Why Doing Nothing May Be the Best Thing You Can Do

“The difference between successful people and really successful people is that really successful people say no to almost everything.” (Warren Buffett)

In a world where constant activity is seen as progress, the real high-performing leaders are doing something different. These entrepreneurs, CEOs and founders understand that not every signal deserves a response, not every problem requires an immediate solution, and not every opportunity is worth pursuing. In volatile markets, noisy feedback loops and emotionally charged leadership environments, doing nothing can be the hardest and smartest move you’ll ever make. Here’s why.

You don’t make decisions with insufficient information

If the data is weak, contradictory, or incomplete, action often locks in the wrong conclusion. High-performing founders pause to gather better inputs, test assumptions, or wait for the environment to stabilise. Acting early may feel decisive, but it increases the chances of rework and wasted capital. Don’t hesitate to consult with your accountant, or other experts while you wait to ensure all data is as complete as possible before acting.

You avoid solving problems that aren’t real yet

Many issues in start-ups resolve on their own: customer complaints from edge cases, short-term revenue dips, internal friction during growth... Founders who intervene too early often create processes, complexity, or cost for problems that would have disappeared organically. Strategic inaction prevents over-engineering.

You delay irreversible decisions

Hiring senior executives, firing key staff, pivoting your business model, or entering long-term contracts are all hard to undo. High-performing founders deliberately slow these decisions. Waiting allows emotions to settle and consequences to become clearer. Speed matters, but not when mistakes are expensive.

You prevent emotional decision-making

Founders are most likely to act badly when under stress. Losing a client, missing a target, or facing criticism is guaranteed to heighten feelings. Strategic inaction creates distance between the stimulus and the response. This reduces decisions driven by fear, ego, or the need to appear in control.

You let existing systems run before changing them

When something underperforms, the instinct is to intervene. You would be better off first asking whether the system has had enough time to work. Premature changes make it impossible to know what is actually effective. Doing nothing (for a while) is often the fastest way to learn.

You conserve focus and organisational capacity

Every new initiative pulls attention away from existing priorities. Try to recognise that your company’s capacity is limited. By choosing not to act, you will protect delivery on what already matters. This is especially important as teams scale and coordination costs increase.

You use time as a risk-management tool

Waiting can reduce uncertainty. Competitors reveal their strategies. Markets clarify. Customer behaviour becomes more predictable. Strategic inaction is often about allowing risk to resolve itself before committing resources.

The bottom line: Choosing not to act is still a decision

Doing nothing is not neutral. It must be intentional, reviewed, and time-bound. Experienced entrepreneurs track what they are choosing not to do and reassess regularly. Remember, strategic inaction works only when paired with attention and accountability.

Disclaimer: The information provided herein should not be used or relied on as professional advice. No liability can be accepted for any errors or omissions nor for any loss or damage arising from reliance upon any information herein. Always contact us for specific and detailed advice.

So, You Want to Diversify? You Might Be Making a Mistake

“Any intelligent fool can make things bigger and more complex. It takes a touch of genius, and a lot of courage, to move in the opposite direction.” (Statistician and economist, E.F. Schumacher)

Diversification makes intuitive sense. When one revenue stream falters, another should compensate. When one market cools, another heats up. In theory, it’s prudent. In reality, however, as businesses accumulate products, geographies, customer segments and internal processes, decision-making slows and execution weakens. What began as risk management turns into managerial overload. The uncomfortable truth is that sometimes executing fewer things extraordinarily well, for longer than competitors can tolerate, is sometimes the path to true success.

Whether you’re selling koeksisters from your garage or leading a multinational tech behemoth, the ten pointers below are worth taking note of.

Diversification feels safer than it actually is

Diversification offers psychological comfort. It gives leaders the sense that they are “covered” from uncertainty. But safety in theory is not safety in execution. Each new product, market or channel introduces its own operational demands, regulatory requirements, customer expectations and failure points. Risk doesn’t disappear, it fragments. Instead of managing one or two critical risks deeply, leadership is forced to shallowly monitor many. The illusion of safety often masks a rise in systemic fragility.

Complexity is a hidden tax on performance

Every additional business line adds meetings, reporting layers, decision pathways and coordination costs. These costs rarely appear cleanly on an income statement, but they erode margins all the same. Management attention becomes diluted. Strategic conversations shift from “How do we win?” to “How do we keep everything from breaking?”

Focus is a force multiplier

Focused companies learn faster. They serve customers better because feedback loops are tight and clear. When something goes wrong, causes are easier to identify and fix. When something goes right, it can be scaled with confidence. Diversified organisations often struggle to replicate this clarity. Success in one unit is obscured by mediocrity in others. Focus doesn’t just improve execution, it sharpens strategic judgment.

Diversification often masks unresolved core weaknesses

One of the most under-discussed drivers of diversification is discomfort. When growth slows in the core business, expanding outwards can feel more exciting than fixing what’s broken. Unresolved issues, weak unit economics, unclear positioning, operational inefficiencies … These things don’t vanish when you diversify, they multiply to new areas. The same leadership blind spots and process failures are often replicated across a wider footprint. If you’re wondering whether diversification might be hurting you, feel free to ask for our input – sometimes a fresh perspective is all it takes.

Operational excellence doesn’t scale sideways

What works brilliantly in one context rarely translates seamlessly into another. Different customer segments require different value propositions. Different geographies demand different logistics, pricing structures and cultural understanding. Founders often underestimate how bespoke excellence truly is. Horizontal expansion assumes transferable competence – but in reality, each new area requires its own learning curve. The result can be a portfolio of businesses that are all “good enough,” but none exceptional.

