Shack group
| Business Location: | Rural area - Villages |
| Province | Limpopo |
| Branch: | Waterberg |
| Business Start Date: | |
| Busniess Type: | Company |
Business Dynamics and Challenges
Business Activities:
Shack Group (Pty) Ltd is a company focused on waste management that offers training in waste management and recycling, in addition to collecting, purchasing, and selling recyclable materials from informal collectors in rural and peri-urban regions. The organization gathers waste from different locations and sells it to manufacturing mills and waste buy-back centres.
The enterprise began as a means to help decrease unemployment by providing income-generating opportunities for informal collectors of used recyclable packaging. Their primary goal is to minimize the amount of recyclable waste sent to landfills right from the source, while also gathering recyclable materials from nearby businesses.
The organization implements waste segregation techniques by sorting and classifying different waste types to enhance recycling and proper disposal, such as distinguishing plastics from metal cans. The organization aims to broaden its revenue base over the next three years by acquiring additional trucks and equipment for waste management. This business has been in operation for three years and has the potential to expand throughout the Limpopo Province; it is owned by black youth and plans to hire more young people to aid the government in addressing high youth unemployment levels in the country.
Shack Group (Pty) Ltd business objectives include:
• Establish own waste recycling plant.
• Procuring additional waste hauling trucks.
• Compliance with environmental, and health & safety regulations.
• Foster long term relationships with recycling stakeholders and regulatory bodies.
• Increase efficiency in the waste management processes.
• Comply with waste management principles and measures.
• Encourage re-use and recycling to limit landfill usage.
• Building sustainable business relationships with local authorities and private sector.
Challenges/Needs:
Mr Keitumetse Malatji visited a Sedfa office needing assistance to grow his business. He needed assistance with business development services. Seda’s evaluation of the business uncovered the following areas for development:
• Limited understanding of the Quality Management System.
• Requirement for funding to recapitalize the business and stimulate growth.
Intervention Insights and Results
Intervention Details:
• The client was enrolled in a 2-day intensive Quality Management Systems training.
• The business was assisted with Asset Assist Support Programme funding.
• The business was assisted with Asset Assist Support Programme funding.
Outcome Details:
• QMS training improved the knowledge of the entrepreneur and confidence to secure more business from the local communities.
• Annual turnover increased from R861 089 to R994 000, reflecting a growth of 15%.
• The business has since created 5 more jobs.
• The business was approved for an amount of R249 900 under AASP for the purchasing of 2 bailing machines.
• Annual turnover increased from R861 089 to R994 000, reflecting a growth of 15%.
• The business has since created 5 more jobs.
• The business was approved for an amount of R249 900 under AASP for the purchasing of 2 bailing machines.
Client Feedback
Client Comments:
“Within a short period of time working with Mr Mdoda at Sedfa I have seen progress in my business”.
