In his maiden Budget speech delivered to Parliament, Finance Minister Pravin Gordhan highlighted plans to foster job creation through the promotion of small business development and entrepreneurship, as well as increased investment in further education and skills development.
"This is a very positive sign for small and medium-sized businesses," says Odette Roper, CEO of the Association for Communication and Advertising (ACA). "It is crucial that both the public and private sector recognise the importance of encouraging entrepreneurship and innovation and his speech indicates a renewed commitment to nurturing small and emerging enterprises."
In response to numerous calls for an increase in the VAT thresholds that would make it easier for businesses to achieve entrepreneurial status, Gordhan announced that the VAT threshold has been effectively increased from R300 000 to R1 million.
Gordhan also drew attention to a Department of Labour initiative to improve information services to help young people access jobs and training opportunities. Under consideration is a subsidy to employers that will lower the cost of hiring young people without work experience, with the preliminary estimate that about 800 000 people will qualify for the program.
"It is an exciting time to be an entrepreneur in this country," adds Roper, "and we can expect 2010 to reveal a new and emerging generation of creative and inspired business leaders."
Souce: Marketingweb |