Small and fast – Or big and slow?

Speed is one of the greatest advantages of entrepreneurial organisations. Diversification erodes it. As organisations grow broader, decisions require more stakeholders, more data reconciliation and more compromise. What once took days now takes weeks. Opportunities expire while you’re trying to coordinate a Teams meeting to discuss them. In fast-moving markets, this loss of velocity can be fatal. Competitors with narrower focus can outmanoeuvre diversified incumbents simply by deciding, and acting, faster.

Diversification can dilute brand meaning

Strong brands stand for something specific. They occupy a clear mental position in the customer’s mind. Diversification blurs that signal. Customers struggle to understand what the company truly excels at. Is it premium or mass? Specialist or generalist? Innovative or reliable? When brand meaning weakens, pricing power follows. What was once differentiation becomes confusion – and confusion is rarely profitable.

The most resilient businesses often look concentrated, not diversified

History is filled with companies that endured precisely because they stayed narrow. They dominated niches, controlled quality obsessively and reinvested relentlessly into their core advantage. Their resilience came not from spread, but rather from deep customer relationships, deep expertise and deep operational mastery. Concentration allowed them to absorb shocks because their fundamentals were strong, not because they were hedged.

Simplicity is not stagnation

Rejecting diversification does not mean rejecting growth. It means choosing growth paths that reinforce the core rather than distract from it. Vertical integration, geographic expansion of a proven model, or deeper penetration of the same customer segment can all drive scale without overwhelming complexity.

Don’t ask “Can we?” but “Should we?”

Most businesses diversify because they can, not because they should. Capital is available. Talent is curious. Opportunities appear abundant. But the cost of complexity is rarely paid upfront, it is paid slowly, in lost clarity, slower execution and diminished excellence. Leaders who understand this ask a harder question: what must we protect at all costs and what are we willing to walk away from?

The 5 Questions You Must Ask Before Making Your Business Resolutions

“If you can’t measure it, you can’t improve it.” (Peter F. Drucker, Business Management Guru)

Entrepreneurs are hardwired to look forward, and chase the next win. This constant looking ahead can create a costly strategic blind spot. When you rush past December’s data to write January’s plan, you run the risk of missing the critical lessons already paid for in time, money, and stress.

A comprehensive review gives you the opportunity to pinpoint previous issues and create solid strategies for growth. Without this backward glance, your resolutions become a wishlist disconnected from operational reality. The key is turning reflection into a data-driven process, not a feelings-based one. Before you look for your new year’s resolutions, it’s therefore wise to sit down and answer these five precise questions.

1. Which goals did we actually achieve last year, and what specific behaviours drove those wins?

The most common mistake in goal review is simply ticking boxes. You hit the revenue target – great. But why? While hitting a financial benchmark is great, understanding which tactics got you there is the real win.

Instead of simply analysing KPIs, you should compare your initial goals with your final metrics. Analyse the data to understand what's working and what isn't. Was the goal achieved because a specific marketing campaign worked, or did an unexpected market event carry the result?

By identifying the exact steps, processes, or resource allocations that delivered the win you can prevent yourself from inadvertently eliminating a high-performing strategy in the new year or, worse still, believing a non-repeatable outcome is a sustainable strategy.

2. Where did we waste the most resources?

This question requires an honest, non-emotional audit of your financial and calendar commitments. It’s a review of efficiency, not just income. Beyond the simple rand amount, evaluate the return on investment for projects and tasks.

As your accountants we can help by examining your cash flow, expenses, and budget adherence. Which recurring expense failed to generate its expected value? Is there enough money coming in, and are you staying within budget?

The next step is to look at which project delivered disappointing results compared to the time and effort it consumed. By identifying the single biggest time waster of the year for you and your key staff, you can cut inefficiencies and free up resources for genuinely productive initiatives.

3. What did the customer or market teach us that changes our fundamental approach?

Growth depends on staying relevant and competitive. Your business exists to solve a customer problem, and that problem and the best way to solve it changes constantly. The information you need to adapt is already in your email inboxes, support tickets, and sales reports.

First analyse your customer feedback. By looking for common themes of satisfaction and dissatisfaction you can open up areas for new services and pinpoint areas where your process is disappointing your biggest clients. Follow this up with a thorough audit of the latest industry trends and competitor actions. This will help you keep abreast of market shifts.

Your biggest revelation for the new year often lies in the data points you tried to ignore because they conflicted with your original plan. Use this insight to adapt your business model and strategies proactively.

4. What project or initiative did we start but fail to finish?

Every entrepreneur has a graveyard of half-finished projects. These are not just lines on a to-do list; they are sunk costs that continue to absorb cognitive load and drain mental bandwidth. You must address them before you plan the next project.

Reflect on ideas that were shelved, dropped, or simply allowed to drift. Was the goal too ambitious, did you lose interest, or did more pressing tasks take priority? The reason often lies in poor prioritization or a fear of letting go.

Look at the list of unfinished items and make a binary decision for each:

Revive: Commit to a concrete, time-bound plan for completion, complete with allocated resources.
Kill: Officially terminate the project. Archive the files, inform the team, and close the loop.

Letting go of an unfulfilled goal removes operational and mental clutter. Avoid the trap of carrying dead weight into January.

