In his State of the Nation Address, President Ramaphosa outlined a vision aimed at uniting South Africans around a common goal: large-scale job creation. He noted that if every small and medium-sized business (SMB) hired just one additional employee, the country could see up to three million new jobs.
Jordaan Burger | image supplied
To turn this ambition into a tangible, lasting impact, the President has committed to increasing funding and cutting red tape, enabling SMBs to navigate operational hurdles and achieve sustainable growth.
Capacity, not ambition, is the real constraint
For most SMBs, especially smaller businesses, the daily reality is a relentless battle against operational complexity. They are not only CEOs; they are the chief accountants, the HR managers, and the compliance officers.
Their most precious resources of time, energy, and cognitive focus are consumed by the non-negotiable demands of tax, payroll, and regulatory filings. The IMF and World Bank data confirm that small businesses spend an extraordinary amount of time on administrative and compliance tasks.
This operational quicksand prevents them from focusing on the strategic work that drives growth: innovating, exploring new markets, and securing capital.
While government investment in digital infrastructure and services is a welcome foundation, it does not automatically grant an SMB the sophistication needed to leverage it.
The critical challenge, therefore, is not only to simplify the operating environment but to democratise the intelligence required to navigate it successfully.
From operational burden to strategic advantage
The ambition set out in the Sona invites a rethink of what meaningful support for SMBs looks like in practice. It is not only about easing constraints, but about enabling strategic capability at scale, turning compliance from a drain on capacity into a byproduct of well-‑product of well‑run operations.
In practice, this begins with the growing role of accessible technology in automating the non-essential tasks that consume entrepreneurial energy. Trusted AI isn’t about flashy outputs.
It’s about reliable results in mission‑critical workflows. For SMBs, AI only creates real value when it delivers accuracy, control and accountability in areas like finance, payroll and compliance, where mistakes carry real consequences.
That’s why AI works best when it’s embedded in trusted systems, turning complexity into confidence, not risk. When these functions run quietly in the background, business owners are freed to focus on their customers and long-term vision, rather than paperwork.
As operational processes become automated, something more powerful follows: data becomes a strategic asset. For many businesses, access to real-time insight has historically been limited by cost and complexity.
Today, technology is increasingly placing that same visibility in the hands of SMB owners, enabling more informed decisions around cash flow, risk and opportunity, and opportunity. Moving strategy from instinct to insight has historically been limited by cost and complexity. Today, technology is increasingly placing that same visibility in the hands of SMB owners
Once a business is both automated and data-enabled, its relationship with the wider economy begins to change. With trusted, digitised financial records, access to finance becomes simpler and faster.
Participation in formal supply chains becomes more attainable. In this way, technology acts not as an end, but as a bridge, helping businesses move from survival to scale, and from informality into sustained, growth ‑oriented participation in the economy.
The new currency of growth is intelligence
This is not a theoretical exercise. The evidence is already clear. In the recent SME Climate Finance Stocktake report, a direct correlation was found between digital adoption and access to capital: businesses using digital accounting and trusted AI-powered finance tools were significantly more likely to report formally and secure the funding needed to modernise and grow.
In fact, medium-sized businesses with these digital capabilities were accessing finance at a rate 4.1 times higher than their smaller, less-digitised peers.
What these points point to is simple. Growth accelerates when SMBs are equipped to be compliant by design and transparent by default
President Ramaphosa has set the stage, equipping South Africa’s entrepreneurs with trusted, intelligent tools, and this is how we ensure this moment delivers inclusive growth, sustainable scale and millions of dignified jobs.
