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NEF: Statement by the National Empowerment Fund, helps a black optometrist with expansion capital funding (28/07/2014)

NEF: Statement by the National Empowerment Fund, helps a black optometrist with expansion capital funding (28/07/2014)

28th July 2014

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When Mr Molate Elvis Sedutla approached the National Empowerment Fund (NEF) in 2012, he was ready to move his practice to a more suitable location for his clients and continue to provide the gift of sight to the people of Burgersfort, in the Limpopo province.   

Sedutla Optometrist is a 100% black owned business owned by Mr Sedutla. He approached the NEF to raise R471 744 for setup costs of a new optometry practice within the Burgersfort Mall. The company is involved in the retail sales of optometry products and services. The practice started trading in September 2012.

Prior to the NEF’s funding the entrepreneur an optometrist by profession owned a optometric practice business in Burgersfort in a small shopping centre for over six years. The business was entirely funded by the entrepreneur who grew the business from an annual revenue of R100 000 to R790 000 per annum.

Mr Sedutla said the business had reached its ceiling as the practice was not well positioned in the Shoprite Centre.

“It was on the first floor in the corner and it was difficult for an unfit person to climb up the long stairs to get to the business. I approached the NEF when I wanted to relocate to the newly built Burgersfort Mall less than 200m away from my previous practice, and I obtained a five year lease for the premises that began in 2013,” said Mr Sedutla.

The optometric service offers a basic eye examination, transparency of service, informative advice, individualised patient care, optical and contact lenses, designer brand frames, and vision therapy.

NEF Divisional Executive for SME and Rural and Community Development Mr Setlakalane Molepo said developmental financier was only too keen to assist an entrepreneur in an industry that still does not have enough black professionals.

Mr Molepo said according to the South African Optometric Journal Institutional, gender and racial profiles of South African optometrists in 2011 of the optometrists that were trained in the pre-democracy period, 35.8% were females and 64.2% were males and their racial profile was as follows:74% White, 15.3% Indian, 7.9% Black and 2.8% Coloured. Those that were registered post-democracy comprised of 66.4% females and 33.6% males while their racial breakdown was 44.3% White, 28.9% Black, 22% Indian and 4.8% Coloured.

The journal says as at 2008, there were 2936 optometrists registered with the HPCSA. The majority, (57.8%) were female and (42.2%) were male. More than half (57.5%) of the optometrists were trained at the historically (White) institutions. Of these, 80.3% were White, 10.5% were Indian, 5.3% were Coloured while 3.9% were Black and included 59.5% females and 40.5% males. In total, the historically non-white universities trained 38.3% of registered optometrists. These included 51.3% Blacks, 6.5% Whites, 39.7% Indians and 2.5% Coloureds. Females (58.3%) were the dominant gender. Others (4.2%) had received their training outside South Africa, the majority of whom were (73.8%) and male (76.2%).

The industry currently does not have a BEE charter and as a result many young optometrists struggle to start practices due to limited access to funds. The eye care sector faces a number of challenges; among these is the problem of securing a reliable supply of trained workers with diverse gender and racial equity representations. Gender and racial equity have social implications and affects the distribution of optometric services. For instance, males are generally not averse to venturing out to various areas to practice the profession as compared to their female counterparts. Black optometry graduates are also more likely, than graduates of other race groups, to work in black areas which are often underserved and rural.

“If our funding can assist an entrepreneur to expand his business and also assist a critical but not highly recognised skill to remain in the province and keep three permanent employees at work, then we are truly making a difference to the economic and social impact of South Africa. It should however not be taken for granted that Mr Sedutla’s practice is successful because of his own hard work and six day a week high professional business ethic,” said Mr Molepo.

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