5. What is the single recurring bottleneck we must fix before setting new goals?

Do not confuse a bottleneck with a challenge. A challenge is unique; a bottleneck is the same hurdle that surfaces repeatedly, slowing down every initiative. This could be a lack of standard operating procedures (SOPs), a poor communication structure, or an outdated software system.

The first step to eliminating a bottleneck is pinpointing the area that constantly holds up progress and causes stress. For example: “Our hiring process is inconsistent.” Or: “Data collection for client reports takes two full days.” Setting aggressive new goals on top of a broken system guarantees failure. Address the system first. If your resolution is to double output, but your internal approval process is the issue, a goal to fix the process is the only resolution that matters.

Moving from reflection to resolution

The purpose of these five questions is to clean the slate. By identifying proven wins, cutting wasted resources, integrating market lessons, clearing unfinished projects, and fixing critical bottlenecks, you can transition from hopeful resolution to strategic certainty.

Want help with making it happen? Our door is always open…

Harnessing the New Year’s “Fresh Start Effect” for a Great 2026

“A fresh start is not a place, it is a mindset.” (Jordan Peterson)

The beginning of the new year can be more than another Monday morning: it can be a powerful psychological reset button.

The ‘fresh start effect’ comes after milestones, like New Year's or anniversaries, that help people believe they can become better versions of themselves – and this applies just as powerfully to teams as it does to individuals.

It’s as if a mere calendar flip wipes the slate clean, making new commitments feel more achievable and reducing the emotional weight of past disappointments.

When your team returns from the holiday break, they aren’t just rested – they are primed for change, and feeling capable of achieving goals that might have seemed daunting just weeks earlier.

Capturing the moment: Practical strategies for January 2026

The “fresh start effect” creates a window of heightened motivation, but it is only temporary. Research consistently shows that initial New Year’s enthusiasm naturally fades without proper structure and ongoing engagement.

The challenge then is to convert this early motivation into sustainable systems.

Timing matters. Schedule your most important organisational initiatives, strategic planning sessions, and team goal-setting meetings in these early weeks of January. The psychological conditions are optimal right now, as your team feels capable, refreshed, and ready for change. Use this window to establish the habits, routines, and systems that will carry you through the entire year.

Start by setting specific and measurable goals. Clear and quantifiable goals significantly improve employee engagement and productivity. Break annual targets into smaller quarterly or monthly milestones to prevent overwhelm and provide regular opportunities to maintain momentum and celebrate progress.

Team-based goal setting enhances overall performance because it creates accountability, builds collective commitment, and ensures that everyone understands how their individual efforts contribute to larger team goals.

Building sustainable momentum beyond January

The fresh start effect can be a catalyst for creating systems, habits, and cultural practices that sustain performance all year long.

Visual progress tracking taps into our psychological need for achievement and keeps the momentum alive. Implement regular check-ins and progress reviews — at least monthly. These touchpoints maintain accountability, allow for course corrections, and provide opportunities to celebrate wins.

Creating fresh starts all year round

You can also engineer temporal landmarks throughout the year. Things like monthly reset days, quarterly planning sessions, or team offsite retreats… These moments provide mini fresh starts that can reignite motivation when energy naturally dips.

Use these inflection points for team brainstorming sessions, strategic pivots, or launching new initiatives. The psychology works the same way: you’re creating a sense of temporal separation that makes change feel achievable.

The long game: Making 2026 different

The new year brings a gift: a team that believes change is possible and feels capable of achieving goals.

What you do in the next few weeks – the systems you establish, the habits you build, and the accountability you foster – could significantly impact your team’s performance for the entire year ahead.

Outlook 2026: Moving Forward with Confident Resilience

“The outlook is clear: resilience and innovation will define Africa’s growth story.” (Ignatius Sehoole, CEO of KPMG South Africa)

“A continent brimming with optimism.” This is how KPMG’s 11th Africa CEO Outlook describes Africa.

Among the African CEOs surveyed, 63% expressed optimism about their country’s growth prospects and 78% expressed strong business confidence. Over the short term, 98% expect business expansion and 86% are likely to pursue acquisitions.

“African CEOs are not only adapting to global challenges but are actively investing in the future through AI, talent, and sustainable growth strategies,” explains Ignatius Sehoole, CEO of KPMG South Africa.

Most CEOs globally (79%) also say they are optimistic about their own organisations’ prospects and the majority anticipate rising revenues over the next three years.

Like their African counterparts, they are doubling down on AI, talent investment and ESG as the keys to resilience and growth.

Common challenges & shared priorities

CEOs, globally and in Africa, face very similar challenges. This has made them more deliberate when deciding how to channel their resources.

Investment priorities for global and Africa CEOs

	Africa	Global
Cybersecurity and digital risks resilience	45%	39%
AI integration into operations and workflow	41%	34%
Investing in solution and technology innovation for business expansion	34%	26%
Regulatory compliance and reporting	31%	36%
Supply chain resilience and operational continuity	24%	28%
Climate and sustainability initiatives	23%	16%
AI governance, ethics and responsible use	20%	20%
Geopolitical monitoring and analysis	20%	23%

Source: 2025 Africa CEO Outlook - KPMG South Africa

In addition, in Africa, CEOs are increasingly prioritising intra-African trade and market expansion on the continent.

AI: Top 2026 strategic priority

For African and global CEOs heading into 2026, AI is a top strategic priority.

26% of African CEOs plan to allocate more than 20% of their annual budget to AI in the next 12 months, almost twice the global average of 14%.

This high level of investment by African CEOs reflects a shift in mindset, with AI being viewed not only as a tool for future growth, but as an immediate lever for operational efficiency, better decision-making, and long-term resilience.

