
9,4 million young South Africans are unemployed. With this staggering number, it’s obvious that the youth need to invest in themselves if they want to have a successful future. Most already understand that the best strategy is to start a business, but to amplify these results, a winning combination is to start a trade or artisan business
Known as trades(wo)men or artisans, individuals who are skilled and formally trained and examined in a trade can turn their training into a business that serves the community. Before anyone can start a business as a tradesperson, it’s important to qualify within the specific field and receive their Red Seal.
Some trades to consider are:
- Mechanics,
- Fitters and turners
- Welders
- Electricians
- Plumbers
- Auto electrician
Become an Artisan
According to the Department of Higher Education and Training, there are seven steps to becoming an artisan.
First, you must choose which area to focus on. After this, you need to apply to an institution with a formal training program so you may acquire the necessary skills and knowledge. These are usually trade schools, such as a TVET college, or a private institution such as AIE or BluLever Education.
Next, you will complete your training and then join an apprenticeship or learnership where you gain on-the-job, practical experience. Once this is completed, you will have to undergo a formal assessment, usually in the form of a final trade examination.
Only after you have successfully completed the above will you receive your certificate to confirm that you are a certified tradesperson.
It’s important to note that starting an artisan business might have a higher initial cost, because you require formal training, but it’s one of the only careers that can guarantee employment as well as a decent income.
Start a Sole Proprietorship or Find a Partner
As a qualified tradesperson who is looking to start their artisan business, you need to first consider the structure of your business. Being the owner places a lot of responsibility on you, but it also means that you don’t need to share profit with anyone, and you have the freedom to make a lot of decisions on your own. However, having a partner means you might be able to share the start-up costs or complete more jobs simultaneously. You can even partner with someone with another trade that complements yours!
If you are a mechanic, for example, joining forces with an auto electrician just makes sense.
Once this is decided, you (and your partner) can develop your business plan together. It will need the following information:
- Executive summary
- Business description
- Market analysis and strategy
- Marketing and sales plan
- Management and organisational description,
- Service description
- Competitive analysis
- Operating plan
- Financial projections and needs
Equally important is registering your business. You will need your business name, personal details, company information, and relevant documents for that type of business.
During this process, you also need to ensure that you are registered for tax with SARS and that you have all the necessary documents to run your business. Remember to also open a business bank account.
Marketing Your Services
Before marketing your business, you need to take care of two specific things: Market demand and, cost of services.
The market demand will tell you what exactly the need is in your area. Conduct market research to determine what the market gap is. This will also include who your competitors are and what their services are. Based on your research, you will also need to see what your competitors are charging for the same services.
Next, create a list of services that your business will be able to offer. If you are a plumber, for instance, your list can look like this:
- Fixing major and minor leaks
- Replacing burst pipes
- Replacing or fixing toilets and basins
- Replacing and fixing geysers
You can also offer specialist services such as water filtration systems and even irrigation.
A low-cost way to start advertising your business is with digital marketing tools such as social media. You can create posts and promote them to ensure you reach your target audience. Ads on Google are also a great way to ensure that people searching for your particular type of business will find you.
However, don’t underestimate the power of traditional media. Placing an advertisement in your local newspaper might also generate interest.
Vital Elements to Keep in Mind for Your Artisan Business
Here are a few things to remember when you run your own business.
- You must invest in software to help you run your business. This needs to help you with generating invoices and tracking payments.
- Ensure that if you hire staff, you have good staff records and software that makes payroll easy.
- If your trade business has an office or workshop, you must calculate the monthly rent into your service costs.
- If you are an artisan on call, invest in a reliable vehicle to transport you to your clients.
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