Zifacane Holdings (Pty) Ltd
| Business Location: | Rural area - Villages |
| Province | KwaZulu-Natal |
| Branch: | Durban |
| Business Start Date: | 2022-01-04 |
| Busniess Type: | Company |
Business Dynamics and Challenges
Business Activities:
Zifacane Catering Services operates as a cooked food business, specialising in catering services for events and funerals. The business provides freshly prepared meals tailored to meet the needs of both individual customers and group functions.
Challenges/Needs:
In January 2024, Zifacane Catering Services secured a significant contract with Gabela Funeral Services. However, the business faced serious operational constraints as it relied heavily on hired catering equipment and delivery vehicles to fulfil its services. This dependence resulted in a profit loss of approximately 52% per event, significantly reducing overall profitability.
On several occasions, the business was forced to decline catering opportunities due to a lack of capacity or the unavailability of hired equipment. This not only created frustration for management but also limited the co-operative’s growth potential and delayed its ability to generate further employment within the community. With at least one major client already under contract, Zifacane urgently required funding to secure its own catering equipment, improve efficiency, and unlock opportunities for expansion.
Intervention Insights and Results
Intervention Details:
Through Sedfa’s Asset Assist Programme, Zifacane Catering Services secured 100% grant funding of R84,010.00. The funding was used to purchase essential catering equipment that the business previously relied on hiring. This intervention enabled Zifacane to expand its operations, reduce costs, and operate more efficiently. By owning its equipment, the business no longer suffers from the profit losses associated with hiring, positioning it for sustainable growth and the ability to take on more events.
Outcome Details:
The intervention has delivered significant measurable results for Zifacane Catering Services, strengthening both its financial performance and social impact in the community:
• Turnover Growth: Revenue grew from R118,999.00 to R488,000.00, reflecting a remarkable increase of R369 001.00 (310%). This improvement is directly linked to the purchase of catering equipment, which expanded the business’s operational capacity.
• Job Creation: Employment increased from 3 employees to 5 employees, creating 2 new positions for local community members.
• Profitability: Net profit improved significantly, moving from a loss of -R50,980.01 to a profit of R133,300.00. This represents an improvement of R184,280.01 (361.48%), underscoring the business’s sustainability and resilience post-intervention.
• Turnover Growth: Revenue grew from R118,999.00 to R488,000.00, reflecting a remarkable increase of R369 001.00 (310%). This improvement is directly linked to the purchase of catering equipment, which expanded the business’s operational capacity.
• Job Creation: Employment increased from 3 employees to 5 employees, creating 2 new positions for local community members.
• Profitability: Net profit improved significantly, moving from a loss of -R50,980.01 to a profit of R133,300.00. This represents an improvement of R184,280.01 (361.48%), underscoring the business’s sustainability and resilience post-intervention.
Client Feedback
Client Comments:
I'm happy with the service oh God and my business is growing!
