Annual Report Middelburg Chamber of Commerce and Industry (NPO Nr: )

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Annual Report 2014 SUBMISSION BY: Middelburg Chamber of Commerce and Industry (NPO Nr: 019338) DEPARTMENT: BUSINESS

Sisulu Street Middelburg 1050 Postal Address: PO Box 1152 MIDDELBURG Mpumalanga 1050 Telephone Number: (013) 243-2253/4

1 Annual Report 2014 SUBMISSION BY: Middelburg Chamber of Commerce and Industry (NPO Nr: ) DEPARTMENT: BUSINESS LINKAGE CENTRE Mpumalanga Enterprise Development Organisation (NPO: ) Physical Address: Busmid Building 292 Walter Sisulu Street Middelburg 1050 Postal Address: PO Box 1152 MIDDELBURG Mpumalanga 1050 Telephone Number: (013) /4 Fax Number: (013) / address: Website address:

2 ACCRONYMS BBBEE BIC BLC BSSA Busmid CMR COLET CSI/R DBSA DED/GIZ DEDP DMR DOE DTI ED EME Eskom GDP HPS IBA IDP LBIC LED LEDF MCCI MEDO Merseta MOU/MOA MPCC NDM Nkangala FET PP SACCI SD SETA SED SMME ST LM Wits W&R SETA Broad-Based Black Economic Empowerment Business Investment Climate Business Linkage Centre Business Skills of South Africa Business Middelburg Christelike Maatskaplike Raad College for Education and Training Corporate Social Investment/Responsibility Development Bank of South Africa German Development Co-operation Department of Economic Development and Planning Department of Minerals and Resources Department of Education Department of Trade and Industry Enterprise Development Exempted Micros Enterprise South Africa s national electricity provider Gross Domestic Produce High Performance Skills Institute of Business Advisors Integrated Development Program Local Business and Investment Climate Local Economic Development Local Economic Development Forum Middelburg Chamber of Commerce and Industry Mpumalanga Enterprise Development Organisation Manufacturing, engineering and related services education and training authority Memorandum of understanding/agreement Multi-Purpose Community Centre Nkangala District Municipality Further Education and Training Preferential Procurement South African Chamber of Commerce and Industry Skills Development Southeastern Employment and Training Association Socio-Economic Development Small, Medium and Micro Enterprises Steve Tshwete Local Municipality University of Witwatersrand Wholesale and Retail SETA - 2 -

3 EXECUTIVE SUMMARY The BLC is a department within the Middelburg Chamber of Commerce and Industry (MCCI). The Business Linkage Centre (BLC) was formally established in 2008 together with the Steve Tshwete Local Municipality (STLM) in order to improve the Local Economic Development (LED). The BLC was added in the Integrated Development Program (IDP). BLC is in line with local and provincial strategies. The BLC aims to create a facility where basic business assistance with company registration and Broad Based Black Economic Empowerment (BBBEE) certification is easy accessible. The BLC main function is to provide a link to 3 rd parties in order to support, advice and assist Small Micro Medium Enterprises (SMME) as well as corporate companies enquiries. The BLC also provide services of procurement information and training sessions. The BLC provides an easy accessible and trustworthy platform for Corporate Companies that need to invest money in Corporate Social Investment (CSI) as well as Socio-Economic Development (SED), Enterprise Development (ED) including business training, Skills Development (SD) and Preferential Procurement (PP). The BLC provides all the necessary documentation in order to claim BB-BEE points for the BBBEE scorecard. The BLC have now established annual solid endorsements past and present in alphabetical order: AAdvanced; ABSA; Ammeka Industries; Atlantis Mining ; BECSA (BHP Billiton); Columbus Stainless; Formprops 176; GIZ; GK Steel; Hendrik Panelbeaters; Hoëveld Radiators; Köhler Auto; Kruger Civil and Steel; Liketh Investments/Imbawula Mining ; Massyn Vervoer; Our motors trading as Ermelo Kia; Phillips SA; Provincial Verification Agency trading as B-Logic; RendiField; Rontek Electrical; Rotech Systems; Samancor Ferrochrome; Simotech; Siphesible Transport t/a TMR s; Steynvaard Loodgieters ; TJ Ngwenya Engineering; Truckline Services; Twenty four motors; UMFA and WTH Management and Training. The MCCI has been selected Chamber of the Year 2010 and runner-up 2011 by the South African Chamber of Commerce and Industry (SACCI). The MCCI has been acknowledged in an international award winning best procurement practices project by Leeds City Council and STLM and EThekwini Municipality. MCCI has been thanked for their input and project management by the Jobs for Future project with Nkangala FET College and USAID Accomplishments 10 Candidates were selected from 30 applications to be part of the Ichibi Lethuba Investment Opportunity, which is a Supplier and Enterprise Development project competition 92 families received monthly protein balanced meals food parcels Career expo was an immense success with 37 participating schools 195 Individuals trained on post graduate management programs by Wits Business School. Courses included Management Development Programme (NQF 7), Fast Track Leadership Development Programme (NQF 7) and Executive Development Programme (NQF 8). In this annual report the different projects and initiatives are discussed. The project audit and reporting are explained. The management of the BLC is explained. The report is sealed with a vote of thanks to each investor

