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KZN Specific Insights

KZN Specific Insights

Date: 2019-10-31

Pulse indicates potential upswing for SA small business While business sentiment in South Africa has been depressed for the year to date, an increase in the Yoco Small Business Pulse Score for the third quarter of 2019 reflects not only the resilience of small business, but also an ability to adapt faster than their larger counterparts. KwaZulu-Natal registered a Pulse score of 24 for Q3 2019. This is four points lower than the average Pulse score recorded for businesses across the country, and is unchanged from the Q2 score recorded for KZN. When broken down into the individual questions that make up the Pulse, the KZN scores are lower than the average across all questions.In particular, KZN is significantly less positive than the average about the performance of their businesses in comparison to 12 months ago. KZN businesses are also less positive than the rest of the country when asked about the profitability of their business over the next 12 months.This is in contrast with the average transaction volume per merchant, which shows that KZN businesses are transacting 12.8% more than they were 12 months ago (Q3 2018 to Q3 2019). This shows significant growth for small business in the province. The average increase for businesses across the country is 13.13%. Small business growth is occurring across the country and KZN is taking full advantage of the opportunity.The top five challenges recorded by KZN businesses are the same as the top five recorded by the rest of the country. KZN businesses are more concerned about their access to finance compared to other provinces.