To deploy and scale AI, African organisations are faced with three options: build, buy or partner. “Each organisation must weigh the pros and cons of building, buying, or partnering for AI solutions. There is no one-size-fits-all-approach. The right strategy depends on the organisation’s existing capabilities, risk appetite and strategic objectives,” explains Joelene Pierce, CEO Designate of KPMG South Africa.

Talent in the age of AI

Among African CEOs surveyed, 88% expect to increase headcount over the next year and 62% are focusing on retaining and re-training high-potential talent. The majority (81%) believe that upskilling in AI will directly impact their success and more than two thirds (67%) are redeploying staff into AI enabled roles.

These numbers, too, closely reflect global perspectives, with 92% of CEOs expecting to increase headcount next year, and 77% agreeing that AI upskilling will directly impact business success. Already, 71% are focusing on retaining and retraining high-potential talent, and 59% are redeploying staff into AI enabled roles.

ESG and sustainability

Despite regulatory complexity, African CEOs remain committed to Environmental, Social, and Governance goals. Almost half (46%) are aligning sustainability goals with core business strategies, 51% are prioritising compliance and reporting, and 74% are using AI to reduce emissions and improve energy efficiency.

Globally CEOs are also indicating rising confidence in meeting climate targets, with 61% saying they are on track to hit their 2030 net zero targets. In addition, 65% indicate that they have fully embedded sustainability into their business and believe it is critical to their long-term success.

Confident resilience

Most CEOs (59%) say that expectations and complexity of their roles have evolved significantly in the last five years, and 80% feel under more pressure to ensure long-term business prosperity.

Yet, even with change and challenge as the “new normal”, CEOs are actively building resilience by investing in AI, talent, and sustainable growth strategies, and are moving forward confidently to greater success in the year ahead.

Our Top Tips for Communicating Price Changes

“People don’t mind price increases as much as they mind surprises.” (Robert Cialdini, Psychologist and Business Author)

Costs go up and so do prices. And yet most businesses raise prices later than they should. A global study by Simon-Kucher found that less than a quarter of companies adjust prices multiple times a year as needed, with almost 30% discussing price changes only once annually, and 26% waiting for new customer tenders or contract expirations.

By the time owners take action, margins are stressed and the communication feels rushed. This is unfortunate, because studies show that a thoughtful considered, and timeous approach is the difference between a customer accepting a change and walking away.

“We’ll lose customers if we raise prices”

This fear is common, but it’s not grounded in the research. Studies from the Harvard Business Review note that when customers leave after a price change, it’s usually because the business has stayed quiet about the reason. Silence erodes trust. People assume the worst, even when the increase is modest.

The same study revealed that most customers accept changes if they still see value and understand why the adjustment exists. Communication is key. Your customers should know what costs shifted and what value you’ve added. Keep the message simple enough that a customer could repeat it back without confusion.

“Customers won’t care about the reason”

Owners often assume customers ignore explanations. Evidence says the opposite. Research from McKinsey & Company found that when companies explain the drivers behind price changes, such as rising input costs or service improvements, customer trust remains stable, even when the increase is noticeable.

People don’t need all the details, but they definitely do want you to add context. A short, fact-based explanation helps them understand that the decision wasn’t arbitrary or simply based on greed.

“If we apologise enough, customers will be less upset”

For many owners the first inclination is to apologise to the customer for the added pressure the price changes will have on their lives. Trying to soften the blow with an apology frames the price change as a mistake rather than a strategic choice. Customers may wonder whether the change is temporary or negotiable, thereby weakening your position.

This is all backed up by researchers writing in the Journal of Service Research who note that apologies work best when something has gone wrong. You can acknowledge the impact on customers without presenting the change as an error. Aim for respectful, not remorseful.

“We should wait until the last minute to avoid backlash”

Delaying the announcement doesn’t reduce resistance, it magnifies it. Short notice announcements leave customers scrambling. If the increases catch them off guard this can lead to resentment – something that’s far more likely to lead them to change supplier than the price change itself. Giving your customers timely notice shows that you respect their planning and cash flow.

You should aim to communicate price increases as early as possible. Even a few weeks’ notice can make the shift easier. Use one message delivered consistently across email, invoices, signage, and your website so there’s no confusion.

“Once we announce the increase, the conversation is over”

Many businesses make their price announcement and stop there. Whether from fear of pushback or simply a desire to not discuss it, their refusal to discuss the price changes with customers can often lead to unanswered questions, and confusion, leaving space for assumptions to grow.

Studies from Gartner highlight that businesses with strong post-announcement engagement retain more clients than those who treat the update as a one-way message. You should always be prepared for questions. Have a short script or FAQ ready. Make sure your team is aligned so they answer consistently. A calm explanation helps people adjust without feeling ignored.

“The only way to justify an increase is by adding new features”

Price increases don’t always need to come with updates or added features. Often they simply reflect the realities of the economy. Businesses that fail to keep pace eventually struggle to maintain service quality and people understand that.

This does not mean that you shouldn’t tell customers when price changes are related to improved offerings. Telling customers about upgrades gives them something concrete to weigh against the higher price. Under-explaining value is as harmful as over-explaining it.

“A single announcement will do”

People miss emails. They skim invoices. They forget dates. A single notice is rarely enough, even when well written. When a message is clear and consistent, customers don’t feel overwhelmed. Using multiple channels for communication has been shown to reduce complaints because no one feels blindsided. You should always aim to send your message through two or three channels, spaced out over time. Keep each version short and factual and make sure they each reflect the same message. Clarity prevents conflict.

