Entrepreneurs

SA SMMEs Survive for Decades but Struggle to Create More Jobs, Report Finds

SA SMMEs Survive for Decades but Struggle to Create More Jobs, Report Finds. Almost one third of surveyed South African small, medium and micro enterprises (SMMEs) have been operating for more than 20 years, but many remain small employers, according to the second State of the SMME in South Africa report.

The report, published by the Shoprite Group and based on research by World Wide Worx among 800 SMMEs, found that 32.1% of surveyed businesses have operated for more than two decades. However, 39.1% employ between one and five people.

The findings also show growing confidence among respondents. Some 42% described their businesses as growing and expanding, up from 33% in the 2025 survey. Meanwhile, 85% expect moderate to high growth over the next year, while 53.6% reported net profit after tax above 10%.

Access to markets was identified as the most commonly cited requirement for growth, with 56.9% of respondents selecting it. Financial support followed at 39.5%, while 29.7% identified digital tools and platforms.

Regular orders were the most valued form of support from large organisations, with 78.1% rating them important or very important. Other forms of support included mentorship, grants, training, technical skills and loans.

Arthur Goldstuck, CEO of World Wide Worx, said market access, suitable finance and practical business support need to work together to help more SMMEs scale.

Access to funding remains a challenge. Although 70.8% of respondents said improved access to funding would increase their competitiveness, 90.9% currently rely on their own resources and personal networks.

Only 9.7% use bank loans, while 57.4% have never applied for funding. Private investors are currently used by 2.1% of respondents, although 46.2% would like to access private investment.

The Shoprite Group supports SMMEs through Shoprite Next Capital. In 2026, the division invested R30 million in enterprise and supplier development and onboarded 13 new suppliers, bringing supported SMMEs to 84.

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