. Because Gaudrains was already trusted by subcontractors, they were often referred to new clients or other construction businesses needing drainage services. This helped to expand Gaudrains’ client base further, especially in areas like Vanderbijlpark and neighbouring villages. This organic method of client acquisition, through strong existing relationships and networking, significantly reduced the time and cost needed to grow the business. It allowed Gaudrains to establish a solid client base early on, which laid the foundation for their continued success and expansion in the drainage services market. Challenges identified • One of the key challenges identified during Small Business Assessment Tool (SBAT) was the lack of resources, tools, equipment and machineries as the business was • Another major challenge identified during SBAT assessment; the business marketing strategy was poor. Despite having an established client base through subcontractors, Gaudrains have lacked a strong marketing strategy to attract new customers outside of its immediate network. • It also needed to get additional specialist labour to meet with the increased business demand and quality standards. Intervention / Solution • Seda assisted with ensuring that Gaudrains met the necessary industry standards, providing expert guidance on compliance matters which in turn helped the business to be competitive and take part in government/private tenders or projects. • Seda assisted the client with business development support trainings to improve or provide him with essential skills, knowledge, and tools that are critical to overcoming business challenges and seizing opportunities. -Gaudrains was funded R250 000 through Seda Asset Assist Programme Outcome/ Results • Gaudrains was also awarded a CCTV Inspection of sewer Infrastructure project worth value of R198 000.01 by Johannesburg Water SOC (Ltd) • The business further increased its turnover from R550 000 to R877 024 • The business also increased the number of employees from 2 to 6 with 2 retained. growing rapidly with increased business demand.

Challenges/Needs: Challenges identified • One of the key challenges identified during Small Business Assessment Tool (SBAT) was the lack of resources, tools, equipment and machineries as the business was growing rapidly with increased business demand • Another major challenge identified during SBAT assessment; the business marketing strategy was poor. Despite having an established client base through subcontractors, Gaudrains have lacked a strong marketing strategy to attract new customers outside of its immediate network. • It also needed to get additional specialist labour to meet with the increased business demand and quality standards. .

Intervention Insights and Results

Intervention Details: Intervention / Solution
• Seda assisted with ensuring that Gaudrains met the necessary industry standards, providing expert guidance on compliance matters which in turn helped the business to be competitive and take part in government/private tenders or projects.
• Seda assisted the client with business development support trainings to improve or provide him with essential skills, knowledge, and tools that are critical to overcoming business challenges and seizing opportunities.
-Gaudrains was funded R250 000 through Seda Asset Assist Programme

Outcome Details: Outcome/ Results
• Gaudrains was also awarded a CCTV Inspection of sewer Infrastructure project worth value of R198 000.01 by Johannesburg Water SOC (Ltd)
• The business further increased its turnover from R550 000 to R877 024
• The business also increased the number of employees from 2 to 6 with 2 retained.
growing rapidly with increased business demand.

Client Feedback

Client Comments: "Seda had a huge positive impact on my business"