What’s the takeaway?

Customers respond well when they feel informed rather than managed. They respond poorly when communication is rushed, vague, or emotional. When customers know the reasons behind changes, they are much more likely to stay loyal – even when the price goes up.

If you want help reviewing your pricing structure, chat to us.

R&R for Better Business Performance? Here’s how…

"Sometimes the most productive thing you can do is relax." (Mark Black)

By prioritising rest and relaxation (R&R) over the holidays, businesses can cultivate a healthier, more productive, and more resilient workforce – which ultimately leads to sustained high performance.

Here’s why R&R matters for your business performance… And how to help your team make the most of their December break.

6 ways R&R boosts business performance

Prevents costly burnout. Chronic stress leads to burnout, which dramatically decreases performance and increases employee turnover. Regular rest maintains sustainable energy and enthusiasm, protecting your investment in talent.
Unlocks creativity and innovation. Downtime allows your subconscious mind to process information and make new connections. Those breakthrough ideas rarely happen amid non-stop meetings and deadlines but rather emerge when your brain has space to wander.
Sharpens decision-making. Fatigue impairs cognitive function. Rested leaders and employees analyse situations more clearly, weigh options more effectively, and make sound strategic decisions that move the business forward.
Increases productivity and focus. Paradoxically, working non-stop decreases productivity. Taking breaks recharges the brain, improving concentration and efficiency. Research shows that the busier people are, the less creative they become.
Enhances problem-solving. Stepping away from a challenge provides fresh perspective. You'll often return with quicker, more effective solutions than if you'd powered through.
Improves team communication. When people are tired or stressed, communication suffers. Rest enhances the ability to listen attentively, express ideas clearly, and avoid conflicts caused by fatigue-driven reactions.

How to maximise your team’s December leave

With the December holidays in a few days, now is the ideal time to encourage your team to make the most of the leave days.

A good starting point is to ensure your team knows that taking leave is essential: some people need permission to step away from their responsibilities.

Also encourage complete disconnection during leave days, reminding your team members that effective rest means genuinely disengaging from work and doing whatever their heart desires, be that hiking the Otter Trail, spending time with the family or embarking on a DIY project.

To reduce anxiety about taking time off and allow everyone to truly switch off when they’re on leave, you need to plan ahead. Work with your team now to establish clear out-of-office dates, handover protocols, and emergency contacts. And ensure projects are covered and clients are informed long before the holidays begin.

Finally, remember to lead by example – when managers and business owners take their own breaks and visibly disconnect, it gives everyone else permission to do the same.

Rest well, start well

Rest is not an indulgence, it’s a strategic investment in your business’ long-term success.

A well-rested team will return sharper, more creative, and ready to tackle challenges with renewed energy in 2026.

Moving from Freelancer to Employer: The Complete Guide

“You can dream, create, design and build the most wonderful place in the world, but it requires people to make the dream a reality.” (Walt Disney)

Faced with rising demand, every successful solo-business person or freelancer will start wishing they had someone around who could help. But deciding to hire means planning for ongoing salary costs, statutory contributions, written contracts and record-keeping. Do it deliberately, with preparation and you will gain capacity and potentially, increased profit. Do it without preparation and you can pick up expensive legal and tax problems.

When’s the right time?

First, make a list of tasks you believe you could hand over. Then look for areas that could be improved if you had someone to help with them. For example, if admin, scheduling or basic service work is stopping you from completing billable hours, then that’s a clear sign that something needs to change. You may want to consider hiring if you find yourself regularly turning away clients, or when your quality slips because you are over-stretched.

You should also consider whether you have a steady pipeline that has areas of potential growth. If the need is temporary, a contractor might be a better bet.

Taking that next step

If you have decided to hire, then the next step is calculating just how much you can afford to pay. A salary is not just the monthly wage. You need to include a budget for additional costs you may need to carry, like equipment, training and the chance that the hire won’t be productive from the outset.

Who to hire first

When choosing who to hire, you should closely examine just where you’re getting stuck and then look for an employee who removes the biggest bottleneck. Common first hires include an administrative assistant to help with invoicing, scheduling and emails and a junior specialist or apprentice who can do the routine parts of your core service.

Your job advert should cover that bottleneck and list the main tasks and skills required. You should avoid the temptation of writing vague or overloaded job descriptions in the hope of finding a jack-of-all-trades. While these people may exist, they won’t be looking at entry-level jobs.

Key registrations as an employer

Before the first payday, you will need to register as an employer with SARS so you can withhold PAYE (pay-as-you-earn) tax.

You will also need to register with:

The UIF (Unemployment Insurance Fund) where both employers and employees contribute 1% of pay
The Compensation Fund (COIDA), which covers workplace injuries
If your annual payroll exceeds R500,000 you must register for and pay the Skills Development Levy (SDL) – 1% of payroll

After that, you should set up your payroll processes as these need to be in place before the first pay run. Payroll mistakes are common and costly and your accountant (that’s us) can help you to set these up correctly.

Contracts and labour law basics

Every employee should ideally have a written contract that sets out salary, hours, duties, leave and notice period. Even small, first-time employers must follow The Basic Conditions of Employment Act (which sets minimums for working hours, leave, and overtime) and the Labour Relations Act, which governs fair dismissal procedures and dispute resolution.

If you need help, ask us.

