Kgoliegs Beauty Spa

Business Location: Rural
Province North West
Branch: Bojanala West
Business Start Date:
Busniess Type: Company

Business Dynamics and Challenges

Business Activities: Personal Care - massage therapy, nail services, and makeup application
Challenges/Needs: • Lack of knowledge and skills in costing and pricing, which led to underpricing of services and inconsistent profit margins. • Limited access to funding to purchase essential equipment and stock required to operate efficiently and meet client demand. • Lack of business formalisation and compliance (not registered with CIPC, no business bank account or tax pin), which restricted access to funding opportunities, formal markets, and government support programmes. • Limited operational capacity due to inadequate equipment, resulting in an inability to service more clients and grow the business.

Intervention Insights and Results

Intervention Details: Business Formalization with CIPC:

To address the challenge of operating informally, SEDFA supported Ga Bo Bontle Beauty Bar with formal business registration through CIPC. As a result, the business was able to open a business bank account, obtain a tax pin, and initiate compliance with statutory and regulatory requirements. This intervention enabled the business to operate as a legally recognised entity, improved its credibility with clients and stakeholders, and unlocked access to funding and development opportunities that are only available to formally registered businesses.

Costing and Pricing Training:
To resolve the challenge of poor costing and pricing practices, SEDFA provided targeted costing and pricing training. This intervention equipped the owner with practical skills to calculate service costs accurately, determine sustainable pricing structures, and understand profit margins. The training improved the business’s financial decision-making, enabling better cash flow management, improved profitability, and informed planning for growth. As a result, the business was able to price services competitively while ensuring sustainability and improved financial control.

Access to funding: IMEPD
To address the lack of equipment and limited operational capacity, SEDFA assisted Ga Bo Bontle Beauty Bar with the application for funding under the DSBD Informal Micro Enterprise Development Programme (IMEDP). The business was approved for equipment support valued at R20,000.00. Through this intervention, the business acquired essential operational tools, including two massage beds, adjustable hooded floor hair and a laptop, which significantly improved service delivery capacity, professionalism, and record-keeping. The IMEDP intervention directly responded to the business’s inability to fully service clients due to inadequate equipment, thereby enabling the enterprise to expand its service offering and improve customer experience.
Outcome Details: The support provided by SEDFA resulted in notable improvements in the operational, financial, and growth performance of Ga Bo Bontle Beauty Bar. The formalisation of the business enhanced compliance and access to opportunities, while the costing and pricing intervention strengthened financial management, improved cash flow control, and enabled more sustainable pricing of services. The IMEDP equipment support directly improved service delivery capacity, allowing the business to accommodate more clients and offer a more professional service environment. As a result of increased operational capacity, the business was able to employ two additional staff members who are trained beauticians, thereby improving service turnaround time and customer satisfaction. The business recorded a significant increase in turnover from R0.00 to R55,000.00, demonstrating measurable business growth and improved commercial viability.

Client Feedback

Client Comments: I am deeply grateful for SEDFA’s continued support, which has played a major role in strengthening and growing my business. The guidance, confidence, and encouragement I received helped me formalise my business, improve how I manage my finances, and expand my service capacity. This support has opened new opportunities for growth, improved my operations, and allowed me to serve more clients professionally.
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