The Clothing Bank Micro Franchise Accelerator project
Our third project is our Micro Franchise Accelerator project where we develop micro “business in a box” models. According to The Global Entrepreneurship Monitor Report 2016, there are more businesses closing tha opening each year and the level of nascent entrepreneurial activity in South Africa is very low compared with other developing countries. This isn’t surprising given our poor education levels. This is why we believe franchising is a more sustainable solution for success compared to supporting individual early stage entrepreneurs. Our franchise model ensures that we develop and test the business model and set up all the processes and supply chain.
Once the model is ready, we recruit franchisees who become self-employed business owners. This makes these models more accessible to a wider portion of the South African population who are unlikely to be entrepreneurs. We look for models that are simple, cost less than R100 000 to set up and are able to earn the franchisee at least R5000 a month. Each model is quite different but the franchisee is normally provided with all the equipment (via a loan/grant or rental agreement) and technical training to start the franchise and is then closely monitored and provided with extensive support to ensure they run a sustainable business.
We currently have models in early childhood development.
The GROW Foundation, a non-profit company founded by The Clothing Bank, aims to develop a national brand of quality, inspirational, fee-paying Early Childhood Development centres in low-income areas for children between the ages of 2 and 5 years.
In order to qualify for this programme, you need to answer YES to ALL of the following questions
✓ Are you a South African citizen?
✓ Are you previously disadvantaged?
✓ Do you currently have a ECD centre in the greater Cape Town or Durban area?
✓ Do you wish to register your ECD centre with the Department of Social Development?
✓ Are you prepared to charge fees for your school of at least R400 per month?
The Clothing Bank (Owner)
