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Small businesses and state at loggerheads over ombud pr

JOHN DLUDLU | Government has no business making life harder for SMEs with new law

JOHN DLUDLU | Government has no business making life harder for SMEs with new law The National Small Enterprise Amendment Bill is an expense government cannot begin to afford 02 February 2021 - 19:35 In December, the department of small business development released the National Small Enterprise Amendment Bill for public comment. A serious rethink is required, especially chapter 3A, which establishes a small enterprise ombudsman service and grants far-reaching powers to the minister of small business development to determine and prohibit “unfair trading practices”.  Regrettably, instead of being a piece of legislation designed to answer the question “How can we help you?” particularly in the wake of the Covid-19 pandemic and lockdown regulations, which have smacked the small segment of SA’s business sector the proposed amendments create a new layer of bureaucracy by establishing an ombudsman with no supporting business case behind it. ..

South Africa: Bill paves ways for legal service for small enterprises

South Africa: Bill paves ways for legal service for small enterprises Government has gazetted the National Small Enterprise Amendment Bill 2020 in an effort to provide an ombud service that will assist small enterprises with legal issues. “Despite the critical role of small businesses in the economy and development objectives of South Africa, the Small, Medium and Micro Enterprise (SMME) sector remains vulnerable to exploitation and unable to utilise available legal remedies due to the prohibitive costs,” the Department of Small Business Development said. On Friday, Minister of Small Business Development, Khumbudzo Ntshavheni, announced the gazetting of the National Small Enterprise Amendment Bill 2020.

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