Contents of the old oak chest revealed - Part 2: the meeting with Adolf Hitler

Roger and Mary Chance, my grandparents, spent the winter months and early spring of 1934 in Hindelang in the Bavarian Alps. They were drawn by the reputation of the local quack, Professor Franz Gerl, who seemed to have some success treating Mary's thyroid trouble. There they got to know another of Gerl's patients, Rudolf Hess, with whom Roger spent many hours discussing Hitler's intentions for Europe.

In May they returned home to Hampstead, London, where Roger wrote an article for the Fortnightly Review, Does Germany mean war? Attempting to give a 'fair' judgement, the article was translated to German and reprinted (apparently with the critical paragraphs edited out), attaining a wide readership in literary and political circles.

Contents of the old oak chest revealed - Part 1

Diana and I are staying with my parents in their lovely home in Criccieth, north Wales. I'm in the sitting room with a stunning view of the sunrise, looking out over Tremadog Bay towards the Rhinog mountains. Yesterday we took a drive around Snowdonia National Park, lunching in Beddgelert before returning at dusk to see this amazing sunset, silhouetting Criccieth castle which was built in the 1300s. This is a beautiful but little known part of Britain. My mother's parents built a holiday home not far from here in the 1930s which we visited every summer when I was growing up. When my father took early retirement in 1978 he and my mother moved to the farm Rhosgyll Fawr (meaning big rough pasture) which they'd bought some years earlier and restored to working order. Finally they settled in the town, building themselves this house where they are seeing out their closing years.

Flying visit to the Cape Town Summer Market

Yesterday I paid a flying visit to the Cape Town Summer Market, which opened in the Company's Garden on Saturday and runs until the 30th (excl Christmas Day). It had both a professional and a personal purpose - the market is an important annual event in the calendar of over 200 informal traders, mainly from the Cape Flats, who make up part of my small business constituency; and it was a trip down memory lane, as I was part of the team that organised the market in 2012 and 2013 and I wanted to re-connect with many people who had become friends in the process. I spent a very enjoyable five hours wandering through the Garden as the traders set up their stalls. The treacherous south-easter wasn't blowing and the air was warm, perfect conditions in fact, with the breath-taking setting under Table Mountain making this a popular destination for Capetonians and tourists alike.

So what is a job, and how do we create more of them?

This article appears as an OpEd in Business Report - Cape Times and The Star - this morning. 

The need to create jobs in South Africa is accepted as our most urgent priority. Jobs put money into people’s pockets, reduce their dependency on the state, increase the choices open to them and their families and swell their sense of self-worth.

Load shedding - power cuts by a new name

In 1972 the lights went off in Britain. The showdown between the National Union of Mineworkers and Edward Heath's Conservative government led to rolling electricity blackouts, the three day working week and general misery for millions of people. I well remember poking at my dinner plate in the dim school dining room candlelight, wondering how a supposedly modern country could hit such a low. Now, 42 years later, I am beset with the same thoughts.

Co-ops, tomatoes and potholes - the common denominator

It's 9:30 pm on Wednesday and I've just arrived in Cape Town after Parliament was recalled for an unscheduled sitting tomorrow. This week was supposed to be for committee oversight visits but yesterday evening the Speaker sent an SMS to all MPs saying there was unfinished Parliamentary business to attend to. The programme was set to last only 25 minutes but the DA and other opposition parties objected that this was a waste of taxpayers' money. So it was extended to include a snap debate on the energy crisis (called by our Public Enterprises spokesperson Natasha Michael) as well as a debate on the report of the Powers and Privileges Committee on the conduct of the EFF and farewell speeches. More on that tomorrow after the sitting. For now, I will recount the events of the past two days in KwaZulu Natal, where members of the Portfolio Committee on Small Business Development assessed the state of cooperatives as well as efforts by the Province to stimulate small businesses. All in all it was a disheartening experience mixed with some bright spots.

Statement read in Parliament yesterday by Speaker Baleka Mbethe

The Speaker of Parliament Baleka Mbethe read out the following statement in the House of Assembly yesterday.

It was her attempt to show the institution of Parliament was responding to the events of Thursday. The actions of the committee she refers to will determine whether it is another ANC whitewash or will take its mandate seriously.

The DA will continue its protests until a) Mbethe resigns and b) President Zuma comes to the House of Assembly to answer questions.

Motion without Notice on the Soweto Arts & Crafts Fair

Parliament today was more subdued than on Thursday. There was blanket media coverage so no need to repeat it here. I will offer my thoughts another time. Suffice to say the issues remain the same as I highlighted in my post on Friday - how we can bring the House and the ANC to order and call the Executive - including Jacob Zuma - to account.

A committee has been formed with Leader of Government Business and Deputy President Cyril Ramaphosa as Chair, and ANC Chief Whip Stone Sizani and DA Parliamentary Leader Mmusi Maimane as a Vice-Chairs.

The Committee has the job of restoring the primacy of House rules over the whims of the Presiding Officers, all of whom are ANC appointees.

The Presidency released this statement today.

During today's session I was able to introduce a Motion without Notice on the Soweto Arts & Crafts Fair. I took this photo of it before handing it over to the Parliamentary clerks for the record.

I reproduce the text in full below.

Business not as usual - letter to Business Day

First, thanks to all the regular and new readers of Tata Ma Chance Tata Ma DA who visited over the weekend. Your shared my account of events in the House of Assembly on Thursday multiple times on Facebook and Twitter, leading to a huge spike in readership. Thank you! It seems to have struck a chord.

Sunday newspaper editors had to scurry to update their front pages, which no doubt were to be dominated by Numsa's expulsion from Cosatu until the wires became clogged with the story of police storming Parliament. For once they were spoiled for choice.

