Lygo Hiring and Service
| Business Location: | Rural area - Villages |
| Province | North West |
| Branch: | Bojanala West |
| Business Start Date: | 2023-04-24 |
| Busniess Type: | Company |
Business Dynamics and Challenges
Business Activities:
The business started with just one employee (Lesego himself) and provided basic bread and meat products to the local community.
Challenges/Needs:
However, Lygo Hiring and Services faced several challenges which limited growth. These included:
• Inadequate equipment such as cold storage and cutting machinery.
• Lack of proper costing and pricing skills.
• Poor financial recordkeeping, which hindered decision-making.
• Limited visibility due to no signage or marketing material.
• Inconsistent bread sizes, restricting access to the Kota vendor market.
These constraints made it difficult for the business to grow sustainably or expand its customer base.
Intervention Insights and Results
Intervention Details:
Through the support of Seda and the National Youth Development Agency (NYDA), Lygo Hiring and Services was successfully funded with assets worth R50,000, which included:
• A freezer room,
• An ice maker, and
• A meat cutter.
In addition, Seda provided costing and pricing training and linked Lesego to a mentorship programme that focused on financial management, recordkeeping, and pricing models to ensure profitability.
• A freezer room,
• An ice maker, and
• A meat cutter.
In addition, Seda provided costing and pricing training and linked Lesego to a mentorship programme that focused on financial management, recordkeeping, and pricing models to ensure profitability.
Outcome Details:
The interventions had a significant impact on the business:
• Turnover grew to R423,456 per year from a zero baseline.
• Employment increased from 1 to 3 staff members, creating two additional jobs while sustaining one job.
• With the freezer room, Lygo Hiring and Services can now store more stock and meet customer demand consistently.
• The meat cutter has improved efficiency in processing meat products and also added to a new income stream, while the ice maker has added a new revenue stream.
• Training on costing and pricing has improved Lesego’s financial management, enabling informed decision-making and better control of expenses.
• The business is now positioned to expand into the Kota vendor market by introducing larger bread pans.
• Turnover grew to R423,456 per year from a zero baseline.
• Employment increased from 1 to 3 staff members, creating two additional jobs while sustaining one job.
• With the freezer room, Lygo Hiring and Services can now store more stock and meet customer demand consistently.
• The meat cutter has improved efficiency in processing meat products and also added to a new income stream, while the ice maker has added a new revenue stream.
• Training on costing and pricing has improved Lesego’s financial management, enabling informed decision-making and better control of expenses.
• The business is now positioned to expand into the Kota vendor market by introducing larger bread pans.
Client Feedback
Client Comments:
“The support I received from NYDA and Sedfa has changed my life. With the new equipment and mentorship, I can now run my business more efficiently, create jobs in my community, and serve more customers. I am confident that Lygo Hiring and Services will continue to grow.” – Lesego Rangwaga, Owner
