SA needs to start more businesses

Perhaps I am being melodramatic, but let’s take a look at some numbers.. Data that tracks the total entrepreneurship activity of some countries has shown that South Africa is waning in terms of entrepreneurship activity.

In a recent report released by FNB and Endeavor South African about the state of South African Entrepreneurship shows that the total entrepreneurial activity for SA is 5%, which is less than half that of India, Brazil and Mexico.

Total entrepreneurship activity is a global index and it measures how much of the labor force of a particular country has started a business and also includes people who have kept businesses going for the last 3.5 years.

In 2001, the total entrepreneurship activity for South Africa was 9.3% and our labour force was about 12.4 million. This probably meant that about 1 153 200 people in South Africa’s labour force were pursuing some kind of entrepreneurial activity.

According to figures released recently by Statistics South Africa, the labour force is currently sitting at 17.7 million. From my calculations, about five percent of our labour force is 885000.

So perhaps it’s not a death as reflected in my sensationalist, dramatic headline, but it is a cause for concern. In 2009, the African country that came out tops in terms of percentage in Africa was Uganda.

via Is entrepreneurship dying? | The Scribblers

What happens if I die without a will?

An obvious starting point in our first of a new series of Trusts and Estates Alerts, is to consider the importance of having a well-constructed, valid Will.    

If you, at the time of your death, have no Will, or your Will is invalid or does not deal with your entire estate, you are said to have died intestate. It is estimated that more than 50% of South Africans die intestate every year

Despite the horror stories, if you die without a Will, your assets are not forfeited to the state, however the distribution thereof is regulated by statute as opposed to your own directions, as you would have set out in your Will.

The relevant Act that regulates the devolution of your assets should you die without a Will is known as the Intestate Succession Act, 81 of 1987.

The Act sets out a fixed formula that is applied to determine who inherits your estate and in what proportion.

The Act is based on – excluding benefits to a spouse – a system of passing benefits to the blood family of the deceased. The general principle being that those family members closest to the deceased in terms of the bloodline, stand to inherit first.

So for example, if the deceased is married, but does not have children, the spouse will inherit the entire estate. 

If however the deceased does not have a spouse at the time of his death, but has children, the children will inherit the entire estate in equal share.

via What happens if I die without a will? – Lexology

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