Amidst all the drama I overlooked my letter published in Business Day on Friday, reproduced below. I hope the Minister of Small Business Development, Lindiwe Zulu, takes my message to heart while she reflects on her unseemly behaviour in Parliament which has not gone down well, and nor should it.

Parliament in crisis - the back story

Yesterday's debacle in Parliament left many people licking their wounds, both literally and figuratively, but four in particular will need more than band aid to repair the damage done to their reputations - Speaker Baleka Mbete, ANC Chief Whip Stone Sizani, Minister of Small Business Development Lindiwe Zulu and House Chair Cedric Frolick. They must be reflecting on what came over them during those few hours of madness and mayhem which will go down in the annals as one of the darkest moments in our new democracy. 

ANC self destructs in Parliament. South Africa the loser. DA the sole guardian of democracy.

Today will be remembered as a dark day in  South Africa's democracy. The Speaker and ANC Chief Whip cross swords. Speaker Mbete withdraws ignominiously. The House descends into chaos. Riot police enter the House and are forcibly removed by Members who refuse to be intimidated. Members are assaulted. Rules are ignored. DA Parliamentary Leader Mmusi Maimane restores order and dignity, establishing himself as Parliament's moral guardian. DA Chief Whip John Steenhuisen the bastion of order and propriety.

Tomorrow I will post a summary of events, and try to make sense of it all.

Is Andile Cele South Africa's budding Ralph Lauren?

Yesterday, on my way to Soweto, I made a detour to Marshalltown in downtown Johannesburg to visit a friend of my Constituency Officer, Nomzekelo Monakali. Her friend, Andile Cele, owns a fashion store, she said, and wanted to talk to me about how to grow the business. I'm always keen to talk to budding entrepreneurs so I didn't take much persuading. What I found was a young man filled with ideas, perseverance, a determination to succeed and the makings of a fashion brand that, I believe, has the potential to make him rich and famous.

The beauty of choral evensong

One of the highlights of my month is singing in choral evensong at St George's Church in Parktown. Evensong is peculiar to the Anglican church and is taken from the Book of Common Prayer with most of the liturgy sung rather than spoken. St George's evensong takes place on the first Sunday of each month, followed by sherry in the hall. It is a beautiful service which leaves one feeling spiritually enriched and ready for the week ahead.

Lufhereng housing development in Soweto shrouded in controversy

Today in Parliament I called on the City of Johannesburg to come clean on the Lufhereng housing development in Ward 53, Soweto, which is shrouded in controversy.

Statement by Toby Chance, MP

30th October 2014

The City of Johannesburg has long been bragging about its massive Lufhereng housing development in Ward 53 in the far west of Soweto. Launched in 2008, it was projected to comprise 6 000 rental units, 6 000 bonded units and 12 000 RDP units, as well as schools, clinics, crèches, agricultural and commercial land.

Press statement: E-tolls killing jobs throughout Gauteng

Democratic Alliance press statement by

Toby Chance MP

DA Shadow Minister of Small Business Development 

E-tolls killing jobs throughout Gauteng

27 October 2014

Release: immediate

Note to editors: This statement was delivered to members of the media at a press briefing hosted by DA Shadow Minister of Small Business Development, Toby Chance MP, DA Parliamentary Leader, Mmusi Maimane MP, DA Shadow Minister of Transport, Manny de Freitas MP, and DA Gauteng Shadow MEC for Roads and Transport, Neil Campbell MPL, this morning. A spreadsheet detailing the costs breakdown is attached here.

The Democratic Alliance today announces the initial findings of our survey on e-tolling’s impact on small businesses.

The results confirm what the DA has said all along – e-tolls are killing jobs and businesses in Gauteng.   

Entrepreneurs worlds apart

This opinion piece appeared in the Cape Argus on Thursday 23rd October.

Earlier this month I attended two events which at their core aimed to achieve the same thing – entrepreneur development and job creation, but which illustrate the huge gulf that exists in South Africa between the worlds of the informal township entrepreneur and the connected tech entrepreneur. They also gave me an insight into the political and economic terrains in these two worlds, where the language used seems to have been drawn from completely different dictionaries, written with contrasting ideologies and politcial imperatives in mind.

The first event was the Township Revitalisation Summit in Orlando Stadium, Soweto, convened by Gauteng Premier David Makhura. The second was the SiMODiSA Start Up SA conference at the Cape Town International Convention Centre. The two venues immediately set the scene for a dichotomous relationship.

Dr Thami Mazwai and me in sync on the Entrepreneurial Ecosystem

Thami Mazwai's column in today's Business Day pays me the compliment of quoting my recent article about South Africa's Entrepreneurial Ecosystem.

To quote Dr Mazwai: "Comments by Democratic Alliance shadow small business minister Toby Chance in the Financial Mail of October 9, underscore the urgency with which new Small Business Development Minister Lindiwe Zulu must undertake her mandate."

He goes on to say: "As Chance points out, small business development thrives in an ecosystem approach in which all play their respective roles. Our past was premised on silos in which the government did its own thing, the universities did theirs, the Setas blithely went their own way, the chambers had their programmes and the private sector prided itself on its market approach. This has simply not worked and the evidence, continuing unemployment and inequality, is there for all to see."

BEE polarises SA - letter to Business Day

On Thursday Business Day published my letter headlined "BEE polarises SA" - read it below or on BDFM here.

Let me know what you think. The DA is submitting our response to the new BEE codes and we need your input.

Is it time BEE was phased out completely, or do we need new ways of redressing the inequities of the past that also incentivise the creation of new businesses and jobs? This is an important debate that will not go away.

