One of the root causes of the high frequency of the collapse of businesses in South Africa, and certainly all over the world, is mismanagement of financial resources resulting from poor accounting practices. In most cases, the businesses are able to generate income consistently, but the owners cannot tell whether they are pursuing a loss or profit making path. And this is the problem which Collins Sebola Incorporated is devoted to addressing.
Collins Sebola, owner and managing director of Collins Sebola Incorporated, is a Professional Accountant (SA) designation holder. The title allows him to offer accounting services (such as preparing annual financial statements for variety of businesses and organisations), tax services (such as preparing VAT reports for VAT vendors, Employer SARS returns, Income tax returns, SARS audits, and other secretarial duties such as CIPC services). Sebola has been in business since 2009, but became actively involved in 2010.
Sebola believes Collins Sebola Incorporated offers services beyond ordinary accounting, as it managed by someone with a banking background. “I possess a skill which very few accountants have. In banking we are expected to be advisers of business clients. It was my day to day job to work hand and glove with my business clients. I had to know everything going on around each of my client’s business,” he says.
Besides, Sebola regards Collins Sebola Incorporated as clients’ business partner. This approach, he believes, gives the company a competitive edge over many accounting firms in South Africa.
Collins Sebola Incorporated has operations in Limpopo Province, Louis Trichardt, Nzhelele and Giyani. However, location has not proved to be a hindrance to progress, thanks to technology. With advances in Information Technology, the company is able to assist clients who are outside Limpopo province. It has clients around Gauteng Province and Mpumalanga Province as well.
With fourteen employees and the relevant tools, the company is adequately resourced to tackle complex accounting challenges, says Sebola.
“The business requires investment in personal computers and the right software. Our major assets are software in Accounting, Practice Management and Tax. We spend quite a sizeable amount on maintaining their licenses annually.”
The company has just clocked five years of existence, and Sebola regards this as the perfect time of mapping out the next growth phase.
“As the founder I am working on improving the company’s corporate image. I am developing a document that will provide a strategic direction of the company for the next 5 years. This document will be reviewed every 5 years to assess if our methods will still be relevant to a changing business environment. I still believe that we shall exist for the next 25 years,” he articulates. Part of the future plan includes hiring as many employees as possible and expanding to other provinces.
As Collins Sebola Incorporated is based in a rural area, Sebola says the main snag the company faces is attracting the best talent as most graduates in the field of accounting opt to work in big cities. And to manage this situation, the company provides on-the-job training to school leavers, which he admits takes time, but has turned out to be the most viable alternative so far.
Just why did he ditch the glamour and financial security of a banking job for the highly rewarding but fickle world of entrepreneurship?
Sebola says he developed interest in establishing a firm to offer accounting consulting services while working as a banker. “I saw an opportunity whenever I received financing applications from clients. Most accountants lacked the expertise of presenting meaningful financial reports for their clients. In most instances when I was interviewing my business clients, I discovered that the information submitted was contrary to what was stated in their financial reports. In fact, most clients didn’t understanding anything written on their financial statements. So, I saw this as an opportunity to offer accounting consulting services.”
After five years in business, Sebola feels sufficiently qualified to impart knowledge to aspiring entrepreneurs. He has observed that most people start a business just because they have seen someone succeeding in it, without conducting thorough research.
“Start a business because you have seen an opportunity that you feel you can take advantage of. Have passion for what you do. You will have to invest a lot of time. You will also have to forgo some personal ambitions to fully focus on the business,” he says.
Inspired
Keep on!