Smaller tourism businesses hamstrung by late payments and red tape

CEO of Cape Town Tourism, Enver Duminy shares some of the challenges faced by emerging players in the tourism industry, that hinders their growth.

He speaks of the red tape some of the SMMEs have to deal with in order to become government suppliers and difficulties in getting payments for the services rendered.

Government departments are difficult when it comes to paying for services rendered and that kills the sustainability of small businesses, he adds.

The complexities of collecting and chasing that money when you don't get is still a reality.

Enver Duminy, CEO of Cape Town Tourism

This happens specifically in the accommodation sector. Because it is government, there is no deposit. they will therefore get someone to come and stay, and after the service has been rendered, the challenge continues.

Enver Duminy, CEO of Cape Town Tourism

Cash is king and that's how small businesses survive ... any delays in cash payments has major impacts.

Enver Duminy, CEO of Cape Town Tourism

Duminy says the study they conducted about three years ago indicate that businesses fail in the first five years because of lack of cash flow.

He notes that the challenges not only occur in the Western Cape but it is a nationwide problem.

To hear more of this interview, listen below:


Recommended

by NEWSROOM AI

CapeTalk welcomes all comments that are constructive, contribute to discussions in a meaningful manner and take stories forward.

However, we will NOT condone the following:

  • Racism (including offensive comments based on ethnicity and nationality)
  • Sexism
  • Homophobia
  • Religious intolerance
  • Cyber bullying
  • Hate speech
  • Derogatory language
  • Comments inciting violence.

We ask that your comments remain relevant to the articles they appear on and do not include general banter or conversation as this dilutes the effectiveness of the comments section.

We strive to make the CapeTalk community a safe and welcoming space for all.

CapeTalk reserves the right to: 1) remove any comments that do not follow the above guidelines; and, 2) ban users who repeatedly infringe the rules.

Should you find any comments upsetting or offensive you can also flag them and we will assess it against our guidelines.

CapeTalk is constantly reviewing its comments policy in order to create an environment conducive to constructive conversations.

Read More
Art deco buildings make Springs an architectural tourism destination

Art deco buildings make Springs an architectural tourism destination

The style of visual arts architecture has become part of a few impromptu tours by Jeffrey Cole in the underrated East Rand.

Domestic tourism still a challenge in SA

Domestic tourism still a challenge in SA

President Zuma announced that Durban will host the newly re branded Africa's Travel Indaba over the next five years.

Cross Cape cyclists discover dorpies and hidden gems along the way

Cross Cape cyclists discover dorpies and hidden gems along the way

The Cross Cape cycle kicked off last week from Plettenberg Bay as riders explore tiny towns and attractions off the beaten track.

Economic Opportunities Minister takes to the road on a seven day bicycle tour

Economic Opportunities Minister takes to the road on a seven day bicycle tour

Cross Cape is an initiative of the Project Khulisa growth strategy says MEC Alan Winde.

Bob Dylan live: "You really felt like you were there for a private rehearsal"

Bob Dylan live: "You really felt like you were there for a private rehearsal"

Bob Dylan did not speak once during two-hour live London show but South African Gary Jordan says it was an incredible performance.

First-ever Cross Cape bike trail set to bring WC big bucks

First-ever Cross Cape bike trail set to bring WC big bucks

A new cycling route has been launched with the potential to boost the Western Cape economy and revive tourism in the province.

Popular articles
'DA has a tough choice, ditch divisive leaders or face the ire of the voters'

'DA has a tough choice, ditch divisive leaders or face the ire of the voters'

Breakfast show host Bongani Bingwa reacts to the recent tweets by some DA leaders.

[WATCH] 'I write about the world that I see' - Indian author Arundhati Roy

[WATCH] 'I write about the world that I see' - Indian author Arundhati Roy

Indian writer Arundhati Roy shares profound insights about her literary life and what inspires her to put pen on paper.

[LISTEN] Is your phone listening in on your conversations?

[LISTEN] Is your phone listening in on your conversations?

MD at World Wide Worx Arthur Goldstuck explains how your phone may record your voice conversations.

[Listen] Good Samaritan recounts saving cyclist shot with several bullet wounds

[Listen] Good Samaritan recounts saving cyclist shot with several bullet wounds

Jon-Jon Pietersen says the police were quick to arrive at the scene where a cyclist was shot on Saturday.

Hout Bay residents wreak havoc over death of a poacher

Hout Bay residents wreak havoc over death of a poacher

City's safety and security mayoral committee member JP Smith says residents cause havoc every time the police catch poachers out.

'The Guernsey Literary & Potato Peel Pie Society film will leave you hooked'

'The Guernsey Literary & Potato Peel Pie Society film will leave you hooked'

Film reviewer Gayle Edmunds chats about 'The Guernsey Literary & Potato Peel Pie Society' film, and what movie-goers can expect.