"Last Friday, I was a panellist at the SiMODiSA Start Up SA conference in Cape Town where several hundred representatives of SA’s “entrepreneurial ecosystem” gathered. 

We listened to pitches from aspirant entrepreneurs. At least four were delivered by two people — one black and one white. Assuming they hold a 50-50 stake in their business, under the new Broad-Based Black Economic Empowerment (BEE) codes, they would get a Level 4 rating. If the black entrepreneur shed his white partner, however, he would get a Level 1 rating, leaving his former partner with a Level 5 rating at best.

It would be hard to imagine a more perverse and socially polarising piece of legislation. Everyone I spoke to, of whatever hue, strongly believed the BEE regime in SA had to change. The African National Congress simply does not get entrepreneurship."

Toby Chance, MP

Democratic Alliance shadow minister for small business development

Appearance on the Classic Business Panel: The Small Business Debate

Yesterday I was on the panel in the Small Business Debate on Classic FM hosted by Michael Avery. Co-panellists were Leon Louw, Executive Director of the Free Market Foundation, and Stiaan Klue, Member of the SMME Policy Colloquium Committee and CEO of the SA Institute of Tax Practitioners. 

We had a lively debate which focused on the performance of the Department of Small Development and the government's attitude to small business in general. Most of our comments were critical, thoughwe all expressed our belief that this was a vital area for South Africa to get right if we are to create the jobs the country needs.

You can listen to the podcast here - scroll down to Segment 9 at the bottom of the page and click on the link.

Press Statement on BEE Codes of Practice

Democratic Alliance joint press statement by
 

Geordin Hill Lewis MP
DA Shadow Minister of Trade and Industry, and
Toby Chance MP
DA Shadow Minister of Small Business Development

DA will make extensive submissions to amend BEE Codes of Practice

14 October 2014

Release: immediate

The Democratic Alliance notes the release of the draft BBBEE Codes of Good Practice by the Minister of Trade and Industry, Rob Davies, for public comment. 

The DA will submit extensive proposed amendments to the Codes, during the public comment period which ends on 14 November 2014.

The Codes, as they are currently drafted, will not achieve the stated objective of preventing fronting. They do not promote redress or decrease inequality, and they certainly do not help to grow the economy or create jobs. In fact, in many respects, they will achieve the opposite of what the ANC says they want to achieve. 

New B-BBEE codes will hurt small business

Today's Business Day carries an article about the revised Broad-Based Black Economic Empowerment Codes of Good Practice for Exempted and Qualifying Small Enterprises which quotes me extensively - read it here.

My point can be summed up thus: the DTI is obsessed with remodelling the racial composition of the cake, while the Department of Small Business Development is (or should be) interested in growing the size of the cake. These aims inevitably come into conflict.

As I point out, a 50/50 partnership in a new business between a black and a white person would give it a level 4 rating. This is crazy! Surely we should be encouraging start-up businesses whatever the colour of their founders.

Opinion piece in the Financial Mail - Leadership required for our entrepreneurial ecosystem to thrive

This article appears in this week's edition of the Financial Mail - read it here in the magazine or below.

 

The formation of the Small Business Development ministry has focused the minds of everyone concerned about South Africa’s weak economic growth and the role small and medium enterprises (SMEs) have in revving it up.  

A buzzword gaining traction in small business development circles is the “entrepreneurial ecosystem.” By this is meant the totality of activities, enablers, conditions, stakeholders and incentives that make up the environment in which entrepreneurialism can exist and thrive. By all accounts the ecosystem in South Africa is under-developed, fragmented and lacking leadership. 

Press statement: DA launches drive to show E-tolls impact on Gauteng businesses

DA launches drive to show E-tolls impact on Gauteng businesses

 

08 October 2014

Release: immediate

 

The DA today launches a drive to give business owners in Gauteng a voice against E-tolls.

 

Owners of small, medium and large enterprises in Gauteng are encouraged to send us breakdowns of their E-toll bills as part of phase one.

 

All information gathered in this drive will be compiled into a report on the impact of E-tolling on businesses in the province.

 

The DA will use this report to continue the fight against E-tolls on behalf of businesses, and all residents of Gauteng. 

Letter to Minister Jeff Radebe re the turf war hampering Small Business Development department

Below is the text of the letter I sent to Minister in the Presidency Jeff Radebe requesting him to intervene in the turf war between the Departments of Small Business Development, Trade & Industry and Economic Development.

The Honourable Jeff Radebe MP

Minister in the Presidency

Union Buildings
Private Bag X1000
Pretoria,
0001    

29^th September 2014

 

Dear Minister Radebe 

Problems facing the establishment of the Department of Small Business Development

On Thursday and Friday last week the Portfolio Committee on Small Business Development held a strategic workshop where the Ministry and Department presented their vision and plans and the committee members interrogated them. 

Of concern to me is that there appears to be a turf war developing between this department and the Departments of Trade & Industry and Economic Development over where certain functions should sit. The Acting Director General, Ms Pumla Ncapayi, reported to the Committee that the DED is intent on retaining control of the Small Enterprise Finance Agency, while the DTI is of the same view with regard to the Incubator Support Programme. 

I am sure you will agree with me that these two functions – finance and incubation for small businesses – sit squarely within the remit of Small Business Development. Now that the President has created this department it would be odd to say the least if it were not fully capacitated to do its job. 

There is multi-party agreement that small businesses will create the majority of the 11 million jobs we need by 2030, as outlined in the National Development Plan. Minister Zulu cannot be expected to play her part in facilitating this process of job creation if she is shackled from the start. 