Tax obligations and paperwork

As an employer you must deduct PAYE from salaries and submit monthly EMP201 returns to SARS, pay your share of UIF and submit monthly UIF returns, pay SDL if you meet the threshold and submit the relevant returns, issue IRP5s to employees at year-end and reconcile with SARS (EMP501).

While this may sound like a lot, as your accountants, we are here to help with it all.

Legal structures

Now might also be the time to restructure the way you do business. A sole proprietor can hire staff, but you remain personally liable for the business and any mistakes your employees make can become a very real and very personal problem. A private company (Pty) Ltd meanwhile separates business liabilities from personal assets and may be a sensible step once turnover and payroll grow. You can register a company with CIPC if you want that separation. Other options include a partnership and a trust. Not sure which to choose? Ask us.

Last word

This may all sound like a lot, but try not to get bogged down in the details. Hiring is a practical step toward growth. It adds cost and complexity, but the right staff member can free you up to bring in more work, raise standards and, ultimately, build a business that lasts. Plan, register, document and manage carefully, and your first employee will be a value-add rather than a risk.

And remember – we are here to help with all of the technical aspects.

Time Is Money: 8 Timesaving Tips Every Business Leader Should Utilise

“The key is not to prioritise what’s on your schedule, but to schedule your priorities.” (Stephen R. Covey, The 7 Habits of Highly Effective People)

In business it’s too easy for an entrepreneur or business leader to mistake being busy for being effective. Working long hours with back-to-back meetings can look like productivity – but without clarity and boundaries, the important work, may not actually be getting done.

According to a study conducted by McKinsey, 61% of senior executives believe that at least half of the time they spend making decisions is unproductive. So how can you stop this happening to you?

Time-saving strategies are an essential tool for sustainable modern leadership. Streamlining processes, delegating effectively, and embracing automation can transform your day. Done right, these tactics free up energy for strategic thinking, innovation, and decision-making – all of which can lead to greater growth in your business. Here are some evidence-based tips every business leader should employ to better utilise their time.

1. Prioritise ruthlessly

One of the most effective ways to save time is by focusing only on tasks that deliver real impact. The Eisenhower Matrix (dividing tasks into urgent vs. important) remains a powerful tool. Many leaders fall into the trap of handling urgent but low-value work, rather than carving out time for strategic priorities.

The fix? Review your to-do list daily and cut or delegate anything that doesn’t directly move the business forward. Treat your time as an investment portfolio and put more into the high-return opportunities.

2. Delegate with trust

Effective delegation is a skill, not just because it frees up your time, but also because it empowers your team. Too many leaders hoard responsibilities out of habit or fear that standards won’t be met. But this can bottleneck workflows and burn time on details that others are capable of handling.

You should be clearly defining expectations, providing resources, and then stepping back. By learning to fully trust your team you free yourself up for higher-level thinking and decision-making. Just as importantly, you give staff room to grow, in the process increasing employee engagement and retention.

3. The algorithm is your friend

Everyone’s talking about AI these days, and with good reason. Technology can be a business leader’s greatest ally. From scheduling tools to delivering automated reporting, letting technology take care of the smaller tasks can strip hours of repetitive labour from your week.

The upfront effort and cost of setting up automation pays dividends quickly. According to a Deloitte survey, businesses using automation in finance and operations reported time savings of between 60% and 80% in some high volume, transactional finance processes. As your accountant, we can help you adjust budgets to cater for tech upgrades and installations, and the adjusted workflows that will surely follow. Leaders who resist these tools risk drowning in avoidable admin.

4. Guard your calendar

Your calendar is a reflection of your priorities. Yet many leaders allow it to be hijacked by endless meetings. A practical fix is to implement “meeting-free zones” (blocks of time reserved exclusively for deep work).

Another technique is the “two-pizza rule” made famous by Jeff Bezos: never hold a meeting if it requires more than two pizzas to feed the attendees. Meetings with fewer staff and clear agendas reduce wasted time and force clarity.

5. Communicate your way

These days, business leaders are blessed with communication options. Tools like project management platforms, shared documents, and messaging systems mean you can allow communication to happen without the need for meetings or real-time interruptions. Allowing people to react to incoming information when they have space in their day lowers wasted time and increases focus. This helps everyone in the business, including you, to get more done.

6. Build decision-making frameworks

Your job as a business leader is essentially to make decisions. The longer it takes you to make a decision, the more momentum is impeded. Structured decision-making frameworks (such as weighted scoring models) can help you speed up evaluations, reduce second-guessing and come to conclusions faster. This doesn’t just save you time, it also keeps others on track.

7. Invest in personal efficiency

Leadership productivity is also about discipline. By simply changing some of the habits you’ve developed over a lifetime, you could immediately become more efficient. For example, you could answer your emails and phone notifications in batches instead of interrupting work to answer them as the notification comes in.

Introducing new habits and changing old ones will require daily diligence and repetition. Initially, it may seem draining, but over time you’ll find you are saving hours you can put to better use elsewhere.

8. Time as a strategic asset

Leaders who learn to protect and optimise their schedules are the ones who build organisations that are sharper, faster, and more resilient.

By prioritising ruthlessly, delegating effectively, automating smartly, and protecting your calendar, you can transform time from a constraint into a competitive advantage.

How Your Payment Terms Could be Damaging Your Business

“Beware of little expenses; a small leak will sink a great ship.” (Benjamin Franklin)

Extending 30-, 60- or 90-day payment terms may seem like a simple trick to help your sales teams convert sales, smooth negotiations and boost customer service. What you may not recognise, though, is that those terms are not neutral commercial niceties – they are a form of credit.

