The Real State of Entrepreneurship survey listed the IT, agriculture, wholesale, manufacturing and business services as the top five sectors in which South African entrepreneurs seek business opportunities.

According to the report, the number of for-profit social enterprises has increased by 10% since 2017, demonstrating that businesses that address social and community issues are on the rise.

“There is a strong shift in representation to services-oriented businesses, more so than previous years.”

Seed Academy presented the results of the survey for the fourth year.

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“We now have a time series of data that has been collected over the years, which allows us to start getting a better understanding of what’s really happening with entrepreneurs in South Africa. Much like 2017, we had over 1 000 respondents who participated in the research.”

The survey listed some of the challenges faced by the country’s entrepreneurs and highlighted the need for more to be done to improve the entrepreneurial ecosystem.

Key challenges that entrepreneurs face include finding customers, wearing too many hats, a lack of guidance, slow sales, customers paying late and the unpredictability of business conditions across the country.

Entrepreneurs who participated on the survey also highlighted the inability to raise funds as a key challenge, but require relatively small amounts to fund their businesses.

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“We see small progress in terms of business survival rates, revenue increases and more women entrepreneurs, but what we really need is for stakeholders in the ecosystem to pull together and make major trajectory changes that support all entrepreneurs from seed through to scale-up stages,” said Seed Academy CEO Donna Rachelson.