I am therefore appealing to you to intervene and find a settlement between the three ministries so they can get on with the important work ahead without delay. The Portfolio Committee is unanimous on this matter and I am sure the Chairperson, the Honourable Ruth Bhengu MP, will be taking it up through appropriate ANC structures as well. 

I look forward to your response. 

Yours sincerely 

Toby Chance MP
Shadow Minister for Small Business Development

CC
The Honourable Lindiwe Zulu, MP
The Honourable Ruth Bhengu, MP

Business Day picks up on the problems facing the Department of Small Business Development

Today's Business Day has a page 2 article quoting me extensively on the problems facing the Department of Small Business Development.

The full text of my statement can be read below.

Department of Small Business Development being slowly strangled at birth

 MPs at Friday’s session of the Portfolio Committee on Small Business Development’s strategy workshop in Kempton Park listened in shock as Minister Lindiwe Zulu described her new-born department’s struggles to draw breath and establish its independence. 

It appears the Departments of Trade & Industry and Economic Development are doing all they can to strangle their younger sibling at birth with potentially tragic consequences for small and medium enterprises, which are expected to create 90% of the 11 million jobs the NDP says we need by 2030.

SiMODiSA Start Up Conference - 10-10-14 in Cape Town

The organisers of the SiMODiSA conference on start ups and entrepreneurship have sent out a mailer advertising it - click here for details.

It will be an excellent place to learn, network and do business. I am going to be there, for sure.

A tale of two festivals

This weekend the annual Soweto Festival Expo once again provided an opportunity for small businesses from Soweto and Gauteng to sell their wares, network, and contribute to job creation and economic growth in South Africa. The three day event also showcased hundreds of musicians and performing artists, all contributing to the creative economy of Gauteng. 

This same weekend the City of Tshwane was due to host the Tribe One Festival, purportedly at a cost of R65 million. It was cancelled at the last minute, amidst accusations and counter accusations by the City and the event organisers.  

Department of Small Business Development: quo vadis?

The task ahead

”If countries fail at creating jobs, their societies will fall apart. Countries, and more specifically cities, will experience suffering, instability, chaos, and eventually revolution. This is the new world that leaders will confront. 

What would fix the world – what would suddenly create worldwide peace, global wellbeing, and the next extraordinary advances in human development, I would say the immediate appearance of 1.8 billion jobs – formal jobs. Nothing would change the current state of humankind more.”

– Jim Clifton in The Coming Jobs War.

This message should act as a stern warning to the ANC-SACP-COSATU alliance and Jacob Zuma’s government. Unless they design and implement measures friendly for creating jobs, the National Democratic Revolution so many of them are wedded to will end up being very undemocratic and threaten South Africa’s future as a nation. Instead, we will become a failed state.  

How to create jobs, therefore, is the most pressing problem the country faces today. This is highly contested political as well as economic territory.  

Visting small businesses in Soweto with Mmusi Maimane

Today I visited the Emdeni Industrial Park in Soweto with DA Parliamentary Leader, Mmusi Maimane. This was the first leg in the DA Small Business Tour which my deputy, Henro Kruger (who also came along today) and I will embark on over the coming few months. Its purpose is to meet small business owners all over the country and learn more about the conditions they are working under, the challenges they face and what government and big business are doing to support them.

You can  read the statement Mmusi's office issued today here

The murky waters of Soweto politics

On Wednesday I got a call from Cecil Molopo, Chairman of the DA branch in Ward 53, Johannesburg. This is one of the 10 wards that make up my constituency, Soweto West. It's enormous, nearly the size of the whole of Soweto, extending from Doornkop Extension 1 westwards to the borders of Randfontein. Most of the ward is veld, hence its size, and is home to several gold mines. Cecil sounded very distressed and wanted to meet me as soon as possible. So we arranged to meet on Friday morning.

Letter to Business Day - Minister needs to break from past

My letter to Business Day is the lead letter in today's edition.

Dear Sir

Leon Louw (Preference for small business not productive) makes suggestions for how the Department of Small Business Development can avoid being “potentially superfluous”. The DA broadly agrees with his suggestions. 

Minister Zulu has a choice: she can restrict her mandate to the narrow bounds of what is possible to achieve in her department, or she can go beyond that and become the government’s first business-friendly minister and advocate among her cabinet colleagues for the liberalisation of the economy. While the first is not easy, the second is nigh impossible unless she has the support of the President and Deputy President, and an unflagging commitment to the overall strategy embedded in the National Development Plan.

Nedbank Small Businesss Friday a worthwhile initiative

I support the spirit and intentions behind Small Business Friday, which was yesterday. Initiated by Nedbank in association with the National Small Business Chamber, Small Business Friday encourages people to buy from local small businesses every day but especially on Fridays. 

Russian retirement? - letter to Business Day

Published today - read the newspaper version here or below

Russian retirement?

Sir - Has President Jacob Zuma gone to Russia to negotiate the terms of his exile in preparation for his soon-to-be-announced recall as president?

Perhaps he is inspecting some comfy dachas and looking at a time-share option with President Vladimir Putin. I think we should be told.

Toby Chance
Via e-mail

Entrepreneur training for grade 9s in Soweto, and a self-identity for Africans

On Saturday I attended an inspiring event organised by ORT SA and sponsored by Absa, at the Pace Commercial High School in Zola, Soweto. It was the launch of ORT SA's Ready for Life programme, which "will train pupils from Grade 9 through to Grade 11 to enable them to create a sustainable livelihood by teaching them how to run their own business." I was invited by Peta Broomberg when I met her and the CEO Ariellah Rosenberg at their offices to discuss ORT's programmes and their relevance to small business development.