4 TABLE OF CONTENTS 1 INTRODUCTION PROJECTS Project Enterprise Development Project Socio-Economic Development Project Career Expo Project Skills Development PROJECT AUDIT AND REPORTING Audit Financial Audit Project Audit Reporting MANAGEMENT DAILY ACTIVITIES AWARDS CORPORATE BENEFITS VOTE OF THANKS TO ALL INVESTORS

5 APPENDICES APPENDIX A: Enterprise Development 1. Project 1: ED Ichibi Lethuba Supporting documents APPENDIX B: Socio-Economic Development Supporting documents 2. Project 1: SED - Breyton 3. Project 2: SED Healing Hands 4. Project 3: SED Child Welfare 5. Project 4: SED CMR 6. Project 5: Big Family APPENDIX C: Career Expo Supporting documents APPENDIX D: Skills Development Supporting documents APPENDIX E: Testimonials (SMME and Corporate Investors) APPENDIX F: List of Investors APPENDIX G: BLC/MEDO Information 1. BLC/MEDO Profile 2. Letter with banking details 3. BBBEE information APPENDIX H: Pictures

6 1 INTRODUCTION Middelburg Chamber of Commerce and Industry (MCCI) were formally registered in Local businessmen met to form an association for the protection and advancement of business in Middelburg. A non-profit organization that exists to unite local business to beneficially influence our local environment, encourage members to active commitment, innovation and professional services for the protection and advancement of business and to generate and promote local support for our business community. Our members include all industry sectors and mostly corporate companies and many SMME s. As the voice of business we strive ourselves to be a centre of excellence, and to positively influence and grow the environment in which business operates. The MCCI is affiliated to the South African Chamber of Commerce and Industry (SACCI). The growth of the local economy is important and everything possible should be done to stimulate economic growth. It is a known fact that the total local annual average economic growth over the past ten years has been 2.6% whereas the national average is 3.5% (BIC study) and this is a matter of concern not only to organised businesses, but also to the local government. Middelburg Chamber of Commerce and Industry started investigating in 2002 on how we can create a link between the different sectors in our local economy and decided to develop a Business Linkage Centre (BLC); this proposal was submitted at the Local Economic Development Forum (LEDF) to the Steve Tshwete Municipality (ST LM) in the beginning of Various studies during the past few years it became apparent that there is a gap between large corporate companies, medium sized independent businesses and small and micro enterprises (SMME), with specific emphasis on the emerging SMME s. The BLC is a department within the Middelburg Chamber of Commerce and Industry (MCCI). The Business Linkage Centre (BLC) was formally established in 2008 together with the Steve Tshwete Local Municipality (STLM) in order to improve the Local Economic Development (LED). The BLC was added in the Integrated Development Program (IDP). BLC is in line with local and provincial strategies. The BLC aims to create a facility where basic business assistance with company registration and Broad Based Black Economic Empowerment (BBBEE) certification is easy accessible. The BLC main function is to provide a link to 3 rd parties in order to support, advice and assist Small Micro Medium Enterprises (SMME) as well as corporate companies enquiries. The BLC also provide services of procurement information and training sessions. The BLC acts as communicator between SMME s and corporate companies and represents the business community in many ways. The BLC provides an easy accessible and trustworthy platform for Corporate Companies that need to invest money in Corporate Social Investment (CSI) as well as Socio-Economic Development (SED), Enterprise Development (ED) including business training, Skills Development (SD) and Preferential Procurement (PP). The BLC provides all the necessary documentation in order to claim BB-BEE points for the BBBEE scorecard

