Late payment ‘killing’ small tourism firms
Black business needs more state support, MPs told
Efforts to transform the tourism industry and promote the growth of small and medium enterprises have been held back by the late payment practices of government departments, travel agencies and companies. This was identified as a major challenge in a presentation to Parliament’s tourism committee by members of the B-BBEE Charter Council on Friday. Council chairwoman Vuyo Mahlati told MPs that late payments were killing small and medium enterprises. The government has committed itself to a policy of paying suppliers within 30 days, but many departments are not complying with this, creating severe cash flow difficulties for small and medium suppliers. Tourvest Duty Free on the Ground CEO Blacky Komani pointed out that SA was probably the only country in the world that allowed accommodation to be paid on a "bill-back" basis, which he argued should be abolished. This system was used by companies and government departments rather than individuals. "In any other country in the world, you ...
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