Zuma must account to Parliament and stop evading justice

As I sat listening to Jacob Zuma answering written and follow up questions in Parliament yesterday I experienced a welling up of anger and frustration at the dire state we have reached in this country and our seeming powerlessness to do something about it. At a time when South Africa is facing multiple challenges its president is nowhere to be seen. Zuma is president in name only. His presidential duties are obscured under a massive pile of dung that has accumulated through his own making and is now poisoning our polity. This putrefying mass of denial, corruption, incompetence, cronyism and non-accountability is what has become of the Zuma sham presidency.

This is how we must interpret yesterday's antics in the House, when the EFF were ejected for calling on Zuma to repay the money he 'stole' from the taxpayer to build his Nkandla residence. The EFF refused to budge, forcing the Speaker to suspend the sitting and call in the police.

Three giants of enterprise, choice and freedom

Parliament reconvened yesterday after a two week break, for the third term of the year which lasts until September 22nd. My day did not start well, with the 7 am British Airways flight being offloaded due to a radio malfunction. Our replacement Kulula plane took off at 10:30 so I lost half the morning, which was irritating. But things looked up, after I'd dumped my bags in my office and joined Jamie Turkington, Helen Zille's Chief of Staff in the party leader's office, for a light lunch at Doppio in St George's Mall. We had got to know each other during the election campaign when he was seconded to run communications for Mmusi Maimane in his bid to topple the ANC in Gauteng. Though that turned out to be a bridge too far we learned a lot and like me he is now in a new job and enjoying the challenge.

Small business finance and the collapse of African Bank

With the Reserve Bank putting African Bank into curatorship on Monday the issue of micro loans is once more hitting the headlines for all the wrong reasons.

Micro loans are typically spoken of as personal loans but a growing number are issued to small business owners who can’t get finance through the big banks, mainly because they don’t have collateral.

Ward 32 by-election - a hard fought contest with victory for the DA

On Wednesday there were two by-elections in Johannesburg necessitated by the election of councillors Gordon Mackay (ward 90) and Darren Bergman (32) to Parliament as MPs. All constituencies in South Gauteng were asked to help out with canvassing and mine, Soweto West, was allocated Ward 32 which covers an area in north eastern Joburg including Linbro Park, Modderfontein, the northeastern tip of Alexandra, Greenstone, Buccleuch and Klipfontein View in Midrand. It's a very mixed ward demographically speaking, and Darren won it against the odds by a couple of hundred votes in the 2011 municipal elections. It was vital we retained it with an increased majority. Ward 90 is a safe DA ward so we expected to win it comfortably.

Minister Zulu must target film industry as strategic industry

Democratic Alliance press statement by

Toby Chance MP

DA Shadow Minister of Small Business Development

Minister Zulu must target film industry as strategic industry

13 August 2014

Release: immediate

The DA calls upon Minister Lindiwe Zulu to target the film production industry as a strategic industry for job creation in South Africa by establishing sector specific business incubators for small and medium enterprises within the film production sector. 

This follows an announcement by the Minister of Trade & Industry, Rob Davies,  to lower the threshold for film production companies claiming rebates for films produced in South Africa. 

Department of Small Business Development needs a strong captain at the helm

 Democratic Alliance press statement by

Toby Chance MP

DA Shadow Minister of Small Business Development

Department of Small Business Development needs a strong captain at the helm

08 August 2014

Release: immediate

A reply to a recent DA Parliamentary question reveals that the Department of Small Business Development continues to struggle with formulating an effective mandate and policy direction, crucial for justifying its existence as a new Ministry, and for growing effective support for small business enterprises.

According to the reply, the Minister will assess the “existing policy areas that inform the mandate of my department” and support the implementation of programmes for “access to finance, business skills development, market access, competitiveness, easing regulatory environment, and advancing localisation.”

People doing what they are passionate about

Now that we have a fortnight's break from Parliament, this week I have filled my diary with meetings with all sorts of people, all one way or another connected to small business development and entrepreneurship. It started on Saturday at the Soweto Arts & Crafts Fair and Sunday at the showing of the Step up 2 a Start Up film at Eastgate. Yesterday I met Pierre van den Hoven who told me about his just-launched mobile video app, Tuluntulu, which is at the cusp of a revolution in they way we watch TV. Today I was introduced to three completely different enterprises, run by tight-knit teams of dedicated and passionate people who care deeply for South Africa and have chosen their own ways of making a difference.

Step up 2 a Start up

Yesterday I made an early start to the day and drove to Eastgate Mall to attend an inspiring viewing of the new film produced for Primestars' innovative Step up 2 a Start up entrepreneurship programme. Devised by the irrepressible Martin Sweet, the programme is aimed at inculcating a culture of entrepreneurship among grades 10, 11 and 12 learners as they prepare for the world of work.

Sue Schneider from Gearhouse, Toby Chance, Robyn O'Leary from 3M and Martin Sweet from Primestars with a group of learners.   Photos courtesy Colin O'Leary

Soweto Arts & Crafts Fair

Yesterday I visited the Soweto Arts & Crafts Fair which takes place on the first Saturday of every month at the Soweto Theatre in Jabulani, right next to the Jabulani Mall. It's the brainchild of Tsepo, Mbali and Simphiwe who are young artists and entrepreneurs wanting to make a difference in their community especially in the field they know well.

My visit served two purposes: mingling with residents in the constituency that is now confirmed as mine - Soweto West, which comprises 10 wards including Ward 34 where the market is located; and second, fulfilling my role as the DA Spokesman on Small Business Development.

Small businesses must be protected from big unions

Media statement

30 June 2014

The DA will write to the Minister of Small Business Development, Lindiwe Zulu, requesting she advocate for the exclusion of small and medium business enterprises from collective bargaining agreements which they are not signatories to through amendments to the Labour Relations Amendment Act. 