7 2 PROJECTS 2.1 Project Enterprise Development Ichibi Lethuba is an Enterprise and Supplier Development project offering a competition focused on promoting participation of small businesses in our local economic sector. Some of Ichibi Lethuba s fundamentals are founded on the Dragon s Den TV series, with a bit of twist and local flavor which is unique to us and our community. The Objectives of Ichibi Lethuba are business growth, linkage with procurement opportunities and job creation for participating SMME s. We believe in fostering sustainable and profitable enterprises to participate in our local economy. 30 SMME S received entrepreneurial & baseline assessment with KBC Management Consultants & Interdependence Mastery Consulting. 16 Candidates were shortlisted & interviewed by the judges to determine the top 10 candidates The top 10 candidates were trained, provided with compilation of a business plan. These SMME s were individually mentored with professional registered business advisors. The adjudication process was providing top 10 candidates the opportunity to present their business and business model to the judging panel. The Gala Event was a prestigious event where final presentations were made and the top 3 candidates were selected. The prize money was as follows: 1 st prize R nd prize R rd prize R th to 10 th prize R1000 each - 7 -

8 2.2 Project Socio-Economic Development Socio-Economic Development Stock Donations Project 1 64x 25kg Maize Siza-Abaswele Old Age Centre SAVF & Ukuthula Safe House CMR Future Achievers Academy Child Welfare Breyton Care Village Project 2 4x 25kg Beans, Peas & Rice Bankfontein (Blinkpan) school and community Koornfontein school and community CMR Monthly food parcels Food Parcels: 92 monthly food parcels = 368 beneficiaries Project 1 Breyton 25 Monthly Food Parcels Project 2 Healing Hands 25 Monthly Food Parcels Project 3 Child Welfare 20 Monthly Food Parcels Project 4 CMR 14 Monthly Food Parcels Project 5 Big Family 08 Monthly Food Parcels Mandela Day Project 1 SAVF & Siza-Abaswele 25 Food Parcels 05x 25kg Maize Project 2 Ukuthula Safe House 60 Food Parcels 05x 25kg Maize Ukuthula Safe House Project 1 Dentist: 6x Oral procedures done Project 2 Project 3 Hearing aid: 2x Siemens Orion SP donated Voucher Sponsored voucher auctioned on MCCI s golf day 2.3 Project Career Expo The Middelburg Chamber of Commerce & Industry (MCCI), Department of Education (DOE) and Steve Tshwete Local Municipality (STLM) are in partnership for addressing the skills shortage in STLM area. There is a huge skill shortage in the local municipal area. The local demand and the supply on skills development are not balanced and awareness should be created amongst learners on what opportunities the area contains. It has become clear that the local industry requirements, with specific reference to technical skills are not being met. The purpose of the career expo is to expose the local youth to career opportunities in the Steve Tshwete Municipal area. The focus is on Grade 9 (making subject choices) and Grade 11/Grade 12 (ready to leave school)

