BACKSTORY: Craig Gradidge

What’s your one top tip for doing a deal?

Details matter. Though the “story” around a deal can sound quite exciting, it is often the details around boring operational issues that determine the success of a business.

What was your first job?

It was at CRM International, a division of Price Forbes, the short-term arm of Alexander Forbes. I was appointed as a risk manager and had to service a portfolio of mining houses.

How much was your first pay cheque, and how did you spend it?

R3,000 a month. This was in 1996. I paid my rent, bought a bus ticket, did some grocery shopping and gave my old lady some cash.

What is the one thing you wish somebody had told you when you were starting out?

Get hard skills. MBAs and PHDs are nice, but hard technical skills pay the bills and make you a person of value.

If you could fix only one thing in SA, what would it be?

Right now that would have to be Eskom. The consequences of Eskom failing are dire.

What’s the most interesting thing about you that people don’t know?

I play a mean game of scrabble. I once played the South African champion (at the time) when I was still studying at Wits University. He closed the game out with a seven letter word and beat me by five points. It was the most excitement the Wits scrabble club had seen in many a year … I also represented Wits at the black student games in 1992 at the University of the Transkei, in the discus throw. A running legend to be, Hendrick Ramaala was in the team with us.  

What’s the worst investment mistake you’ve made?

Eyomhlaba and Hlumisa — African Bank’s two public BBBEE share offers. I lost 100% of my investment in both.

What’s the best investment you’ve ever made? And how much of it was due to luck?

I bought Pinnacle shares at 74c each in the mid 2000s. Sold them at about R14 a share when I started the business and had to live off my share portfolio. They subsequently peaked at around R28 a share.

What is the hardest life lesson you’ve learnt so far?

Life is tough. Everyone you love will die one day.

What is something you would go back and tell your younger self that would impress them?

Buy Naspers, PSG and Capitec shares lad!

Was there ever a point at which you wanted to trade it all in for a different career? And, if so, what would that career be?

Ja. I cook a mean mutton curry and a few other signature dishes. So if I were to give up financial planning I’d look to increase my cooking skills and start some kind of business where I could benefit from that. I thoroughly enjoy my current job so the odds of Chef Craig becoming a reality are still quite low.

If you were President Cyril Ramaphosa, what would you change, or do, tomorrow?

I would change the way small businesses are taxed and offer real incentives for people to start and grow proper businesses. My business partner and I have earned far less than Sars has from our business, even though we took all the risks and made all the sacrifices. This is still the case even though the business is almost 15 years old. We employ 30 people and have several small businesses as suppliers to our business. If there were attractive tax breaks in years five, 10 and 20 (for example) there would be an incentive for business owners to think long term.