This follows on-going strike action within the metal and engineering sector post the signing of an agreement between major workers' union NUMSA and major employers' association, Steel and Engineering Industries Federation of South Africa (SEIFSA) - bringing a partial end to a 4 week long strike in the metal and engineering sector.

Budget vote speech - Trade & Industry

Speech by Toby Chance MP

DTI budget vote

Old Assembly Chamber

Parliament

22^nd July 2014

South Africa below SADC neighbours on entrepreneurship

Chairperson, Honourable Members and visitors in the gallery, good evening, sanibonani, goeie naand.

The Honourable members on the other side of the House like telling stories. So let me tell a story of my own. And thank you, Honourable Bhengu, for providing such a perfect introduction for me.

For many South Africans, the formation of the Department of Small Business Development is a fairy tale come true.

And in all fairy tales there are heroes as well as villains.

Budget vote speech - Economic Development

Speech by Toby Chance MP

Economic Development budget vote

Old Assembly Chamber

Parliament

22^nd July 2014

DSBD must make more funding available for small businesses

Chairperson, Honourable Members and visitors in the gallery, good morning, sawobona, goeie more.

In 1994, after years of economic isolation, Anglo American Corporation controlled 44% of JSE-listed companies and the top five corporates controlled 84%.

Since then the structure of our economy has changed dramatically. But the concentration of the main economic levers in the hands of a few large companies remains a concern.

Nelson Mandela Day in Athlone, Cape Town

Today was Nelson Mandela Day, commemorating the birth of the great man 94 years ago, on July 18th 1918. The United Nations has declared this a day of kindness and goodwill, to honour the deeds of a man who contributed so much to humanity and who, along with FW de Klerk and other courageous leaders of that time, rescued South Africa from centuries of racial hatred and conflict and set us on a new course.

South African tax payers, all 5 million of us, do not need reminding we are supporting another 45 million less well off people. It is drummed into our heads daily. We live in a very unequal society, and yesterday was an opportunity for us not just to begrudgingly hand over our precious taxes but go the extra mile and give of our time too.

Is Julius Malema the new Oswald Mosley?

Every country throws up populist leaders from time to time. They usually emerge in times of national tension or weak institutional leadership, or when the government of the day is directionless. They play on the anxieties of their constituencies, let down by competing ruling elites scurrying around to protect their interests while they vie for power.

Owning up to the trust deficit - Letter published in Business Day 7th July 2014

Click here to go to the BDLive website or read the letter below.

Thursday’s Business Day carried an article by Paul Vecchiatto on the exchanges between me and members of the Portfolio Committee on Small Business Development (ANC rejects claim it is ‘against business’, 3 July).

What it omits to mention were the further denials by some ANC members of the Committee of my claim that a trust deficit exists between government and business, not to mention labour. I referred to the trust deficit because I thought this was something we could all agree on.

Here's how to be radical, Mr Netshitenzhe - Letter to the Mail & Guardian

The Mail & Guardian this week published a letter I wrote to them in response to an article by Joel Netshitenzhe in last week's edition. Read it here or below:

Joel Netshitenzhe, former ANC spin doctor turned sage, attempts to stand above the fray in his call for collective responsibility in bringing about radical change to South Africa.

Would that he had adopted such a disinterested approach when he and his comrades developed the ANC’s cadre deployment policy in the mid-1990s. Had he done so, this policy would never have seen the light of day.

The trust deficit between government and business - even the NDP mentions it!

Today's Business Day runs an article by Parliamentary Correspondent  Paul Vecchiatto on the exchanges between me and members of the Portfolio Committee on Small Business Development yesterday.

You can read it here.

The comments I made in committee yesterday constituted around 10% of what I said, the rest being constructive criticism, but ANC members, especially Deputy Minister Thabethe, Committee Chairperson Ruth Bhengu and MP Xitlhangoma Mabasa took exception to and spent much of their time trying to refute them.

Minister agrees to the need for an urgent performance review of the Incubator Support Programme

3 July 2014

Release: Immediate

This morning I met with the Minister of Small Business Development, Lindiwe Zulu, for our first meeting to discuss plans and priorities for the new department.

Minister Zulu agreed with me that an urgent performance review of the Incubator Support Programme was required, and that the legislative environment be scrutinised with a view to easing the burden on small business as quickly as possible.

This is critical if we are to increase the number of small businesses and boost job creation.

A constructive start to the Small Business Development Portfolio Committee - with some riders

Today it was the turn of the Small Business Development Portfolio Committee to sit. We did so in the intimate surroundings of Committee Room 315 in the Marks Building, which is where all Opposition parties have their offices. No need for breakfast earlier for all committees are amply provided with food and drink (no alcohol) which we snacked on before things got under way. Lots of hugging and shaking of hands as we assembled, the Minister and her Deputy Elizabeth Thabethe both greeting me as they entered the room. I had a brief chat with Minister Zulu who repeated her invitation for us to meet, which we are doing tomorrow morning. This was a good start to proceedings.

Trading jibes with Minister Patel

Yesterday was my first taste of portfolio committees in Parliament. In the morning there was a joint sitting of the  Economic Development Committee and the Small Business Development Committee (which Henro Kruger and I belong to) and in the afternoon we sat with the Trade & Industry Committee. Committees comprise 11 members, 6 from the ANC, 2 from the DA and 3 from other parties. Last Wednesday we elected the Chairpersons of the committees, in our case senior ANC member Ruth Bhengu although technically DA members abstained in line with the party whip. This week all the committees are sitting to listen to their respective ministers present their plans and budgets for the remainder of the financial year and to take questions from Members. Minister Patel was not at all pleased with the question I posed to him and gave me a ticking off like I was a naughty new boy at school who didn't know his place.

