Looking for some lucrative investment opportunities in South Africa? You’re just on the right page!
The simple truth is that it’s not enough to have the desire and passion; you need to have business ideas that are in high-demand which can, in turn, fetch you loads of money. And without mincing words, anyone will agree that some businesses are inherently more profitable than others. It could be due to the low overhead costs, low competition or just high demand.
Hot Investment Opportunities in South Africa
Nonetheless, we’ve compiled a list of 20 hot investment opportunities in South Africa. Check them out below.
Real Estate
Real estate is a growing market around the world and South Africa is not an exception. Being a rapidly developing country, there’s a huge demand for land, residence and lots of other facilities, making it one of the most lucrative aspects of the South African economy.
The size of the capital shouldn’t be a big deal, as you can start making deals in the low cost residential places and lands if you have little capital. On the flip side, if you have a huge capital to invest in this opportunity, consider delving into deals involving large expanses of land as well as housing estates.
Car Rentals
Vehicle rental is a highly profitable business that will experience a bigger boom in South Africa. Apart from the many foreigners that visit the country often, there are also locals who have need of a car for a short period of time ranging from for a few hours to a few weeks.
This idea tends to be lucrative for people who locate their car rental businesses near airports or in a tourist area. A car rental franchise is a proven business model which when combined with hard work, determination, good marketing plans and branding can be very profitable. Don’t forget that it pays to do your homework well before you take the first step.
Garment manufacturing
Clothing is a critical part of any economy because people will never stop wearing clothes, making it a hot investment opportunity in any country. Coming to home to South Africa, one of the highest demands with regards to clothing is that of South Africa-made clothing and textile products.
Demand is also high in neighbouring countries who appreciate the South African style of dressing. The critical part of leveraging this opportunity is purchasing the raw materials and hiring the skilled labourers. The clothing market promises lots of profit in the long term to whoever takes the risk of investing in it.
Food processing
Also known as agro processing, food processing simply refers to transforming agricultural products into food. The food processing sector is a competitive due to the many processed food manufacturers.
It all boils down to the love of South Africans for packed and frozen foods, creating a huge demand which even the existing manufacturers are struggling to meet. Hence, it’s no surprise that it is the third largest manufacturing sector in Africa. If you can create value added products from cereals, grains, nuts, animal products, fruits and vegetables, then this opportunity is for you.
Agriculture
Agriculture has always been one of the major contributors to the GDP South Africa and it remains one of the key investment opportunities every year. The country has a huge expanse of land for agricultural purposes as well as a huge demand for the products.
You can invest in farming fast-growing crops or in animal husbandry with areas of focus like poultry farming, pig farming, fish farming, snail farming, cattle farming, goat farming and even rabbit faming. Investors can also consider other businesses on the side like dairy products and egg supplies. Depending on your capital, you can invest into the business on a small or large scale.
Foreign cuisine
South Africa is one of the most visited countries in Africa by investors and tourists who visit all year round. Expectedly, many of these foreign nationals prefer to eat their own delicacies when available which many South African restaurants don’t have on their menu.
The few restaurants that offer foreign dishes are heaping profits from meeting the needs of these foreign nationals due to the huge demand for it. Popular examples of foreign cuisines are French delicacies, Italian delicacies, Chinese delicacies, American delicacies and other tasty African dishes. Offering these foreign cuisines as well as the local delicacies to cater to the tastes of South Africans is one of the hottest investment opportunities to consider.
Digital marketing
Many successful businesses around the world have a strong online presence due to a mix of several digital marketing strategies. The situation is not too impressive in South Africa as many businesses are achieving little in their bid to establish their online visibility, generate new leads and boost sales.
Understanding that the internet has become a key player in today’s marketing, many businesses have now incorporated digital marketing into their marketing budget. This is a huge opportunity for people who have invested in learning the curves of digital marketing and can offer incredible services. The scope of digital marketing include SEO optimization and marketing, web designers, copywriters and social media marketing, to mention a few.
Freelance writing
Freelance writing is another lucrative opportunity waiting to be grabbed by those with the drive. There is a constant demand for writing gigs by individuals and organizations like the US, the UK, Canada, Australia and others.
The good news is that South Africans are highly favoured to be picked over other African countries because the country is considered a native English-speaking country. If you have good writing skills, you can make loads of money by working for clients on gigs like blog post writing, article writing, press release writing, proposal writing, copywriting, newsletter writing and so on.
