top of page

PRIVATE SECTOR = POSITIVE

Updated: Jul 28, 2025

The private sector is not the problem-it’s the potential
The private sector is not the problem-it’s the potential

Negativity sells-but it doesn’t build.

We live in a country where challenges are real. But so are the opportunities, especially in the private sector. Before letting headlines shape your outlook, ask yourself: 


  • Who’s the source? 

  • What’s the agenda? 

  • What are the facts? 

  • What’s the actual impact on you?


The Positive Reality of South African SMEs:


  • SMEs contribute 38% to GDP 

  • Private sector drives 47% of new jobs 

  • 72% of SMEs were profitable in FY2024 

  • Over 50% of SA entrepreneurs are under 35 

  • SA ranks #2 globally for Startup Ecosystem 2025


Private Sector = 74% of Jobs

The true economic engine isn’t in government buildings, it’s in workshops, tech hubs, farms, shops, and classrooms. Entrepreneurs aren’t waiting for fixes.  We build. We solve. We move.


South Africa Is Investable

Despite the noise, foreign direct investment continues to grow: 


  • Saudi Arabia: $5B+ since 2023 (incl. R7B in energy & R22.8B for Barloworld) 

  • EU: €4.7B for clean energy & industrials 

  • Actis: R7B tower acquisition 

  • Ajlan & Bros: $500M platinum refinery in Limpopo 

  • European Investment Bank: €200M to FirstRand


So… what really holds businesses back?

Statistics: Why early-stage businesses fail in South Africa
Statistics: Why early-stage businesses fail in South Africa

Focus on What You Can Control

88% of SA early-stage business failures stem from internal factors, not government or load shedding. 


That means the power is in your hands:

  Know your numbers 

→ Strengthen your documents 

→ Lead your team 

→ Refine your offer


At ValueLab, we stand with the builders. We help businesses structure for growth, valuation, and investment, because real value lives in preparation.


Next time someone says “nothing works,” tell them: Negativity doesn’t work either. 

Let’s build what the headlines miss.

Viva Privatization.


 
 
 

1 Comment


tasha
Jul 22, 2025

A refreshing and much-needed perspective. It's easy to get lost in the noise of negativity, but this piece highlights the real potential within South Africa's private sector. SMEs are not just surviving, they're building.

Like
bottom of page