A guideline for Minister Lindiwe Zulu

This week the Parliamentary portfolio committees sit for the second time in the current session, having elected their chairpersons last week. In an unusual arrangement, members of the Portfolio Committee on Small Business Development will attend not only their own but also those of Trade & Industry and Economic Development.

The reason, presumably, is that this new department will have to sequester a number of duties, functions and agencies from the other two in order to do its job. A fair amount of bargaining and arm-twisting needs to happen before the department’s shape is determined.

Diana a winner in the Sanlam Financial Journalism Awards

A huge Well Done to my wife Diana Lucas Chance who won her category in the Sanlam Financial Journalism Awards on June 19th! These are the most prestigious awards for excellence in financial journalism in South Africa. I am so proud of her. Have a look here for more info.

She is seen here accepting her award from Peter Vundla, Convener of the Panel of Judges, and Johan van Zyl, CEO of Sanlam.

She won in the category African Growth Story for a programme broadcast last year on Carte Blanche on the African Leadership Academy, which featured young entrepreneurs from Kenya, South Africa and other African countries. It portrayed the amazing talent and innovative businesses found in our continent, an inspiration for entrepreneurs aspiring to great things across Africa.

I can't help linking her success to my role as the Shadow Minister of Small Business Development in Parliament - we share the same vision, through and through, and will go all the way to showcase deserved success wherever we find it. Of course, to allay possible accusations of collusion, I must point out she produced the programme before I was appointed to this position. But I won't hesitate to send programme ideas to Carte Blanche that beat the drum of entrepreneurship. It's up to them to decide on their programming schedule on merit.

State of the Nation Debate

This week in Parliament was taken up by the State of the Nation Address by Jacob Zuma and the subsequent debate. For the first time I was introduced to the Rules of the House in practice, and the strict formalities MPs have to adhere to while in the chamber. For me it meant watching and listening from the benches, but for Julius Malema and his fellow EFF MPs it meant ejection from the House on its third sitting. Only Malema was ordered to leave the chamber by the Chairperson, Thandi Modise (apparently the speaker Baleka Mbethe is ill) but when he rose to depart all his colleagues followed suit. They did so in a most undignified manner, shouting obscenities at the Chair and Jacob Zuma and causing the maximum amount of disruption and noise. One of them tried to grab the microphone next to DA MP Alf Lees, but his quick reaction stopped it just in time.

Small business development: Long on promises, short on delivery

Stories such as Sizwe Nzima, a young entrepreneur running a business in Khayelitsha delivering chronic medication to local residents using bicycles are only too few. Sizwe was recently named one of Forbes Magazine’s 30 best African entrepreneurs under 30. The Western Cape Department of Health and the Raymond Ackerman Academy of Entrepreneurial Development at the University of Cape Town are now helping formalise the business, enabling him to take advantage of the huge latent demand for his services.                               

Photo of Sizwe Nzima courtesy of Forbes.com

Massacre, liberalism, tragedy and hope

The past week has been one of extreme highs and lows for me, on an intellectual and emotional level. It started with watching the film Miners Shot Down, and a few minutes ago I learned of the death of a dear friend and colleague that has left me bereft and deeply saddened. This is made all the more poignant by the fact that today is Youth Day, when we commemorate the lives of 23 young people who paid the ultimate sacrifice standing up for what they believed to be right in Soweto on this day in 1976. There are ceremonies taking place all over the country as we somberly reflect on the progress we have made, or not made, in the succeeding 38 years. But I want to dedicate this day to the late Clyde Finlayson, his dear wife Simone and their family.

Trading at the Castle

On Friday Diana, her sister Carolyn and I visited a fabulous pop up market in the Cape Town castle, Trading at the Castle, a joint initiative between Kamers vol Geskenke and the Cape Craft & Design Initiative. It was billed as an official Cape Town World Design Capital event and just as we were leaving we bumped into WDC CEO Alayne Reesberg, who has much to be proud about with this showcase of craft and design from the Western Cape. It was a pity we did not have more time (we were on our way to the airport) because every one of the 110 stall holders had something wonderful to offer.

Shadow Minister for Small Business Development

Today I was appointed Shadow Minister for Small Business Development in Mmusi Maimane's first shadow cabinet. My deputy is Hendrik Kruger who hails from Emalahleni (formerly Witbank) in Mpumalanga. Like Mmusi's other appointees, I received his letter while sitting in the DA caucus meeting this morning, just as Helen Zille was addressing us. It came as a big shock, but a very welcome surprise nevertheless. As the DA has been saying for many months now, the most important issue facing the country is how to get our economy moving again so it can create jobs, and so lift millions of people out of poverty and desperation. The spotlight will fall on the Small Business Development Ministry for it is tasked with creating the conditions for small businesses to emerge and thrive. The National Development Plan estimates that 80% of new jobs will come from small business. We have a massive task ahead.

Presidential inauguration - hurry up and wait

Here is a summary of yesterday's Presidential Inauguration, which Diana and I attended and which rounded off an extremely eventful week and a bit for us:

Total travel time: 4 hours
Total waiting time: 6 hours
Total eating and drinking time: 2 hours
Total airshow time: 20 minutes
Total inauguration / speech time: 40 minutes
Total time: 13 hours
Question: was it worth getting up at 3:45 am for this?
Answer: most definitely

More than merely semantics

Today's Business Day published my letter on the semantic muddle the Chief Justice got into in the opening of Parliament on Wednesday - click here for the link.