When your business supplies goods or services today and accepts payment weeks or months later, it has effectively provided an unsecured loan to the buyer. That “invisible loan” has measurable costs: higher working-capital needs, lost interest income, distorted pricing decisions and elevated credit risk.

When you sell on extended terms, “accounts receivable” grows and cash on the balance sheet shrinks until the buyer pays. That increases days-sales-outstanding (DSO) and raises the working-capital requirement. If you borrow to cover the gap (common for seasonal businesses or those with tight margins) the interest paid on that borrowing is a direct cost of the terms you offered.

Even when you don’t borrow, the opportunity cost remains: cash not received cannot be used to reduce debt, invest in higher-return projects, or fund inventory when demand spikes. Over time the cumulative burden of routinely extended terms reduces agility and margins.

Unfortunately, many clients demand extended payment terms, and your competition may be prepared to accede to their wishes. So how do you ensure you keep the business without going out of business yourself?

1. Price the finance

Treat longer payment terms as a priced service. Build a transparent financing fee into orders that use 60- or 90-day terms, or publish two price lists: a net price for immediate payment and a financed price for deferred settlement. Customers accept explicit fees more readily than hidden margin increases, and your finance team can model return on capital precisely.

2. Offer structured early-payment incentives

Instead of unconditional long payment terms, offer predictable early-payment discounts or dynamic discounting tied to actual payment date. A 0.5–1.0% discount for payment within 7–10 days often costs less than the buyer’s short-term borrowing and converts receivables into near-cash for you.

3. Underwrite and limit credit formally

Move from ad-hoc allowances to formal credit applications and limits. Require a minimum credit assessment for extended terms, set credit lines tied to payment performance, and review limits at set intervals. For new or higher-risk customers, insist on shorter terms or staged delivery until a track record is established.

4. Design payment terms as part of commercial deals

Make terms a negotiation item linked to value. Trade extended terms for commitments: volume guarantees, longer contract terms, staged milestones, or partial upfront payment. Where applicable, split deals into an upfront deposit and a deferred balance tied to delivery or performance to reduce unsecured exposure.

5. Use technology and supply-chain finance options

Make payment easier with accurate, timely electronic invoicing, one-click payment links, and multiple payment methods. For larger B2B (business-to-business) accounts, consider invoice finance or supply-chain finance platforms. They enable buyers to settle invoices early and suppliers to access cash immediately, typically with transparent and lower financing costs than traditional receivables.

6. Make the invisible visible

It’s essential to stop treating DSO as a passive metric and make extended terms a line item in cash-flow forecasting. Your accountant (that’s us!) can help you report the cost of terms monthly: financing cost, incremental bad-debt risk, and the foregone investment return on delayed cash. We can also supply a short finance note quantifying the cost and proposed mitigation (discount, guarantee, deposit).

The bottom line

Payment terms are a commercial tool and a financial instrument. When finance and sales treat them differently, an invisible loan quietly accumulates. By following the steps outlined in this article you can make the loan visible and manageable. That shift preserves customer flexibility while protecting cash, margins and your company’s capacity to invest.

If you need help structuring your payment terms, speak to us.

Salary Sacrifice: Why Founders Should Always Pay Themselves

“Paying yourself isn’t selfish, it’s sustainable. The goal is to strike a balance that supports your personal life without compromising the growth of your company.” (Salim Omar, CPA and serial entrepreneur)

Many founders see skipping their own salary as a noble way to fund growth. In reality, underpaying yourself often backfires. Research shows that 82% of small business failures stem from cash flow problems and unpaid founders can mask true costs, distort margins, and create hidden financial pressure – and that’s just the start of it.

What’s the real cost of your time?

When founders refuse to take a salary, they are effectively treating their own time as free. In the scramble to conserve cash, they tell themselves they can wait to be paid until profits improve. But unpaid labour is not free. By not recognising this cost, you skew the economics of your business.

Imagine you hire a manager to take over your duties. Their salary would immediately appear as a line item. By not paying yourself, you are masking a true expense. This can mislead investors, lenders, and even yourself about whether the business model is sustainable and prevent changes that need to be made. Pricing, margins, and growth targets all look healthier than they are, setting you up for shocks later.

This is why savvy investors prefer to see founders compensated fairly. An unpaid or underpaid founder may seem admirable in the short term, but it raises questions about whether they and the company can endure the demands of growth.

Burnout is real

Founders who delay setting a salary usually do so because they are waiting for a day when they feel the business has “earned it.” The problem is that this line keeps moving. There’s always another milestone, another round of investment, or another expense that feels more urgent. Meanwhile the founder is likely eroding personal savings, undermining their career advancement elsewhere and causing stress and sleepless nights in their own home.

A survey by Kruze Consulting of over 200 venture-backed start-ups found that business owners who underpaid themselves for too long often burned out and quit before their companies reached key milestones. By paying yourself out, and minimising the financial risks at home, you can avoid the same fate.

Tax benefits

Not paying yourself a salary isn’t doing the company as many favours as you expect. All expenses put through the company (including salaries) reduce your company’s tax burden, meaning that the benefit you’re providing the company by not taking a salary is significantly smaller than you think.

As a general rule, it’s advised that you take 50% or less of the business’ net profits as compensation and save the rest for reinvestment, but each company is different. As your accountants, we can help you to structure the salary you pay yourself to ensure that the greatest benefit is achieved for all concerned – thereby lessening any guilt you may feel for taking a salary before the business is “ready”.