Tourism
South Africa plays host to thousands of tourists from all parts of the world who come to see the county’s rich cultural heritage, amazing sceneries, lush landscapes and so on. Leveraging this opportunity can make any entrepreneur wealthy due to the favourable exchange rate and the influx of tourists into the country.
There are a plethora services to offer to tourists and one of the popular one is to work as tourist guides, an opportunity largely overlooked on the black continent. Your job will be to help them through the city they’re visiting, share exciting information about a place or historical event and provide answers to their questions
E-commerce
There are many reasons why e-commerce appeals to people but the prominent reason is the convenience of buying whatever they want right from where they are and have it delivered to them.
If you have something to sell, consider investing in online retail business and chances are you will make lots of profits. You can also make use of several other international e-commerce platforms if you want to widen your reach. If you don’t have a large capital to get started, you can begin with just one product category and gradually expand from there.
Waste management
The waste management business is one of the most lucrative businesses in South Africa and for an obvious reason – most people dislike it because they think it’s dirty. For this reason, there’s no stiff competition in the business and you’re likely to earn a large sum of money even at the initial stage.
Like every other business, the rule of waste management business is simply that you keep your client satisfied. It’s crucial to take care of the waste at the earliest time possible.
Event planning
This opportunity is suited for individuals who can work within the constraints of deadlines and can effectively manage crisis situations through good decision-making skills as well as strong interpersonal relations and communications skill. In other words, this opportunity does not require an educational degree.
In almost every society, individuals and organizations (including corporations and municipalities) host events regularly and so require event planners to oversee different demanding programmes. If you have an eye for details and can make great plans, consider investing in event planning and management.
Forex trading
Forex trading remains a lucrative business even though some have been badly burnt by it. The other side of the coin is that it has also made many wealthy and will yet do so this year. The first step is to gain a good understanding of the Forex market and it helps to learn from someone who has been successful at it.
This might involve you taking any of their courses to learn their entire game plan but you don’t have to worry about the cost of learning because you can easily offset it via your first earnings. Undoubtedly, it comes with risk but this is a serious opportunity for people with the right mental attitude.
Photography
As more South Africans use the social media, the demand for photos has continually surged, especially for those who want to capture their pre-wedding moments as well as wedding pictures, birthday parties, office functions, magazine cover and so on.
You can invest in this opportunity by getting a good camera and learning the nitty-gritty of the art after which you can hire yourself out. A talented photographer will easily make lots of money from the business, especially when you have vast contacts plus marketing strategies.
Delivery services
This business has only two requirements for you to start – a vehicle and a good driving record. Delivery services business is one of the few investments with very little overhead.
Although the delivery industry is competitive, there’s always room for a new entrant and you can make headway with some determination. In addition to general delivery, you can also deliver food to people in the confines of their home or offices, especially expats and tourists.
Building and construction supplies
A high rate f construction activity indicates that any economy is growing and this is the current situation in South Africa. The current construction boom requires a constant supply of construction materials like sand, cement, bricks, construction equipment etc. Entrepreneurs who invest in this business opportunity can rest assured of high profits.
Export business
The export business is another lucrative opportunity which allows entrepreneurs in South Africa export some products that are manufactured here. Many of the products produced in the country have the potentials to be global brands while some of these products are already in high demand in other countries.
An example of products in high demand is diamonds which South Africa is richly endowed with by nature. This year will see smart entrepreneurs exploring local products and transforming them into international brands.
Bakery
Bakery is one of those businesses that don’t require large capital. If you’re good at baking cakes and pastries, you can start your bakery business from the comfort of your home. Depending on your strategy, you can choose to have your buyers come to patronize you at home or you can deliver it to them.
If your planning and management skills are top-notch, you should be able to get an official residence as your business expands. In addition, you can reach out to retail shops and have them keep your products in their stores.
Office space rentals
There are many self-employed people who will like to work in an office but are unable to pay for one. Most of these people work from home and are usually individual freelancers that want to ensure they’re at their best in terms of productivity.
You can invest in this business if you have an unused space in your home where your tenants can work. An ideal design should include several workstations with a dividing screen, a kitchen area, a toilet and a “boardroom” section where your tenants can meet with their clients.
Hair manufacturing
Synthetic hair is a trend that has been around for a while and it doesn’t look like it’s disappearing anytime soon. Many people are willing to cough out unbelievable sums of money to purchase it, making it a good business with a high-profit margin. You can import the synthetic hair from India at a cheap price and resell at competitive prices. Since there’s usually a high turnover rate, you can always rinse and repeat the process.
Image credit: Pixabay
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