9 Career Expo 2014: - 37 Schools with +/-5000 learners participated in the event - 25 Corporate exhibitors (providing career guidance and support to learners) - Teachers training sessions - Science experiments on the mobile laboratory - Learners accessing bursary application forms, internship and apprenticeship opportunities The Department of Education and Columbus Stainless held informative sessions for all attendees. The learners had the opportunity to ask questions and to participate in a quiz with sponsored prizes. 2.4 Project Skills Development The Middelburg Chamber of Commerce and Industry (MCCI), through the Business Linkage Centre (BLC) or Mpumalanga Enterprise Development Organization (MEDO) applied for SSETA discretionary grant funding. The Services Sector Education and Training Authority (SSETA) approved MCCI submission for the following: employed candidates for Short Skills Programmes Unemployed employed candidates for Bursaries Employed Post Graduate Qualification (Management Studies). 3 PROJECT AUDIT AND REPORTING 3.1 Audit Financial Audit PricewaterhouseCoopers Incorporated Auditors are the appointed auditors for The project was audited with PricewaterhouseCoopers Incorporated Auditors and extract from the report in our opinion the annual financial statements present fairly, in all material respects, the financial position of the organisation as at 31 December 2014, and of its financial performance and its cash flows for the period then ended in accordance with International Financial Reporting Framework for Small and Medium-sized Entities Project Audit PricewaterhouseCoopers Incorporated Auditors are the appointed auditors for Projects completed were audited by PricewaterhouseCoopers Incorporated as well as auditors used by various BBBEE verification agents. The results all our investors received full recognition for BBBEE spent. 3.2 Reporting Project completion reports for Enterprise development and Socio-Economic submitted annually. Development projects are Pricewaterhouse Coopers Auditors are the appointed auditors of the Chamber and our financial statements are audited annually

10 4 MANAGEMENT DAILY ACTIVITIES Anna-Mart Ott is the Chief Executive Officer of Busmid, with a well-organized team of personnel working for the last few years under her supervision. As the BLC has only been formally established in February 2008 the full staff complement has not been employed. Valerie Pienaar is the Business Linkage Officer (Project Manager) and is developing the services offered through a combination of specialized information and capabilities. A relationship of reliability and credibility has been created with customers, to ensure customer satisfaction. Valerie is registered with the institute of business advisors (IBA). Agnes Mtsweni is the BLC Project Co-cordinator who manages all SMME clients and their files. She assists with project co-ordination, compiling monthly & quarterly reports and plays a vital role in customer service and effective interface with stakeholders & investors. 5 AWARDS World Chamber of Commerce and Industry Best Youth Entrepreneurship Project nominated top 5 international platform SACCI Chamber of the year 2010/2011 National Platform SACCI Chamber of the year runner up 2011/2012 National Platform SACCI Chamber of the year runner up 2012/2013 National Platform Leeds City Council Best Practices award International Platform hits - most popular - Enterprise Development and Socio-Economic development Projects MCCI has been thanked for their input and project management by the Jobs for Future project with Nkangala FET College and USAID. 6 CORPORATE BENEFITS Proud to announce 100% project success - since 2008 on BBBEE scoring and audits. All investors claimed full points for every rand spent with BLC. Can issue Article 18A certificates you can claim tax back DTI and BBBEE Verification Agencies approved projects and relationships First point of contact for local supplier search High quality projects with full recognition on BBBEE score-card Provincial coverage Excellent reporting and feedback Small admin fee Services offered to SMME s are free Career guidance to youth Linking with employment opportunities and procurement information MCCI level 4 BBBEE recognition level Only had successful projects claim points for every rand spent 7 VOTE OF THANKS TO ALL INVESTORS We would like to thank you for your financial investment in the local economy as well as the guidance, support and assistance with the BLC. BLC are there for local economic development and with the investment it will secure the future of the SMME s and society. Thanks to each sponsor for assisting us in this valuable effort..you definitely made a positive change and a big difference

Business Linkage Centre

Business Linkage Centre Career Expo 2010 proposal Middelburg Chamber of Commerce & Industry NPO Nr: 019338 Est. 1903 Date of submission: August 2009 Addresses: Physical Address: Busmid Building 292 Church Street Middelburg Postal