Here is the letter:

Dear Sir

Yesterday, the newly sworn in members of the national assembly (of which I am privileged to be one) listened to Chief Justice Mogoeng Mogoeng brush aside a point of order from Corne Mulder MP on the procedure for the election of the Speaker. Mulder pointed out the rules of the election, drawn up by the Chief Justice himself, state that MPs “must” exercise their vote. During the vote it became clear that a significant minority of MPs were abstaining, hence Mulder’s point of order. The Chief Justice responded by saying that in our democratic system, voters were not compelled to vote but could exercise their choice to do so, and the same applied here, so where it was written “must” we were to interpret it as “may.” To which Mulder, raising a laugh from the House, suggested we apply  the same interpretation when asked to pay our taxes.

To those who dismiss this as mere semantics, I refer them to the Free Market Foundation’s court action challenging the constitutionality of Section 32 of the Labour Relations Act, concerning the rules governing bargaining council agreements. The FMF is requesting the Minister of Labour to replace the word “must” with “may”, thus freeing her from being compelled to extend these agreements to all parties.

Can the Chief Justice’s interpretation of his own rules yesterday be regarded as setting a precedent in law, and if so may the FMF withdraw its action, or must it still go ahead?

Yours sincerely

Toby Chance

Cape Town

First day in Parliament

Yesterday went by in a blur and I am now officially a Member of Parliament. It started with our first caucus meeting at 7 am and ended with dinner back at the hotel at 9 pm, in between which I met countless new people from both sides of the House and a fair few surprised ANC members I'd known from my previous life at Adele Lucas Promotions. It had its moments of drama and a few hours of waiting around, but overall it demonstrated a functional South African political system with its traditions, pomp and ceremony intact and respected by all concerned - even the Economic Freedom Fighters, who redefined our understanding of "formal" attire by dressing in red boiler suits and domestic servant attire.

The power of 10

Yesterday I got a step closer to becoming a Member of Parliament, by registering at the National Assembly and getting my security clearance. Diana accompanied me all the way. Amazingly, I have never set foot in the Parliamentary precinct so every step was new for both of us. It was a poignant moment when I was handed the lanyard and tag, saying in black writing on a gold background Member of Parliament. When I began this blog the thought of actually being an MP was very remote but now it's only a day away. I am sure every one of the hundred or so new MPs must be going through the same set of feelings and emotions as I am. It all began with that magical number - 10 - on Friday January 24th, and yesterday that number took on an even greater significance.

The literati gather in Franschhoek

Franschhoek must be one of South Africa's most picturesque towns. Just an hour's drive from Cape Town, it's in the heart of the spectacularly beautiful wine country, is home to some of SA's best restaurants and offers a hideaway for celebrities and tycoons who enjoy its uber-civilised atmosphere and Europe-in-Africa feel. No doubt reason enough for Richard Branson to choose to buy a country lodge and estate there recently. Last weekend the town hosted its annual literary festival and Diana and I were lucky enough to be there. It was a last-minute decision, Diana being commissioned to film a debate for Carte Blanche on the high-fat diet promoted by celebrity nutritionist and sports scientist Tim Noakes.

GIBS forum on SME incubators

There has been so much going on in the last week that I have got behind in my posts! Three to write today, beginning with the Gordon Institute of Business Science Forum focusing on small and medium enterprises (SME) incubators.

GIBS is rightly taking the question of SME development very seriously, with the topic drawing a lot of attention particularly in respect of its potential for job creation and reducing the chronic state of unemployment in South Africa. Four of the leading private sector incubators were represented, each practicing a different business model.

Short & Sweet at Katy's Palace Bar

Last night Katy's Palace Bar in Kramerville, northern Johannesburg, hosted the debut appearance of short-film promoter Short & Sweet. Founded by Julia Stephenson, it grew out of her experience in the UK film industry and started life in Cape Town in 2009. With an unmatched view of the Sandton skyline Katy's Palace Bar was the perfect venue. Eight short films ranging in length from five to twenty minutes had the 150-odd guests rubbing our chins and smiling quizzically as we tried to get the film directors' messages. It's a genre that has yet to take off in SA, and only one of the films was from here, but this is a good way to get people interested.

Contrasting images - an election comes and goes

Having been awake for over 24 hours I finally slipped into a delirious sleep this morning at 5:30, at my bed and breakfast in Soweto chosen for its proximity to my operational area during the election. I figured the 40 minute drive home as dawn broke would be one journey too many after the rigours of overseeing 40 voting stations and driving the last party agent home. Now, with the vote tally showing a clear ANC victory nationally, the DA retaining the Western Cape and missing out on the possibility of a coalition in Gauteng, I can reflect on some of the images imprinted on my brain from an election of enormous contrasts.

Calling for freedom anew at Walter Sisulu Square

The final major gathering for the DA was a #WeCanWin concert. at Walter Sisulu Square in Kliptown, Soweto. Built some ten years ago to commemorate the Congress of the People (no relation to the political party Cope formed in 2008) who gathered here 1955 to sign the Freedom Charter, it is now a national heritage site and called Freedom Square in official circles. Today, some 7 000 DA supporters brought a new meaning to the word freedom, calling for a release from the bondage of a corrupt, venal and crony ANC at the polls on Wednesday.

The Democratic Alliance's final campaign rally

This morning the DA held its last big rally before Wednesday's election at the Coca Cola Dome in northern Johannesburg. It was a spectacular affair, with all the party heavyweights giving rousing speeches to around 12 000 DA activists. The DA's message is clear: another 5 years of an ANC government will lead to more unemployment, corruption, deteriorating services and economic stagnation. Give the DA the chance in this election to bring good and clean governance, incentives for economic growth and service delivery targeting the poor. To sum it up: Together for Change, Together for Jobs.