The effect on morale

One of the more surprising aspects of not paying yourself a salary is the impact it has on staff morale. Salaries are a hot topic in any business, and the founder’s salary is carefully watched by all who work there. Paying too much to the CEO or founder can lead to resentment, with staff feeling that difficulties on the floor are not shared in the board or that the effort at lower levels is not being adequately compensated.

Likewise, founders who take no salary, or a significantly reduced salary, instil distrust and fear among employees who begin to suspect that the company is struggling and likely to go under. This can lead to job-security worries, lower job satisfaction, increases in absenteeism, quiet quitting and higher than normal staff turnover – all of which will impact the business’ bottom line.

Paying yourself is paying your business

Refusing to take a salary may feel like dedication, but over time it will eat away at both you and your company. Underpaying yourself masks the true cost of operations, distorts financial planning models, breaks employee morale and increases the risk of burnout. Setting a realistic salary is not selfish, it is a structural choice that strengthens transparency, stability, and resilience.

Let data guide the choice. Track your revenue, costs, and cash flow. And compare your compensation to industry benchmarks for founders at similar stages.

Businesses survive when their leaders are healthy, focused, and honest about costs. By recognising your worth and paying yourself accordingly, you are not taking from the business, you are ensuring it has a solid foundation on which to grow.

Speak to us if you’d like help with your salary structure.

Adapt or Suffer: How to Keep Your Business Afloat in a Changing Climate

“Taking bold action on climate change simply makes good business sense. It's also the right thing to do for people and the planet.” (Richard Branson)

Climate change impacts the fundamentals of business operations. Rising heat affects productivity, floods and storms damage infrastructure, droughts disrupt supply chains, and new regulations increase compliance costs. Many leaders still believe their sector will be spared, but no industry is truly insulated. Just as one-third of startups fail because they never properly defined their target market, businesses that fail to assess climate risks may find their models undermined by forces beyond their control. The message is clear: failing to future-proof your business, will result in extremely hard times ahead.

Start with the risks you’re facing

The first step is to identify which climate risks could most directly affect your operations. These can be physical (think floods, wildfires, and extreme temperatures), or transitional, such as regulatory changes and shifts in customer expectations.

According to the latest prediction models, South Africans can expect a hotter, more erratic climate with the country warming at about twice the global average. This means more very hot days that will hurt worker productivity and equipment reliability. On top of this, the country is also experiencing heavier downpours with increased flood damage. These damaging floods, such as those seen KwaZulu-Natal in April 2022 and the Western Cape in September 2023, will result in enormous insurance and economic losses and prolonged business disruption.

Despite the flooding, the country is also not in the clear when it comes to water stress. The 2015–2018 Cape Town “Day Zero” drought was devastating for car wash businesses but a boon for borehole drillers. Day Zero may have been avoided, but there will be more droughts in the future.

All of these issues can lead to stock and agriculture failures, infrastructure collapse and process interruptions. A lack of water, for example, creates cleaning and hygiene issues as well as lower staff productivity. Insurers in SA have been reporting increasing weather losses and rising catastrophe claims, which will continue to feed through to higher premiums and excesses and tougher underwriting in high-risk zones.

You can only build a realistic plan once you understand exactly where your exposures lie.

Build a climate profile for your business

Once you understand the risk categories, create a profile detailing how they intersect with your company. You need to consider your location, your sector, your suppliers and your employees. A warehouse on a floodplain carries different risks from a retail store in a heat-stressed city. Manufacturing firms may depend on inputs that are vulnerable to drought or fire, and employees may struggle in adverse weather conditions. Many exposures sit within the supply chain, where a small disruption upstream can ripple through global markets. For example, higher than usual temperatures may result in crops failing, or greater costs for HVAC and cold logistics services. Have you factored in these costs being passed on to your business?

This profile should be updated regularly, as conditions, regulations, and technologies evolve and more is learnt about the severity of future weather patterns.

Segment your strategy

Not every part of your business will need the same response. While operations may require investments in resilient infrastructure or more efficient energy use, supply chains might need diversification or tighter contracts with suppliers to ensure continuity.

Products and services may need to change as customers shift their preferences toward sustainable options. Segmenting your approach enables you to focus on the areas that matter most.

Use data to drive decisions

Climate planning is most effective when it’s based on evidence rather than assumptions. It is vital that any planning you do is based on the data from climate models, insurance assessments, and financial analyses. Tracking information like rising temperatures, energy costs, and new compliance regulations will turn climate risk from an abstract concern into a measurable factor in your strategy. In South Africa, municipal climate plans are being adjusted to redraw floodplain rules and heat-safety requirements. Is your business going to even be compliant when they come in?

Talk to your stakeholders

Your customers, employees, suppliers, and investors are able to offer different perspectives that could keep you ahead of any climate disasters. Customers can tell you what matters most in their purchasing decisions, employees may note practical changes to streamline daily operations and suppliers can share concerns that could highlight problems you had not foreseen. Talking to all of your stakeholders is more important than it’s ever been.

Climate planning is an ongoing process

Preparing for climate change is not something you can set and forget. It requires regular review and adjustment as risks, regulations, and technologies change. Businesses that take structured action now don’t just reduce their exposure – they’ll also become more attractive to capital investment and build long-term resilience.

Climate change is already reshaping the way companies operate. The question is no longer whether it will affect your business but whether you are ready to respond.

Speak to us if you need help allocating budget for climate resilience strategies.